1MDB prosecutors 'zooming in on ex-banker's money moves'

A 1MDB billboard at the Tun Razak Exchange development in Kuala Lumpur, Malaysia.
A 1MDB billboard at the Tun Razak Exchange development in Kuala Lumpur, Malaysia.PHOTO: REUTERS

WASHINGTON • United States prosecutors investigating Goldman Sachs Group's role in raising almost US$6 billion (S$8.3 billion) for Malaysia's 1MDB investment fund are asking questions about money flowing through accounts linked to Mr Tim Leissner, the lead banker behind the transactions, according to people familiar with the matter.

Officials from the Federal Bureau of Investigation and Justice Department have been interviewing bankers familiar with 1Malaysia Development Berhad about Mr Leissner's network of relationships with politically connected Malaysians, said the people, who asked not to be named because the queries are not public.

In interviews as recent as last month, the people said, the US officials asked about the association between Mr Leissner, who left Goldman Sachs in February last year, and Mr Low Taek Jho, who the Justice Department said was at the centre of a scheme that siphoned more than US$3 billion dollars from 1MDB.

US investigators are asking if money was sent from a Leissner-linked account to an entity controlled by someone tied to the Malaysian government, one of the people said. Mr Leissner's attorney Marc Harris declined to comment.

An official at Mr Low's Hong Kong-based company Jynwel Capital said he was not available.

BLOOMBERG

A version of this article appeared in the print edition of The Straits Times on April 29, 2017, with the headline '1MDB prosecutors 'zooming in on ex-banker's money moves''. Print Edition | Subscribe