Benny Tjokrosaputro is an Indonesian businessman who filed a lawsuit in a Jakarta court in September against Goldman’s unit, Goldman Sachs International.
Tjokrosaputro is president director of Indonesian property developer PT Hanson International Tbk (MYRX.JK) and is seeking damages from Goldman for conducting what he called “unlawful” trades in the shares of a property firm.
Goldman Sachs isn’t taking things sitting down though. The company has filed a $1 billion counter lawsuit on Tuesday against Tjokrosaputro.
According to Goldman Sacs, Goldman Sachs International had bought the Hanson shares from New York hedge fund Platinum Partners in a series of “valid” transactions on the Indonesia Stock Exchange (IDX) between February 2015 and March 2016.
It serves to note that top executives of Platinum Partners were not only arrested in December but charged with running a $1 billion fraud.
Goldman’s counterclaim filed is for “the reputational damage and negative business impact” that the Indonesian businessman’s lawsuit has caused.
According to Goldman, it has cost “at least 15 trillion rupiah in immaterial damages”.
“Potential clients that could have wanted to do a transaction or conduct a business relationship with our client might have held themselves back as a result,” stated Harjon Sinaga, a lawyer representing Goldman.
“If the challenge made against Goldman Sachs’ trades by Mr. Tjokrosaputro in the South Jakarta District Court is upheld, investor confidence in all trades by all investors crossing the IDX could be eroded,” Goldman said in the statement.
Disclaimer: We have no position in Godman Sachs Group Inc. (NYSE: GS) and have not been compensated for this article.