Goldman Sachs amends 34.3M pounds upon failure to provide accurate transaction reporting
March 28, 2019 | Thursday
On Thursday, Goldman Sachs required to amend a 34.3 million pounds upon failure to present accurate transaction reporting in over a decade. The investment bank amends to pay about $45 million as Britain's market watchdog was quickly resolved, qualifying a 30 percent discount avoiding its initial amendments.
According to Mark Steward, executive director of enforcement and market oversight at Financial Conduct Authority (FCA), Goldman's misconduct "were serious and prolonged failures."
As a result, Goldman acts to quickly resolve the case. The investment bank then qualifies a 30 percent discount rather than paying its 49 million pound fine. The United States investment bank states, “We are pleased to have resolved this legacy matter. We dealt with the issues proactively at the time and have made significant investments across the period to develop and enhance our reporting procedures."
According to FCA, Goldman Sachs was the 14th financial firm amends to the same failure under MiFID law, the European Union securities law. The said law mainly fines financial firms with notable failure on its transaction reporting.
The FCA said, “The FCA also found that GSI failed to take reasonable care to organise and control its affairs responsibly and effectively in respect of its transaction reporting."
Elsewhere, just last week, another bank in Swiss, the Union Bank of Swiss fined about 27.6 million pounds. That was the highest penalty to record as of now.
According to the FCA, the accurateness of data on trades are critical for regulators in monitoring such market abuses aiming to take down financial crimes. Moreover, from 2007 to 2017, Goldman Sachs performed more than 220 million errors within its transaction reporting.