Wednesday, July 27, 2016

US Lawsuits Deepen Malaysia's 1MDB Scandal

Malaysian premier Najib Razak is believed to be linked to the stolen funds.

Malaysian Prime Minister Najib Razak has effectively abandoned his bureaucrats linked to the long-running scandal involving 1Malaysia Development Berhad (1MDB), saying they would have to fend for themselves against legal action launched in the United States.

“The civil suits brought by the U.S. Justice Department regarding 1MDB must be given space and opportunity for the judicial process to be carried out. Any individual who has been named must clear their own names,” Najib wrote in a social media post.

Najib is unnamed in the suits but is reportedly referred to as Malaysian Official 1 in the American lawsuits. Those who have read all the court documents say he is referred to 36 times.

The United States is suing for the return of $1 billion in assets from $3.5 billion allegedly misappropriated by the fund, which has also accumulated losses of $11 billion. Recent reports also claim a secret deal was hatched between Najib and a Chinese state company to pay off those debts.

Of this, Najib has faced allegations that almost $700 million was transferred from the fund he founded in 2009 to his personal bank accounts ahead of elections in 2013.

U.S. lawsuits also say money was moved between an account held by Malaysian Official 1 and Eric Tan Kim Loong, a business associate of financier Low Taek Jho, a confidante of Najib.

Also named was Najib’s stepson and founder of Red Granite Pictures, Riza Aziz. Perhaps ironically, Red Granite produced the Oscar-nominated film The Wolf of Wall Street.

Najib denies any allegation of wrongdoing.

Read more on The Diplomat

Related news :

Malaysia PM Najib Razak seeks new powers amid protests over 1MDB fund scandal

Is Malaysia's Prime Minister at the Centre of a Billion Dollar Corruption Lawsuit in America?

Van Gogh and Monet paintings seized in 1MDB corruption investigation

US rejects account of how millions got to Najib

No comments: