Malaysian '1MDB' Scandal And Goldman Sachs
On the other side of the globe, a corruption scandal has been rocking Malaysia for years involving a multi-billion government fund from which billions of dollars have gone missing. The fund, known as 1Malaysia Development Berhad, or 1MDB, was supposed to fund government-backed infrastructure projects, but investigators say it was instead used for the personal benefits of individuals, including the country's previous prime minister, Najib Razak.
The money was allegedly used to buy a number of lavish and unique items, including a $250 million yacht, backing for the film The Wolf of Wall Street, diamond studded tiaras and a see-through piano for the model Miranda Kerr.
This week, authorities in Malaysia filed criminal charges against Goldman Sachs, alleging the bank made false and misleading statements connected to work it did for the fund. The bank has denied wrongdoing and says it is cooperating.
To explain the complex story, Money Talking's Charlie Herman spoke with Ben Walsh, reporter for Barron's, and Peter Eavis of The New York Times about 1MBD and Goldman Sachs involvement.
To hear the complete interview, click "Listen."
