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Here’s how 1MDB can disprove ‘US$4.5b theft’
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A QUESTION OF BUSINESS | The US Department of Justice (DOJ) in a new filing said that US$4.5 billion (an astonishing nearly RM20 billion) has been allegedly stolen from 1MDB and detailed new spending from the loot. That’s roughly US$850 million (RM3.7 billion) in “stolen” money higher from the figure it had revealed in its earlier filings 11 months ago of US$3.657 billion (nearly RM16 billion) “stolen”.

It is now putting a claim on US$1.7 billion (RM7.3 billion) worth of assets, up from around US$1 billion (RM4.3 billion) which it says were bought with stolen money in the US and elsewhere, under money laundering laws. That still leaves some US$2.8 billion (RM12 billion) in assets unaccounted for but one can be sure over time a huge part of that will be traced.

Remember too that the still secret Auditor-General’s Report on 1MDB, according to reports, said US$7 billion (a mind-boggling RM30 billion) was still unaccounted for in 1MDB’s accounts. So expect more revelations in future and more stories of obscene spending.

Press reports have zoomed in on what will arouse great public interest in the new exposes which includes purchasing jewels at astronomical sums for the wife of Malaysian Official 1 (MO1) and an exorbitantly high-priced photograph for actor Leonardo DiCaprio from the loot.

The DOJ alleged that at least US$27.3 million was used to buy a 22-carat pink diamond pendant and necklace for “MO1's wife” from US$620 million that PM Najib Razak had allegedly returned. It also indicated that the returned "donation" money was used by Penang born-tycoon Jho Low, the alleged mastermind behind the alleged robbery, to purchase a US$750,000 photograph as a gift for DiCaprio.

But that’s much less than the tip of the iceberg. Those gifts totalling RM120 million, as hefty as they are, are a mere drop in the Putrajaya lake as it forms just six-tenths of one percent of the total amount of nearly RM20 billion that the DOJ alleges was stolen from 1MDB. That’s what needs to be addressed and dealt with.

Puzzlingly but not unexpectedly, the outrage among 1MDB itself and prominent people associated with the government is rather misaligned right now, being directed towards the DOJ - not against the perpetrators of the alleged robbery at 1MDB which has taken place under the noses of the authorities.

These people are risking their credibility by heaping abuse on the DOJ, the only body anywhere which is taking action at the alleged theft that so clearly has taken place at 1MDB by seizing assets bought with the stolen money.

Do they really know what they are talking about, even if they are from the PM’s Department, the PM’s wife, his cabinet ministers, his attorney-general, his police chief, etc, etc? And even if they are 1MDB itself?

For a sampling of some of these ridiculous responses, let’s start with 1MDB itself:

“1MDB highlights that it is not a party to the civil lawsuit nor has it been contacted by the DOJ in relation to this matter. 1MDB notes that the civil lawsuit does not contain any appendices with documentary proof or witness statements to support the allegations made by the DOJ.”

What a cop-out! Yes, it is not a party to the lawsuits. The law suit is directed at people like Jho Low and Najib’s stepson Rosmah’s son Riza Aziz who, the DOJ says together with others, have stolen US$4.5 billion. The lawsuits are aimed at recovering assets bought with the stolen money. 1MDB does not even deny that money was stolen from it in its latest statement...

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