CFTC Fines Goldman Sachs Unit $7M For Lax Oversight

Law360, Los Angeles (March 13, 2012, 6:53 PM EDT) -- The U.S. Commodity Futures Trading Commission ordered a futures commission merchant subsidiary of The Goldman Sachs Group Inc. to pay $7 million in penalties and disgorgement Tuesday, saying it failed to diligently supervise the handling of a broker-dealer client’s commodity interest accounts.

Goldman Sachs Execution & Clearing LP, which provides back-office and other services to broker-dealer clients, violated a CFTC regulation when it failed to adequately supervise an unnamed client that paid it $1.5 million in fees and commissions between May 2007 and December 2009, the...
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