Goldman Sachs Tightened Risk Oversight After 1MDB Deal, FT Says
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Goldman Sachs Group Inc. was told by regulators to tighten its risk oversight and increase reports of internal debates about deals just after the bank completed $6.5 billion of bond financing for 1MDB, the Malaysian fund, the Financial Times reported.
Goldman implemented changes to the internal committees that oversee how its operations work, under pressure from the New York Federal Reserve, according to the newspaper. The reforms were agreed upon in 2013 after the Fed pressed Goldman to be more transparent, but weren’t publicly disclosed, the paper reported.