View more on these topics

Goldman Sachs to pay $5.1bn over mortgage bond misselling

USA-Dollars-Bills-Cash-700x450.jpg

Goldman Sachs has made a $5.1bn (£3.5bn) deal with US regulators over allegations it fraudulently sold mortgage bonds before the financial crash.

The bank says it is set to pay $2.4bn to settle with regulators, plus another $2.67bn to consumers.

Goldman has made the deal in principle with the US Department of Justice’s Financial Fraud Enforcement Task Force.

A Goldman statement says: “The agreement in principle will resolve actual and potential civil claims by the U.S. Department of Justice, the New York and Illinois Attorneys General, the National Credit Union Administration (as conservator for several failed credit unions) and the Federal Home Loan Banks of Chicago and Seattle, relating to the firm’s securitization, underwriting and sale of residential mortgage-backed securities from 2005 to 2007.”

The bank says the deal would cut its income for the fourth quarter of 2015 by around $1.5bn after tax.

Goldman Sachs Group chief executive Lloyd Blankfein says: “We are pleased to have reached an agreement in principle to resolve these matters.”

Recommended

Justice-Fine-Ban-Court-Gavel-Judge-700x450.jpg
1

High profile tax adviser jailed after £6m tax evasion

A high-profile tax adviser and accountant has been jailed for five years for evading more than £6m in tax. Denis Christopher Carter Lunn ran Sussex-based firm Christopher Lunn & Co, whose clients included actress Sadie Frost, actor Sean Pertwee and news presenter Fiona Bruce. HM Revenue and Customs first took action in 2010, when it […]

51

Rewriting the RDR: Advice review eyes lower qualifications and return to commission

An influential panel of experts appointed by the Government as part of the Financial Advice Market Review is considering radical reforms to regulation which would roll back key aspects of the RDR to boost access to advice, Money Marketing understands. The FAMR, jointly led by the Treasury and the FCA, is assessing barriers to the provision of financial […]

FCA logo new 620x430.jpg
1

Robo-advice and new FCA rules set to take centre stage

Robo-advice, a new advice framework and the challenge of meeting new capital adequacy rules look set to be the regulatory issues that dominate in 2016. Advice firms have been told to brace themselves for yet more change in the form of a new leadership team at the FCA, as well as reforms to the advice […]

Qatar cover image - thumbnail

White paper — Qatar International Insights

Jelf Employee Benefits highlights new legislation, key requirements and policy considerations when structuring international private medical insurance (IPMI) for expatriate employees in Qatar. This edition will be of particular interest to global human resource directors, compensation and benefits specialists and mobility managers who have employee populations in Qatar.

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment