: Goldman to pay $5.5 million to settle CFTC charges for failing to record trading desk phone lines

Goldman Sachs Group Inc. GS will pay $5.5 million to settle charges that the bank violated a “cease-and-desist” provision of a prior order and for failing to properly record phone lines of a trading and sales desk for a period of time, according to the Commodity Futures Trading Commission. “As this case demonstrates, the CFTC will continuously pursue swap dealers that fail to meet their recording obligations and there will be consequences for violating CFTC orders, including increased penalties,” said Ian McGinley, director of enforcement at the CFTC. The CFTC said the settlement reflects a recognition of Goldman’s cooperation with the investigation. Goldman’s stock rose 1.8% in midday trading. It has slipped 3.3% year to date, while the Financial Select Sector SPDR ETF XLF has edged up 0.6% and the Dow Jones Industrial Average DJIA has gained 5.0%.

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