NEW YORK, (Reuters) - Goldman Sachs GS.N was not paid a $20 million fee it billed for advising El Paso Corp on its more than $20 billion sale to Kinder Morgan Inc KMI.N after the investment bank was accused of a conflict of interest in the sale. The settlement between El Paso shareholders and Kinder Morgan appears to be a rare instance of an investment bank not being paid an advisory fee as a result of litigation. El Paso shareholders sued Kinder Morgan, alleging that the sale was tainted by Goldman's involvement with both energy companies. While it was advising El Paso, Goldman had a multibillion-dollar stake in the acquirer and its top energy banker held a $340,000 personal stake in Kinder Morgan. Kinder Morgan announced the $110 million settlement with the shareholders on Friday, saying "El Paso did not pay the $20 million fee or any indemnity payments allegedly owed to Goldman." The deal closed in May. Delaware Chancery Court Judge Leo Strine refused to block the deal but
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