Compliance
Malaysia, China Clash Over Location Of 1MDB Man - Report
The man who is alleged to be at the centre of a $4.5 billion theft from the scandal-hit fund 1MDB has been part of a heated discussion between Malaysian and Chinese officials.
Malaysian officials believe that China has been harbouring the man who is alleged to be at the centre of a $4.5 billion theft from the scandal-hit fund 1MDB or 1Malaysia Development Berhad, according to the Wall Street Journal.
Singapore confirmed this summer that it has been pursuing Jho Low via an Interpol Red Notice for the past two years. Malaysia has been trying to arrest him since June.
Reports said that through June and into July, Low had been living freely in China. Malaysian prosecutors sent a police contingent in June to search for him in Hong Kong and Macau. Both times, local authorities told them that he had just flown out, Malaysian police said. Several Malaysian officials say they believe that he is now being harboured in mainland China after helping the country with business deals and diplomacy as the 1MDB scandal blew up.
Malaysia does not have an extradition treaty with China.
Low had a close relationship with former Malaysian Prime Minister Najib Razak, who in turn was courted by China. Malaysia’s new government suspects that Low helped to arrange infrastructure projects, financed by China, from which funds were diverted to cover debts owed by 1MDB.
Low maintains his innocence, spokespersons for his lawyers said. “He will not submit to any jurisdiction where guilt has been predetermined by politics and self-interest manipulated under the guise of law,” they said to WSJ in an emailed comment.
Malaysia’s new government has been working closely with US Justice Department prosecutors, as well as the authorities in Switzerland and Singapore, to investigate Low’s alleged role in 1MDB. The Justice Department alleges that Low used stolen money to finance a billionaire lifestyle in the US, where he befriended Leonardo DiCaprio, gave jewellery to Miranda Kerr and financed the Martin Scorsese movie The Wolf of Wall Street.
This publication published a round-up a few weeks ago on 1MDB and the key developments of the scandal.
