Malaysia PM says govt will cooperate with US in 1MDB probe

Seizures of assets by government authorities are fairly common, but they more typically involve sports cars, yachts and jewellery bought with drug trafficking proceeds or with profits from white-collar crime.

The statement follows a lawsuit filed by USA prosecutors to seize more than $1 billion in assets they said were tied to money stolen from the Malaysian state development fund, which was overseen by the prime minister.

These assets allegedly included high-end real estate and hotel properties in NY and Los Angeles, a $35 million jet aircraft, works of art by Vincent Van Gogh and Claude Monet, an interest in the music publishing rights of EMI Music and the production of the 2013 film The Wolf of Wall Street.

Officials at the Malaysian prime minister’s office said they were yet to read the report.

The rally should “demand the removal of the kleptocrat who has stolen money from the government”, said Mahathir.

The Justice Department says it wants to seize some $1.3 billion of that money, which officials were able to trace through the US financial system. “With this action, we are seeking to forfeit and recover funds that were meant to grow the Malaysian economy and support the Malaysian people”.

“In seeking to seize these forfeited items, the Department of Justice is sending a message that we will not allow the United States to become a playground for the corrupt”, Eileen Decker, the U.S. Attorney in Los Angeles, said at a news conference.

In relation to this, MACC said, the above-mentioned cooperation is focused on the possibility of fraud and money laundering by a businessman who was said to have cheated 1MDB.

China had also come to the rescue over 1MDB’s debt problems when state-owned firm China General Nuclear Power Corporation purchased 1MDB’s energy assets in Edra Global Energy Bhd last November for US$2.3 billion (RM9.8 billion).

“According to the allegations in the complaints, this is a case where life imitated art”, said Assistant Attorney General Caldwell.

The Justice Department described Riza in the complaint as a relative of an unnamed “Malaysian Official 1” – a high-ranking Malaysian government official with authority to approve all appointments and removals from 1MDB’s board of directors and whose approval was needed for the fund’s financial commitments.

“However, Malaysia is ready to fully cooperate with any lawful investigation of Malaysian companies in accordance with global protocols, provided that Malaysia and the United States work together on this matter”, said the Foreign Affairs Ministry in a statement sent to Malay Mail Online.

The back-to-back announcements are the clearest and most damning steps yet taken in more than a year of Malaysian tumult over 1MDB, which was founded and overseen by Prime Minister Najib Razak. Also present are Deputy Minister in the Prime Minister’s Department Datuk Razali Ibrahim (second left) and Felda chairman Tan Sri Mohd Isa Abdul Samad (second right).

He added that there have been no criminal charges pressed against any individuals for misappropriating funds from 1MDB.