US Seeks to recuperate $300 Million in 1MDB-Linked UK Assets

The US Department of Justice announced on Wednesday that it was seeking to recover a further $300 million in assets allegedly connected with the international 1MDB scandal, which it has traced for an escrow account in the UK.

The $300 million was traceable to some line extended to Saudi Arabia's PetroSaudi Oil Services by Venezuela's state oil company Petroleos de Venezuela SA in connection with an oil-drilling venture, the DOJ said inside a complaint filed within the Central District of California on Wednesday.

Both information mill currently involved in a legal dispute over the funds under consideration, that the Malaysian high court has endeavoured to freeze with cooperation from British authorities.

In accessory for the $300 million, the DOJ asserted it had been also seeking to recover four dozen promotional film posters acquired by Riza Aziz, a Hollywood producer and stepson of former Malaysian Prime Minister Najib Razak, using over $4 million in funds related to assets embezzled from 1MDB.

Set up in 2009, 1Malaysia Development Berhad was established as a Malaysian state fund meant to promote development through foreign investments and partnerships. Chaired by Najib Razak, the fund had become the centre of 1 from the largest financial scandals in history, as the DOJ believes that more than $4.5 billion was stolen from the assets.

In July, investment bank Goldman Sachs decided to a $3.9 billion settlement using the Malaysian government over its executives' alleged failure to do something while billions of dollars in funds overseen through the bank were stolen.

Following the filing of Wednesday's complaint, the entire value of assets being sought through the DOJ with regards to the 1MDB scandal has risen to $2.1 billion, marking the biggest asset recovery action the company has taken up to now. The US has recovered or assisted Malaysia's recovery of almost $1.1 billion in 1MDB-related assets to date.