Get 40% Off
🤯 This Tech Portfolio is up 29% YTD! Join Now to Get April’s Top PicksGet The Picks – Just 99 USD

Exclusive: Malaysia - Even $3 billion not enough to settle 1MDB case with Goldman

Published 06/06/2020, 12:39
Updated 06/06/2020, 12:40
© Reuters. The Goldman Sachs Headquarters building is pictured in the Manhattan borough of New York City

© Reuters. The Goldman Sachs Headquarters building is pictured in the Manhattan borough of New York City

By Krishna N. Das and Liz Lee

KUALA LUMPUR (Reuters) - Malaysia's new government would not be willing to accept even compensation of $3 billion (2.4 billion pounds) from Goldman Sachs in a settlement over the 1MDB scandal, the finance minister told Reuters, ruling out a figure that is far higher than the bank offered last year.

The Southeast Asian nation has charged Goldman Sachs and 17 current and former directors of its units for allegedly misleading investors over bond sales totaling $6.5 billion that the U.S. bank helped raise for sovereign wealth fund 1MDB (1Malaysia Development Bhd).

Finance Minister Tengku Zafrul Aziz, who joined the three-month-old government from the corporate world, said he had held a conversation with Goldman Sachs representatives last month.

"We are continuing our pursuit to get some money from GS. And the legal case is still ongoing, so we will have to wait for the outcome of that," the minister said in an interview in his office in Kuala Lumpur on Saturday.

"If it's $2 billion, I can say, no. $3 billion, no," he added. "As long the amount is not something we think we can accept, then we continue with the legal case."

He declined to say what an acceptable sum would be.

A Goldman Sachs spokesman did not immediately respond to an email seeking comment.

Former Prime Minister Mahathir Mohamad said in December that Goldman Sachs (N:GS) had offered "one point something billion" dollars for an out-of-court settlement over it role in the scandal at 1MDB.

© Reuters. The Goldman Sachs Headquarters building is pictured in the Manhattan borough of New York City

According to the U.S. Justice Department, Goldman Sachs earned $600 million in fees for its work with 1MDB.

Latest comments

Najib, said he was a victim. GS, should come clean with Najib's banking details in the bargain.
why would one trust the yanks is beyond me.
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.