Business

US probes Deutsche Bank’s dealings with 1MDB: Report

The US Justice Department is investigating whether Deutsche Bank violated foreign corruption or anti-money-laundering laws in its work for state fund 1Malaysia Development Berhad (1MDB), The Wall Street Journal said on Wednesday.

The news comes after the bank said it will scrap its global equities unit, cut some fixed-income operations and slash 18,000 jobs globally in a restructuring programme.

Deutsche Bank's work for 1MDB included helping to raise US$1.2 billion (S$1.6 billion) in 2014, the newspaper said, citing sources.

Prosecutors are looking into the role of Ms Tan Boon Kee, a colleague of former Goldman Sachs Group executive Tim Leissner, whom she worked with on 1MDB business, the paper said. Leissner has pleaded guilty in the US to money laundering and foreign bribery charges.

Ms Tan left Goldman to become Asia-Pacific head of banking for financial institution clients at Deutsche Bank, where she was involved with further 1MDB dealings, it added. - REUTERS

BUSINESS & FINANCE