Bank's US$3.9bil reparations for 1MDB made possible after BN's fall - Harapan
Goldman Sachs' agreement to pay US$3.9 billion (RM16.63 billion) over its role in the alleged theft in 1MDB proves there were wrongdoings and the reparations would not have been possible if BN was still in power, said the Pakatan Harapan presidential council.
"The process of recovering the funds from Goldman Sachs only started after Pakatan Harapan's victory and BN's defeat in the 14th general election.
"The presidential council thanks...
Goldman Sachs' agreement to pay US$3.9 billion (RM16.63 billion) over its role in the alleged theft in 1MDB proves there were wrongdoings and the reparations would not have been possible if BN was still in power, said the Pakatan Harapan presidential council.
"The process of recovering the funds from Goldman Sachs only started after Pakatan Harapan's victory and BN's defeat in the 14th general election.
"The presidential council thanks all quarters involved in the efforts, including the then attorney-general who initiated the legal process to seek justice for Malaysians," said the council in a joint statement.
The statement was signed by PKR president Anwar Ibrahim, Amanah president Mohamad Sabu, and DAP secretary-general Lim Guan Eng.
The Harapan presidential council said that when it was in power, it had rejected Goldman Sachs' initial settlement offer of US$1.75 billion (RM7.46 billion) and had instead sought US$7.5 billion (RM39.17 billion).
Goldman Sachs' final settlement represented more than double of its initial offer.
This will involve a US$2.5 billion (RM10.66 billion) cash payment and a guarantee that another US$1.4 billion (RM5.97 billion) in assets acquired using allegedly stolen 1MDB funds will eventually be returned to Malaysia.
The council said the RM16.63 billion reparations by Goldman Sachs, more than seven times the size of the Selangor budget for this year, proves the long-standing allegations of wrongdoings under the previous BN government.
"The return of the money is evidence of wrongdoings and rot during that time.
"Pakatan Harapan stresses that all key personalities in the 1MDB scam must face justice in court, including the individual referred to as "MO1" as well as Low Taek Jho who has yet to be arrested.
"They cannot be allowed to walk free," the Harapan leaders said.
MO1, or Malaysian Official 1, was a term used by the US Department of Justice to refer to then prime minister Najib Abdul Razak.
Amid allegations of grand corruption, Najib led BN to its first defeat since the country's independence in the 2018 general election, ending the ruling coalition's 61 years in power.
It was replaced by the Harapan government which only lasted two years.
The defection of Bersatu and some MPs from PKR led to the collapse of the Harapan government and the formation of a new governing coalition which includes BN.
Prime Minister Muhyiddin Yassin, who leads the new Perikatan Nasional government, had indicated that his government is committed to recovering 1MDB's allegedly stolen funds although those purportedly responsible for the crimes are now part of his ruling coalition.
“The government is committed to continuing efforts to recover other 1MDB-related assets and continue to pursue claims against individuals and other parties linked to the 1MDB scandal,” he said.
Goldman Sachs was responsible for arranging three bonds for 1MDB amounting to US$6.5 billion (RM27.71 billion) between 2012 and 2013, a substantial amount that was allegedly misappropriated.
The bank was accused of being an enabler to the alleged theft.
Goldman Sachs Group Inc chief executive officer David Solomon had last year apologised to Malaysians for the bank's role in the 1MDB scandal.
“It’s very clear that the people of Malaysia were defrauded by many individuals, including the highest members of the prior government," he had said.
Najib, when in and out of office, maintained he had not committed any wrongdoing. He was both the prime minister and finance minister.
