Goldman Sachs (GS) chief executive David Solomon will see his annual pay cut by over a third.
The decision was taken by the firm’s board, which stated that 36% of the top boss’ salary will be deducted as a penalty for Goldman’s role in Malaysia’s 1MDB bribery scandal.
In October, the American bank agreed to pay over $2.9bn (£2.3bn, €2.45bn) to end a probe of its role in the corruption scandal.
Solomon’s yearly salary for 2019 was $27.5m (£20m, €22.6m), but he will only receive $17.5m for last year, according to newswires Bloomberg and Reuters.
The $10m shortfall was required by the board to make amends for GS’ criminal role in the looting of the state investment fund.
But the chief executive is nor the only c-suite member to see a significant cut to his salary.
President and chief operating officer John Waldron and chief financial officer Stephen Scherr will have their pay reduced by $7m each.
Goldman Sachs, however, added that none of the three executives were involved or aware of the bank’s participation in the scandal.
