Malaysia considers suing foreign banks over 1MDB scandal

Task force eyes institutions it says facilitated 1MDB-related fund transfers

Johari Abdul Ghani, chairman of the 1MDB Asset Recovery Task Force, says Malaysia is mulling legal action against some foreign banks. (Source photos by AP and Hiroki Endo)

NORMAN GOH, Nikkei staff writer

January 23, 2024 18:26 JST

KUALA LUMPUR -- Malaysia is considering filing lawsuits against several foreign banks over alleged malfeasance in the multibillion dollar 1Malaysia Development Berhad (1MDB) corruption scandal, according to the government's 1MDB Asset Recovery Task Force.

Johari Abdul Ghani, chairman of the body, said that a number of foreign banks had facilitated 1MDB-related fund transfers without conducting proper Know Your Client (KYC) processes. He did not specify any particular banks in a statement on Tuesday.