- Two former Goldman Sachs bankers and Malaysian financier Jho Low have been charged today with conspiring to launder billions of dollars in from the Malaysian sovereign-wealth fund, also known as the 1MBD scandal.
- According to the Department of Justice, Tim Leissner, a former partner for Goldman Sachs in Asia, had pleaded guilty to conspiracy and agreed to forfeit $43.7m.
- Roger Ng, the other charged former Goldman banker, was arrested in Malaysia, prosecutors said.
- Jho remains at large, the Department of Justice added.
- Goldman Sachs, which generated about US$600m in fees for its work with 1MDB, has in the past repeatedly denied any wrongdoing and said it is fully cooperating with authorities.
- It has also been reported that a private jet, Bombardier Global 5000 jet, allegedly bought by fugitive financier Jho from the stolen fund will now be sold.
- The jet is the second asset linked to 1MDB to go on sale. Earlier this week, Malaysia put up for auction the Equanimity, a $250m luxury yacht, also allegedly bought by Low.
- The proceeds from the sale will be held in an account maintained by the US pending the conclusion of the asset forfeiture case.
- Around $4.5bn was siphoned from 1MDB, and used by Low and his associates to buy the jet, the yacht, as well as Picasso paintings, jewelry, and real estate, the DOJ added.
- US Attorney General Jeff Sessions called the scandal “kleptocracy at its worst” in a speech last year.
@Photoshot
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