BUSINESS

Goldman Sachs Pays SEC, FINRA $22 Million Settlement For Passing Non-Public Info To Clients

04/12/2012 11:45 am ET | Updated Jun 12, 2012

WASHINGTON, April 12 (Reuters) - U.S. securities regulators said on Thursday that Goldman Sachs Group Inc will pay $22 million to settle civil charges that the investment bank lacked adequate policies to prevent firm analysts from sharing non-public information that could be passed to clients.

The joint settlement with the U.S. Securities and Exchange Commission and the Financial Industry Regulatory Authority was previously reported by Reuters on Wednesday.

The case stems from a practice at Goldman that came to light several years ago known as "huddles," where stock research analysts met with the firm's traders to share their best trading ideas. Those ideas were then passed along to preferred clients. (Reporting By Sarah N. Lynch and Aruna Viswanatha; Editing by Gerald E. McCormick)

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