By Basil Katz
NEW YORK, Nov 9 (Reuters) - A lawyer for a former Goldman
Sachs Group Inc trader denied on Friday U.S. civil accusations
that his client had defrauded the Wall Street bank of $118
The trader, Matthew Marshall Taylor, was sued on Thursday in
U.S. District Court in Manhattan by the Commodity Futures
Trading Commission (CFTC) which said he had manually entered
fake trades in November and December 2007, in an attempt to
conceal an $8.3 billion position in futures contracts.
"Matt Taylor is disappointed the CFTC filed a complaint
about trades in a Goldman proprietary account which took place
five years ago," Ross Intelisano, Taylor's New York-based
attorney, said in a statement to Reuters on Friday.
"He strenuously denies all of the allegations," the
statement said. "Matt never intentionally entered 'fabricated
trades' to conceal any trading activity and Goldman never
alleged he did so at the time of his termination or
The CFTC is seeking a $130,000 civil penalty against Taylor,
who currently resides in Florida. The complaint said Taylor had
concocted a scheme of fabricated trades and fake entries that
ended up costing the bank $118.44 million.
The lawyer said it was Taylor himself who alerted his
managers of the trading losses and not, as the complaint
alleges, the other way around.
A Goldman Sachs spokeswoman said on Thursday that the bank
had terminated Taylor's employment after his suspected conduct
had been discovered, and that customer funds had not been
After leaving Goldman, Taylor went on to work at Morgan
Stanley, broker records showed. A Morgan Stanley
spokesman said Taylor had left the bank in July.
The case is U.S. Commodity Futures Trading Commission v.
Matthew Marshall Taylor, U.S. District Court for the Southern
District of New York, No 12-cv-8170.
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