NEW YORK—Goldman Sachs has reached an agreement with the U.S. Department of Justice to pay over $2 billion for the bank’s role in Malaysia's multi-billion-dollar scandal at state fund 1MDB, The Paypers reported.
The 1Malaysia Development Berhad scandal (1MDB) is an ongoing political scandal occurring in Malaysia. The settlement would allow Goldman Sachs to avoid a criminal conviction in the U.S. over the bribery and money laundering scandal that saw three of its former bankers banned for life from the banking industry by the Federal Reserve Board.
An Asian subsidiary of Goldman Sachs agreed to plead guilty to U.S. charges, as part of a global regulatory settlement that includes more than $2 billion in new penalties, The Paypers said.