StanChart Fails to Strike Out 1MDB-Related Claim
Efforts by Standard Chartered to strike out a claim by liquidators that the bank was allegedly involved in the 1MDB scandal have failed.
Standard Chartered’s application to strike out a $2.7 billion 1MDB-related claim has been dismissed by the Singapore High Court.
The claim alleges that the bank permitted over 100 intrabank transfers between 2009 and 2013 that «helped conceal the flow of stolen funds and chose to overlook obvious red flags in relation to the transfer of funds», according to a statement.
«In permitting and/or facilitating these transactions, Standard Chartered Bank failed to comply with Singapore’s anti-money laundering regulations and client due diligence rules.»
Notable Transactions
Examples of notable transactions include a $150 million transfer to the personal bank account of former Malaysia Prime Minister Najib Razak. Najib’s wife, Rosmah Mansor, was also involved with more than $130 million in transfers to jewellery, watch, and bag vendors for luxury goods purchases. The transactions involved three companies – Alsen Chance, Blackstone and Brightstone.
«We are pleased that this application has been dismissed. This dismissal enables us to continue our efforts to hold financial institutions and individuals accountable who were involved in misappropriating money from 1MDB. It also enables us to continue the work of recovering misappropriated assets that rightfully belong to the people of Malaysia,» said liquidators Angela Barkhouse and Toni Shukla of financial and risk advisory firm Kroll.
