Greg Palm doesn’t have time for them, nor does the NY Fed for employees trying perform the job they were hired for, alleges a lawsuit filed today.

Before she could formalize her findings, Segarra said, the senior New York Fed official who oversees Goldman pressured her to change them. When she refused, Segarra said she was called to a meeting where her bosses told her they no longer trusted her judgment. Her phone was confiscated, and security officers marched her out of the Fed’s fortress-like building in lower Manhattan, just 7 months after being hired. Today, Segarra filed a wrongful termination lawsuit against the New York Fed in federal court in Manhattan seeking reinstatement and damages…

In April, Goldman assembled some of its senior executives for a meeting with regulators to discuss issues raised by documents it had provided. Segarra said she asked Silva to invite officials from the SEC, because of what she had learned about the El Paso-Kinder Morgan merger, which was awaiting approval by other government agencies. Segarra said she and a fellow examiner from New York state’s banking department had prepared 65 questions. But before the meeting, Silva told her she could only ask questions that did not concern the El Paso-Kinder Morgan merger, she said. Nonetheless, SEC officials brought it up. Goldman executives said they had no process to check the personal holdings of bankers like Steve Daniel for possible conflicts, according to notes Segarra took at the time. Asked by Segarra for Goldman’s definition of “conflicts,” the bank’s general counsel, Greg Palm, responded that it could be found in the dictionary, she said. As the Goldman examination moved up the Fed’s supervisory chain, Segarra said she began to get pushback. According to her lawsuit, a colleague told Segarra in May that Silva was considering taking the position that Goldman had an acceptable firm-wide conflict-of-interest policy. Segarra quickly sent an email to her bosses reminding them that wasn’t the case and that her team of risk specialists was preparing enforcement recommendations. In response, Kim sent an email saying Segarra was trying to “front-run the supervisory process.”

NY Fed Fired Examiner Who Took on Goldman [ProPublica]

22 comments (hidden to protect delicate sensibilities)
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Comments (22)

  1. Posted by Guest | October 10, 2013 at 4:58 PM

    7 months out of college? Go pound sand.

  2. Posted by guest | October 10, 2013 at 5:03 PM

    you're a moron.

  3. Posted by guest | October 10, 2013 at 5:04 PM

    are you some kind of idiot?

    "Segarra is an expert in legal and regulatory compliance whose previous work included jobs at Citigroup and the French bank Société Générale. She was part of a wave of new examiners hired by the New York Fed to monitor systemically important banks after passage in July 2010 of the Dodd-Frank regulatory overhaul, which gave the Fed new oversight responsibilities."

  4. Posted by guest | October 10, 2013 at 5:04 PM

    Is that you Greg Palm?

  5. Posted by guest | October 10, 2013 at 5:06 PM

    Stop talking.

  6. Posted by guest | October 10, 2013 at 5:09 PM

    You know that just because she was at that job for "7 months" doesn't preclude her from having held other jobs prior to being hired by the ny fed, right?

  7. Posted by Original Guest | October 10, 2013 at 5:14 PM

    And that's what i get for skimming through an article.

  8. Posted by guest | October 10, 2013 at 5:19 PM

    hopefully you've learned a valuable lesson here today.

    -commentariat

  9. Posted by Guest | October 10, 2013 at 5:31 PM

    That if I have no morals, I belong at Goldman?

  10. Posted by St. Copious | October 10, 2013 at 5:55 PM

    This is so f'ing stupid on so many levels.
    - tax dollars paying someone to watch out for GS investment bank clients, e.g. CEOs and CFOs of large, highly sophisticated, and usually public corporations.
    - of all the unwholesome sht GS could (and probably does) engage in that could really f up the economy, the fed has someone worrying about their conflicts policy, the ill effects of which would be confined to goldman and its M&A clients?
    - the fed thinks they have more incentive than goldman to prevent goldman from annoying its own clients
    And this woman wants to be reinstated?? To do a job that pointless?

  11. Posted by pussy | October 10, 2013 at 6:00 PM

    I'd enjoy examining her in minute detail

  12. Posted by Guest | October 10, 2013 at 6:08 PM

    You're trying too hard man.

  13. Posted by Guest | October 10, 2013 at 6:48 PM

    u mad?

  14. Posted by Corneille | October 10, 2013 at 6:51 PM

    c'mon, throw us a footnote, just for old times' sake.

    (we luv ya Bess! but it's like going cold turkey from Racine to Moliere, ya know?)

  15. Posted by Corneille | October 10, 2013 at 6:55 PM

    also, A+ subtitle, would read again

    [youtube Jvk7faxsxkQ http://www.youtube.com/watch?v=Jvk7faxsxkQ youtube]

  16. Posted by a side | October 10, 2013 at 7:16 PM

    But it does preclude her from having succeeded in them…

  17. Posted by Amused Bystander | October 10, 2013 at 7:27 PM

    A person whose experience was working in compliance at SocGen and Citi would have no first-hand idea what actual legal compliance looked like.

  18. Posted by Yahoo Email Dumbass | October 11, 2013 at 8:51 AM

    So Mr. Palm really handed it to her.

  19. Posted by guest | October 11, 2013 at 10:22 AM

    "Brevity is the soul of wit."

    - Billy Shakes

  20. Posted by Guest | October 11, 2013 at 11:24 AM

    Asked by Segarra for Goldman’s definition of “conflicts,” the bank’s general counsel, Greg Palm, responded that it could be found in the dictionary

    Look under R, between Raoe and Raqe

  21. Posted by Guest | October 13, 2013 at 9:18 AM

    If you're willing to work 6.5 days a week and keep your mouth shut, then maybe

  22. Posted by Whatever | October 14, 2013 at 9:59 AM

    Um, who's Silva? He or she isn't introduced in the story, but seems to play a large role.