1MDB scandal: Malaysia says US has returned US$57 million of misappropriated funds
- US Department of Justice is pursuing billions of dollars it says were misappropriated from 1MDB, in the biggest ever case in its anti-kleptocracy programme
Malaysia on Tuesday said the US government had returned some US$57 million in funds recovered from 1MDB assets in the “first instalment” of funds to be repatriated under a US kleptocracy asset recovery initiative.
The US Department of Justice (DoJ), in the biggest ever case in its anti-kleptocracy programme, is pursuing billions of dollars it says were misappropriated from 1Malaysia Development Berhad (1MDB), a state fund founded by former Malaysian prime minister Najib Razak.
The US$57 million repatriated to Malaysia was forfeited from Hollywood film production company Red Granite Pictures, which is linked to Najib’s stepson Riza Aziz, according to the Malaysian Attorney-General’s chambers (AGC).
The DoJ is also in the process of remitting another US$139 million, pending the sale of a Manhattan property linked to fugitive Malaysian financier, Jho Low, the AGC said in a statement. Separately, Jho Low’s luxury yacht, Equanimity, was sold by Malaysian authorities in April for US$126 million.
The AGC claimed US$322 million has now been recovered since the investigation into the 1MDB scandal began in May 2018, following the general election that resulted in Najib losing power.
A separate sum of S$50 (US$37 million) million has been ordered repatriated by Singaporean courts, the AGC said, with S$15 million already credited, with the balance of S$35 million expected to follow soon.
“Such recovery could not be achieved without the assistance and excellent cooperation that the Malaysian authorities enjoy with our counterparts in the United States and Singapore,” the AGC said. “We express our gratitude to them. 1MDB asset recovery efforts across the globe are ongoing, and Malaysia is optimistic of recovering further monies in coming months.”