The May 7 decision, that came from an arbitration panel under the Financial Industry Regulatory Authority, granted NAB's request for compensation and also awarded interest at a 3 percent annual rate since December 2006.

The marketing materials on which the NAB relied for creating a collateralized debt obligation called Hudson Mezzanine Funding 2006-1, masked Goldman Sachs’s "significant conflict of interest with its clients", the panel found.

The NAB had argued for $230 million in total damages including $80 million in compensatory damages and interest of $60 million.

The case number is 12-04099.

(Reporting by Amrutha Penumudi in Bengaluru; Editing by Diane Craft)