Malaysia court sets June for next hearing in Goldman's 1MDB case

The bank is looking to combine four different units that invest in private companies, real estate and other hard-to-access deals, according to the report.

KUALA LUMPUR: A Malaysian court set a new pretrial hearing date for the criminal case against Goldman Sachs Group Inc. relating to the state investment fund 1MDB.

The June 24 hearing will give the court more time to serve summons against two of three Goldman Sachs units at the center of the allegations. At a hearing in Kuala Lumpur on Monday, only the U.S. firm’s Singapore unit was a respondent.

The New York-based bank is accused of misleading investors when it helped 1MDB raise $6.5 billion through bond deals in 2012 and 2013, while allegedly knowing that the funds would be misappropriated. 

Prosecutors have said they will seek criminal fines in excess of the $2.7 billion allegedly misappropriated from the bond proceeds, and the return of $600 million of fees received by Goldman.

Malaysia has filed the charges against Goldman Sachs International (UK), Goldman Sachs (Singapore) and Delaware-based Goldman Sachs (Asia) LLC. Goldman Sachs has denied the allegations and said it will defend the charges, which Malaysia announced in December. - Bloomberg