Malaysian and Indonesian authorities have usurped the authority of the courts in California and Jakarta in handing over the superyacht Equanimity into Malaysian custody, lawyers for Equanimity (Cayman) Ltd claimed.

Based on reports from Equanimity Ltd’s counsel in Indonesia and subsequent media reports, they said a team of 13 Indonesian police officers and three Malaysian officials - some of whom were armed - boarded the vessel on Aug 2.

This took place despite the Indonesian police being fully aware that a US court had asserted jurisdiction over the yacht and having helped the US court enforce its arrest warrant on the vessel, twice.

“Therefore, knowing full well that a US court had asserted jurisdiction over the Yacht, and that the US government had acted in concert with Indonesian authorities in allegedly effecting seizure of the yacht, Indonesian National Police (INP) officials and the Malaysian government wrested custody and control of the yacht from the US government and forced its crew to charter a course from Indonesian waters,” states a court filing made this morning (yesterday in California time).

The filing was made at the Central California District Court by the lawyer Jeremy D Matz hours after the US Department of Justice (DOJ) informed the court that the Equanimity had already been handed to Malaysian authorities, and asked for time to find out what the Malaysian government’s intentions are.

Equanimity Ltd’s lawyers said that the California Central District Court had granted the US government protective custody over the vessel on May 15, putting the US government in charge of its day-to-day running and to bring it to US waters.

Shortly thereafter, they said, the US government had replaced the previous crew with its own crew and assumed control over the vessel.

They said that despite these developments, Indonesian and Malaysian officials boarded the vessel on Aug 2, and INP officials then announced on Aug 4 that the Equanimity would be taken to the Batam Island Free Trade Zone, where it would be formally handed to the Malaysian government.

Malaysian police had said that the Equanimity is expected to reach Port Klang at noon today. The vessel docked at the Boustead Cruise Centre in Port Klang about that time.

'Judicial orders deliberately disregarded'

“From its actions, the Malaysian government - working through members of the INP - has deliberately disregarded and contravened judicial proceedings and orders issued before both the South Jakarta District Court and the (California) Court in order to carry out a state-sanctioned taking without due process.

“By forcibly commandeering the US government’s appointed crew and transporting the US government-controlled yacht from Indonesian waters, the Malaysian government and various INP officials have defied the express judgment of the South Jakarta District Court, which on April 17, 2018, found that the INP’s prior efforts to seize the yacht violated Indonesian law, and ordered the return of the yacht to its rightful owner, the claimant Equanimity (Cayman) Ltd,” the lawyers said.

The April 17 South Jakarta District Court decision refers to a ruling nullifying the INP’s Feb 28 seizure of the Equanimity on technical grounds.

The DOJ had since submitted a formal request for mutual legal assistance through proper channels in Indonesia on April 19, and Indonesian police served the arrest warrant from the Central California District Courts on the vessel on July 9.

The Equanimity lawyers added that on Aug 6, they had filed a new pre-trial petition to the South Jakarta District Court, asking the court to compel the INP to act in accordance to its April 17 court order.

They also challenged the legality of the arrest warrant and the seizure.

Nevertheless, the Equanimity Ltd lawyers stressed that they are not alleging that the US government is complicit in the Malaysian government and the INP’s actions, and the DOJ’s notice earlier today suggests that Malaysian and Indonesian authorities had “acted unlawfully and without consulting US counterparts”.

They asked that the California Central District Court allows the DOJ’s request to make formal inquiries regarding Eqanimity’s status and report back to the court by Aug 17.

However, they said, the court should turn down the DOJ’s request to suspend proceedings, saying that the DOJ is not entitled to some “undefined, indefinite” suspension.


RELATED REPORTS

Jho Low says M'sian seizure of Equanimity 'illegitimate'

1MDB claims ownership over Equanimity, cites DOJ allegations

Arrest warrant obtained to seize yacht, says AG

IPIC settlement more important than Equanimity, says Najib

Equanimity arrives in Port Klang

DOJ seeks to suspend Equanimity court proceedings in the US