Carlyle Not in Discussions With SEC About Fees, Rubenstein Says

David Rubenstein
Carlyle Group Co-Founder David Rubenstein. Photographer: Matthew Staver/Bloomberg

Carlyle Group LP isn’t discussing issues regarding fees and expenses with the U.S. Securities and Exchange Commission, co-founder David Rubenstein said three days after KKR & Co. settled with regulators over the issue.

“Our structure is different than their structure,” Rubenstein said Thursday in a Bloomberg Television interview with Betty Liu from Aspen, Colorado. “We are not in any discussions with the SEC.”

The SEC said June 29 that KKR, the private equity firm run by Henry Kravis and George Roberts, will pay a $10 million fine and $18.5 million in disgorgement to settle allegations that it allowed some investors to escape expenses tied to deals under consideration by the New York-based firm. KKR didn’t admit or deny the SEC’s allegations.

Blackstone Group LP, the largest private equity firm, disclosed in its most recent quarterly filing that it’s in discussions with the SEC to resolve two fee and expense issues.

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