<p>Goldman Sachs and Malaysia have signed an agreement finalising the US bank's $3.9 billion settlement over the 1MDB scandal, allowing for its implementation.</p>.<p>Both parties announced the settlement last month, but the formal signing of the agreement -- disclosed by Goldman in a regulatory filing in New York on Tuesday -- completes the process.</p>.<p>Billions of dollars were looted from sovereign wealth fund 1Malaysia Development Berhad in a fraud that involved former prime minister Najib Razak and his cronies.</p>.<p>The cash plundered from state coffers bankrolled a global spending spree, and was spent on everything from artwork, to real estate and a superyacht.</p>.<p>Goldman's role came under scrutiny over bond issues totalling $6.5 billion it helped arrange for the investment vehicle, with Malaysia claiming large amounts were misappropriated during the process.</p>.<p>In its New York filing, the Wall Street titan said the signing of the settlement pact "implements the prior agreement in principle" announced on July 24.</p>.<p>The settlement comprises a cash payment of $2.5 billion to Malaysia and a guarantee that at least $1.4 billion in assets acquired with misappropriated funds would be recovered.</p>.<p>Bloomberg News reported that Goldman must make the cash payment to Malaysia within 10 days, citing sources.</p>.<p>Najib was voted out of office in 2018 as he succumbed to public anger over the scandal, and the government that took over charged Goldman and a string of former and current employees over the fraud, as well as demanding hefty compensation.</p>.<p>Under the agreement, Malaysia will end all criminal proceedings against the bank.</p>.<p>Prime Minister Muhyiddin Yassin said last month that, combined with 1MDB-linked funds already returned to Malaysia by the United States, the country will receive a total of $4.5 billion.</p>.<p>Najib was last month jailed for 12 years after being convicted on all seven charges in the first of several trials related to 1MDB.</p>.<p>The scandal's alleged mastermind, jet-setting Malaysian financier Low Taek Jho, also known as Jho Low, has also been charged in Malaysia and the US.</p>.<p>Low denies any wrongdoing, and his current whereabouts are unknown.</p>
<p>Goldman Sachs and Malaysia have signed an agreement finalising the US bank's $3.9 billion settlement over the 1MDB scandal, allowing for its implementation.</p>.<p>Both parties announced the settlement last month, but the formal signing of the agreement -- disclosed by Goldman in a regulatory filing in New York on Tuesday -- completes the process.</p>.<p>Billions of dollars were looted from sovereign wealth fund 1Malaysia Development Berhad in a fraud that involved former prime minister Najib Razak and his cronies.</p>.<p>The cash plundered from state coffers bankrolled a global spending spree, and was spent on everything from artwork, to real estate and a superyacht.</p>.<p>Goldman's role came under scrutiny over bond issues totalling $6.5 billion it helped arrange for the investment vehicle, with Malaysia claiming large amounts were misappropriated during the process.</p>.<p>In its New York filing, the Wall Street titan said the signing of the settlement pact "implements the prior agreement in principle" announced on July 24.</p>.<p>The settlement comprises a cash payment of $2.5 billion to Malaysia and a guarantee that at least $1.4 billion in assets acquired with misappropriated funds would be recovered.</p>.<p>Bloomberg News reported that Goldman must make the cash payment to Malaysia within 10 days, citing sources.</p>.<p>Najib was voted out of office in 2018 as he succumbed to public anger over the scandal, and the government that took over charged Goldman and a string of former and current employees over the fraud, as well as demanding hefty compensation.</p>.<p>Under the agreement, Malaysia will end all criminal proceedings against the bank.</p>.<p>Prime Minister Muhyiddin Yassin said last month that, combined with 1MDB-linked funds already returned to Malaysia by the United States, the country will receive a total of $4.5 billion.</p>.<p>Najib was last month jailed for 12 years after being convicted on all seven charges in the first of several trials related to 1MDB.</p>.<p>The scandal's alleged mastermind, jet-setting Malaysian financier Low Taek Jho, also known as Jho Low, has also been charged in Malaysia and the US.</p>.<p>Low denies any wrongdoing, and his current whereabouts are unknown.</p>