A total of 17 Goldman Sachs current and former employees have been charged after a corruption investigation in Malaysia.

The country’s state development fund, 1MDB, has been at the centre of allegations of fraudulent misappropriation of large sums of money.

Malaysia’s attorney general Tommy Thomas said that both jail time and fines would be sought against those charged with offences, including fraudulent misappropriation of billions in bond proceeds.

Bond offerings

The investment bank helped raise €5.8 billion through bond offerings for 1MDB.

The bank said it would "vigorously" defend the charges. If convicted, the 17 charged, including London’s most senior banker Richard Gnodde, could face prison sentences of up to ten years and large fines.

Last December, Malaysia filed criminal charges against Goldman Sachs and two former employees in connection with the corruption and money-laundering investigation at the fund, which is being investigated in at least six countries.

Also named by Malaysia's attorney general are Michael Sherwood, a former co-head of Goldman's European operations, and Michael Evans, a former partner who is now president of Chinese e-commerce company Alibaba.

Hollywood 

Prosecutors have previously said that the money raised by the state fund was used to buy luxury properties, a private jet, Van Gogh and Monet artworks, and to finance a Hollywood blockbuster The Wolf of Wall Street, starring Leonardo DiCaprio, who has not been accused of any wrongdoing.

Also charged last December were former bankers Tim Leissner and Roger Ng, respectively the former South East Asia chairman and the former Goldman Sachs managing director.

Leissner has already pleaded guilty in the US to conspiring to launder money and violating anti-bribery laws.

The 1MDB state fund was set up by former prime minister Najib Razak in 2009.