The move would potentially bring an end to Goldman’s three-year foray into the business of collecting home loans and foreclosing on delinquent borrowers.
Litton is also caught up in federal investigations into foreclosure practices that used robo-signers, employees who rubber stamped documents without verifying their accuracy, as required by law.
According to the Financial Times report, at least one potential buyer approached Goldman, but the talks derailed over price and no sale is imminent.
The move is part of Goldman Sachs initiative to spin off its non core businesses apart from its traditional operations of providing investment banking and trading services.
In December 2007, Goldman bought Litton, which services about 320,000 subprime loans with an unpaid principal balance of $50bn, according to the Financial Times.
