US DoJ moves to seize New York luxury apartment bought with alleged 1MDB funds tied to Jho Low’s personal assistant

KUALA LUMPUR, May 28 — The United States Department of Justice has secured a court order forfeiting a luxury apartment in New York allegedly purchased using funds misappropriated from 1Malaysia Development Berhad (1MDB), in the latest recovery linked to the sprawling global corruption scandal.

The US Department of Justice (DOJ) said yesterday that the forfeiture also covered rental income generated from the property, resolving a civil case seeking the recovery of more than US$6 million (RM24 million) in assets tied to an international money laundering conspiracy involving the Malaysian sovereign wealth fund.

According to the DOJ, the condominium unit was allegedly bought for the benefit of May Ling Catherine Tan, described as a personal assistant to fugitive financier Low Taek Jho — better known as Jho Low — using funds siphoned from 1MDB.

The department alleged Tan also profited from the property by retaining rental proceeds.

“Under the forfeiture order entered in this case, the condominium and rental proceeds held by Tan will be forfeited to the US government,” the DOJ said in a statement issued by its Office of Public Affairs.

US authorities reiterated longstanding allegations that billions of dollars were misappropriated from 1MDB between 2009 and 2015 by “high-level officials of 1MDB and their associates” together with Low through a global scheme involving money laundering and embezzlement.

1MDB was originally established by the Malaysian government to drive economic development and attract foreign investment.

Instead, US investigators alleged the fund’s money was diverted to bankroll a lavish international spending spree involving luxury real estate in New York, Beverly Hills and London, a 300-foot superyacht, artworks by Claude Monet and Vincent van Gogh, and investments linked to Hollywood film production and the music industry.

The DOJ also referenced funds allegedly channelled into the production company behind the Oscar-nominated film The Wolf of Wall Street, the redevelopment of Manhattan’s Park Lane Hotel, and shares in EMI.

The forfeiture action forms part of the DOJ’s wider effort to recover assets allegedly linked to the 1MDB scandal, which has triggered investigations across multiple countries over the past decade.

The FBI’s International Corruption Squad in New York is leading the investigation, with assistance from authorities in Malaysia, Singapore, Switzerland, the United Kingdom, Luxembourg, Indonesia, Latvia and France.

The DOJ specifically acknowledged cooperation from Malaysia’s Attorney General’s Chambers, the Royal Malaysia Police and the Malaysian Anti-Corruption Commission (MACC).

Low, once a high-profile financier with close ties to Malaysia’s political elite, remains a fugitive and is believed to be residing abroad.

المصدر: Malay Mail