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Bankers ‘paid hooker to sleep with Libyan contact’

A prostitute was paid by Goldman Sachs to 'oil the wheels of a huge deal' by romping with a Libyan official's brother

A HOOKER was paid £500 by bankers Goldman Sachs to romp with a Libyan official’s brother, the High Court heard yesterday.

Alleged fixer Youssef Kabbaj is said to have contacted a prostitute called Michaela and asked her to bring a pal for him and Haitem Zarti during an expenses-paid jaunt to Dubai.

A view of the Goldman Sachs stall on the floor of the New York Stock Exchange
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Goldman Sachs hired prostitutes to win Libyan business...court was toldCredit: Reuters

But Mr Zarti turned down a second night with the girls, texting he was “getting back to God’s way” and going to sleep.

The Libyan Investment Authority — set up in 2006 as sanctions against dictator Colonel Gaddafi were being lifted — is claiming £846million from Goldman Sachs over losses on nine trades in 2008. It says the firm gained the trust of its representatives before encouraging risky investments.

Colonel Gaddafi Meets With Nicolas Sarkozy
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The Libyan Investment Authority (set up when sanctions against Gaddafi were being lifted)...has launched a claim against Goldman Sachs over trade lossesCredit: Getty Images

set up when sanctions against Gaddafi were being lifted

It is claimed that a friendship was built with Mr Zarti to exert influence on his brother, a senior LIA official.

The court has been told Mr Kabbaj would not be called to give evidence because of a settlement agreement with Goldman Sachs over a £3.5million bonus in 2008. The bank’s lawyer Robert Miles QC said:

“We say the theory LIA advances of undue influence and unconscionable bargaining is just not credible.”

Cartier Queen's Cup at Guards polo Club, Windsor Great Park, UK - 11 June 2016
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James Blunt’s wife Sofia Wellesley is expected to give evidence during the caseCredit: Splash News

Posh pop star James Blunt’s wife Sofia Wellesley is expected to give evidence during the case. She formerly worked as a personal assistant to an LIA official.

Goldman Sachs, led by chief exec Lloyd Blankfein denies the claims. The case continues.


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