Ng, 51, faces sentencing today before US District Court judge Margo Brodie in Brooklyn, New York. The former managing director, who was found guilty in April, said in a letter to the judge yesterday that a court-appointed psychiatrist found he suffers from chronic post-traumatic stress disorder (PTSD).
That PTSD is “likely going to be exacerbated by confinement and by any experience that reactivates his trauma,” his lawyer Marc Agnifilo wrote. “Further incarceration would exacerbate this serious mental health condition.”
US attorney Breon Peace’s office has urged that Ng be given a lengthy sentence because he was a key player in the conspiracy to loot the Malaysian fund of billions of dollars.
However, Ng has asked Brodie to sentence him to no jail time in the US, arguing that the six months he spent in a Malaysian prison before extradition to New York and four years of house arrest were punishment enough.
His lawyer also argued that Ng deserves leniency as the Malaysian government “has been made whole” because he relinquished claim to US$35.1 million that it seized from his accounts.
But prosecutors argue that Brodie should ignore Ng’s pleas for time served.
“Roger Ng played a critical role in a massive bribery and money laundering scheme that stole billions of dollars intended for infrastructure and economic projects to aid the Malaysian people,” prosecutors said in court papers.
They urged Brodie to “send a message to other professionals in the financial world who are tempted to gain an advantage or to win business through cheating and bribery.”
Ng and his former Goldman boss, Tim Leissner, were accused of conspiring with Malaysian financier Low Taek Jho (Jho Low), the scheme’s alleged mastermind.
Low paid tens of millions of dollars in bribes to officials in Malaysia and Abu Dhabi to clinch bond deals arranged by Goldman, taking US$1.42 billion for himself. Low, who was indicted with Ng, is a fugitive.
Less time for Leissner
Leissner pleaded guilty and was the government’s star witness at Ng’s trial. He’ll be sentenced in September but will likely get less time due to his cooperation.
Prosecutors say Leissner made US$73.4 million in the scheme.
Former Malaysian prime minister Najib Razak received US$756 million and Khadem al-Qubaisi, a former managing director of Abu Dhabi’s state-owned International Petroleum Investment Co (Ipic), which guaranteed the 1MDB transactions, got US$472.8 million, a forensic accountant with the Federal Bureau of Investigation (FBI) testified at Ng’s trial.
Goldman paid more than US$2.9 billion to US authorities and more than US$5 billion globally for its role in the scheme, with its Malaysian unit pleading guilty in the US to a single conspiracy charge.
Goldman’s US penalty was the largest-ever for violating the Foreign Corrupt Practices Act, a fact which Agnifilo highlighted yesterday.
“The government already sent its message to the world about Goldman when it accepted its money for a deferred prosecution agreement,” Agnifilo said.
Jeff Ifrah, a white-collar defence lawyer and expert on federal sentencing guidelines, said Ng would have a tough time convincing the judge to sentence him to time served. He noted that the size of the fraud is a factor when it came to sentencing, and the scale of the looting at 1MDB suggested Ng could get as many as 30 years.
“Once you’re above that range, it’s equivalent to launching a nuclear weapon in Times Square,” Ifrah said. “How much is the judge going to reduce that?”