US Authorities Shine Light On Goldman Sachs' Former 1MDB Man, Seek Corruption Ties

Josh O'Neill

1 May 2017

US prosecutors are examining accounts linked to a former Goldman Sachs banker over flows of money related to 1Malaysia Development Berhad, Malaysia's scandal-warped investment fund, Bloomberg reports.

Last month, Singapore's central bank and regulator banned Leissner from carrying out regulated activities for 10 years because of misconduct related to 1MDB. The state-owned fund is currently the subject of probes into alleged money laundering in at least six countries including the US, Singapore, Switzerland and Australia.

Officials from the Federal Bureau of Investigation and Department of Justice have been interviewing bankers familiar with 1MDB about Leissner's relationships with politically-connected Malaysians, according to Bloomberg, citing anonymous sources.

The US officials reportedly asked about the connection between Leissner and Low Taek Jho, a Malysian financier with Hollywood ties who is at the epicenter of investigations into potential money laundering related to 1MDB. Authorities worldwide have alleged that Low siphoned billions of dollars from the fund, and used the money to buy a plethora of flashy assets that include a Bombardier jet, a stake in Manhattan's Park Lane Hotel and a $30 million penthouse in New York. To read our most recent coverage on Low's affairs, click here.

US investigators are reportedly seeking to determine whether money was sent from a Leissner-linked account to an entity controlled by someone tied to Malaysia's government.

Family Wealth Report has contacted Goldman Sachs for comment on the matter and will update coverage in due course.