The Prime Minister's Office (PMO) has described the revelation in The Wall Street Journal (WSJ) as a continuation of the "political sabotage" against Najib Abdul Razak.
In a statement today, PMO said despite his successful stewardship of Malaysia's economy against global headwinds, there have been concerted efforts by certain individuals to undermine confidence in the economy, tarnish the government, and remove a democratically-elected prime minister.
"These latest claims, attributed to unnamed investigators as a basis to attack the prime minister, are a continuation of this political sabotage.
"It has been reported that criminal leaking of documents, doctoring and extortion have taken place to mislead the media and public," it added.
"So it is incumbent on responsible members of the media not to accept documents as genuine unless verified by the appropriate authorities.
"Regarding the allegations themselves, it must be noted that 1MDB has already stated that the company never provided funds to the prime minister," it said.
PMO was responding to the WSJ report quoting unnamed Malaysian investigators as tracing nearly US$700 million of deposits into what they believe to be personal bank accounts of Najib.
"The government probe documents are what investigators believe to be the movement of cash among government agencies, banks and companies linked to 1MDB before it ended up in Najib's personal accounts
"Documents reviewed by Th e Wall Street Journal include bank transfer forms and flow charts put together by government investigators that reflect their understanding of the path of the cash," the report says.
1MDB has denied the WSJ report, stating that none of its funds went to Najib.
The WSJ revelation comes hot on the heels of the arrest of former PetroSaudi International employee Xavier Andre Justo ( photo ).
The Swiss national was detained in Thailand for allegedly attempting to blackmail his former employer.
The Malaysian government claimed that Justo had tampered with leaked PetroSaudi email to smear 1MDB, with Home Minister Ahmad Zahid Hamidi alleging that some Malaysians had asked him to do so.
However, detractors claim this narrative is an attempt to shield 1MDB.
PRIME MINISTER'S OFFICE STATEMENT 3 July 2015Despite the Prime Minister's successful stewardship of Malaysia's...