A seized luxury yacht sought by the US DOJ as part of a multi-billion
dollar corruption investigation is seen off the shore of Banoa, on the
resort island of Bali, Indonesia, on Feb 28, 2018. Source: Antara
Foto/Reuters
MALAYSIA’S Communications and Multimedia Ministry on Sunday warned legal
action against some of the world’s most influential news organisations
over their coverage on the multi-billion dollar scandal involving a
sovereign state fund.
Deputy Minister Jailani Johari said the government would act against the
foreign media that published “fake news” about the 1Malaysia
Development Berhad (1MDB) scandal, which has thrust back into the
limelight following the recent seizure of a US$250 million superyacht by
Indonesian authorities and US Federal Bureau of Investigations (FBI)
officials.
Jailani said the ministry has identified the news organisations that are
“trying to revive” the 1MDB issue following the seizure of the yacht
off the coast of Bali, Indonesia late last month.
According to Free Malaysia Today(via Bernama) Jailani said among those portals are The Wall Street Journal (WSJ), The New York Times, The Economist, Australian Broadcasting Corporation, and the latest, MSNBC.
US Department of Justice officials sought the seizure of the luxury
vessel last year as it was allegedly bought with money from the
sovereign wealth fund.
In its civil claim, the
department identified Malaysian businessman Low Taek Jho as a person
“whose interest might be affected” by the seizure of the ship.
US authorities have identified Jho Low as a person ‘whose interests may
be affected by the seizure of the super yacht’. Image via@YouTube
Low, who is also known as Jho Low, is reportedly a close associate of
Malaysia’s Prime Minister Najib Razak who set up the fund in 2009.
On the media coverage of the seizure, Jailani said the so-called fake news was spread to taint Najib’s credibility.
“While the government is trying to combat fake news here, these issues
are brought up by sources from outside the country,” he was quoted as
saying.
“The investigations into 1MDB have proven that the allegations of abuse
and loss of money are untrue. The case was investigated by the
authorities, including the Public Accounts Committee, which has members
of the opposition.”
The 1MDB is at the centre of money-laundering probes in at least six
countries, including the United States, Switzerland and Singapore.
A total of US$4.5 billion was misappropriated from 1MDB by high-level
officials of the fund and their associates, according to civil lawsuits
filed by the DOJ.
Najib previously served as chairman of its advisory board. He and the fund have denied any wrongdoing.
Najib inspects the United Malays National Organisation (Umno) youth
during the annual assembly at the Putra World Trade Centre in Kuala
Lumpur, Malaysia, on Dec 10, 2015. Source: Reuters
Low’s whereabouts are unknown and his Hong Kong company has not responded to requests for comment.
Following the seizure, a spokesperson for Low was quoted in Malaysian
media said it was “disappointing that, rather than reflecting on the
deeply flawed and politically motivated allegations, the DOJ is
continuing with its pattern of global overreach – all based on entirely
unsupported claims of wrongdoing”.
Malaysia’s Inspector-General
of Police Mohamad Fuzi Harun said in a statement that the seizure of
Equanimity in Indonesia was a US court civil forfeiture action against
Low and not against 1MDB.
“The Royal Malaysian
Police has also not received any information from Indonesian
authorities or the Federal Bureau of Investigation regarding the seizure
of the Equanimity in Indonesian waters on Feb 28. The RMP has also not
been contacted by any other party to assist in the investigation
regarding the yacht.”
