Thursday, 29 January 2015
Last updated 5 hours ago
Sep 9 2010 | 1:53am ET
Goldman Sachs is facing another fine in the wake of its US$550 million settlement with the U.S. Securities and Exchange Commission.
This time, it will be the U.K. Financial Services Authority slapping the Wall Street giant. The British regulator is poised to levy a fine of less than £20 million fine following a five-month probe sparked by the SEC’s April fraud lawsuit against Goldman.
Unlike the SEC case, the FSA fine will not be specifically based on the collateralized debt obligation deal at the heart of the SEC case, the Financial Times reports. Goldman was accused of misleading investors in the CDO, called ABACUS-AC-1, which it allegedly structured and marketed on behalf of hedge fund Paulson & Co.
But the FSA did find that Goldman failed to properly notify it about the SEC probe and about the SEC’s interest in Fabrice Tourre. Tourre, the Goldman vice president most directly involved in the deal, was the only individual sued by the SEC, and is based in London. Tourre has not settled the SEC charges against him, and has vowed to fight the regulator.
Jan 23 2015 | 1:00pm ET
In our new section, FINtech Focus, we will profile one of these firms each week. While fintech is a broad category, we will be focusing on firms that specifically cater to the alternative investment industry. Read more…