Goldman Sachs boss gets $10m pay cut for 1MDB scandal

Goldman Sachs’ chief executive David Solomon will get a $10m (£7.3m) pay cut for the bank’s involvement in the 1MDB corruption scandal. 1MDB was an investment fund set up by the Malaysian government that lost billions due to fraudulent activity. The global web of fraud and corruption led to a 12-year jail term for Malaysia’s ex-prime minister Najib Razak which he is appealing. Goldman Sachs called its involvement in the scandal an “institutional failure”. Goldman Sachs helped raise $6.5bn for 1MDB by selling bonds to investors, the proceeds of which were largely stolen. Prosecutors alleged that senior Goldman executives ignored … Continue reading Goldman Sachs boss gets $10m pay cut for 1MDB scandal

Mastercard reviews links with pornography site

Payments giant Mastercard is reviewing its business with pornography platform Pornhub, following allegations published by the New York Times. Pornhub parent company MindGeek has denied Pulitzer Prize-winning journalist Nicholas Kristof’s claims he found multiple videos featuring child sex abuse, “revenge porn” and rape. Mastercard rival Visa is now also investigating, according to Sky News. MindGeek said the claims were “irresponsible and flagrantly untrue”. Mastercard responded after Kristof named it, saying he “didn’t see why search engines, banks or credit-card companies” should “bolster” Pornhub. Pornhub is free to use, but users can pay £9.99 a month for higher-quality video streams and … Continue reading Mastercard reviews links with pornography site

HSBC share price rockets 50% since its 25-year low

HSBC has seen it’s share price rocket more than 50% since it hit a 25-year low in September, the UK’s biggest bank has been under increasing regulatory and economic pressure in its key markets, including Europe and Asia, but since September its fortunes have changed with its shares rising by more than 50% in Hong Kong and 48% in London, where it is listed. Headquartered in London, more than half of HSBC’s profits come from Asia, although this quarter has been a strong one for the bank’s dual-listed share price, it is still down about one-third since the start of … Continue reading HSBC share price rockets 50% since its 25-year low

Singapore Oil Tycoon Who Founded Hin Leong Denies HSBC’s Forgery Claim

 The HSBC Holdings Plc headquarters building in Hong Kong, China. HSBC Holdings Plc is suing Lim, his children, and a Hin Leong Trading Pte employee to recover $85.3 million in financing that the bank alleges they obtained with forged accords. OK Lim, as he’s commonly known, says the documents were “mistakenly” issued and he wasn’t aware of the process, and isn’t responsible for HSBC’s losses, his family and the Hin Leong employee also deny the accusation, according to defense filings to a local court earlier this month. Hin Leong’s creditors, which also include Singapore’s DBS Group Holdings Ltd, are battling … Continue reading Singapore Oil Tycoon Who Founded Hin Leong Denies HSBC’s Forgery Claim

Goldman Sachs to pay $3bn over 1MDB corruption scandal

Goldman Sachs has agreed to pay nearly $3bn (£2.3bn) to end a probe of it’s role in the 1MDB corruption scandal, the bank’s Malaysian subsidiary also admitted in US court that it had paid more than $1bn in bribes to win raising money for the Malaysian state-owned wealth fund. US officials said the record settlement reflected Goldman’s central role in a massive corruption scheme. Goldman admitted it had fallen short, calling it an “institutional failure”. In all, the investment bank is due to pay about $5bn in penalties, about two thirds of its 2019 profits – to regulators around the … Continue reading Goldman Sachs to pay $3bn over 1MDB corruption scandal

Spain extradites former banker sentenced in Iran for corruption

Spain has extradited a fugitive former Iranian executive implicated in a large financial corruption case, in what Iran’s judiciary says is the first such extradition from Europe. Alireza Heydar Abadipour, the former CEO of Sarmayeh Bank, touched down at Imam Khomeini International Airport in Tehran, where media and police officials were waiting for his arrival. Heydar Abadipour was arrested in Spain in June 2019 after Iranian police requested Interpol to issue a “red notice” an electronic “wanted” poster for his arrest, he had been tried in absentia and received a 12-year prison sentence. He is implicated in a large fraud … Continue reading Spain extradites former banker sentenced in Iran for corruption

Credit Suisse Apologizes for Black Janitor Act at Chairman Party

The New York Times on Saturday reported that chairman Urs Rohner held a party at a Zurich restaurant to celebrate his 60th birthday last November. Thiam left after a Black performer came onstage dressed as a janitor, and began to dance to music while sweeping the floor, the newspaper reported, adding that the festivities had a Studio 54 theme, with 1970s costumes. Credit Suisse’s Thiam Tidjane. Credit Suisse Group AG apologized for “any offense” caused by a performer who dressed as a janitor at a party for the bank’s chairman last year, causing former Chief Executive Officer Tidjane Thiam to leave … Continue reading Credit Suisse Apologizes for Black Janitor Act at Chairman Party

Westpac bank to pay record Australian fine over laundering breaches

Westpac’s former chief executive and chairman left their positions last year over the scandal.”We are committed to fixing the issues to ensure that these mistakes do not happen again,” said chief executive Peter King in a statement on Thursday.Westpac self-reported the breaches to the Australian Transaction Reports and Analysis Centre (Austrac) last year. It also disclosed the investigation to shareholders, including a forecast penalty. The bank said on Thursday it had reached an agreement to settle the court case waged by Austrac. Most of the breaches concerned the bank’s failure to report international transfers to the regulator, as required by … Continue reading Westpac bank to pay record Australian fine over laundering breaches