By forcing Goldman Sachs Group to admit a “mistake,” US regulators may be signaling a more confrontational approach to future settlements that could expose Wall Street to more investor lawsuits. In its $550m accord with Goldman Sachs, the Securities and Exchange Commission deviated from its usual practice of imposing a fine while letting a firm remain silent on whether it engaged in misconduct. Firms required to admit oversights may find it difficult to argue in private litigation that they conceded no wrongdoing and settled purely to end regulatory scrutiny, said Salvatore Graziano, a lawyer who specializes in class-action securities fraud suits.
Goldman Sachs ‘mistake’ admission could spur lawsuits
Most Popular Articles
Latest Articles
Opinion: If you’re chasing volume, you’re chasing the wrong carrot
Producing $100 million in funded loans isn’t success; success is how much net income you made on that $100 million in fundings.
-
Why are existing home prices rising when sales are still so low?
-
FundingShield’s Ike Suri on the limits of AI in fighting fraud
-
Former academy resumes role as Funding Longevity Task Force
-
U.S. Treasury’s financial crimes network warns of elder exploitation
-
Floify integrates with verifications platform Truv