1MDB Scandal - Goldman Sachs Fines $ 3 Billion

 Goldman Sachs has agreed to pay a fine of US $ 3 billion to complete the criminal investigation into its role in the 1Malaysia Development Berhad (1MDB) corruption fund scandal.

Yesterday, the firm was fined US $ 2.9 billion for violating US law but pleaded not guilty and agreed to pay the fine.

The U.S. Department of Justice (DoJ) claims Goldman Sachs owes US $ 2.3 billion in fines and an additional $ 600 million for the loss of its rights.

According to the Assistant Attorney General in the DoJ criminal division, Brian Rabbit, the scandal has affected the hopes of Malaysians who see the funds should be used to help them but misused for the benefit of certain individuals and their cronies.

Last July, former Prime Minister Datuk Seri Najib Tun Razak was convicted of seven charges involving the 1MDB scandal and sentenced to 12 years in prison. However, his case is still in appeal.

In a similar development, Goldman Sachs Group Inc Asia Unit was fined US $ 350 million by Hong Kong authorities for the same offense yesterday.

Apart from Hong Kong, the firm was also ordered to pay a fine of US $ 126 million to the United Kingdom (UK) and US $ 122 million to Singapore.

Three months ago, Goldman Sachs also reached a decision to return US $ 3.9 billion to the Malaysian government.