‘A bank should ask questions’: Five DBS accounts linked to Jho Low associate in 1MDB case

In the 1MDB Asset Recovery Task Force's filing, it has been revealed that five bank accounts, opened with DBS in 2013, were used to transfer money. The liquidators of four 1MDB-linked companies have filed a claim in Singapore's High Court stating that the money moved between the four companies without any legitimate purpose. The purposeful movement of funds was also noticed as they were paid out to various third parties, including jewellers, a private jet charterer, and nightclubs.

Furthermore, a superyacht purchase also received funds. This emerged following a lawsuit filed against DBS by four entities under liquidation, alongside company liquidators Jason Aleksander Kardachi and Karnjote Singh. They serve as the sole beneficial owners and signatories on all five accounts. The Malaysian national, Eric Tan, who is known as an associate of Jho Low, played a significant role as a proxy for Jho Low.

DBS categorically rejected the S$1.3 billion claim for damages in a lawsuit filed by several entities linked to the 1MDB scandal, expressing their intention to resist the claim aggressively. The bank noted that despite global recovery efforts since 2018, there was no claim against DBS. The 1MDB Asset Recovery Task Force emphasized that banks are gatekeepers of the financial system, and when shell companies without business engage in such activities and pay out to luxury goods dealers, banks should question their actions, which were not done in this case.

Any recovery by the four companies and liquidators is a recovery for Malaysia, as the money is owed to 1MDB, ultimately benefiting the Malaysian people.