`


THERE IS NO GOD EXCEPT ALLAH
read:
MALAYSIA Tanah Tumpah Darahku

LOVE MALAYSIA!!!


 


Thursday, June 11, 2015

Najib insists MASSIVE FEE paid to Goldman Sachs by 1MDB was 'fair'

Najib insists MASSIVE FEE paid to Goldman Sachs by 1MDB was 'fair'
KUALA LUMPUR - The government reiterated that 1Malaysia Development Bhd units had paid a "fair" fee to Goldman Sachs Group Inc to raise funds through three bond issuances, without revealing the breakdown details of the fees.
Goldman Sachs was reportedly paid more than 10% in certain commissions, fees and expenses for bond issuances for 1MDB Global Investment, 1MDB Energy and 1MDB Energy (Langat) Ltd.
The Finance Ministry said this in a written reply to Tony Pua (DAP-Petaling Jaya Utara), based on information provided by 1MDB management.
"Based on this information, negotiations and the determination of the yield were based on standard market procedures between the issuer and the investor for the sale and purchase of fixed income security.
"Goldman Sachs acted as principal and not in the capacity of the agency for the transaction," it said.
The ministry added that the amount paid for the bonds were "appropriate" according to their issue size, tenure liquidity and credit risks.
Pua, in a press conference, expressed dissatisfaction over the reply offered by the ministry, which is headed by Prime Minister Datuk Seri Najib Abdul Razak, stating that it was merely repeating the answer it gave him in the last parliamentary sitting without providing any new details.
"This question refers to a question I had asked in the last seating. However, because the minister had refused to provide the details of the breakdown to my question, I had asked for the reason why he had refused to do so," he told reporters at Parliament yesterday.
Pua said the breakdown was important to dispel allegations that commissions paid to Goldman Sachs were above the market rate.
1MDB claimed that the fees had included "discounts" to the bond investors in an earlier response, and Pua had wanted a breakdown of the figures to determine the amount of discounts 1MDB had offered. - Sundaily

No comments:

Post a Comment

Note: Only a member of this blog may post a comment.