Reuters reports that the ex-employee, Carmen Segarra, said after examining Goldman's legal and compliance divisions for seven months, she found the bank did not have policies to prevent conflicts of interest as required by regulation.
In a 30-page court document, lawyers for the New York Fed said some of Segarra's claims were 'implausible owing to numerous contradictions within her pleading'.
'Most glaringly, the allegation that Goldman Sachs did not have any conflict of interest policy is belied by plaintiff's own exhibits, which show that the 'nonexistent' policies were, in fact, available on Goldman Sachs's public website', the document said.
To access the complete Reuters article hit the link below:
image: © Clyde Robinson