Wednesday, July 20, 2016

1MDB: Malaysia 'will co-operate' with US investigation

The office of Prime Minister Najib Razak has said Malaysia will "fully co-operate" with any lawful investigation into scandal-hit state fund 1MDB.

US authorities moved on Tuesday to seize more than $1bn (£761m) in assets from the fund set up by Mr Najib to transform Malaysia into a banking hub.

Mr Najib is not named directly in the papers but "Malaysia official 1" is identifiable as someone whose account allegedly received funds.

He has always denied any wrongdoing.

Mr Najib was officially cleared of criminality by the country's attorney general earlier this year.

 The court papers, filed in Los Angeles, allege that misappropriated 1MDB money was laundered through accounts in the US.

The US justice department alleges the money financed lavish lifestyles of "multiple individuals including public officials".

FBI Deputy Director Andrew McCabe told reporters in Washington: "The Malaysian people were defrauded on an enormous scale."

If successful, the US justice department intends to seize assets including property in the US, UK and Switzerland.

There is no allegation that Mr Najib spent any of the money but people close to him are accused of using billions of dollars to buy jewellery, art and luxury properties; pay gambling expenses; and hire musicians and celebrities to attend parties.

Read more on BBC

Related news  :

U.S. Maps 1MDB Fraud Trail From Kuala Lumpur to Hollywood

Najib Razak 1MDB Corruption Scandal - US Investigating Goldman Sachs

How Malaysia's 1MDB Fund Scandal Reaches Around the World 


 

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