Fed sanctions former Goldman Sachs bankers over 1MDB money-laundering scandal

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Fed sanctions former Goldman Sachs bankers over 1MDB money-laundering scandal
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The U.S. Federal Reserve said on Tuesday it had sanctioned two former Goldman Sa...

WASHINGTON - The U.S. Federal Reserve said on Tuesday it had sanctioned two former Goldman Sachs Group Inc bankers for their roles in a money-laundering scandal involving 1Malaysia Development Berhad , Malaysia’s state-owned investment fund.

Tim Leissner and Roger Ng have been barred from the banking industry for their involvement in “a scheme that illegally diverts billions of dollars from a Malaysian sovereign wealth fund,” the Fed said. U.S prosecutors last year charged the two former Goldman bankers over the theft of billions of dollars from 1MDB. Leissner pleaded guilty to conspiracy to launder money and violate the Foreign Corrupt Practices Act.

Goldman Sachs has consistently denied wrongdoing and said certain members of the former Malaysian government and 1MDB had lied to it about bond sale proceeds.

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