Home / Issues / SEC FCPA charges against Goldman Sachs over the 1MDB bond offerings
SEC FCPA charges against Goldman Sachs over the 1MDB bond offerings
Settledas of 31 Oct 2026United StatesThe Goldman Sachs Group, Inc.draft
Current status
Confirmed fact · as of 22 Oct 2020
The SEC's FCPA charges were resolved by an agreed cease-and-desist order dated 22 October 2020 with USD 606.3 million disgorgement and a USD 400 million penalty.
A U.S. Securities and Exchange Commission, SEC Charges Goldman Sachs With FCPA Violations (Press Release 2020-265) (22 Oct 2020) · retrieved 31 Oct 2026
Unanswered question · as of 31 Oct 2026
The SEC release does not state whether Goldman Sachs admitted or denied the order's findings; related criminal and foreign-regulator resolutions arising from the same conduct are not adjudicated in this record.
A U.S. Securities and Exchange Commission, SEC Charges Goldman Sachs With FCPA Violations (Press Release 2020-265) (22 Oct 2020) · retrieved 31 Oct 2026
Last reviewed 31 Oct 2026. An initial allegation is not the final event; this block is always shown.
How it unfolded
Issue raised · 22 Oct 2020
Proposition: The U.S. Securities and Exchange Commission's order found that, beginning in 2012, former senior Goldman Sachs employees used a third-party intermediary to bribe officials in Malaysia and Abu Dhabi to obtain business for the firm from 1MDB (a Malaysian government-owned investment fund), including underwriting approximately USD 6.5 billion in bond offerings, and that Goldman Sachs violated the anti-bribery, internal accounting controls, and books-and-records provisions of the Foreign Corrupt Practices Act.
Affected parties: The Goldman Sachs Group, Inc., U.S. Securities and Exchange Commission, 1Malaysia Development Berhad (1MDB), Government of Malaysia
Originating record: A U.S. Securities and Exchange Commission, SEC Charges Goldman Sachs With FCPA Violations (Press Release 2020-265) (22 Oct 2020) · retrieved 31 Oct 2026
Response · The Goldman Sachs Group, Inc. · 22 Oct 2020
Attributed claim · as of 22 Oct 2020
Chairman and CEO David M. Solomon stated the firm 'did not adequately address red flags' regarding certain members of the deal team and that 'there are consequences for not getting it right and this settlement is an important acceptance of this fact.' The Board of Directors called the matter 'an institutional failure' and announced roughly USD 174 million in aggregate compensation clawbacks, forfeitures and reductions affecting current and former executives. — The Goldman Sachs Group, Inc.
B The Goldman Sachs Group, Inc., Goldman Sachs' Statements Relating to 1MDB Government and Regulatory Settlements (22 Oct 2020) · retrieved 31 Oct 2026
Outcome · U.S. Securities and Exchange Commission · 22 Oct 2020
settlementbinding
Confirmed fact · as of 22 Oct 2020
Goldman Sachs agreed to an SEC cease-and-desist order resolving charges that it violated the anti-bribery, internal accounting controls, and books-and-records provisions of the FCPA. The firm agreed to pay USD 606.3 million in disgorgement (satisfied by payments to the Government of Malaysia and 1MDB in a related settlement) and a USD 400 million civil penalty; the SEC noted the resolution formed part of coordinated resolutions exceeding USD 2.9 billion across multiple authorities. The SEC order is a regulatory settlement, not a criminal conviction of the parent company.
A U.S. Securities and Exchange Commission, SEC Charges Goldman Sachs With FCPA Violations (Press Release 2020-265) (22 Oct 2020) · retrieved 31 Oct 2026
Remedy: USD 606.3 million disgorgement and USD 400 million civil penalty, plus a cease-and-desist order.
Appeal/review: none — Resolved by agreed order; no appeal noted in the SEC release. A U.S. Securities and Exchange Commission, SEC Charges Goldman Sachs With FCPA Violations (Press Release 2020-265) (22 Oct 2020) · retrieved 31 Oct 2026
How to read this. Allegation, response and outcome are separate, dated records. "Decided/resolved" appears only where a cited outcome supports it. Materially affected parties can request a correction via Corrections & response.