The Malaysian government agreed to suspend all criminal and regulatory proceedings in Malaysia involving the company, including pending proceedings against subsidiaries of Goldman Sachs (GS) and certain current and former directors, Goldman Sachs said in a statement.
The Wall Street bank will pay the Malaysian government $ 2.5 billion and provide a guarantee that it also receives “at least $ 1.4 billion in revenue from 1MDB-related assets seized by government authorities around the world,” it added.
Goldman Sachs is a major player in the scandal involving billions of dollars in lost money, the country’s former prime minister and a financier with ties to the movie “The Wolf of Wall Street.” The case relates to the bond sales Goldman Sachs arranged and underwrote for 1MDB, of which the United States Department of Justice alleges that $ 4.5 billion was stolen.
Last year, Malaysia charged 17 current and former Goldman Sachs employees, and at the time, the bank said the charges were “misdirected” and would be “strongly defended.” Friday’s deal does not cover two former Goldman Sachs bankers, Tim Leissner and Roger Ng.
– This is a developing story and will be updated.
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