Ex-Goldman and Sachs banker, Roger Ng has been denied bail by a Malaysian court. The judge presiding over this case, Judge Edwin Paramjothy Michael Muniady, cited high flight risk as the reason for denying bail.
Roger Ng is facing criminal charges for money laundering at the 1MDB. He is also facing extradition to the U.S for similar charges. Although his lawyer based his bail request argument on the deteriorating health of his client, the judge said that there was not enough proof that his health was in jeopardy.
The judge went further ahead to explain his decision for denying bail, saying that due to the gravity of the case against Ng Roger, he was at high flight risk. These are serious accusations that are of high priority to both Malaysia and the United States.
Tim Leisner, a former Goldman and Sachs partner in Asia already pleaded guilty to violating the Foreign Corrupt Practices Act and conspiring to money laundering. Malaysian financier Low Taek Jho, who is also alleged to be involved, denied the charges. However, he is still at large. Prosecutors in Malaysia filed separate charges for the three of them with an extradition application for Ng Roger in the United States.
Since November 2018, Ng, Roger has been in custody. He was previously hospitalized in early December for various health issues for five days. Some of the illnesses he suffered from were dengue and viral infection, leptospirosis and food poisoning. Despite this, the judge did not find any sufficient evidence related to his health that could not be treated while in custody.
Goldman assisted 1MDB in the issuance of bonds worth 6.5 billion US dollars. However, Kuala Lumpur only accuses the bank and its former officials of misappropriating 2.7 US billion dollars during the issuing process. Goldman vowed to fight the charges brought against the bank, saying that the former Malaysian regime played a role in misleading them and the 1MDB.
In the U.S, the alleged offences said to have been committed by Ng, Roger is punishable by a jail term. His lawyer, Tan Hock Chuan has said that he will appeal to the decision of the Malaysian court to deny his client bail. He will also fight the extradition attempts by the United States Government.
JP Morgan Says that China Has Not Been Doing enough to Stimulate its Economy. According to JP Morgan’s Asset Management department, China has been making moves to salvage its slowing economy, but it’s not enough. Hannah Anderson, a global marketing strategist at JP Morgan, said that China ought to be more aggressive in its efforts to stimulate its slowing economy.
Her comments came after China Central Bank announced that it would cut the reserves that banks are supposed to have. The People’s Bank of China will lower the required reserve by 1% this month.
This is not the first time that the PBOC is making such a move. Early December last year, PBOC introduced another tool that would encourage China commercial banks to lend more to smaller firms. The government went further to promise a step up of other related policies. This step up includes tax cuts and infrastructure spending. Those announcements were motivated by further indicators of slow growth in China.
The addition of American tariffs has contributed more pressure to the slow growth. Trade wars between China and the United States continue to thrive. Anderson argues that the measures taken by the China Central bank are not doing much for the
market of China. She also noted that more should be expected from China in its attempt to curtail its slowing economy. However, she was not clear on the specific measures that China will take to stimulate the growth of their economy.
Mark Williams, an economist at the research firm- Capital Economic wrote that Chinas next potential move would be a cut in the benchmark lending rates. His views were similar to those of JP Morgan’s Hannah Anderson. He also observed that despite the efforts, a rapid improvement in the economy should not be anticipated. The stimulus, however, may be expected to slow down the dip in the growth of the Chinese economy. This positive effect may be seen mid-year, though may fail to appear as significant as one would expect.