Press Release Summary: LOS ANGELES - A panel of securities industry arbitrators has
ordered investment banking giant Goldman Sachs (NYSE:GS) to pay one of its former
brokers $1 million following an investigation into the company's compensation
system.
Press Release Body: LOS ANGELES - A panel of securities industry arbitrators has
ordered investment banking giant Goldman Sachs (NYSE:GS) to pay one of its former
brokers $1 million following an investigation into the company's compensation
system.
Greg Fullmer, 49, of Los Angeles, worked for Goldman Sachs for 11 years until the
company fired him in 2004, according to the claim filed with the Financial Industry
Regulatory Authority (FINRA) in Los Angeles. During Mr. Fullmer's employment,
Goldman Sachs restructured its compensation plan for brokers, and began withholding
a portion of brokers' commissions and converting them to restricted stock accounts
that would pay out over time. Doing so saved the company approximately $250 million
annually.
But when Goldman Sachs fired Mr. Fullmer, the claim states, it refused to pay him
that money, saying he had forfeited his pay by soliciting firm employees to work
elsewhere. In the decision handed down late last night, the FINRA panel ordered the
company to pay Mr. Fullmer $1 million.
"This ruling fully vindicates Mr. Fullmer and restores his hard-earned good
reputation," says attorney Rogge Dunn of Clouse Dunn Khoshbin LLP in Dallas, who
represents Mr. Fullmer. "Obviously, he earned these commissions, and this award
recognizes that."
Mr. Dunn says the Goldman Sachs deferred compensation plan is a classic case of
"golden handcuffs." He says the company's restrictions on the deferred funds and
attempts to force brokers to forfeit them are designed to keep brokers from taking
their business to other firms.
Also representing Mr. Fullmer is attorney Shain Khoshbin of Clouse Dunn Khoshbin LLP.
Mr. Dunn noted that Mr. Fullmer was a top producer in Goldman Sach's Los Angeles
office and was chosen to provide training for the company's new hires in New York.
Currently, Mr. Fullmer works at UBS, where he is the top producer in that firm's Los
Angeles office and one of the company's top 15 investment advisors nationwide, out
of more than 7,000 UBS professionals.
This is the second million-dollar award Mr. Dunn has won against Goldman Sachs. On
January 13, 2006, another arbitration panel awarded $2.5 million to a broker who
worked in Goldman Sach's San Francisco office and brought similar claims.
Mr. Dunn and Mr. Khoshbin regularly represent brokers and executives in the
brokerage industry. They have litigated complex business and employment disputes
throughout the country. Mr. Dunn is board certified in both Civil Trial Law and
Labor and Employment Law by the Texas Board of Legal Specialization.
More information is available at http://www.cdklawyers.com.
For more information on the Fullmer case, or to speak with attorney Rogge Dunn,
please contact Mark Annick at 800-559-4534 (office), 214-213-1754 (mobile) or
mark@androvett.com
Web Site: http://www.cdklawyers.com
Contact Details: Mark Annick
Androvett Legal Media
2501 Oak Lawn Avenue
Suite 650
Dallas, TX 75219
214-559-4630
mark@androvett.com
2012
