Sacked: Goldman Agrees to Pay $450K for Stock Rule Violations

Goldman Sachs has agreed to pay $450,000 to settle regulators' allegations that it violated a rule related to short-selling of stocks in 2008-2009.

The banking company did not admit or deny wrongdoing in paying the civil penalties in agreements with the Securities and Exchange Commission and the New York Stock Exchange's regulatory arm.

The case involving Goldman's stock-trading business is unrelated to the SEC's civil fraud charges filed against the firm last month over mortgage securities transactions it arranged.

The rule in the short-selling case involves naked short-selling, hoping to make a profit when the shares decline.

Short-sellers often borrow a company's shares in a short sale. Naked short-selling occurs when sellers don't own or borrow the shares before selling them.

Copyright AP - Associated Press
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