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Goldman Sachs to Pay $110M to N.Y., Fed for FX Trades

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Goldman Sachs Group Inc. has agreed to pay about $55 million each to New York’s Department of Financial Services and the Federal Reserve Board to resolve allegations that its foreign exchange traders improperly shared information about client orders on an electronic chat room, putting clients at a disadvantage, people with knowledge of the matter said.

As part of its settlement with the two regulators, Goldman Sachs Bank USA, the state-chartered unit overseen by the New York agency, will provide its regulators with a plan to improve its internal controls and compliance program, the people said.

The resolution, which covers trading from 2008 to 2013, comes years after a far bigger wave of penalties tied to foreign-exchange trading by other global banks.

In a May 2015 action against six banks related to manipulation of foreign currencies, federal authorities extracted five guilty pleas and $5.8 billion in penalties.

That same year, Goldman Sachs and eight other banks agreed to pay about $2 billion among them to settle a class-action suit in New York over currency manipulation.

Eric Kollig, a spokesman for the Fed, declined to comment.


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