Barclays, Credit Suisse to pay record fines over dark-pool trading

The Barclays headquarters in London.
(Image credit: Carl Court/AFP/Getty Images)

Barclays and Credit Suisse will pay a combined $154.3 million in fines and disgorgement after settling with the U.S. Securities and Exchange Commission and New York state attorney general on charges they misled investors in their dark pools.

Officials told Reuters on Sunday that Barclays will admit it broke the law and pay a $70 million fine split between the SEC and New York State. The bank will also agree to install an independent monitor to keep an eye on its dark pool, a private exchange for trading securities where orders are not visible to other traders until they are completed. Credit Suisse will pay $60 million, with the fine split between the SEC and New York State, plus $24.3 million in disgorgement to the SEC for 117 million illegal sub-penny orders in its dark pool, Reuters reports. Under the settlement, they will neither admit nor deny wrongdoing.

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Catherine Garcia, The Week US

Catherine Garcia has worked as a senior writer at The Week since 2014. Her writing and reporting have appeared in Entertainment Weekly, The New York Times, Wirecutter, NBC News and "The Book of Jezebel," among others. She's a graduate of the University of Redlands and the Columbia University Graduate School of Journalism.