Goldman Sachs Group Inc., pilloried after the 2008 financial crisis, just saw a decade of image repair tarnished as prosecutors and regulators around the world unleashed accusations and punishments against the bank after a yearslong probe into the plundering of Malaysia¡¯s 1MDB investment fund.
Goldman¡¯s costs from the scandal hurtled beyond $5 billion (?523.6 billion) Thursday, while a subsidiary pleaded guilty to a U.S. criminal charge for the first time in the firm¡¯s history. The parent company entered a deal to spare itself a conviction that could cripple business, by promising to behave.
In a rare rebuke, Goldman will also force Chief Executive Officer David Solomon and predecessor Lloyd Blankfein to give up pay, attaching personal accountability to two of the industry¡¯s most visible leaders for a scandal spanning the globe.
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