U.S. authorities are looking at Goldman Sachs Group Inc’s role as an advisor to Malaysian state development fund 1MDB as part of a broad probe into allegations of corruption and money laundering, the Wall Street Journal reported on Wednesday.
Inquiries by the Federal Bureau of Investigation and the U.S. Department of Justice are at the information-gathering stage and there is no suggestion of wrongdoing by Goldman Sachs, the paper reported, citing people familiar with the matter.
Investigators “have yet to determine if the matter will become a focus of any investigations into the 1MDB scandal,” the newspaper quoted a spokeswoman for the FBI as saying.
A Goldman Sachs spokesman in Hong Kong declined to comment. The FBI and the Justice Department were not available for comment outside U.S. business hours.
In July, Malaysian anti-corruption officials investigating the allegations visited the local office of Goldman Sachs seeking documents relating to 1MDB, sources have told Reuters.
1MDB, whose advisory board is chaired by Prime Minister Najib Razak, has been dogged by controversy over its $11 billion in debt and is the subject of multiple investigations.
The Wall Street Journal reported in July that investigators looking into 1MDB had found that nearly $700 million was deposited into a bank account under Najib’s name.
Reuters has not independently verified the report. Najib has denied taking money for personal gain.
Malaysia’s attorney general said on Tuesday he was right to close an investigation by the country’s central bank as there was no evidence the fund’s officials had knowingly flouted the law.
Source – http://www.reuters.com/article/2015/10/14/malaysia-1mdb-goldman-sachs-idUSL3N12E2GV20151014