Large Wall Street firms fined $1.8 bn in US over lax recordkeeping

Yahoo – AFP, September 27, 2022 

Large Wall Street firms agreed to pay $1.8 billion in fines over failures to keep electronic records such as text messages between employees on personal mobile phones, US authorities announced Tuesday. 

Barclays, Bank of America, Deutsche Bank and Goldman Sachs were among the firms that agreed to fines over "longstanding failures" to maintain and preserve electronic communications that must be available to regulators in the course of oversight, the Securities and Exchange Commission (SEC) said in a statement. 

The SEC announced a total of $1.1 billion in fines on 16 institutions in all. The 16 firms listed included some companies such as Morgan Stanley with affiliated firms also covered by the agreement. 

In a parallel action, the Commodity Futures Trading Commission announced it reached settlements totaling $710 million from the same group of financial institutions over the same offenses. 

"Finance, ultimately, depends on trust. By failing to honor their recordkeeping and books-and-records obligations, the market participants we have charged today have failed to maintain that trust," SEC Chair Gary Gensler said in a statement. "Since the 1930s, such recordkeeping has been vital to preserve market integrity. 

"As technology changes, it's even more important that registrants appropriately conduct their communications about business matters within only official channels, and they must maintain and preserve those communications." 

An SEC investigation uncovered "pervasive off-channel communications" involving a range of senior and junior investment bankers and traders -- omissions that "likely" deprived it of communications in agency probes, it said. 

Bank of America was fined a total of $225 million under the two settlements. 

Financial giants agreeing to $200 million in settlements were Barclays, Citigroup, Credit Suisse, Deutsche Bank, Goldman Sachs, Morgan Stanley and UBS. 

Nomura, Jefferies and  Cantor Fitzgerald will pay respectively $100, $80 and $16 million 

The SEC in December 2021 fined JPMorgan Chase $125 million for the offense, spurring an industry-wide regulatory crackdown on poor recordkeeping, the SEC said.

Related Article:

"The Recalibration of Awareness – Apr 20/21, 2012 (Kryon channeled by Lee Carroll) (Subjects: Old Energy, Recalibration Lectures, God / Creator, Religions/Spiritual systems (Catholic Church, Priests/Nun’s, Worship, John Paul Pope, Women in the Church otherwise church will go, Current Pope won’t do it), Middle East, Jews, Governments will change (Internet, Media, Democracies, Dictators, North Korea, Nations voted at once),Integrity (Businesses, Tobacco Companies, Bankers/ Financial Institutes, Pharmaceutical company to collapse), Illuminati (Started in Greece, with Shipping, Financial markets, Stock markets, Pharmaceutical money (fund to build Africa, to develop)), Shift of Human Consciousness, (Old) Souls, Women, Masters to/already come back, Global Unity.... etc.) - (Text version)

“… The Shift in Human Nature

You're starting to see integrity change. Awareness recalibrates integrity, and the Human Being who would sit there and take advantage of another Human Being in an old energy would never do it in a new energy. The reason? It will become intuitive, so this is a shift in Human Nature as well, for in the past you have assumed that people take advantage of people first and integrity comes later. That's just ordinary Human nature.

In the past, Human nature expressed within governments worked like this: If you were stronger than the other one, you simply conquered them. If you were strong, it was an invitation to conquer. If you were weak, it was an invitation to be conquered. No one even thought about it. It was the way of things. The bigger you could have your armies, the better they would do when you sent them out to conquer. That's not how you think today. Did you notice?

Any country that thinks this way today will not survive, for humanity has discovered that the world goes far better by putting things together instead of tearing them apart. The new energy puts the weak and strong together in ways that make sense and that have integrity. Take a look at what happened to some of the businesses in this great land (USA). Up to 30 years ago, when you started realizing some of them didn't have integrity, you eliminated them. What happened to the tobacco companies when you realized they were knowingly addicting your children? Today, they still sell their products to less-aware countries, but that will also change.

What did you do a few years ago when you realized that your bankers were actually selling you homes that they knew you couldn't pay for later? They were walking away, smiling greedily, not thinking about the heartbreak that was to follow when a life's dream would be lost. Dear American, you are in a recession. However, this is like when you prune a tree and cut back the branches. When the tree grows back, you've got control and the branches will grow bigger and stronger than they were before, without the greed factor. Then, if you don't like the way it grows back, you'll prune it again! I tell you this because awareness is now in control of big money. It's right before your eyes, what you're doing. But fear often rules. …”

Credit Suisse fined over drugs gang money laundering

Yahoo = AFP, June 27, 2022 

Credit Suisse, Switzerland's second-biggest bank, which has been rocked by a series of scandals, was slapped with a $2-million-fine Monday in a money laundering case linked to a Bulgarian cocaine network. 

Switzerland's Federal Criminal Court found that the bank failed to take steps to prevent money laundering by the criminal organisation, deeming it guilty of breaching its corporate responsibility. 

Credit Suisse was fined two million Swiss francs ($2.1 million). The Zurich-based bank intends to appeal. 

It was faulted for the failure up through its hierarchy and by its legal and compliance departments to monitor "banking relations" linked to the criminal gang, and to ensure their "compliance with anti-money laundering rules". 

A former employee was found guilty of aggravated money laundering over a number of transactions she had conducted or ordered to be conducted between July 2007 and December 2008, despite firm indications that the funds had criminal origins. 

Her actions allowed the criminal gang to stash more than 19 million Swiss francs out of reach of the authorities. 

She was given a 20-month prison sentence and a fine, both of which were suspended. 

In a brief statement, Credit Suisse said it noted the court's decision and that it intended to appeal. 

Two Bulgarians were also found guilty of participating in a criminal organisation and aggravated money laundering. 

The court also ordered the confiscation of a sum equivalent to more than 12 million francs concerning funds deposited with Credit Suisse by the criminal organisation. 

Furthermore the bank will have to compensate the more than 19 million francs in assets belonging to the criminal organisation, "which could not be confiscated due to the bank's internal failures", the court statement said.

UK banks no longer 'too big to fail': BoE

rfi –AFP, 10 June 2022 

Following the financial global crisis more than a decade ago, the UK taxpayer
pumped £137 billion ($171 billion) into the country's banks Tolga Akmen AFP/File

London (AFP) – Britain's biggest banks are no longer "too big to fail" in any future financial shocks, with shareholders rather than taxpayers ready to bear the cost, the Bank of England said Friday. 

Following a major review of eight lenders -- including Barclays, HSBC, Lloyds and NatWest -- the BoE concluded "that if a major UK bank failed today it could do so safely: remaining open and continuing to provide vital banking services to the economy. 

"Shareholders and investors, not taxpayers, will be first in line to bear the costs, overcoming the 'too big to fail' problem," the central bank added. 

Following the financial global crisis more than a decade ago, the UK taxpayer pumped £137 billion ($171 billion) into the country's banks, while also being able to benefit from significant BoE support. 

The government also took control of Royal Bank of Scotland -- rebranded as NatWest ahead of its recent return to the private sector. 

Despite the bailouts, "the disruption to the financial system contributed to the UK and global recession that followed. We cannot forget these lessons", the BoE added Friday. 

The central bank was publishing its first assessment of the eight major UK banks' preparations for resolution under the Resolvability Assessment Framework. 

RAF "is a core part of the UK's response to the global financial crisis, and demonstrates how the UK has overcome the problem of 'too big to fail'", said Dave Ramsden, deputy governor for markets and banking at the BoE. 

"The UK authorities have developed a resolution regime that successfully reduces risks to depositors and the financial system and better protects the UK's public funds." 

The other four banks assessed were Nationwide, Santander UK, Standard Chartered and Virgin Money UK.

Investigation claims Credit Suisse handled dirty money

Yahoo – AFP, Erwan LUCAS,  20 February 2022 

Credit Suisse has issued a vigorous denial of the allegations (AFP/FABRICE
COFFRINI) (FABRICE COFFRINI)

Credit Suisse handled billions of dollars in dirty money for decades, an international media investigation based on a massive data leak claimed on Sunday, in the latest setback for Switzerland's second-largest bank. 

The bank held more than $8 billion (seven billion euros) in accounts of criminals, dictators and human rights abusers, among others, according to the investigation by a group comprising dozens of media organisations. 

Credit Suisse rejected the "allegations and insinuations", saying in a statement that many of the issues raised were historical, some dating back more than 70 years. 

According to the Organized Crime and Corruption Reporting Project (OCCRP), a non-profit journalism group, the "Suisse Secrets" investigation began when an anonymous source shared bank data with German newspaper Suddeutsche Zeitung more than a year ago. 

That information, covering accounts collectively worth $100 billion at their highest point, was trawled through by 48 media outlets worldwide, including The New York Times, Le Monde and The Guardian. 

Accounts identified as problematic held over $8 billion in assets, the investigation found. 

The accounts included those held by a Yemeni spy chief implicated in torture, the sons of an Azerbaijani strongman, a Serbian drug lord and bureaucrats accused of looting Venezuela's oil wealth. 

It was the largest leak ever from a major Swiss bank, OCCRP said. 

'Tendentious interpretations' 

The leak included information on more than 18,000 bank accounts, many of which "remained open well into the 2010s", said the OCCRP. 

In its statement Sunday, the bank said: "Credit Suisse strongly rejects the allegations and insinuations about the bank's purported business practices. 

"The matters presented are predominantly historical, in some cases dating back as far as the 1940s, and the accounts of these matters based on partial, inaccurate, or selective information taken out of context, resulting in tendentious interpretations of the bank's business conduct." 

About 90 percent of the accounts reviewed were closed -- or were in the process of being closed -- before the press approached the bank, it added. And more than 60 percent of them had been closed before 2015. 

The OCCRP, in a statement on its website, said: "We believe the dozens of examples we have cited raise serious questions about Credit Suisse's effectiveness and commitment to meeting its responsibilities." 

It said the investigation had found dozens of "dubious characters" in the data, including some linked to government officials. 

Among those listed as holding accounts with Credit Suisse were the sons of former Egyptian President Hosni Mubarak and Jordan's King Abdullah II. 

When asked why so many of these accounts existed, current and former Credit Suisse employees described a work culture that incentivised taking on risk to maximise profits, according to OCCRP. 

"I've too often seen criminals and corrupt politicians who can afford to keep on doing business as usual, no matter what the circumstances, because they have the certainty that their ill-gotten gains will be kept safe and always within their reach," said OCCRP co-founder Paul Radu in a statement. 

A series of setbacks 

The international investigation is the latest in a series of setbacks that Credit Suisse has suffered recently. 

In March 2021, the bank was hit by the collapse of Greensill Capital in which it had committed some $10 billion dollars through four funds. The implosion of the US fund Archegos cost it more than $5 billion. 

And in Switzerland, a former Credit Suisse employee is among the defendants in a major corruption trial that has just started and involves alleged money laundering and organised crime in Bulgaria. The bank has said it will "defend itself vigorously in court". 

Experts say draconian banking secrecy laws in Switzerland effectively silence insiders or journalists who may want to expose wrongdoing within a Swiss bank, according to OCCRP. 

A Swiss media group was unable to participate in the investigation due to the risk of criminal prosecution, the organisation said.

'Pandora Papers' expose offshore assets of heads of state, govt

Yahoo – AFP, October 3, 2021

Some 35 current and former leaders are featured in leaked financial documents
analyzed by the International Consortium of Investigative Journalists (ICIJ) (AFP/Jim Watson)

More than a dozen heads of state and government, including the King of Jordan and the Czech prime minister, have hidden millions in offshore tax havens, according to an investigation published Sunday by the ICIJ media consortium. 

The so-called "Pandora Papers" investigation -- involving some 600 journalists from media including The Washington Post, the BBC and The Guardian -- is based on the leak of some 11.9 million documents from 14 financial services companies around the world. 

Some 35 current and former leaders are featured in the documents analyzed by the International Consortium of Investigative Journalists (ICIJ) -- facing allegations ranging from corruption to money laundering and global tax avoidance. 

The documents notably expose how King Abdullah II created a network of offshore companies and tax havens to amass a $100 million property empire from Malibu, California to Washington and London. 

The BBC cited lawyers for King Abdullah saying all the properties were bought with personal wealth, and that it was common practice for high profile individuals to purchase properties via offshore companies for privacy and security reasons. 

The documents also show Czech Prime minister Andrej Babis -- facing an election later this week -- failed to declare an offshore investment company used to purchase a chateau worth $22 million in the south of France. 

In total, the ICIJ found links between almost 1,000 companies in offshore havens and 336 high-level politicians and public officials, including country leaders, cabinet ministers, ambassadors and others. 

More than two-thirds of the companies were set up in the British Virgin Islands. 

In most countries, the ICIJ stresses, it is not illegal to have assets offshore or to use shell companies to do business across national borders. 

But such revelations are no less of an embarrassment for leaders who may have campaigned publicly against corruption, or advocated austerity measures at home. 

Among the other revelations from the ICIJ investigation: 

-- Family and associates of Azerbaijani President Ilham Aliyev are alleged to have been secretly involved in property deals in Britain worth hundreds of millions. 

-- Kenyan President Uhuru Kenyatta and six family members are alleged to secretly own a network of offshore companies. 

-- Members of Pakistan Prime Minister Imran Khan's inner circle, including cabinet ministers and their families, are said to secretly own companies and trusts holding millions of dollars. 

-- Russian President Vladimir Putin is not directly named in the files, but he is linked via associates to secret assets in Monaco. 

The "Pandora Papers" are the latest in a series of mass ICIJ leaks of financial documents that started with LuxLeaks in 2014, and was followed by the Panama Papers, the Paradise Papers and FinCen. 

The documents behind the latest investigation are drawn from financial services companies in countries including the British Virgin Islands, Panama, Belize, Cyprus, the United Arab Emirates, Singapore and Switzerland.

Scandal-hit Greensill parent group enters liquidation

Yahoo – AFP, Roland JACKSON, 22 April 2021 

Administrators will wind down Greensill activities and attempt to sell off parts
of the business, which was founded in 2011 by Australian Lex Greensill

The Australian parent of failed specialist finance firm Greensill Capital, whose recent collapse sparked worldwide corporate fallout and a political scandal in Britain, has entered liquidation, administrators said Thursday. 

The demise of Greensill Capital Pty Ltd is the latest chapter in a saga that has ensnared Conservative politicians including ex-prime minister David Cameron. 

The company had filed for bankruptcy last month for its operations in Britain, and also in Australia where its parent group is based and Germany where it has a banking arm. 

Greensill's implosion threatens about 50,000 jobs at companies that relied on its supply chain financing, including the steel empire of Indian-British billionaire Sanjeev Gupta. 

Greensill Capital Pty Ltd, which is the parent company of the Global Greensill Group, had provided head office support and sourced funding for the finance giant's operations. 

Creditors including Credit Suisse, Japan's SoftBank and the Association of German Banks met online early Thursday and "resolved to place the company into liquidation", according to a statement from administrators Grant Thornton. 

The administrator provided an overview of the company to its 41 creditors and their representatives, who then voted in favour of liquidation. 

Administrators will now wind down activities and attempt to sell off chunks of the business, which was founded in 2011 by Australian Lex Greensill. 

"As of today, the company is now in liquidation," Grant Thornton added in the statement. 

"The liquidators will continue to identify and realise available assets, monitor developments in relation to the administrations of Greensill UK and the Greensill Bank AG, and continue their investigations in relation to Greensill Capital Pty Limited in liquidation." 

Cameron in firing line 

The controversial company specialised in short-term corporate loans via a complex business model that ultimately sparked its declaration of insolvency. 

Lex Greensill had obtained inside access to the Downing Street machine of then-premier Cameron, on the promise of helping to provide the government with the latest thinking on financial technology. 

Cameron was forced to step down following Britain's Brexit referendum in 2016, and two years later became an adviser to Greensill Capital, amassing share options that were potentially worth millions. 

This year, he privately lobbied senior officials including finance minister Rishi Sunak for government support before the firm's business model of supplying interim finance to companies imploded, rendering his share options worthless. 

Cameron is most directly in the firing line because of his personal and undeclared lobbying, but denies any impropriety. 

The Greensill scandal now faces heightened scrutiny in Britain, where the government already faces cronyism allegations over key contracts linked to its Covid-19 response. 

Parliament's Treasury Committee has launched an inquiry into Greensill's collapse, with appearances widely expected from Cameron, Sunak, and Lex Greensill. 

Greensill faces a string of other inquiries in Britain, with the National Audit Office also probing the firm's involvement in Covid-19 support schemes and state monitoring of its activities. 

Labour leader Keir Starmer slammed Prime Minister Boris Johnson on Wednesday over government "sleaze" involving preferential access given to both Greensill and pro-Brexit billionaire entrepreneur James Dyson.

Super League pits economics against history in a clash of cultures

Yahoo – AFP, Antoine MAIGNAN,  April 20, 2021 

A plane flies above Elland Road in Leeds before the Premier League game
against Liverpool protesting against the planned Super League

As the clubs who want to form a Super League focus on their economic futures, they find themselves attacked on all sides for being at odds with football's past. 

"Created by the poor, stolen by the rich," read one banner held up by fans outside Manchester United's Old Trafford stadium on Monday. It summed up the frustration that has been gripping most football followers since the plans were announced. 

UEFA president Aleksander Ceferin said the proposed closed breakaway league was "a spit in the face" of "football lovers". 

"Everyone is united against this disgraceful, self-serving proposal, fuelled by greed above all else," he said. 

Despite the opposition of their own fans, national governments and the football authorities the 12 clubs are pressing ahead. 

They represent just seven cities in three countries. Six are from England and three each from Spain and Italy. 

The suspicion of fans that the clubs are losing touch with their roots is amplified by the foreign ownership of the majority of the rebel clubs, in several cases through faceless holding companies. 

Manchester City are owned by Sheikh Mansour, a member of the Abu Dhabi royal family. Inter Milan are controlled by Chinese holding company Suning. Chelsea are owned by Russian billionaire Roman Abramovic. 

'Americanisation of the world' 

But the greatest suspicion is that the proposed league is part of what French football historian Paul Dietschy called "the Americanisation of the world". 

An Arsenal fan hangs a banner aimed at the club's America
owner on their Emirates Stadium

Four, Liverpool, Manchester United, Arsenal and AC Milan, are owned by Americans or companies based in the United States. 

Of those, three own franchises in major US sports. 

The Fenway Sports Group at Liverpool also owns baseball's Boston Red Sox. The Glazer family at Manchester United own Super Bowl champions the Tampa Bay Buccaneers. Stan Kroenke, who controls Arsenal, also owns the Los Angeles Rams of the National Football League and the Denver Nuggets of the National Basketball Association. 

There is also an American influence at Juventus. The club has a long association with Fiat, now part of American-Italian group Stellantis. That company's American president John Elkann, a grandson of former Juventus owner Gianni Agnelli, appointed his cousin Andrea Agnelli to run the club. 

The proposed league is being underwritten by American money, in the form of a four billion dollar (3.32bn euro) loan from Wall Street bank JPMorgan Chase. 

As long ago as the 1950s and 1960s, research by American economists showed their clubs were "profit maximisers", while British economist Peter Sloane found that football clubs in the English league were "utility maximisers", motivated by non-financial considerations. 

"American sport has historically been very focused on profit," said Chris Winn, a researcher at the University Campus of Football Business, which has links with Manchester City as well as Premier League Burnley. 

"It's no coincidence that there is a core American group at the heart of these Super League proposals. The European football elite are looking for a guaranteed piece of the pie every year." 

Chelsea fans protested outside Stamford Bridge on Tuesday

Dietschy told AFP that the clubs no longer wanted to be anchored in their local landscape. 

"These clubs are becoming brands and as they target other markets," he said. "It's counter-intuitive when you think of football, but it can work like the American franchises." 

'The rich stealing what the people created' 

But, Dietschy cautioned, "we must be wary of romanticism applied to football. The richest have always dominated. What has changed, however, is that today money is no longer used to win but to make a profit." 

Yet some elite players, who stand to share that profit, are outraged. 

"I believe in an improved Champions League, but not in the rich stealing what the people created," said Paris Saint-Germain's Spain midfielder Ander Herrera 

"The rich have stolen what the people have created," Manchester United's Portuguese player Bruno Fernandes posted on social media. "Dreams cannot be bought." 

So far the Super League has not attracted any clubs in the key market of Germany. 

Bayern Munich and Borussia Dortmund have both taken a public stand against the plan. 

"I would like to make it explicitly clear that FC Bayern will not be taking part in the Super League," said club chairman Karl-Heinz Rummenigge in a statement on Tuesday. 

Like Barcelona and Real Madrid, the two Bundesliga giants are fan owned, but German supporters have long been vocal defenders of football traditions. 

Bayern is run by German former players in contrast to the Super League clubs. 

"The directors of these clubs are people trained in top management schools, and their logic is that of business and profit," said Dietschy.

$10 mn pay-cut for Goldman Sachs CEO over 1MDB scandal

Yahoo – AFP, January 27, 2021 

Goldman Sachs CEO David Michael Solomon saw his salary cut
due to the 1MDB Malaysian bribery scandal 

Goldman Sachs cut its CEO David Solomon's 2020 salary by $10 million to $17.5 million because of the bank's role in the 1MDB Malaysian bribery scandal, according to documents filed Tuesday. 

"The amounts of remuneration reflect the decision announced by the board of directors," said a securities filing that also detailed pay-cuts for COO John Waldron and CFO Stephen Scherr. 

Although the three were not "aware of the firm's participation in any illicit activity at the time the firm arranged the 1MDB bond transactions, the Board views the 1MDB matter as an institutional failure," it said. 

Goldman Sachs pleaded guilty in October over its role in the scandal, and agreed to pay nearly $3 billion to close US investigations. 

Former Malaysian leader Najib Razak was sentenced last year to 12 years in jail on corruption charges linked to the scandal that led to the downfall of his government.

Former ING chief should face charges over bank’s money laundering scandal: court

DutchNews, December 9, 2020 

Photo: ING.com

Former ING chief executive Ralph Hamers should face charges personally for his role in the money laundering scandal which led the financial services group to reach a €775m out of court settlement in 2018, appeal court judges in The Hague said on Wednesday. 

The case has been brought by campaign group Sobi, which says Hamers should face criminal charges. ‘The facts are serious, no settlement was reached with the management and he has never accepted public responsibility for his actions,’ campaigner Pieter Lakeman said. 

‘Managers who consciously make mistakes should not be able to buy themselves free by agreeing to very high fines while shareholders pick up the bill. It is of great importance that Hamers faces prosecution.’ 

The court said in its ruling that while it supported the public prosecution’s decision to look for a settlement, as CEO, Hammers was authorised and required to take measures to prevent criminal behaviour. ‘However, not only did he fail to do this and thereby promote this behaviour, but he also consciously accepted the risk that it would continue,’ the court said. 

ING said in a reaction it regretted the court decision. ‘We … regret the decision to order the prosecution of our former CEO, which goes against the assessment of the public prosecutors that, based on the investigation, there are no grounds for a case against ING employees or former employees,’ ING said in a statement. 

Hamers is now chief executive of Swiss bank UBS which, according to Reuters, says it is confident he will be able to remain in the job. 

The public prosecution department reached a €775m out of court settlement with ING for failing to properly monitor money transfers for potential money laundering in September 2018.

The department said between 2010 and 2016, the bank’s clients were effectively able to launder hundreds of millions of euros because ING was not doing its job properly. Banks are required by law to report suspicious transactions.

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ING boss says proposed pay rise was major error of judgement
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ING lax on money laundering, agrees €775m out-of-court settlement

ING’s financial chief steps down over money laundering scandal

More Dutch banks are not taking money laundering seriously: central bank

"The Recalibration of Awareness – Apr 20/21, 2012 (Kryon channeled by Lee Carroll) (Subjects: Old Energy, Recalibration Lectures, God / Creator, Religions/Spiritual systems (Catholic Church, Priests/Nun’s, Worship, John Paul Pope, Women in the Church otherwise church will go, Current Pope won’t do it), Middle East, Jews, Governments will change (Internet, Media, Democracies, Dictators, North Korea, Nations voted at once),Integrity (Businesses, Tobacco Companies, Bankers/ Financial Institutes, Pharmaceutical company to collapse), Illuminati (Started in Greece, with Shipping, Financial markets, Stock markets, Pharmaceutical money (fund to build Africa, to develop)), Shift of Human Consciousness, (Old) Souls, Women, Masters to/already come back, Global Unity.... etc.) - (Text version)

“… The Shift in Human Nature

You're starting to see integrity change. Awareness recalibrates integrity, and the Human Being who would sit there and take advantage of another Human Being in an old energy would never do it in a new energy. The reason? It will become intuitive, so this is a shift in Human Nature as well, for in the past you have assumed that people take advantage of people first and integrity comes later. That's just ordinary Human nature.

In the past, Human nature expressed within governments worked like this: If you were stronger than the other one, you simply conquered them. If you were strong, it was an invitation to conquer. If you were weak, it was an invitation to be conquered. No one even thought about it. It was the way of things. The bigger you could have your armies, the better they would do when you sent them out to conquer. That's not how you think today. Did you notice?

Any country that thinks this way today will not survive, for humanity has discovered that the world goes far better by putting things together instead of tearing them apart. The new energy puts the weak and strong together in ways that make sense and that have integrity. Take a look at what happened to some of the businesses in this great land (USA). Up to 30 years ago, when you started realizing some of them didn't have integrity, you eliminated them. What happened to the tobacco companies when you realized they were knowingly addicting your children? Today, they still sell their products to less-aware countries, but that will also change.

What did you do a few years ago when you realized that your bankers were actually selling you homes that they knew you couldn't pay for later? They were walking away, smiling greedily, not thinking about the heartbreak that was to follow when a life's dream would be lost. Dear American, you are in a recession. However, this is like when you prune a tree and cut back the branches. When the tree grows back, you've got control and the branches will grow bigger and stronger than they were before, without the greed factor. Then, if you don't like the way it grows back, you'll prune it again! I tell you this because awareness is now in control of big money. It's right before your eyes, what you're doing. But fear often rules. …”

Goldman Sachs agrees to largest penalty ever in 1MDB scandal

Yahoo – AFP, October 22, 2020 

The Malaysian unit of global financial titan Goldman Sachs pleaded guilty
in a US court in the massive 1MDB Malaysian bribery scandal

Global financial titan Goldman Sachs agreed to pay $2.9 billion in penalties to settle criminal charges in the 1MDB Malaysian bribery scandal, the largest US fine ever in a corruption case, the Justice Department announced Thursday. 

Acting US Assistant Attorney General Brian C. Rabbitt said Goldman "accepted responsibility" in the case that involved $1.6 billion in bribes, the largest ever recorded, and massive gains laundered through the US financial system. 

Goldman Sachs helped raise $6.5 billion for the Malaysian government's sovereign wealth fund, and the US Justice Department has said more than $4.5 billion was stolen from 1MDB by high-level officials at the fund and their associates between 2009 and 2015. 

The investment fund "was looted by corrupt officials and their co-conspirators, including senior Goldman bankers" turning it "into a piggy bank for corrupt public officials and their cronies," Rabbitt said at a press briefing. 

In a first for Goldman Sachs, the company's Malaysian unit pleaded guilty in a US court Thursday for violations of US bribery law as part of a deal to end the criminal probe in the sweeping case that involved authorities in nine countries. 

The guilty plea could curtail activities of Goldman Sachs Malaysia but allows the parent company to avoid admitting wrongdoing in court -- which would have damaged its ability to do business. 

'Meaningful consequences' 

The parent company pleaded not guilty in US court and agreed to "deferred prosecution" for three-and-a-half years, which is expected to impose certain conditions including increased monitoring. 

But Rabbitt stressed that the company has been charged in the bribery scandal, "so there has been a significant amount of criminal liability" for Goldman and "imposes meaningful consequences" in the cases. 

The Justice Department has charged three individuals in the case including two former Goldman executives. Tim Leissner, the former Southeast Asia Chairman, has pleaded guilty, while Ng Chong Hwa, also known as "Roger Ng," former head of investment banking for GS Malaysia, is awaiting trial, and Low Taek Jho remains a fugitive. 

"Goldman admitted today that, in order to effectuate the scheme, Leissner, Ng, Employee 1, and others conspired with Low Taek Jho" to pay the bribes and ignored red flags, the statement said. 

In another stunning turn, the company said it will demand repayment $174 million in salary and bonuses paid to current and former executives including Chief Executive David Solomon and his predecessor Lloyd Blankfein. 

These so-called clawbacks are almost unheard of in corporate cases. 

Solomon said in a statement "it is abundantly clear that certain former employees broke the law, lied to our colleagues and circumvented firm controls,"adding, "we recognize that we did not adequately address red flags." 

Included in the total penalty amount, Goldman will pay a $400 fines to the SEC and repay $600 million in earnings, and pay a $154 million fine to the Federal Reserve which also will require the company to improve its risk management and internal oversight. 

The Malaysian government dropped the charges against Goldman in July after reaching a $3.9 billion settlement with the financial giant. 

The firm, which posted profits of $3.5 billion in the latest quarter, had set aside more than $3.1 billion as of September 30 "for litigation and regulatory proceedings."

Related Article:

Goldman Sachs fined US$350 million in Hong Kong over1MDB