A source has told Reuters Goldman Sachs is in talks with the U.S. Justice Department to plead guilty to settle a criminal investigation into its role in the sweeping Malaysian 1MDB corruption scandal.
The Wall Street Journal reported Thursday that the settlement could include a $2 billion fine, and that Goldman may agree to install an independent compliance monitor as part of the deal.
Sources told the Journal the two sides have discussed a deal whereby a Goldman subsidiary in Asia would plead guilty to violating U.S. bribery laws.
The investigation revolves around the Malaysian government's 1MDB fund, for which prosecutors say Goldman raised $6.5 billion.
U.S. authorities say two Goldman bankers and a Malaysian government adviser stole much of that money, using it to buy luxury assets like a yacht and real estate, and to finance Hollywood films like "The Wolf of Wall Street." The Journal says a settlement with the Justice Department would not resolve Malaysia's probe which seeks $7.5 billion from Goldman.
A Goldman spokeswoman told the Journal that resolution discussions are continuing.