Tuesday, November 13

How to make a small fortune? start with a large one!

Goldman Sachs is being sued by a dot-com entrepreneur who claims that the bank took £6 million he invested with them, turned it into less than £3 million and then closed his account and told him to get lost. Steve Ronksley says he made the money from stock options he was given for setting up the UK offshoot of a US business. The gain left him with a £2.4 million tax bill to find, he told Goldman. “Within a year the amount was worth less than that £2.4 million.”

He claims that the bank mis-classified him as a professional investor, which he wasn’t, because this got round the duty of care owed to private clients. The case is due to reach the High Court next week, and he is represented by a small specialist law firm. He is suing the bank for professional negligence.

Goldman refused to say whether it is defending the action. “We never comment on litigation, alleged or otherwise.”

All this to be taken with a grain of piquant salt!!!

No comments: