1MDB continues its asset recovery campaign after achieving a settlement with Goldman Sachs, targeting multiple domestic and global entities including J.P. Morgan, Deutsche Bank and Coutts.

Malaysia’s Ministry of Finance confirmed the filing of 22 civil suits including 16 by state-owned investment fund 1MDB and 6 by former subsidiary SRC International.

The suits were filed with the aim of recovering about 96.6 billion Malaysian ringgit ($23 billion), according to a statement from the ministry.

Targeted Foreign Entities

According to a report by local business daily «The Edge», 1MDB is claiming $1.11 billion from Deutsche Bank (Malaysia) Bhd, $1.03 billion from a Swiss-based Coutts unit and $800 million from J.P. Morgan (Switzerland) Ltd.

Elsewhere, Deutsche Bank will benefit from related relief after the U.S. Department of Justice notified the bank that an investigation into its role in the 1MDB scandal had been dropped, according to «Bloomberg» report.

Other foreign entities targeted include Riyadh-headquartered PetroSaudi International and its founder Tarek Obaid.

Targeted Domestic Entities

Of the 96.6 billion Malaysian ringgit, the lawsuits aim to recover 300 million Malaysian ringgit from alleged domestic receipts of siphoned funds from 1MDB and SRC.

Local claims were launched against individuals like ex-premier Datuk Seri Najib Razak; his stepson Riza Aziz; ex-1MDB chairman Tan Sri Che Lodin Wok Kamaruddin and former 1MDB CEOs Datuk Shahrol Azral Ibrahim Halmi, Arul Kanda Kandasamy and Mohd Hazem Abdul Rahman. 

The suits also named fugitive businessman Low Taek Jho, his father Tan Sri Larry Low Hock Peng, sister Low May Lin and close associate Eric Tan Kim Loong. 

Track Record

The latest chapter of the Malaysian government’s asset recovery efforts follows effective settlements recently achieved. 

They include a deal with Goldman Sachs to pay $2.5 billion alongside its commitment to recover another $1.4 billion of 1MDB assets seized by various authorities worldwide. Settlements were also made with Deloitte for $80 million and AmBank for $700 million – a move that caused ANZ Bank to register a write-down of its stake and lower first-half earnings. 

«Following significant and successful settlements with Goldman Sachs, AmBank Group and Deloitte PLT, the government’s recovery efforts are now focused on pursuing other wrongdoers,» said Finance Minister Tengku Datuk Seri Utama Zafrul Tengku Abdul Aziz. «[T]he government will not rest until all those involved are made fully accountable for the wrongdoings caused to the country through their involvement in 1MDB and/or SRC.»