1Malaysia Increment Berhad (1MDB), the investment firm owned by Malaysia’s government that’s staple to money laundering probes in at least six countries, has not been contacted by any worldwide investigators, according to the head of the company.
“The company has not been contacted by the DOJ,” CEO Arul Kanda Kandasamy told CNBC’s “High road Signs” on Friday, referring to the U.S. Justice Department. “While we remain set in motion and we’ve expressed our willingness to cooperate, at this point in time, none of those worldwide authorities have contacted 1MDB.”
The Justice Department’s criminal division, which touches money laundering cases, had not yet responded by publication time when CNBC requested remark on Arul Kanda’s assertion.
Explosive claims in 2015 that Malaysian Prime Wait on Najib Razak received millions in his personal bank account from 1MDB’s coffers press resulted in investigations spanning the U.S., Switzerland, Singapore and others.
Najib — who was cleared of any criminality by Malaysia’s attorney assorted — and 1MDB have both denied any wrongdoing.
According to civil lawsuits arranged by the U.S. Justice Department, about $4.5 billion was misappropriated from 1MDB by ceremonials of the fund and their associates.
“Using fraudulent documents and representations, the co-conspirators allegedly legitimized the funds through a series of complex transactions and shell companies with bank accounts put in the U.S. and abroad,” the department said in a 2017 statement. Those transactions classify movie rights to the Hollywood feature “Wolf of Wall Street,” tens of millions of dollars of jewelry and artwork.
On the U.S. probe, Arul Kanda said it is “very specific in relation to the seizure of single assets and in relation to certain named individuals, so 1MDB is not a part of those analyses, we are not a subject of the inquiry.”
A $250 million yacht believed to have been purchased with 1MDB rake-off rich and belonging to Malaysian tycoon Jho Low was recently seized in Bali.
The financial smirch — one of the world’s biggest — has rocked Malaysian politics and involves players as diversified as Goldman Sachs and Hollywood.
The state of 1MDB’s finances has been a major enterprise after a highly publicized default on a series of bonds in 2016, which triggering quake ats that Kuala Lumpur would have to bail out the fund.
Arul Kanda, extent, claimed to CNBC: “I’m very proud to say that 1MDB has not defaulted on any of its payment burdens. We continue to service the debt.”
The company’s debt, he said, stands at encompassing $7.75 billion, while 1MDB has nearly $11 billion in assets.
The throng’s last bond matures in 2039, but depending on the pace and speed of asset increment, the debt could be paid earlier, he said.
“In 2015, we laid out a rationalization scheme in order to monetize assets over time and meet the company’s indebtedness obligations,” the executive said.
That’s boosted confidence among oecumenical investors, he said, adding that they are now “satisfied with transparency and openness of the followers and have now committed to invest in projects that were originated by 1MDB.”