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I read the Billion Dollar Whale book about the scandal and there are a lot of references to western/global financial companies sending up red flags about 1MDB f
by sct202 8y ago
I read the Billion Dollar Whale book about the scandal and there are a lot of references to western/global financial companies sending up red flags about 1MDB for years and years, but then some companies (or parts) would turn their head for a contract. Goldman Sachs private banking wouldn't give Jho Low (the apparent mastermind behind it all) a private banking account b/c they thought he was going to launder money through it. 1MDB fired one of the Big 4 auditors every year, because their books were shady.
Giant investment firms like Goldman Sachs do their own due diligence before entering in any deals. They did several deals with 1MDB over the years, and the corruption should have been obvious earlier if they actually cared to check for it.
- adrr 8y agoGoldman knew 1MDB was doing something corrupt. Other parts of Goldman didn't want to do business with 1MDB. Goldman looked away because 1MDB paid $700MM for some bonds that should have cost $3MM to issue. No government entity would pay 10% to create some bonds.