Goldman Flags Archegos-Related Lawsuits as Potential Legal Risks

4 weeks ago 20

The Goldman Sachs institution  logo is seen successful  the company's abstraction  connected  the level  of the New York Stock Exchange, (NYSE) successful  New York connected  April 17, 2018. (Brendan McDermid/Reuters)

The Goldman Sachs institution logo is seen successful the company's abstraction connected the level of the New York Stock Exchange, (NYSE) successful New York connected April 17, 2018. (Brendan McDermid/Reuters)

Goldman Sachs Group Inc. said it had been sued for alleged insider trading related to the Archegos meltdown earlier this year, flagging the lawsuits arsenic imaginable legal risks successful a filing connected Monday.

The lawsuits were filed by shareholders of 3 companies—Vipshop Holdings Ltd, GSX Techedu Inc., and Tencent Music Entertainment Group—and impeach the slope of selling shares successful these companies based connected “material nonpublic accusation regarding the liquidation of Archegos’ position”, according to the filing.

Goldman was 1 of respective banks that had lent to Archegos Capital Management, the household bureau tally by erstwhile Tiger Asia manager Bill Hwang, which defaulted connected borderline calls earlier this year, triggering a occurrence merchantability of stocks including those successful ViacomCBS and Discovery Inc.

Global banks mislaid implicit $10 cardinal erstwhile the money blew up, with Switzerland’s Credit Suisse the hardest deed among its lenders.

The 3 lawsuits were filed past period successful a national tribunal successful New York, and question unspecified damages, Goldman said.

Reuters

Follow

More articles from this author

EPOCH TV