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Malaysia's PM Scoffs At Defeated Adversary's 1MDB Claims

Editorial Staff

22 June 2018

The recently-elected Malaysian Prime Minister claims his defeated adversary, Najib Razak, must have known of the questionable dealings involving scandal-hit fund , media reports said.

Najib’s government was kicked out of office – to the surprise of many observers – in May, prompting speculation that the new regime would go after the former PM and associates amid claims that 1MDB money was siphoned off for personal gain. Alleged laundering of money from 1MDB has prompted investigations into banks in Singapore, Luxembourg, Switzerland, the US, and elsewhere. In Singapore, for example, private banks BSI and Falcon Private Bank lost local licences because of serious failings on AML controls. (This publication understands that Singapore authorities continue to probe developments in the Asian city-state.)

Datuk Seri Najib's signature was all over the documents involving 1MDB, said Tun Dr Mahathir, according to the Straits Times (of Singapore), referring to another media interview. "Who wants to believe him that he didn't know, when he signed (them)?" Dr Mahathir was quoted as saying.

"Every bit of money that goes in and out of the first borrowing of RM42 billion, all his signature. If he doesn't know, it must be that he doesn't understand what a signature means." The sum, equal to $10.52 billion referred to by Dr Mahathir, was the debt carried by 1MDB at one point after it issued bonds and borrowed funds to buy assets, including power plants.

Najib has claimed he did not know what went on in 1MDB. Over the past couple of years, he has denied wrongdoing.