Goldman in talks on $50M fine for releasing NY Fed secrets

Goldman expected to face $50M fine

Goldman Sachs is in the last stages of negotiating a $50 million fine with New York's State banking regulator over allegations that a former employee leaked confidential supervisory materials from the Federal Reserve Bank of New York, people familiar with the matter told The Wall Street Journal.

The New York Department of Financial Services is putting the finishing touches to a tentative agreement that could also include a three-year ban for the bank on regulatory consulting work in New York and an admission of failing to properly supervise its employees.

British trainees at JPMorgan fired for cheating tests: Report

The case centers on a former junior employee at the firm, Rohit Bansal, who is alleged to have shared confidential information obtained from his former employer, the New York Fed, with his bosses while advising banking clients on regulatory matters.

A Goldman executive, Scott Romanoff, reported the matter to compliance supervisors, leading to an internal investigation by the firm. The bank then notified the New York Fed, which launched its own probe. The firm fired both Bansal and one of his supervisors.

You can read the full article here.