Police are probing the connection between Good Star Ltd and 1MDB-linked tycoon Low Taek Jho, better known as Jho Low.

"That is part of our investigations," inspector-general of police Khalid Abu Bakar told a press conference in Ampang today.

He said this when asked if police would follow up on The Wall Street Journal's (WSJ) report that Jho Low was the sole owner of Good Star.

Reuters had also confirmed Low's ownership with an official who reportedly had knowledge of a regulatory investigation.

Some US$1.03 billion from 1MDB was diverted into Good Star in 2009, when the state investment fund was doing business with PetroSaudi International (PSI).

The status of Good Star's ownership is important because it will determine whether 1MDB's funds had been siphoned away or that it was indeed used for investment.

The government has insisted that Good Star was a subsidiary of PSI, while Jho Low has denied links to Good Star.

Similarly, Public Accounts Committee (PAC) chief Hasan Arifin had also denied WSJ's report citing a Bank Negara letter that Jho Low owned by Good Star.

Hasan said this was because Bank Negara had stated that the information provided to the PAC was 'intelligence grade'.