US seeks to recover US$300m more in 1MBD assets held in Britain
[WASHINGTON] The US Department of Justice is seeking to recover $300 million in additional assets allegedly associated with the multibillion-dollar 1MDB scandal, assets it has traced to an escrow account in the United Kingdom, the agency said on Wednesday.
Malaysian and US authorities estimate US$4.5 billion was stolen from 1MDB in an elaborate scheme that spanned the globe and implicated high-level officials in the fund, former Malaysian Prime Minister Najib Razak, executives at US bank Goldman Sachs, and others. Najib has denied wrongdoing.
In a complaint filed in the Central District of California on Wednesday, the Justice Department said the US$300 million was traceable to a line of credit extended by Venezuela's state oil company Petroleos de Venezuela S.A. to Saudi's PetroSaudi Oil Services in connection with an oil drilling venture.
The companies are already embroiled in a legal dispute over the funds which the Malaysian high court has sought to freeze with cooperation from the British authorities.
The Justice Department said it was also seeking four dozen promotional movie posters that Riza Aziz, a Hollywood producer and Razak's stepson, acquired with more than US$4 million in funds traceable to assets embezzled from 1MDB.
Prosecutors dropped money-laundering charges against Aziz in May after reaching a deal in which he agreed to help authorities recover 1MBD-related assets.
SEE ALSO
A NEWSLETTER FOR YOU
Asean Business
Business insights centering on South-east Asia's fast-growing economies.
Wednesday's complaint brings the total value of assets the United States has sought to recover in relation to the scandal to US$2.1 billion - the largest ever asset recovery action brought by the agency. So far the United States has recovered or assisted Malaysia in recovering nearly US$1.1 billion in assets.
REUTERS
KEYWORDS IN THIS ARTICLE
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
International
Thames water crisis risks £100 billion UK investment plan
Indian central bank issues draft guidelines for web aggregators of loan products
Vietnam National Assembly head resigns amid graft purge
China central bank flags bond investment risks to some financial institutions: sources
Xi tells Blinken US, China should be 'partners, not rivals'
Indonesia’s push for regional economic integration to continue under Prabowo: Vivian Balakrishnan