Goldman expects $2.3B more in potential losses from legal disputesPosted On: Feb. 24, 2023 11:17 AM CST
(Reuters) — Goldman Sachs Group Inc. is expecting to incur $2.3 billion more in potential losses from legal proceedings than the reserves it had set aside for such matters last year, a regulatory filing by the investment bank showed on Friday.
That was in line with what the bank had estimated at the end of its third quarter in September, but was higher than the $2 billion loss it projected in 2021.
Goldman has been a target of lawsuits ranging from its role in Malaysia’s 1MDB sovereign wealth fund scandal to the collapse of Archegos Capital Management in 2021.
A long-running gender bias lawsuit alleging widespread bias against women in pay and promotions at the Wall Street bank is also expected to head to trial later this year.
Goldman Sachs also said it is cooperating with the Consumer Financial Protection Bureau and other governmental bodies relating to investigations and inquiries concerning the bank’s U.S. credit card account management practices.
In the last regulatory filing, it had mentioned the CFPB probe, but the latest filing suggested other government bodies were also seeking inquiries. The company did not identify the other bodies.
Goldman also approved a $30-billion stock buyback program in February, it disclosed in the filing.