Published online by Cambridge University Press: 13 August 2013
In this paper we deal with locally graded groups whose subgroups are either subnormal or soluble of bounded derived length, say d. In particular, we prove that every locally (soluble-by-finite) group with this property is either soluble or an extension of a soluble group of derived length at most d by a finite group, which fits between a minimal simple group and its automorphism group. We also classify all the finite non-abelian simple groups whose proper subgroups are metabelian.