The Financial Conduct Authority (FCA) has handed Goldman Sachs International a £34.3m fine for failing to provide "accurate and timely" reports on more than 220 million MiFID-regulated transactions between November 2007 and March 2017.
Goldman also erroneously reported nearly seven million unreportable transactions to the FCA, which found the Wall Street giant failed to take "reasonable care to organise and control its affairs responsibly and effectively".
The FCA stopped short of imposing a penalty of nearly £50m after the bank agreed to resolve the case and therefore qualified for a 30% discount in the overall penalty.
It marks the 13th fine the FCA has levied against firms for breaching MiFID reporting standards. The regulator has also dished out penalties to UBS AG, Merrill Lynch International, Deutsche Bank AG, RBS, James Sharp & Co, Plus500UK, City Index, Société Générale, Commerzbank AG, Instinet Europe Limited, Getco Europe Limited, Credit Suisse, Barclays Capital Securities and Barclays Bank.
Specifically, the failings related to Goldman's change management processes, its maintenance of the counterparty reference data used in its reporting and how it tested whether all the transactions it reported to the FCA were accurate and complete.
Commenting on the fine, Goldman Sachs said in a statement: "We are pleased to have resolved this legacy matter.
"We dealt with the issues proactively at the time and have made significant investments across the period to develop and enhance our reporting procedures."
FCA executive director of enforcement and market oversight Mark Steward said the case demonstrated "a failure over an extended period to manage and test controls that are vitally important to the integrity of our markets".
He added: "These were serious and prolonged failures. We expect all firms will take this opportunity to ensure they can fully detail their activity and are regularly checking their systems so any problems are detected and remedied promptly, unlike in this case."
Commenting on the penalties handed to Goldman and UBS, former director of investigations at the FCA and current partner in Brown Rudnick's global white collar crime and regulatory investigations group Jamie Symington said "two hefty fines in as many weeks" demonstrate that the regulator "feels strongly that there is still a need to improve standards throughout the industry".
He added: "The FCA stresses in this latest case that it feels it has given the industry considerable support with getting transaction reporting right, and has explained its importance to market and firm surveillance.
"In recent years the FCA has invested heavily to develop market surveillance technology, but that is reliant on firms providing good quality data."