Report: Malaysia vows relentless pursuit of Jho Low despite US deal on 1MDB assets

Malay Mail

KUALA LUMPUR, June 29 — The Malaysian government will continue to look for fugitive Low Taek Jho — better known as Jho Low — until he is found, a report has said.

While Malaysia is aware of the deal that Low had made with the US Department of Justice (DoJ) to return over US$100 million (RM471.8 million) in cash and assets allegedly bought using embezzled money from 1Malaysia Development Berhad (1MDB), sources within Malaysian government were cited in the report as saying this does not mean that Malaysian authorities will stop looking for him.

National daily The Star cited a top-ranking official with knowledge about the 1MDB probe and the search for Low as saying that the Malaysian government and authorities “are aware” of the deal between Low and the US DoJ.

“We are aware that both parties have entered into an agreement. We are in the know of what is happening.

“The agreement means that more assets related to 1MDB can be recovered and returned (to Malaysia),” the official was quoted as saying by The Star.

The Star said that the official did not say when the agreement was made and whether Malaysia had involvement in stating the terms of the deal between Low and the US DoJ.

It cited the official as saying that the agreement is about recovery of assets and that Malaysia will continue searching for Low: “We have not stopped looking for him (Low) and will not stop until he is found.”

Low is wanted by Malaysian authorities over his role in the 1MDB financial scandal, where billions of funds were allegedly stolen from the Malaysian government-owned company.

On June 26, the US DoJ announced on its website that it had reached an agreement with Low, his family members, and trust entities he had established to resolve two civil forfeiture cases, and that it will be recovering over US$100 million in 1MDB-linked money.

The civil forfeiture cases are on assets allegedly bought by Low and his family using money allegedly embezzled from 1MDB, while Low, his family members and the related trust entities have agreed to cooperate in transferring other assets in Hong Kong, Switzerland and Singapore that are linked to 1MDB funds to Malaysia.

The DoJ said the agreement will resolve a civil forfeiture action against a luxury apartment in Paris and artwork by artists Andy Warhol and Claude Monet located in Switzerland, which Low had bought for an approximate total of US$35 million.

Under the agreement, parties have agreed to return to Malaysia real property and cash in bank accounts valued at approximately US$67 million located in Hong Kong, Switzerland, and Singapore.

The US will release US$3.5 million to the trust entities to pay for legal fees and costs associated with the properties but none of these fees are allowed to be returned to Low or his family members, with the DoJ also saying it will coordinate with foreign partners to facilitate the liquidation and return of these assets to Malaysia.

The DoJ said Low faces charges in the US, including for alleged conspiring to launder billions of dollars of embezzled money from 1MDB and conspiring to violate US law by allegedly paying bribes to various Malaysian and Emirati officials, and that the agreement does not release any entity or individual from filed or potential criminal charges.

Singapore news outlet CNA yesterday reported about a confidential global settlement agreement between the DoJ and Low made in early June which would reportedly “forever (resolve) United States’ civil, criminal and administrative asset forfeiture actions or proceeding relating to the disposition” of 1MDB-linked assets.

CNA said the confidential agreement, which has not been made public yet, would involve the surrendering of assets which authorities had identified and also assets that prosecuting agencies globally had not previously claimed.

CNA said it had viewed the Settlement Letter Agreement document, which states that it takes into account “your preference for the United States to handle negotiations with Malaysia, Singapore, Switzerland, France and other foreign countries which have restraining orders in place as to most of the assets described below and in the Actions, and sets forth the procedure for the liquidation and transfer of net liquidated proceeds to Malaysia, as well as our mutual interest in resolving any potential litigation over the assets referenced below in Table 1.”

CNA said the document it viewed had redacted the list of assets.

CNA reported that lawyers for Low had started negotiating this February for a one-time settlement by acknowledging assets that the US knew about and assets previously not captured, and that the US DoJ had warmed up to this fresh deal in early May this year.