Goldman Sachs FX trader suspended over rate rigging probe - WSJ

(Reuters) - Goldman Sachs Group Inc (GS.N), which was not part of last week's international settlement over allegations of manipulation in the foreign exchange market, dismissed a former HSBC trader for his alleged involvement in the manipulation, the Wall Street Journal reported.

Frank Cahill, who was asked to leave Goldman Sachs' London offices on Tuesday, worked as a currencies trader at HSBC Holdings PLC (HSBA.L) before joining Goldman Sachs in 2012, the report said, citing a person familiar with the matter. (http://on.wsj.com/1F0rDwm)

“This relates to a period before he joined Goldman Sachs and he has now left the firm,” a Goldman Sachs spokeswoman said.

The dismissal came a week after regulators imposed fines totalling $4.3 billion (2.75 billion pounds) on HSBC, Royal Bank of Scotland Group Plc (RBS.L), JPMorgan Chase & Co (JPM.N), Citigroup Inc (C.N), UBS AG (UBSN.VX) and Bank of America Corp (BAC.N) for failing to stop traders from trying to manipulate the forex market, following a year-long global investigation.

Cahill was one among a number of unidentified HSBC traders whose conversations in electronic chat sessions were quoted by the U.K.’s Financial Conduct Authority and the U.S. Commodity Futures Trading Commission as part of the settlements, the Journal reported, citing people familiar with the chat transcripts.

(Reporting by Aurindom Mukherjee in Bangalore; Editing by Dan Grebler)