Goldman Aims To Kill Investor Suit Over High Pay Rates

Law360, Wilmington (September 7, 2011, 7:07 PM EDT) -- Goldman Sachs Group Inc. on Wednesday lobbied a Delaware judge to toss a derivative suit alleging the investment bank stiffs shareholders by handing excessive compensation to its employees.

The suit — lodged by shareholder Southeastern Pennsylvania Transportation Authority in 2010 — contends the venerable investment bank’s directors should be held liable for approving a performance-based compensation plan and then failing to vigilantly oversee the risky trading practices and unethical conduct that ensued during the housing bubble.

Goldman laid all the risk for its wildly speculative housing...
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