FCA hits Goldman Sachs over reporting failures

The UK's financial services conduct regulator has fined Goldman Sachs International more than £34 billion over historic reporting breaches.

The FCA revealed the fine late last month and said the global giant had failed to provide accurate and timely reporting relating to more than 220 million transaction reports between November 2007 and March 2017.

The regulator originally fined the firm £49,063,900 but Goldman's desire to resolve the case saw it qualify for a 30% discount, bringing the fine down to £34,344,700.

According to the regulator, Goldman failed to ensure it provided complete, accurate and timely information on 213.6 million reportable transactions. However, the firm also reported 6.6 million non-reportable transactions to the regulator, bringing their tally to 220.2 million errors in the firm's transaction reporting.

The FCA said its findings showed Goldman failed to take reasonable care to organise and control its transaction reporting affairs responsibly and effectively.

"These failings related to aspects of GSI's change management processes, its maintenance of the counterparty reference data used in its reporting and how it tested whether all the transactions it reported to the FCA were accurate and complete," the FCA said.

FCA executive director of enforcement and market oversight Mark Steward said Goldman had failed to manage and test controls vitally important to the integrity of the UK's markets.

"These were serious and prolonged failures. We expect all firms will take this opportunity to ensure they can fully detail their activity and are regularly checking their systems so any problems are detected and remedied promptly, unlike in this case," he said.

Read more: FCAUKGoldman Sachs InternationalGSIMark Steward
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