Ex-Goldman banker Tim Leissner sentenced to two years in prison in 1MDB case
Former Goldman Sachs banker Tim Leissner leaving the court hearing in New York on May 29. PHOTO: BLOOMBERG
Ex-Goldman banker Tim Leissner sentenced to two years in prison in 1MDB case
NEW YORK - Former Goldman Sachs banker Tim Leissner was sentenced to two years in prison by a judge in a New York court on May 29, after he pleaded guilty in 2018 to his involvement in a multi-billion dollar scandal involving Malaysia's sovereign fund, 1MDB.
Leissner's conduct was 'brazen and audacious,' judge Margo Brodie said during sentencing.
While his cooperation with the government was taken into account, it did not make up for the harm caused by the corruption at the highest levels in several countries, the judge said.
'First and foremost, I offer my sincere apology to the people of Malaysia,' Leissner, 55, told the hearing, his voice breaking as he read a statement. 'I deeply regret my actions.'
Goldman helped sell US$6.5 billion in bonds for 1MDB, which former Malaysian prime minister Najib Razak set up with the help of Malaysian financier Jho Low to promote economic development.
US and Malaysian authorities have said US$4.5 billion was siphoned away, with some diverted to offshore bank accounts and shell companies linked to Low, who is now a fugitive.
Leissner, former South-east Asia chairman for Goldman, became a US government witness in the case after his arrest in 2018. He pleaded guilty to a conspiracy to violate the Foreign Corrupt Practices Act and participating in a money laundering conspiracy, all tied to his role in the 1MDB scheme.
He was allowed to remain free after he agreed to help the government in the investigation and testified against former banking colleague Roger Ng.
Leissner met with the government on dozens of occasions, reviewing countless documents and communications he received related to the 1MDB scheme and other matters, according to a filing by prosecutors.
Prosecutors requested the court impose a sentence below the applicable guidelines range due to Leissner's cooperation in the probe.
Leissner told the court that he had lost his freedom, family and financial independence in the wake of the scandal. The former executive said his health also suffered, and that he took pills and lost the will to live.
Goldman said in a letter to the court on May 21 that Leissner deceived his colleagues for years, culminating in the only criminal case filed against Goldman in its 156-year history.
Goldman in 2020 paid a nearly US$3 billion fine and arranged for its Malaysian unit to plead guilty in US court. It also clawed back US$174 million in executive compensation.
Malaysia's top court in 2022 upheld a guilty verdict against Najib for corruption and money laundering, sentencing him to 12 years in prison. The sentence was later halved by a pardons board chaired by Malaysia's former king.
Ng has pleaded not guilty to charges of conspiring to launder money and violate an anti-bribery law. The former head of investment banking for Goldman in Malaysia was convicted in Brooklyn and sentenced to 10 years in prison, but transported to Malaysia in 2023 to assist probes there. REUTERS
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According to his ministry, the MyKiosk 1.0 project achieved a 87.74 percent uptake, while MyKiosk 2.0 that was launched in December 2024 has a 65.44 per cent take-up rate. A row of MyKiosks in Petaling Jaya, Selangor, yet to be occupied. ST PHOTO: HAZLIN HASSAN Responding to criticisms that the kiosks were located in poor low-traffic areas in Johor, state housing and local government exco member Mohd Jafni Md Shukor said it would review the MyKiosk locations. 'I have told the 16 local councils statewide to brainstorm and relocate those kiosks to more strategic places. We should help to promote the locations and offer training courses to the traders in need so they can improve their food products,' he was quoted as saying on May 23 by The Star daily. In a separate venture to clean up street hawking, the government has also been boosting the food-truck scene by setting aside car parks and open areas for open-air dining in the evening, all over Malaysia. The Covid-19 pandemic led to a boom in the food truck industry as many jobless Malaysians scrambled to find ways to stay afloat. Hazlin Hassan is Malaysia correspondent at The Straits Times. Join ST's Telegram channel and get the latest breaking news delivered to you.
