KUALA LUMPUR – Former Goldman Sachs banker Tim Leissner has been sentenced to two years in prison by a US court for his role in the 1Malaysia Development Bhd (1MDB) corruption scandal, which implicated former prime minister Datuk Seri Najib Razak and other high-ranking officials.
Leissner, Goldman Sachs’ former Southeast Asia chairman, pleaded guilty in 2018 to conspiring to launder money and violate the US Foreign Corrupt Practices Act.
He helped raise US$6.5 billion for 1MDB through three bond deals between 2012 and 2013, from which more than US$2.7 billion was siphoned off.
“First and foremost, I offer my sincere apology to the people of Malaysia,” Leissner told the Brooklyn federal court. “I deeply regret my actions,” he was quoted as saying by Reuters.
During sentencing, US district judge Margo Brodie described his conduct as “brazen and audacious,” and said the case involved “corruption at the highest level of government in multiple countries.”
While acknowledging Leissner’s cooperation with authorities, Brodie said it did not excuse the scale of harm caused.
It was reported that prosecutors asked for a sentence below the guideline range, citing Leissner’s assistance in the investigations of former Goldman Sachs colleague Roger Ng, Malaysian financier Low Taek Jho (Jho Low), and other undisclosed cases.
Leissner met with authorities dozens of times and reviewed extensive documentation related to 1MDB.
“I lost my will to live,” Leissner said in court, and added that he had lost “everything”, including his family, career, and financial independence.
“I stood before you in shame… it was absolute rock bottom,” he said, according to the Financial Times.
Leissner admitted to pocketing over US$150 million in proceeds from the fraud, which he used to buy a US$15 million yacht, real estate in New York and London, and a stake in Italian football club Inter Milan.
Goldman Sachs has distanced itself from Leissner, writing to the court that he had “extensively lied to and deceived many people” and “has still not repaid one penny” of the US$20.7 million arbitration award owed to the bank.
The letter added, “Mr Leissner’s efforts in this regard are worthy of sanction, not praise.”
According to reports, Leissner’s lawyer, Henry Mazurek, said his client had undergone a “tremendous transformation” and “wants the opportunity to right the wrongs he has committed.”
The court did not impose a fine. Leissner is due to report to prison on September 15.
The 1MDB scandal led to one of the largest global anti-bribery settlements in history. Goldman Sachs paid US$2.9 billion in penalties in the US and arranged for its Malaysian unit to plead guilty. The bank also clawed back US$174 million in executive compensation.
Najib, who established 1MDB in 2009, was found guilty in 2020 of corruption linked to SRC International Sdn Bhd, a former 1MDB subsidiary.
He is currently serving a 12-year sentence, which was halved by the pardons board in early 2024. He is seeking a judicial review to serve the remainder under house arrest.
Najib faces a second trial over additional 1MDB-related charges. Earlier this month, a US court rejected his attempt to compel Leissner to testify under oath.
Roger Ng, Goldman Sachs’ former head of investment banking in Malaysia, was sentenced in 2023 to 10 years in prison after being convicted in New York. He was later transferred to Malaysia to assist with investigations.
Jho Low, the alleged mastermind behind the fraud, remains a fugitive. – May 30, 2025