December 3, 2023


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Goldman Sachs loses legal struggle against EU cartel great

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FILE Photograph: A Goldman Sachs indicator is viewed previously mentioned the flooring of the New York Stock Trade soon soon after the opening bell in the Manhattan borough of New York January 24, 2014. REUTERS/Lucas Jackson/File Photo

BRUSSELS (Reuters) – U.S. financial investment financial institution Goldman Sachs on Wednesday shed its struggle against an EU cartel wonderful handed down to its former Italian subsidiary and cable maker Prysmian after Europe’s top rated courtroom mentioned it was liable for the steps of the unit.

Prysmian was fined 104.6 million euros ($127 million) by EU antitrust regulators in 2014 for having part in a cartel with 10 other cable makers.

Its penalty involved a joint fine of 37.3 million euros with Goldman Sachs, which experienced acquired the Italian business by using one particular of its private equity resources in 2005 but has due to the fact sold its holding.

The European Commission in its 2014 final decision mentioned Goldman Sachs, as the father or mother company, experienced decisive affect about Prysmian. A lessen EU tribunal in 2018 backed its argument.

The Luxembourg-centered Court of Justice of the European Union (CJEU) agreed with the reasoning and turned down Goldman Sachs’ enchantment.

“The General Courtroom did not err in law in discovering that, in the present circumstance, the Fee was entitled to rely on a presumption of true exercise of decisive influence in order to set up the appellant’s liability for the infringement at challenge in relation to the pre-IPO period,” CJEU judges claimed.

The situation is C-595/18 P The Goldman Sachs Team v Commission.

($1 = .8232 euros)

Reporting by Foo Yun Chee. Editing by Mark Potter | Newsphere by AF themes.