Goldman is trying its best to cover up the losses that it made during currency betting and other similar trades for which it took $1.3 billion from Libya's sovereign-wealth fund in early 2008.

The investments made by the company had lost 98% of their value and thus Goldman in an effort to make up for the losses has now offered Libya a chance to become one of its biggest shareholders, according to the reports released by The Wall Street Journal.

Talks are ongoing between Goldman and the Libyan Investment Authority but nothing other than citing internal Goldman documents has been reported yet.

There are reports that discussions are being made at Goldman on how to salvage the relationship with Libya included Lloyd Blankfein, the company's Chairman and CEO, David Viniar, Goldman's Finance Chief, and Michael Sherwood, Goldman's top executive in Europe but all three executives have declined to comment anything for the newspaper.

Goldman is putting in its best efforts to cover up the losses; an effort to same has been cited when the company offered Libya the fund that is entirely under control of Col. Muammar Gaddafi, which upon calculating was found to be an opportunity to invest $3.7 billion in the securities firm.

More efforts were also made by Goldman between May and July of 2009, when Goldman executives made three big proposals, which would have given Libya $5 billion of preferred shares or unsecured debt in Goldman as according to the reports, each proposal had promised a stream of payments to eventually offset the losses.