M’sian Police Investigating Husband of Former Central Bank Head for Allegedly Receiving 1MDB Funds

It’s been more than 5 years since the 1Malaysia Development Berhad (1MDB) scandal started and even now, the case is still ongoing.

After former Prime Minister (PM) Najib Razak was found guilty of his charges and sentenced to 12 years’ jail, another high-profile person in Malaysia is now under investigation.

M’sian Police Investigating Husband of Former Central Bank Head for Allegedly Receiving 1MDB Funds

On Wednesday (3 Mar) the Malaysian police said they’re now investigating another person linked to the scandal.

The person in question is the husband of Malaysia’s former central bank head, Tawfiq Ayman.

He had allegedly received funds linked to 1MDB into a bank account he owns in Singapore and is now undergoing money laundering investigation

They are currently trying to obtain statements from abroad, the police added.

Suspicious Transactions

It was reported that Bank Negara Malaysia (BNM) was alerted to suspicious transactions linked to a company owned by Mr Tawfiq and his son in 2015 and 2016.

During this period, Mr Tawfiq’s wife, Dr Zeti Akhtar Aziz, was the governor heading the bank.

The funds reportedly came from accounts linked to Low Taek Jho, also known as the infamous Jho Lo.

Jho Lo is currently wanted by both Malaysia and the United States for his alleged role as the mastermind in the 1MDB scandal.

According to Al Jazeera, Mr Lo had reportedly tried to seek a deal with the Mahathir administration to avoid prosecution.

Requests for comments to a representative for Dr Zeti and Mr Tawfiq were not responded to.

On a separate note, Deloitte, which has been under monitoring for its role in auditing 1MDB, has agreed to pay the government US$80 million (S$106.61 million).

The Timeline Of The 1MDB Saga

Now, in case you’re late to the party and you’re wondering if 1MDB and IMDb are the same since Najib is now a celebrity on a Netflix show, here’s a simple timeline to explain the whole saga:

2009 – 2013

In July 2009, then-PM and finance minister Najib Razak launched 1MDB, described as a “strategic development company driving new ideas and new sources of growth”.

Najib was the chairman of its board of directors.

Two months later in September 2009, 1MDB signs with PetroSaudi International and invested US$1 billion for a 40% stake in a joint venture company.

In March 2012, Najib launched the Tun Razak Exchange, which was built by 1MDB as a new financial district in Kuala Lumpur.

Najib claimed that the “first phase” of this project would bring in US$856.8 million in direct foreign investment.

In May and October of the same year, US investment bank Goldman Sachs helped 1MDB sell bonds worth US$3.5 billion to buy power assets.

In March 2013, Goldman Sachs helped 1MDB raise another $3 billion in an additional bond sale to cover “new strategic economic initiatives” between Malaysia and Abu Dhabi.

In December of that year, the movie, Wolf of Wall Street, and was produced by Najib’s stepson Riza Aziz and financed by Jho Low.

2015

This was the year that things started falling apart.

In January 2015, 1MDB missed a loan repayment.

In March 2015, a task force was set up to investigate the company.

In July 2015, it was revealed that nearly US$700 million had been put into Najib’s personal bank account.

That was when Najib started to make his move. He removed critics from the government, reshuffled the cabinet, and fired the person who was leading the investigation closer to his tracks.

The domestic investigation was then shut down.

2016

The new attorney-general cleared Najib of the charges, and says the amount was a donation from a prince in Saudi Arabia.

In a Netflix documentary, Najib said that in Malaysia, it wasn’t illegal for them to receive “gifts”.

In July 2016, the US filed a civil lawsuit to seize assets that were allegedly bought with 1MDB funds.

2017

This year, the US took a prominent role.

In June 2017, the Justice Department alleges that more than US$4.5 billion were embezzled by senior officials and their associates.

Two months later, a criminal investigation was “underway”.

2018

The opposition coalition, led by ex-prime minister Mahathir, wrestled the ruling mandate away from the ruling United Malays National Organisation (UMNO) in 2018.

Two days later, Najib and his wife were banned from leaving Malaysia after they announced they were going on a short holiday.

The authorities conducted raids on properties linked to Najib and his wife and seized items, including handbags and jewellery, amounting to more than US$270 million.

Charges were also made against Najib, his wife Rosmah, and Goldman Sachs.

2019

Najib’s first trial started and a superyacht allegedly bought with funds from 1MDB, was finally sold.

2020

The ruling mandate returns to UMNO and Najib’s stepson, who produced the movie in 2013, was cleared of all charges after a US$107.3 million settlement with the prosecutors.

In June 2020, Najib tries to get the government to pay for damaging his wife’s bags.

In July 2020, Malaysia manages to reach a US$3.9 billion settlement with Goldman Sachs as well and stops investigating the bank’s role in the 1MDB scandal.

Also in July, Najib was sentenced to 12 years’ jail, with another 5 years to be served if the fine of RM1.69 billion (S$555 million) is not paid.

He has since filed an appeal.

It looks like the 1MDB saga won’t be ending for a while.

Feature Image: Sarawak Report