U.S. Reaching Deal With Jho Low on 1MDB
In what could be the biggest recovery in an anti-corruption case by the U.S. government, the U.S. Justice Department is nearing a deal with financier Jho Low.
The U.S. Justice Department is close to recouping almost $1 billion looted from Malaysian investment fund 1MDB, «Bloomberg» reported, quoting a person with knowledge of the matter.
If settled, it would be the most significant win for the Justice Department’s Kleptocracy Asset Recovery Initiative since it was set up almost 10 years ago to prevent the U.S. from becoming a safe haven of stolen proceeds.
The deal would help resolve forfeiture cases tied to Low, who prosecutors allege orchestrated the theft of more than $4 billion from 1MDB. The deal is not expected to include an admission of guilt or wrongdoing and isn’t tied to the criminal action against him, the person said.
The $2-3 Billion Settlement
The global corruption scandal has ensnared Goldman Sachs and set off investigations across the globe. The settlement could be filed as soon as this week in a California court, the person said, asking not to be cited by name as the deal isn’t public. Representatives for Low and the Justice Department declined to comment.
Malaysia's representatives have discussed figures ranging from $2 billion to $3 billion in their settlement talks with Goldman Sachs, «Bloomberg» reported, less than half the $7.5 billion amount originally indicated by Finance Minister Lim Guan Eng in an interview on «reparation payments».
The Wall Street bank reaped $600 million from its involvement in raising $6.5 billion for 1MDB raise in 2012 and 2013. The bulk of the money missing thereafter and Malaysia has demanded the bank make good those losses.
