Aletho News


Malaysia charges 17 current & ex-Goldman Sachs bosses with looting of country’s wealth fund

Superyacht linked to Malaysia’s state fund looting scandal © AFP / Sonny Tumbelaka
RT | August 9, 2019

Malaysia has extended pressure on Wall Street titan Goldman Sachs, filing criminal charges against 17 current and former directors of the bank’s subsidiaries over alleged involvement in the multi-billion-dollar 1MDB scandal.

Goldman Sachs has been under scrutiny for its role in helping to arrange $6.5 billion through bond offerings for Malaysian state fund, the 1Malaysia Development Berhad (1MDB). The fund is at the center of one of the biggest financial scandals of all time, and is now being investigated for money laundering.

In the filings issued on Friday, Malaysian Attorney General Tommy Thomas said the executives mentioned in the document should be held responsible for the US bank’s role in the scheme. The prosecution wants to seek custodial sentences and criminal fines for the accused, “given the severity of the scheme to defraud and fraudulent misappropriation of billions in bond proceeds, the lengthy period over which the offenses were planned and executed.”

Each charge carries a maximum jail term of 10 years and a penalty of at least 1 million ringgit ($239,000), according to Reuters.

The list includes 17 people who were in charge of three Goldman Sachs subsidiaries between May 2012 and March 2013, during which the alleged fraud took place, according to the attorney general. Richard Gnodde, who leads the bank’s international business in London, as well as Canadian business executive Michael Evans, a former Goldman Sachs Asia chief who is currently the president of Chinese e-commerce giant Alibaba, were among those charged on Friday. British banker Michael Sherwood, former vice chairman of the Wall Street firm, is also on the list.

The latest case adds to last year’s accusations, when Malaysian authorities filed charges against three Goldman Sachs units and two ex-employees. Kuala Lumpur is seeking $7.5 billion in compensation from the bank.

The US investment bank has repeatedly denied any wrongdoing, claiming it fell victim to the previous corrupt Malaysian government. Commenting on the latest accusations, Goldman Sachs said the charges were misdirected and promised to “vigorously” contest them.

August 9, 2019 - Posted by | Corruption, Deception | , ,


  1. Welcome (prior not on my radar screen) reporting. I wish the AG, and the Malaysian people, well in their quest to root out and end this corruption and thievery. The US, were it not so fundamentally corrupt and wholly owned by criminals (the pedoEpstein house-of-child-sex-trafficking-rape-of-minors-financial-smoke-and-mirrors-Zioespionage-cards debauchery case the tip of glaring-but-sure-to-be-suppressed-killed-and-buried examples of the games these as*holes engage in), could well follow Malaysia’s welcome lead, but of course it won’t. Also UK, Canada, France, Germany, Australia et al?–surely among those attacked by a global cabal caring not a whit about morality, decent business practices, vast world poverty and misery, etc.


    Comment by roberthstiver | August 9, 2019 | Reply

  2. Goldman Sachs has been getting away with its “Great American Bubble Machine” antics for many years in the USA. There’s a saying on Wall St, “You’re either on the Inside, or you’re on the Outside”, clearly that ‘Insider Information’ is available only to a ‘very powerful elite’, but there’s no sign whatsoever that America’s “Dept of (In)Justice is closely monitoring the situation, is there?
    When is the next “Pump and Dump” watermelon going to hit the side walk?
    And, while we’re on the subject…..When is Harvey Weinstein’s(and Jeffery Epstein’s court cases, for multiple Sexual crimes going to commence?? Or Roman Polanski going to be extradited to the USA?


    Comment by Brian Harry, Australia | August 9, 2019 | Reply

  3. A couple of photos from Epstein and this problem will all go away or get worse. There must be alot of nervous folks out there ready to puke.


    Comment by GGH | August 10, 2019 | Reply

  4. One idea to get even, check out Lloyds register of shipping to find out who owns these luxury yachts bought with our pension funds, then arrest the vessels, sail away and sell at auction.


    Comment by rml2740 | August 10, 2019 | Reply

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