Penalty billion: Goldman Sachs is committed in 1MDB scandal guilty

Billion penalty
Goldman Sachs is committed in 1MDB scandal guilty

The Malaysian state Fund 1MDB should serve for the promotion of the economy, instead, enormous sums of money ended up on the private accounts of corrupt government members and financial Manager. Now Goldman Sachs has to pay because of involvement in the scandal.

The US Bank Goldman Sachs, accepted a billion penalty because of their role in the corruption and money-laundering affair at the Malaysian state Fund 1MDB.

The financial group will pay in the context of a comparison with authorities in the United States, the United Kingdom, Singapore, and other countries, a total of 2.9 billion dollars (currently around € 2.5 bn), according to the U.S. Department of justice in Washington.

Goldman Sachs is accused in connection with the 1MDB scandal, among other things, to government representatives in Malaysia and Abu Dhabi, with kickbacks of more than one billion Dollar bribe. Lawyers for the Bank had previously submitted to the court in New York an admission of guilt on behalf of Goldman Malaysia for violations of the Anti-corruption law “the Foreign Corrupt Practices Act”.

The 1MDB Fund was established in 2009 for the promotion of the economy of Malaysia, Ex-members of the government, and the dubious consultants should, however, have allegedly misappropriated with the help of former Goldman employees – the majority of the funds. The Bank was involved in the issuance of bonds of the Fund in the amount of $ 6.5 billion and is expected to have excessive fees greased.

At the end of July had agreed that Goldman Sachs is already with the government of Malaysia on a multi-billion payment. The agreement includes a direct payment of $ 2.5 billion (currently 2,11 billion euros) to the Malaysian state. A further 1.4 billion dollars from seized assets of 1MDB should be conducted with the help of Goldman Sachs and the U.S. Department of justice back.

The “Wall Street Journal” that wants to bring the Bank millions of dollars in current and former Top managers back in their area of responsibility was the involvement in the 1MDB affair. Also, the current chief Executive, David Solomon, and his predecessor, Lloyd had Blankfein affected, reported the financial sheet, relying on Insider. In the stock market billion penalty was taken, however, that shares of Goldman Sachs had barely reacted at all.

dpa

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