Asia Bizz: Goldman Sachs Fined By Britain For $27 Million
Goldman Sachs is in the news again and this time it has been fined by the Britain’s security regulators for $27 million or 17.5 million pounds. It has been fined because it has failed to disclose the Securities and Exchange Commissionâ€™s investigation into the synthetic collateralized debt obligation, which was also known as Abacus. The fine has been said to be the biggest fine ever imposed on any one in UK.
Goldman Sachs was not able to stand up to the requirements needed for system and controls. Goldman has been stuck in a sludge of its Abacus mortgage, and because of which the investment bank has come under investigation by the US Securities and exchange Commission (SEC).
It was in July that Goldman Sachs had stated that it was ready to pay the $550 million dollars on the marketing of Abacus mortgage securities. And according to the FSA director, Mrs Margret Cole, she said “Goldman Sachs International did not set out to hide anything, but its defective systems and controls meant that the level and quality of its communications with the FSA fell far below what we expect of an authorised firm”.