Goldman’s Tactic in Huge Malaysian Fraud Case: Smear an Ex-Partner

In recent presentations to American regulators and law enforcement authorities, according to people familiar with their contents, Goldman executives and their lawyers have depicted Tim Leissner, a former top investment banker, as a master con man, someone so sneaky that even the retired military intelligence officers who work for the bank couldn’t sniff him out.

The scorched-earth tactics, especially against someone who had been a star banker, reflect just how worried Goldman is about the criminal investigations into its role in the theft of at least $2.7 billion from the 1Malaysia Development Berhad, or 1MDB, sovereign wealth fund.

One big reason for concern is that senior Goldman officials, including the bank’s chief executive at the time, helped win Malaysian business. And the relationship became a crucial engine of profits for the bank, generating about $600 million in fees.

https://www.nytimes.com/2019/01/16/business/goldman-malaysia-1mdb-leissner.html