Employees of companies used instant messengers when concluding transactions, which disrupted the administration of financial markets.
US regulators fined 16 financial firms $1.8 billion after company employees discussed the deal on their personal devices and apps. Reuters reported this on Wednesday, September 28.
The “sanctions” list includes: Barclays, Bank of America, Citigroup, Credit Suisse, Goldman Sachs, Morgan Stanley and UBS.
The massive investigation into the industry is an important case for the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC).
The publication reported that from January 2018 to September 2021, bank employees routinely communicated with colleagues, clients and other outside advisors about business matters such as debt and equity agreements using programs on their personal devices such as text messages and WhatsApp. It has become difficult for agencies to regulate financial markets, as well as to enforce basic policies.
Representatives from UBS, Morgan Stanley and Citi said they were ready to solve the problem.
At the same time, Bank of America, Barclays, Goldman Sachs, Nomura and Credit Suisse declined to comment.
The eight largest firms, including Goldman Sachs and Morgan Stanley, agreed to pay $125 million to the SEC and at least $75 million to the CFTC.
Jefferies will pay the two market regulators a total of $80 million, with Nomura agreeing to pay $100 million and Cantor $16 million.
Note that the EU and the UK are preparing lawsuits against Google for a total of 25 billion euros.
In addition, Russia previously fined Google $375 million.
News from Correspondent.net on Telegram. Subscribe to our channel Athletistic
Source: korrespondent
I am Dylan Hudson, a dedicated and experienced journalist in the news industry. I have been working for Buna Times, as an author since 2018. My expertise lies in covering sports sections of the website and providing readers with reliable information on current sporting events.