Goldman Sachs Pays $15 Million Over Securities Lending Claims
- SEC says bank failed to ensure location of stock for shorting
- Agency also faulted firm over response to examination staff
Goldman Sachs headquarters in New York.
Photographer: Ron Antonelli/BloombergThis article is for subscribers only.
Goldman Sachs Group Inc. agreed to pay $15 million in settling a U.S. regulator’s claims that its employees failed to check widely enough for inventory when investors wanted to bet against securities.
Brokerage employees performed inadequate reviews in responding to requests from customers looking to locate stocks to be used for short sales, the U.S. Securities and Exchange Commission said in a statement Thursday. The bank also gave incomplete and unclear responses to SEC questions about its practices in 2013, which prolonged the exam, the agency said.