7 ms·

I take it GS will just walk away. It might not be worth to pay that much to operate in Malaysia. Not to mention, people could just start a separate company if

I take it GS will just walk away. It might not be worth to pay that much to operate in Malaysia. Not to mention, people could just start a separate company if they absolutely need to do business in Malaysia.

mpweiher 8y ago
I don't think it's quite as simple as that: https://en.wikipedia.org/wiki/Enforcement_of_foreign_judgments https://en.wikipedia.org/wiki/Enforcement_of_foreign_judgmen...
pjc50 8y ago
They don't get to walk away from criminal prosecution.
- blackstrips 8y ago
  They are prosecuting the company though, not the staff. If GS refuses to pay, the best they can do is ban them from the country. What else can they do, seriously?
  - onetimemanytime 8y ago
    They can seize their CEO's jet while fueling in, say, France, or a GS building in China or whatever. Their life will be miserable, they'd have to navigate hundreds of jurisdictions and they are "bounty hunter" types that take these cases after judgments. But fraud is fraud, Malaysia can sue them in good, old, USA. Who thinks that GS, the paragon of integrity, behaved correctly, raise their hands. Right, zero hands.
    - drawkbox 8y ago
      When "too big to fail" goes to the head and gets too boisterous and risky. Goldman Sachs did have to pay 5.1B for the Great Recession scams [1]. As long as GS can keep the "financial innovation" in Malaysia they will probably pay it after trying to reduce it, if they can't gain from it further in the future they won't. [1] http://fortune.com/2016/04/11/goldman-sachs-doj-settlement/ http://fortune.com/2016/04/11/goldman-sachs-doj-settlement/
  - twelvechairs 8y ago
    Take it up at a political level I expect
    - curiousgal 8y ago
      Hoping the current administration would side with foreigners against one of its own banks is rather optimistic.
  - ReptileMan 8y ago
    Putin and China has shown that they don't mind getting their hands dirty in foreign countries. Not see why any government could not hire some private operators if they are pissed enough to deliver the to Kuala Lumpur
denzil_correa 8y ago
Singapore and US are also investigating GS. There will most likely not be a "walk away". > Singapore’s widened probe opens a potential new battle front for Goldman less than a week after Malaysia filed the first criminal charges against the firm over a relationship that spawned one of the biggest scandals in its history. Singapore is coordinating closely with the U.S. Justice Department, which is also investigating Goldman and has filed criminal charges against two former senior bankers at the firm, the people said. https://www.bloomberg.com/news/articles/2018-12-21/singapore-said-to-expand-1mdb-criminal-probe-to-include-goldman https://www.bloomberg.com/news/articles/2018-12-21/singapore...
- blackstrips 8y ago
  They might get nailed in the US but I don’t think Malaysia is going to see any of that 7.5B they are asking for.
  - wbl 8y ago
    They very well may. SDNY isn't going to let customers get screwed when settling with a bank.

mpweiher 8y ago

I don't think it's quite as simple as that: https://en.wikipedia.org/wiki/Enforcement_of_foreign_judgments https://en.wikipedia.org/wiki/Enforcement_of_foreign_judgmen...

pjc50 8y ago

They don't get to walk away from criminal prosecution.

blackstrips 8y ago
They are prosecuting the company though, not the staff. If GS refuses to pay, the best they can do is ban them from the country. What else can they do, seriously?
- onetimemanytime 8y ago
  They can seize their CEO's jet while fueling in, say, France, or a GS building in China or whatever. Their life will be miserable, they'd have to navigate hundreds of jurisdictions and they are "bounty hunter" types that take these cases after judgments. But fraud is fraud, Malaysia can sue them in good, old, USA. Who thinks that GS, the paragon of integrity, behaved correctly, raise their hands. Right, zero hands.
  - drawkbox 8y ago
    When "too big to fail" goes to the head and gets too boisterous and risky. Goldman Sachs did have to pay 5.1B for the Great Recession scams [1]. As long as GS can keep the "financial innovation" in Malaysia they will probably pay it after trying to reduce it, if they can't gain from it further in the future they won't. [1] http://fortune.com/2016/04/11/goldman-sachs-doj-settlement/ http://fortune.com/2016/04/11/goldman-sachs-doj-settlement/
- twelvechairs 8y ago
  Take it up at a political level I expect
  - curiousgal 8y ago
    Hoping the current administration would side with foreigners against one of its own banks is rather optimistic.
- ReptileMan 8y ago
  Putin and China has shown that they don't mind getting their hands dirty in foreign countries. Not see why any government could not hire some private operators if they are pissed enough to deliver the to Kuala Lumpur

denzil_correa 8y ago

Singapore and US are also investigating GS. There will most likely not be a "walk away". > Singapore’s widened probe opens a potential new battle front for Goldman less than a week after Malaysia filed the first criminal charges against the firm over a relationship that spawned one of the biggest scandals in its history. Singapore is coordinating closely with the U.S. Justice Department, which is also investigating Goldman and has filed criminal charges against two former senior bankers at the firm, the people said. https://www.bloomberg.com/news/articles/2018-12-21/singapore-said-to-expand-1mdb-criminal-probe-to-include-goldman https://www.bloomberg.com/news/articles/2018-12-21/singapore...

blackstrips 8y ago
They might get nailed in the US but I don’t think Malaysia is going to see any of that 7.5B they are asking for.
- wbl 8y ago
  They very well may. SDNY isn't going to let customers get screwed when settling with a bank.