freebuddy Posted November 20, 2014 Share Posted November 20, 2014 Goldman fires staff over leak of confidential NY Fed information Thu Nov 20, 2014 1:42pm EST By Tanya Agrawal (Reuters) - Goldman Sachs Group Inc said it fired two employees over the leaking of confidential information from the Federal Reserve Bank of New York, raising again questions about the bank's alleged cozy relationship with its regulator. The bank said a junior employee was sacked for passing on to a colleague information from the New York Fed, his former employer, while a supervisor was fired for knowing about the matter but not escalating it. The disclosure of the firings comes a day before a U.S. Senate subcommittee is scheduled to start hearings on whether the Fed's relationship with the banks it regulates is too close. The hearing follows the release of secretly recorded conversations between the New York Fed and Goldman officials that suggested Fed officials were reluctant to push Goldman for answers on a transaction with Spain's Banco Santander. Goldman said on Thursday it had immediately reported the incident that led to the firings to the New York Fed. The junior banker had been employed with the bank for less than four months, Goldman said. The confidential information provided Goldman a window into the New York Fed's private insights, including details about at least one of the bank's clients, the New York Times reported, citing lawyers familiar with the matter.(http://nyti.ms/1yVpoq6) It is unclear whether Goldman's bankers used the information, the Times added. The "revolving door" relationship between Goldman and other government agencies such as the New York Fed has been a source of criticism in the past, with frequent movement of employees between the bank and its regulators. Current New York Fed President William Dudley, for example, was Goldman's chief economist until 2005. In an internal memo obtained by Reuters, Goldman said the proper handling of confidential information was among its highest priorities and that it had a specific policy prohibiting an employee's use of information obtained from former employers. Goldman added that it was reviewing its policies regarding hiring staff from government institutions to ensure they were effective and robust. The New York Fed said in a statement it had detailed rules and controls for protecting confidential information. "Of course, we also know that we are not perfect, that information today is more difficult to safeguard, and we are resolute to learn from our experiences." (Additional reporting by Rama Venkat Raman and Avik Das; Editing by Rodney Joyce and Saumyadeb Chakrabarty) http://mobile.reuters.com/article/idUSKCN0J40EQ20141120?irpc=932 Link to comment Share on other sites More sharing options...
CanadianLoonie Posted November 20, 2014 Share Posted November 20, 2014 Goldman Sachs is practically the Fed for all intents and purposes... Link to comment Share on other sites More sharing options...
RRypien37 Posted November 21, 2014 Share Posted November 21, 2014 Goldman Sachs is practically the Fed for all intents and purposes... Hank Paulson approves this message. Link to comment Share on other sites More sharing options...
Offensive Threat Posted November 21, 2014 Share Posted November 21, 2014 So the Fed is going to look into a serious matter involving a Spanish bank and Goldman throws a junior exec under the bus and says "Look, we are super honest and stuff" Link to comment Share on other sites More sharing options...
nuckin_futz Posted November 21, 2014 Share Posted November 21, 2014 So the Fed is going to look into a serious matter involving a Spanish bank and Goldman throws a junior exec under the bus and says "Look, we are super honest and stuff" Hmmmm Where have they done this before? Does Fabrice "The Fabulous Fab" Tourre ring a bell? Link to comment Share on other sites More sharing options...
terrible.dee Posted November 21, 2014 Share Posted November 21, 2014 Depressing but not surprising, I regard all central banks as evil entities anyway, so this is like hearing Hitler was mean to his dog. Link to comment Share on other sites More sharing options...
Gross-Misconduct Posted November 21, 2014 Share Posted November 21, 2014 Goldman? Is he Jewish? Sounds jewish. Link to comment Share on other sites More sharing options...
Warhippy Posted November 21, 2014 Share Posted November 21, 2014 Goldman? Is he Jewish? Sounds jewish. Jeez us man careful with the J word or you're gonna bring Taxi and his ilk into the thread Link to comment Share on other sites More sharing options...
RRypien37 Posted November 21, 2014 Share Posted November 21, 2014 Goldman? Is he Jewish? Sounds jewish. Link to comment Share on other sites More sharing options...
DarthNinja Posted November 21, 2014 Share Posted November 21, 2014 Jeez us man careful with the J word or you're gonna bring Taxi and his ilk into the thread What you talking about...there's no such thing as a Jewish banker. That's just an anti-semantic conspiracy theory. Link to comment Share on other sites More sharing options...
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