1MDB scam: Goldman Sachs reaches deal with US Dept of Justice
NEW YORK (US) – Bloomberg News reported late on Monday that Goldman Sachs Group Inc has struck a deal with the US Department of Justice and has agreed to shell out more than $2 billion (1.6 billion pounds) for the financial institution’s role in Malaysia’s 1MDB scandal.
The pact will be announced in the coming days and it will allow Goldman Sachs to avoid conviction in the US over the scam.
After the bank agreed to pay $3.9 billion to settle the probe, Malaysian authorities dropped criminal charges against three Goldman Sachs units in September.
The bank has generated $600 million in fees for its work with the Malaysian Sovereign wealth fund, which included three bond offerings in 2012 and 2013 that raised $6.5 billion.