1MDB saga

KL brushes aside US lawsuits to seize assets

Malaysian Prime Minister Najib Razak speaking to journalists in Kuala Lumpur yesterday. He has said that those named in the suits, including his stepson Riza Aziz, have the right to legal process in the United States.
Malaysian Prime Minister Najib Razak speaking to journalists in Kuala Lumpur yesterday. He has said that those named in the suits, including his stepson Riza Aziz, have the right to legal process in the United States.PHOTO: REUTERS

Najib stresses it's a civil and not a criminal action, while attorney-general says prime minister isn't named in suits

The Malaysian government has brushed aside US lawsuits seeking to seize US$1 billion (S$1.35 billion) in assets allegedly linked to money laundered from 1Malaysia Development Berhad (1MDB) amid renewed calls for Prime Minister Najib Razak to resign over his role in the troubled state fund.

"We have to establish the facts first. This is a civil action, this is not a criminal action. It is limited to the names mentioned in the DOJ (US Department of Justice) report," Datuk Seri Najib said, adding that those named in the suits, including his stepson Riza Aziz, have the right to legal process in the US.

His press secretary earlier stressed the Malaysian authorities "have led the way" in investigating 1MDB and investigations "found that no crime was committed".

Attorney-General Apandi Ali pointed out that his US counterpart did not name Mr Najib as a defendant in the civil suits filed in California on Wednesday or allege any criminal wrongdoing against the PM.

"There has been no evidence from any investigation conducted by any law enforcement agencies in various jurisdictions which shows that money has been misappropriated from 1MDB (or) criminal charges preferred against any individuals for the offence," the attorney-general said in a statement.

Media reports in July last year said US$681 million linked to 1MDB had been found in Mr Najib's personal accounts. Early this year, Tan Sri Apandi cleared the Prime Minister of any wrongdoing, declaring the money to be a political donation from the Saudi royal family.

 

Related Stories: 

Although the DOJ filing did not name Mr Najib, it referred repeatedly to "Malaysian Official 1", a high- ranking government official who had control over 1MDB and had received US$681 million and is a close relative of Mr Riza.

The DOJ also outlined businessman Low Taek Jho's alleged involvement in siphoning up to US$3.5 billion from 1MDB. Mr Low is known to be a close associate of Mr Riza and his stepfather. Police chief Khalid Abu Bakar said a police probe was ongoing and asked for time for investigators to do their job.

Mainstream newspapers controlled by the government ignored the US action, with the New Straits Times running a commentary online accusing US investigators of "taking the easy way out" by filing a civil suit instead of a "criminal indictment if the DOJ had solid evidence of the wrongdoings".

The opposition and former premier Mahathir Mohamad, who has spearheaded a campaign to unseat Mr Najib, claimed their calls for him to step down have been vindicated.

"I believe the Malaysian people want Datuk Seri Najib to go on leave as Prime Minister so as not to create the perception of abuse of power or process to halt or hinder a full and transparent investigation," opposition leader Wan Azizah Wan Ismail said in a statement.

Tun Dr Mahathir pushed for an independent tribunal and referendum on Mr Najib's leadership if the latter refused to leave office.

"This is an indictment of the involvement of the Prime Minister and his government in the mismanagement and, well, stealing... of money that belongs to the people," he said. "The time has come when the nation must demand for the removal of the Prime Minister."

Despite the latest pressure, Mr Najib's political position in Malaysia is seen as secure. He still has the support of his party while opposition parties are in disarray.

SEE OPINION

A version of this article appeared in the print edition of The Straits Times on July 22, 2016, with the headline 'KL brushes aside lawsuits targeting assets'. Print Edition | Subscribe