Goldman Strikes $10M Deal To Block Ponzi Scheme Suit

Law360, New York (December 14, 2011, 6:04 PM EST) -- A Goldman Sachs Group Inc. unit agreed Wednesday to preemptively pay nearly $10 million to avoid a potential lawsuit in Florida over the investment firm's failure to spot Arthur Nadel's alleged $168 million Ponzi scheme, though it served as a brokerage for the convicted schemer.

The accord was struck between Goldman Sachs Execution & Clearing LP and Burton W. Wiand, the receiver appointed in the U.S. Securities and Exchange Commission's suit against Nadel. Goldman will pay $9.85 million to avoid a suit and gain a broad...
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