Malaysia slaps fresh charges on suspects in 1MDB scandal

Malaysian police yesterday slapped fresh charges and issued arrest warrants on a fugitive Malaysian businessman, alongside four others, for their alleged involvement in troubled state development fund 1 Malaysia Development Berhad (1MDB). Low Taek Jho and four aides were charged in absentia with a total of 13 counts of money laundering and criminal breach of trust. 1MDB is being investigated by at least six countries – including the United States, Singapore and Switzerland – over alleged money laundering and graft by high-level officials during former premier Najib Razak’s tenure. US prosecutors say officials misappropriated some $4.5bn in total from the fund. Low, who has emerged as one of the central figures in investigations, was charged with five counts of money laundering involving transfers totalling $1.03bn into a Swiss bank account between Sept 30, 2009 and Oct 25, 2011. Together with his aide Tan Kim Loong, they face additional charges of money laundering charges for receiving $126mn in a Singapore-based bank account. 1MDB’s former general counsel Jasmine Loo Ai Swan, former business development director Casey Tang Keng Chee, and former finance executive director Terence Geh Choh Heng were also charged. The charges come after eight counts of money laundering were levelled against Low in August. The whereabouts of the five accused are still unknown. But police chief Mohamad Fuzi bin Harun said Malaysia would “seek co-operation from the relevant authorities outside of the country and from Interpol” in nabbing them, including requesting extradition. Low’s spokersperson called the fresh wave of charges “no more than continuation of the trial by media and political reprisals.” In November, two ex-Goldman Sachs officials were charged in a three-count criminal indictment by the US Justice Department with conspiring to launder billions of dollars embezzled from the fund and paying bribes to officials from Malaysia and Abu Dhabi. Former prime minister Najib and his wife Rosmah Mansor also stand accused of multiple charges of money laundering and criminal breach of trust for allegedly embezzling millions of dollars to splurge on private residences, designer goods and jewellery.