A mass rally was held in Kuala Lumpur in 2016 after the 1MDB scandal came to light. Photo: AFP
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https://scmp.com/news/asia/southeast-asia/article/3009058/1mdb-scandal-malaysia-sends-ex-goldman-banker-roger-ng-us Southeast Asia
1MDB scandal: Malaysia sends ex-Goldman banker Roger Ng to US to face charges
- Huge sums of public money were stolen from Malaysian state fund 1MDB and used to buy everything from yachts to artwork
- Goldman’s role is under scrutiny as it helped arrange US$6.5 billion in bonds for the fund
A view of the Goldman Sachs stall on the floor of the New York Stock Exchange. Photo: Reuters
A former Goldman Sachs banker has been extradited to the United States to face charges linked to the multibillion-dollar 1MDB scandal, Malaysia said on Monday.
Huge sums of public money were stolen from Malaysian state fund 1MDB and used to buy everything from yachts to artwork, in a scheme allegedly overseen by former prime minister Najib Razak and his cronies, and which contributed to his government’s election defeat.
Goldman’s role is under scrutiny as the Wall Street bank helped arrange US$6.5 billion in bonds for 1MDB.
Authorities in Malaysia accuse former employees and some of the bank’s subsidiaries of stealing US$2.7 billion during the process, and investigators believe cash was laundered through the US financial system.
Malaysian Ng Chong Hwa – a former managing director at the bank more commonly known as Roger Ng who has been charged in both Malaysia and America over 1MDB – was extradited to the US on Friday, Malaysian attorney general Tommy Thomas said.
Thomas said in a statement that an agreement had been reached for “a temporary surrender by Malaysia of Roger Ng for a period of 10 months to enable him to be extradited to the US, and for the US prosecution to proceed first”.
“Roger Ng was temporarily surrendered to the US on May 3, 2019, and shall be returned to Malaysia to face our charges as soon as the proceedings in the US are concluded,” he added.
Ng has been in custody in Malaysia since November when the US lodged an extradition request. Malaysia later filed its own charges against Ng over the scandal.
Ng asked to be sent to the US but Malaysia initially insisted he remain in the country until legal proceedings there had been completed.
Malaysia and the US have also charged former Goldman partner Tim Leissner for his part in the controversy.
Leissner has already pleaded guilty in the US to 1MDB-linked charges.
The Department of Justice estimates that US$4.5 billion was looted from the fund by Najib and his associates. Since losing power, Najib has been hit with dozens of charges linked to the scandal and last month went on trial.