Goldman Sachs pays Rs 26.44 lac to settle FPI rules violation case with Sebi
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New Delhi: Goldman Sachs (Singapore) Pte has resolved a case with capital markets regulator Sebi, which pertains to discrepancies in the monthly ODI (offshore derivative instruments) reporting, after paying a settlement amount of Rs 26.44 lakh.
The order came after Goldman Sachs, a registered Foreign Portfolio Investor (FPI) engaged in offshore derivative instruments, opted to settle the alleged violations by “neither admitting nor denying” under the settlement rules.
“It is hereby ordered that any proceedings that may be initiated for the violations… are settled in respect of the applicant (Goldman Sachs (Singapore) Pte),” the Securities and Exchange Board of India (Sebi) said in a settlement order passed on Monday, reports The Indian Express.
In its order, the regulator observed that certain discrepancies in the monthly ODI reporting for the month of March 2022 were identified by the applicant.
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These issues pertained to a discrepancy in the selection of investment managers for multi-managed clients with respect to four ODI subscribers. Additionally, updated information regarding investment managers or beneficial owners for three ODI subscribers was not included in the monthly ODI reports.
These actions by Goldman Sachs were seen as violations of the operational guidelines for FPIs.
Goldman Sachs submitted the correct and updated data to Sebi in its monthly reports for the period March 2022 to January 2023.
Subsequently, it submitted the current application with the aim of resolving the enforcement proceedings that could be initiated against it due to its failure to adhere to the operational guidelines for FPIs.
With inputs from agencies
