Goldman Sachs CEO Solomon gets US$10m pay cut over 1MDB scandal

Goldman Sachs pleaded guilty in October over its role in the scandal, and agreed to pay nearly US$3 billion to close US investigations. ― Reuters pic
Goldman Sachs pleaded guilty in October over its role in the scandal, and agreed to pay nearly US$3 billion to close US investigations. ― Reuters pic

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NEW YORK, Jan 27 ― Goldman Sachs cut its CEO David Solomon's 2020 salary by US$10 million (RM40.4 million) to US$17.5 million because of the bank's role in the 1MDB Malaysian bribery scandal, according to documents filed yesterday.

“The amounts of remuneration reflect the decision announced by the board of directors,” said a securities filing that also detailed pay-cuts for COO John Waldron and CFO Stephen Scherr.

Although the three were not “aware of the firm's participation in any illicit activity at the time the firm arranged the 1MDB bond transactions, the Board views the 1MDB matter as an institutional failure,” it said.

Goldman Sachs pleaded guilty in October over its role in the scandal, and agreed to pay nearly US$3 billion to close US investigations.

Former Malaysian leader Datuk Seri Najib Razak was sentenced last year to 12 years in jail on corruption charges linked to the scandal that led to the downfall of his government.

Riza allegedly received huge sums from 1MDB, including to bankroll his Hollywood production company, which made The Wolf of Wall Street, starring Leonardo DiCaprio. ― AFP

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