Cost to Squid Minion to Avoid Prosecution for Influence Peddling: $100K
May 30th, 2013Via: Reuters:
A former Goldman Sachs Group Inc. investment banker has agreed to a five-year securities industry ban and a record fine to settle U.S. Securities and Exchange Commission charges that he broke rules against influence peddling to win bond underwriting business in Massachusetts.
Without admitting or denying wrongdoing, Neil Morrison, 38, accepted what the SEC said was the first industry ban for violating “pay-to-play” rules governing the $3.7 trillion municipal bond market.
He also agreed to a $100,000 civil fine, which the SEC called the largest individual penalty in such a case.
Thursday’s settlement was announced eight months after Goldman struck its own $12 million settlement with the SEC over the case, which involved contributions to the 2010 gubernatorial campaign of then-Massachusetts State Treasurer Timothy Cahill.
Pay-to-play refers to the providing of cash or other contributions to public officials in exchange for political favors or the awarding of contracts.
