Singapore court orders return of S$15.3 million in pilfered 1MDB money

SINGAPORE — A Singapore court has ordered millions of dollars misappropriated from beleaguered state investment firm 1Malaysia Development Berhad (1MDB) to be returned to Malaysia, the first time the Republic has repatriated assets to its neighbour following a globe-spanning probe.

The funds in various currencies total about S$15.3 million, and are being transferred to a special 1MDB recovery bank account in Kuala Lumpur, according to an emailed statement on Monday (Sept 10) from Tan Rajah & Cheah, a Singapore law firm.

“Efforts to recover other unlawfully misappropriated assets are ongoing,” said Tan Rajah & Cheah, which is advising the Malaysia government and 1MDB on recovery efforts. The so-called disposal orders for the repatriation were handed down by the Singapore State Courts, according to the statement.

Malaysia's Finance Minister Lim Guan Eng thanked the Singapore court for its decision and said he hoped it would be "the beginning of more to come".

"After all, the sum of these monies is only the tip of the iceberg to be returned relating to 1MDB.

"We also want to thank the Attorney-General for his efforts which are now bearing fruit," he said in a statement following news that the monies are being transferred to the special 1MDB recovery bank account in Kuala Lumpur.

Malaysia’s Prime Minister Mahathir Mohamad has said he is seeking to claw back US$4.5 billion (S$6.21 billion) potentially lost from 1MDB. Malaysian investigators are collecting information with cooperation from the foreign authorities, including the US and Singapore, to trace complex transactions that have spawned investigations in at least 10 countries.

Tun Mahathir has said he wants the return of a US$35 million Bombardier Global 5000 jet parked in Singapore. The plane belongs to financier Low Taek Jho, described by investigators as a key character in the probe. Low has consistently denied wrongdoing.

Singapore said last month that it had not received a formal request from Malaysia for the return of the jet. 

The jet was grounded last year in Singapore, according to some media reports.

Last month, aviation services firm Jet Aviation said a Bombardier Global 5000 with the same registration number as the one identified by the US Department of Justice was at its facility at Seletar Airport in Singapore.

A spokeswoman for Jet Aviation said the firm was "working closely with the local authorities". She declined to say how the firm came to be in possession of the aircraft. AGENCIES