Goldman Sachs CEO David Solomon has been hit with a $10 million (£7.3 million) wage cut after the bank was involved in the Malaysian 1MDB scandal.
Solomon’s annual salary fell from $27.5 million in 2019 to £17.5 million. This is a 36% reduction.
After the investigation, it was found that Goldman Sachs Bankers paid more than $1.6 billion in bribes to foreign officials in Malaysia and Abu Dhabi to acquire a 1MDB fund business. The bank says engagement in the scandal is a “institutional failure.”
“The board views the 1MDB issue as an institutional failure and contradicts the high expectations for the company,” the bank said in a statement.
Over $6.5 billion has been raised for 1MDB by Goldman Sachs. Most of them were stolen.
While Solomon’s wages were being cut, bank executives stressed that he was not aware of the fraud that was happening. The bank said Solomon “said it was not aware that he was involved in the company’s participation in the illegal activities of the time. The board viewed the 1MDB issue as an institutional failure that contradicts the high expectations of the company. “It’s.”
1MDB has been investigated for many years by regulatory authorities in the US, UK, Singapore, Malaysia and Hong Kong. But despite the costs that banks still enjoyed a strong year, Goldman Sachs cost over $5 billion. The bank’s annual revenues were $44.6 billion in 2020, the highest level since 2009.
Goldman Sachs Chief Operating Officer John Waldron is also cutting his salary. His salary in 2020 will be down from $6 million to $18.5 million.
Brian Rabbit, deputy assistant assistant to the Department of Justice’s criminal division, commented at the time. For corrupt civil servants and their companions. ”
