Goldman Sachs Tak Bayar Duit. They Have Screwed Up Recovering Money From Goldman.

• Tafsir mentafsir surat perjanjian sudah bermula.
• Sahih tak sahih pentafsiran sudah mula dipertikaikan. 
• Pendek kata : Malaysia belum dibayar duit apa pun.
  

Goldman Sachs, Malaysian government in dispute over 1MDB recoveries
Published 07-Feb-2023 by Nick Kochan
Regulatory Intelligence News 

Goldman Sachs and govt of Malaysia locked in dispute regarding contract to recover assets stolen through 1MDB scandal. The dispute has pushed relations between the bank and Malaysia to an all-time low.

(OSTB : Err..I did not know that Malaysia needs to have any sort of "relations" with what is arguably the most crooked bank in the world. The fines levied upon Goldman and the jailterms meted out to its bankers not just by the US authorities but by Singapore and other countries is quite legendary). 

Two areas are in dispute: the valuation of 1MDB assets and Malaysia's willingness to pursue foreign assets identified by Goldman as related to 1MDB.

Valuation of 1MDB assets

The legal agreement with the bank anticipates Malaysia receiving US$1.4B (RM6B) in 1MDB assets by 2025 as part of its US$3.9b (RM17b) settlement with the country for 1MDB losses. 

Goldman Sachs made a US$2.9b (RM12.5b) settlement and deferred prosecution agreement with the U.S. Department of Justice in October 2020 for its role in facilitating the raising of US$6.5 billion worth of bonds for 1MDB.

This valuation is critical to the Goldman case, because the bank had guaranteed that Malaysia would receive US$500m (RM2.16b) worth of 1MDB assets by August 2022. 

Failing that, the bank agreed to make the country an interim payment of US$250m (RM1.08b). 

The bank's obligation to make this payment is the subject of the disagreement. 

Goldman now claims that it has identified assets to the value of US$500 million, while the country argues there is an US$80 million shortfall.

(OSTB : Goldman Ini cerita bengong. Saya tidak mahu sebut bodoh. Listen to an ex-banker ok. I have collected millions from companies before. When you are collecting back money stolen from you, you do not tie the amount of the money to be recovered to the value of some unrealised assets. In short you just tell them to pay cash - put the cash on the table. Identifying assets, what is the value of those assets is not our problem). 

(OSTB : Di negeri lain Goldman kena bayar cash. Yang berikut ini saya petik daripada sumber lain :   "The US$2.9 billion includes individual deals with regulators in the U.S., the U.K., Singapore and elsewhere, the U.S. Justice Department said. Separately, Hong Kong fined the bank a record US$350 million for its part in the episode, and most of that figure is excluded from the US$2.9 billion total" - end quote.

Takkan Goldman kena denda US$350m (RM1.5b) di Hong Kong itu dia tulis dalam Buku Tiga Lima! They had to pay cash. 

Habis pasal apa di Malaysia pula Goldman dibenarkan berjanji akan deliver   "US$500m (RM2.16b) worth of 1MDB assets by August 2022" ?? 

Deliver assets kepala hotak apa? Just tell them to pay cash. Siang hari kau orang ni gila sangat nak jadi Arab. So buatlah style Arab. Just Google "debt prisons in UAE". Tangkap saja Mat Salleh Goldman Sachs itu, sumbat dia dalam Penjara Kajang sebelah Bossku and dont release him sampai dia bayar cash. Simple. Settled. Why are you monkeying around with these Goldman crooks?)

"The government of Malaysia unilaterally reduced the value of one asset previously included in its prior reports by $80 million and declined to include substantial additional assets in its accounting of assets and proceeds recovered," the Goldman 10Q filing of October 2022 said.

• "The firm and the govt of Malaysia disagree about, and continue to discuss, whether the government of Malaysia did, in fact, recover at least US$500 million as of August 2022 and whether any interim payment was due," the bank said in the filing.
• The interpretation of the agreement between bank and country is now being contested.

 

 OSTB : Maksudnya?

• Tafsir mentafsir surat kontrak sudah bermula.
• Sahih tak sahih pentafsiran sudah mula dipertikaikan. 
• Pendek kata : Malaysia belum dibayar duit apa pun.
• This is the handiwork of our kononnya "dream-team" that negotiated with Goldman.
  

"Goldman tallied up the total amount recovered through all channels of assets, related to 1MDB. The agreement was that if they have not recovered $500 million then the bank would subsidise it to the tune of $250 million on an interim basis as of August 2022. They are saying we haven't reached $250 million," a source close to Goldman Sachs said.

(OSTB :  "then the bank would subsidise it to the tune of $250 million on an interim basis"

What the hell is this? Subsidise with what? Kasut selipar Jepun? Subsidise with McDonald's Coupon? Subsidise with Perwaja Steel shares? What the hell is the meaning of on an interim basis?  Whose interim? Why you all so bangang ?

When I first wrote about this Goldman Sachs settlement I asked EXACTLY THIS QUESTION. WHEN? WHEN EXACTLY WILL THEY MAKE THE FULL PAYMENTS?  WHAT IS THE TERM (TEMPOH) OF THE AGREEMENT?

Now it is obvious that the terms of settlement with Goldman Sachs are subject to this, dependent on that, preceded by this, conditional upon that etc.  They have really fooled you).

 
"They have re-valued one of the assets and they are saying that others don't qualify as counting to the $500 million. Goldman thinks Malaysia has received $500 million, and they're saying no we haven't," he said.

Goldman's guarantee to Malaysia has been widely criticised, with some local politicians asking whether the bank was guaranteeing assets or funds.

Asset recovery programme

The bank has also criticised the country's asset recovery programme, arguing that it has been insufficiently rigorous in pursuing 1MDB-related assets.

"The global asset recovery process is complicated. The country has to knock on the doors of foreign governments and say, 'we understand you have seized this, can you transfer it to us', and you have to make a case that these assets were derived from money stolen from 1MDB," the bank source said.

"You have to take steps to make that happen. It doesn't happen passively. How proactive is Malaysia being in the process? They have acknowledged some assets were eligible for the total and then they have changed their minds. They have unilaterally decided this doesn't count to the total," he said.

The government of Malaysia should publish the terms of the agreement, which was reached by former prime minister Muhyiddin Yassin, one former law officer said.

(OSTB : I fully agree. Why doesnt this Madani government just publish the full terms of the Goldman Sachs settlement agreement? Hello Rafizi, if you do not publish the full terms of the Goldman agreement then the blame will soon shift to you. Just publish the Goldman agreement). 

"The government of Malaysia agreed to a bad deal with Goldman. They should have demanded cash in the bank, not assets. They have lost the initiative. 

There must be a question about the way the government made the agreement. This is a dispute which can only be resolved by the publication of the agreement," the former law officer said.

A senior local politician said there was now the possibility that Goldman would sue the government of Malaysia if it tried to review the deal.

The bank was taking advantage of an inadequate negotiation by a previous government, said Johari Ghani, a former deputy minister of finance.

"Goldman has taken advantage of Malaysia. Now it should repay back in cash the remaining $1.4 billion of 1MDB losses without quibbling, and straightaway," Ghani said.

Arbitration

The agreement with Goldman allows the bank to take the matter to arbitration, although the bank is understood to be delaying the start of this process until the new Malaysian government, which only took office in November 2022, has staff in place at the Finance Ministry and the Attorney General's Chambers.

.. .current prime minister, will have no qualms about taking the matter to Goldman and pushing it to honour the agreement, said Clare Rewcastle Brown, a UK-based commentator on Malaysian affairs.

(OSTB : Ms Clare Rewcastle Brown, dont be too quick to jump to conclusions).

If the dispute cannot be resolved in three months, the agreement provides for an arbitration process.

Goldman Sachs declined to comment.

OSTB : It looks like we have been had again.

Here is some advice. 

Step 1 : Whatever cash that is available now grab it first. 

Step 2 : Start talking to lawyers who have taken Goldman Sachs to court before and won. Most likely Mat Salleh lawyers. Listen to them. Inflict enough pain on Goldman. They will pay.

The views expressed are those of the writers and do not necessarily reflect those of MMKtT.