Ex-Goldman Sachs Trader Fined For MBS Scheme

Law360, New York (March 12, 2014, 3:20 PM EDT) -- Former Goldman Sachs Group Inc. trader Fabrice Tourre was ordered Wednesday to pay $650,000 in penalties for his alleged role in a mortgage-backed securities fraud scheme that fell apart during the financial crisis.

U.S. District Judge Katherine B. Forrest also ordered Tourre, who earned millions during his time at the investment bank, to give up a $175,463 bonus, plus 3 percent interest, that the U.S. Securities and Exchange Commission claimed was tied to his role in the so-called “built-to-fail” MBS fraud. In imposing the steep penalties,...
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