US returns another RM1.3b of recovered 1MDB funds to Malaysia
The United States Department of Justice (DOJ) has returned another US$300 million (RM1.3 billion at the current exchange rate) of recovered 1MDB funds to Malaysia.
According to Prime Minister Muhyiddin Yassin, this brings the total funds repatriated to Malaysia to US$620 million (RM2.69 billion), as part of DOJ’s Kleptocracy Asset Recovery Initiatives.
The United States Department of Justice (DOJ) has returned another US$300 million (RM1.3 billion at the current exchange rate) of recovered 1MDB funds to Malaysia.
According to Prime Minister Muhyiddin Yassin, this brings the total funds repatriated to Malaysia to US$620 million (RM2.69 billion), as part of DOJ’s Kleptocracy Asset Recovery Initiatives.
“The Malaysian government is pleased to share that thus far, inclusive of this most recent tranche of US$300 million, a total of US$620 million of 1MDB monies – in the form of sales proceeds or assets – have been returned to Malaysia,” Muhyiddin said in a statement today.
This comes after Malaysian fugitive Jho Low, whose full name is Low Taek Jho, and his family reached a historic deal with the DOJ last October involving up to US$700 million (RM3 billion) of 1MDB-linked funds.
The deal was linked to numerous forfeiture claims filed by the DOJ against assets Low had purchased allegedly using monies siphoned from the Malaysian sovereign wealth fund.
Together with prior forfeiture cases, the DOJ said it had recovered more than US$1 billion in assets associated with 1MDB.
Muhyiddin today explained the US$300 million represented some of those assets which had been forfeited and later sold, as well as assets forfeited by individuals linked to the fugitive.
“The process to sell Low’s remaining forfeited assets under the DOJ consent forfeiture judgment is ongoing,” Muhyiddin added.
“I would like to express my gratitude to the US government, particularly the US Embassy in Kuala Lumpur, on their excellent assistance and cooperation in facilitating the return of the US$300 million. I would also like to commend Malaysia’s minister of finance and the attorney-general for their role in the negotiation process.”
Meanwhile, according to Reuters, the recent tranche was repatriated to Malaysia yesterday.
"The payment reflects the United States’ continuing commitment to the Malaysian people to hunt down, seize, forfeit, and return assets that were acquired in connection with this brazen scheme," it quoted Assistant Attorney-General Brian A Benczkowski of the DOJ’s Criminal Division as saying in the statement.
Assets recovered reportedly included high-end real estate in Beverly Hills, New York and London, and millions of dollars in business investments made by Low.
Reuters reported last month that the US had delayed the return of the latest instalment, initially slated for February.
It was first halted due to technical issues and then due to political uncertainty in Malaysia following the collapse of the Pakatan Harapan government.
The DOJ has estimated that US$4.5 billion (RM19.5 billion) from 1MDB was allegedly misappropriated by high-level fund officials and their associates - including Low - between 2009 and 2015.
Penang-born Low, meanwhile, has been charged in absentia in several countries, including Malaysia and the US.
He has denied any wrongdoing, including claims he was the mastermind behind the 1MDB scam and has refused to return to Malaysia to face trial, alleging political persecution by the then Dr Mahathir Mohamad-led Harapan government.
Former prime minister Najib Abdul Razak is facing multiple criminal charges in relation to 1MDB.
The scandal, dubbed one of the largest global financial scandals in history, involved money believed to be laundered through banking institutions in several countries and bankers from Goldman Sachs Group, Inc.
Goldman Sachs apologised to Malaysia last year over the role of its bankers, including its former Asia CEO Tim Leissner, in the scandal.
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