1MDB-linked firms put into Chapter 15 as liquidators seek assets

LIQUIDATORS of companies linked to the 1Malaysia Development Bhd scandal have filed for Chapter 15 under the US bankruptcy code, as they look to recover assets. 

A petition listing 1MDB Energy Holdings, Platinum Global Luxury Services, Aabar International Investments PJS, Blackrock Commodities (Global) and Alsen Chance Holdings – all registered in the British Virgin Islands – was submitted in the Southern District of Florida court, dated Feb 15. 

Liquidators said the companies were subject to proceedings in the British Virgin Islands and made the US petition because they hope to obtain information on the misappropriation of funds, according to the documents. 

Malaysia’s 1MDB investment fund became the centre of a multibillion-dollar scandal that has spawned investigations around the world into deal-making, election spending and political patronage under former Prime Minister Najib Razak.

The filing said all five firms in question “acted as conduit for funds” from 1MDB to other entities and individuals. BLOOMBERG