Malaysia fines 80 people, companies in 1MDB case: anti-graft chief

Above, documents pertaining to the trial of former Malaysian Prime Minister Najib Razak over the 1MDB corruption allegations are brought to the High Court in Kuala Lumpur on August 28, 2019. (AFP)
Updated 07 October 2019

Malaysia fines 80 people, companies in 1MDB case: anti-graft chief

  • 1Malaysia Development Berhad (1MDB) was set up in 2009 by former Prime Minister Najib Razak
  • Najib, who lost a general election last year, faces dozens of graft and money laundering charges

KUALA LUMPUR: Malaysia has fined 80 individuals and entities for allegedly receiving money from state fund 1MDB, the country’s anti-graft chief said on Monday.
Malaysian and US investigators say about $4.5 billion was misappropriated from 1Malaysia Development Berhad (1MDB), set up in 2009 by former Prime Minister Najib Razak.
Najib, who lost a general election last year, is now facing dozens of graft and money laundering charges over allegations that he received about $1 billion in 1MDB funds. He has pleaded not guilty.
Latheefa Koya, the head of Malaysia’s Anti-Corruption Commission (MACC), told reporters the agency was aiming to recover 420 million ringgits ($100 million) from individuals and entities who had allegedly received funds laundered through accounts linked to Najib.
“We have issued compound notices against all of these people and entities for the purpose of them to pay up the fine,” Latheefa said, adding that they could be fined up to 2.5 times the amount received.
The individuals include Najib’s brother Nazir Razak, the former chairman of Malaysia’s second-largest bank, CIMB, and Shahrir Abdul Samad, former chairman of state palm oil agency Felda.
Funds were also distributed to companies, political parties and organizations linked to Najib’s coalition, a list provided by the MACC showed.
A spokeswoman for Nazir did not immediately respond to a request for comment. Shahrir declined to comment.
In 2015, Nazir went on a leave of absence after the Wall Street Journal reported that he received around $7 million from Najib and disbursed the funds to other politicians before elections in 2013.
An independent review into the money transfer concluded that Nazir did not misuse his position and there was no inappropriate use of the CIMB’s resources, following which Nazir resumed his duties as chairman. He resigned last year after three decades at the bank.
Nazir had received about 25.7 million ringgits in cheques, Latheefa said. She declined to confirm whether these were the same funds that Nazir had allegedly received in 2013.
After winning last year’s election, Prime Minister Mahathir Mohamad’s administration has reopened 1MDB probes, charged dozens of high-ranked officials, and filed civil forfeiture actions in a bid to recover money linked to 1MDB.
Since 2016, the US Department of Justice has filed forfeiture lawsuits on about $1.7 billion in assets allegedly bought with stolen 1MDB funds, including a private jet, luxury real estate and jewelry.
In May, the United States began returning to Malaysia some $200 million recovered from the sale of seized assets.


At Davos, innovative products point to a sustainable future

Updated 24 January 2020

At Davos, innovative products point to a sustainable future

  • A single tree that to bear 40 different types of apple

DAVOS: The World Economic Forum is not all about the fourth industrial revolution or the rise of AI.

You can also find all manner of strange and intriguing products on display from biodegradable plastic made from algae to wallpaper made from recycled corn husks.

One stand titled “How do you design a tree?” is part of a conservation effort where a single tree is designed to bear 40 different types of apple.

Another stand displays colored seaweed on a rack, showing how clothes can be dyed in a sustainable, non-chemically corrosive manner.

Propped along a large wall is Fernando Laposse’s wallpaper made of variations of purple corn husks that are reinforced with recycled cardboard and cork to create wallpaper and furniture. The husks come from corn that needs very little water and can be grown in the desert, which makes it all the more sustainable.

“This initiative helps the local economy as it brings in jobs and a resurgence of crafts and food traditions while also ensuring sustainability,” Laposse said.

Another display shows a machine that extracts pellets from a mixture of algae and starch and is used to create a thread that is the base of 3D printing. These sustainable, biodegradable plastics made from algae are being experimented with in different regions.

With the rise of deep fakes — a branch of synthetic media in which a person in an existing image or video is replaced with someone else’s likeness — another stand delivers a warning on the looming dangers of unregulated software.

The Davos forum prides itself on its sustainability, and key topics have included climate, mobility, energy and the circular economy. Everything is recyclable, and participants must download an application in order to keep up with the program and any changes — a move to cut down on paper waste.