David Solomon, CEO of Goldman, cuts his salary of $ 10 million for the 1MDB scandal

Goldman Sachs Group Inc. CEO David Solomon paid for 2020 36%, as punishment Accepting the bank last year It violated the laws of the United States in its dealings with an investment fund at the center of a global corruption ring.

Mr. Solomon received a $ 17.5 million compensation package for 2020, down from the $ 27.5 million he received in 2019, according to a securities filing Tuesday.

In October, Goldman Sachs agreed to pay government officials in four countries nearly $ 3 billion to end an investigation into work it did for 1MDB, a Malaysian fund that prosecutors claimed was used to pay bribes to politicians in Malaysia and the Middle East. The bank said at the time that it would take a total of $ 174 million in compensation from current and former executives.

Goldman said in the filing that Solomon’s salaries for 2020 would have increased by $ 10 million, but as for actions its board took in response to the 1MDB saga. Its compensation package consists of $ 2 million in base salary, $ 4.65 million in cash bonus, and $ 10.85 million in equity bonus related to how well the bank will perform over the next few years.

The costs and fines related to the fallout from the 1MDB scandal set back what had been a great year for Goldman, which got a big boost from markets bouncing from the depths of the coronavirus recession. The annual revenue of $ 44.56 billion was the highest for Goldman since 2009.