Fraud scandal: Ex-Goldman banker goes to jail | Company | 04/11/2022

A former employee of the US investment bank Goldman Sachs faces a long prison sentence. The banker was found guilty on Friday (April 8) by a New York court on all counts of his involvement in the corruption scandal surrounding the Malaysian state fund 1MDB, in which he is said to have stolen more than 35 million dollars (32 million euros). . This is reported by various media, including “Manager Magazin”. Violations of US anti-bribery and anti-money laundering laws are punishable by up to 30 years in prison.

The multi-billion dollar 1MDB fund was set up in 2009 to boost Malaysia’s economy. However, ex-government officials and shady advisers, with the help of former Goldman employees, are said to have embezzled most of the $3 billion in funds. In 2020, the bank, which had admitted its complicity in the scandal, closed settlements with US and Malaysian authorities, agreeing to pay more than $5 billion.

“Hero at Goldman Sachs”
Tim Leissner, the former boss of the now-convicted banker who is believed to be primarily responsible at Goldman, had previously pleaded guilty and made a deal with prosecutors. At the trial against his colleague, he unpacked his motives. The prospect of being the architect of big deals for his employer was apparently too tempting. “I wanted to be a hero at Goldman Sachs,” the Frankfurter Allgemeine Zeitung quoted him as saying. (jb)

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