Not Fab - ex-Goldman salesperson told to pay more than $1m

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U.S. securities regulators are seeking more than $1m in fines and other payments from Fabrice Tourre, the former Goldman Sachs salesperson found liable for defrauding investors in one of the government's highest-profile civil cases stemming from the financial crisis.

MarketWatch reports that in a filing submitted on Monday, the Securities and Exchange Commission asked a federal judge to impose a penalty of $910,000 on Tourre. The regulator also is asking that Mr. Tourre repay gains of $175,463 as well as $62,858 in interest.

'These remedies are appropriate because the conduct that the SEC proved at trial was egregious,' the SEC wrote in court papers. 'Tourre, a licensed securities professional, took the lead in structuring a financial product that was secretly designed to maximize its potential for failure'.

A jury in August found Tourre liable for six counts of securities fraud. The agency had alleged Tourre and his former employer had misled investors on the role that Paulson & Co., a hedge fund, would play in the mortgage-linked deal.

To access the complete MarketWatch article hit the link below:

SEC asks ex-Goldman trader to pay more than $1 mln

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