Goldman Sachs Bankers Charged In Malaysian Financial Scandal

02 November, 2018, 14:58 | Author: Mable Gonzales
  • AFP pic

Malaysian financier Low Taek Jho and former Goldman Sachs bankers Tim Leissner and Roger Ng Chong Hwa were indicted on charges of conspiracy to launder billions of dollars in illegal proceeds from Malaysia's 1MDB wealth fund, U.S. federal prosecutors in Brooklyn said yesterday.

Jho Low: Malaysian financier arrested in the US faces charges of laundering billions of dollars embezzled from 1MDB and conspiring to violate the US Foreign Corrupt Practices Act by paying bribes to various Malaysian and Abu Dhabi officials.

Low, Ng and Leissner are the first individuals to be charged in the USA in relation to the scandal at the state investment arm.

Goldman Sachs, which garnered US$600 million in fees and revenues from three 1MDB bond transactions detailed in the indictments, has said previously it has received subpoenas and requests for information on the case from various governments and regulatory bodies. The banker, Andrea Vella, was put on leave in October, according to a person familiar with the matter.

The 1MDB scandal refers to a money laundering and bribery scheme that pilfered billions of dollars from a Malaysian investment fund set up in 2009 by Najib to promote economic development in the country.

An estimated US$4.5 billion was misappropriated from 1MDB by high-level officials of the fund and their associates, the US Justice Department has alleged.

The money was supposed to support development projects, but prosecutors say the three men "conspired to launder" more than $2.7bn through the U.S. financial system, and used this money to pay bribes and "for the personal benefit of themselves and their relatives".

India vs West Indies - Highlights & Stats
The wickets of Keemo Paul (5), Kemar Roach (5) and Oshane Thomas for a duck followed soon after, as the Windies folded meekly. The top spot belongs to Indian cricket team skipper Virat Kohli who has scores 1202 runs with an average of 133.55.

News reports say Ng has been arrested in Malaysia. Low misappropriated billions of dollars from the 1MDB fund.

Prosecutors have previously gone after assets they claim were tainted by monies stolen from hedge fund 1Malaysia Development Bhd - including targeting profits from the film The Wolf of Wall Street, a Bombardier jet, New York City and Los Angeles real estate, and works by Van Gogh and Claude Monet.

Some of those allegations were described in civil forfeiture complaints filed by federal prosecutors in Los Angeles previous year.

As part of the three-count indictment, Ng is also charged with conspiring to violate the FCPA by circumventing the internal accounting controls of a major New York-headquartered financial institution (Financial Institution), which underwrote more than US$6 billion (RM25 billion) in bonds issued by 1MDB in three separate bond offerings in 2012 and 2013, while Ng was employed at the Financial Institution as a managing director. He has called the Malaysian charges political. When the banks questioned large money transfers, the conspirators used fake business documents to address their concerns, the department says. A lawyer for Mr. Leissner could not be reached for comment.

Goldman did not immediately have a comment Thursday.

Mr Ng was a managing director at Goldman until his departure in May 2014. It was not immediately clear who is representing Ng. Both Leissner and Ng departed the bank over 12 months ago.

Recommended:



Popular

Vice President Pence campaigns for Brian Kemp in Georgia
He did not have a negative comment for Winfrey. "So I'm canvassing for Stacey Abrams ", Winfrey said. Mr Pence has criticised Ms Abrams for using Ms Winfrey during her campaign.

Lions wise to deal Golden Tate before deadline
Patricia was asked a question by ESPN's Michael Rothstein about how the Golden Tate trade makes the Lions any better. Sigh, too bad the trade deadline has already passed, as Blount would have been a ideal fit on this roster.

Marshall: Breast Cancer Awareness Month facts, advice
Majority of women were diagnosed with cancer only when they had Stage 2 or Stage 3 breast cancer (88% diagnosed at Stage 3). With 70,000 deaths getting reported every year, a woman succumbs to breast cancer every ten minutes in the country.

Cricket Australia releases findings after 'extremely regrettable' ball-tampering scandal
CA chairman David Peever insists there is nothing that will alter his board's hardline stance on Smith, Warner and Bancroft. However, he denied one of the Longstaff review's findings that players had abused their own staff on match days.

Arsene Wenger: Former Arsenal boss will not manage in England again
The Gunners have not tasted defeat for twelve matches , after losing their first two competitive games under new boss Unai Emery . The Frenchman said: "I have dedicated my whole life to one club - it would be hard and not well accepted".

Why Trump wants to take birthright citizenship out of the Constitution
In a series of tweets , Mr Graham called birthright citizenship an "absurd policy", saying he has always supported eliminating it. Napolitano said that the debate over birthright citizenship isn't serious, disagreeing with Jonathan Turley's argument .

Urjit Patel may resign as Jaitley’s remarks widen RBI-govt rift
Under this, the Centre can hold a consultation with the RBI Governor and issue directions in matters of public interest. It quoted another source as saying that there is "irreversible breakdown between RBI governor and the government ".

Calls made to Saudi prince's office day writer slain
Amid pressure, Saudi Arabia acknowledged last week that the 59-year-old writer had died in what it said was a "fistfight". Mr Trump also said he had spoken to Prince Mohammed, who "strongly said that he had nothing to do with this".

New Delhi, Tokyo sign $75 bn currency swap agreement
The leaders of Japan and India are reaffirming their ties amid growing worries about trade and regional stability. Yet as cooperation between Japan and India grows, Abe is also seeking to improve ties with China.

Suspicious Package Bound For CNN Intercepted In Atlanta, CNN Reports
The CNN mail bomb was part of a spree of explosive devices sent to prominent Democrats and critics of President Donald Trump . It's unclear whether Sayoc is suspected to be responsible for the most recent suspicious package sent to CNN.