Previous Cabinet not informed about China's 1MDB bailout, says KJ

PUTRAJAYA: The previous administration was never informed that China offered to help bail out Malaysia's state-owned 1Malaysia Development Berhad (1MDB) investment fund in 2016, says Khairy Jamaluddin.

Responding to claims made by the Wall Street Journal, the former Youth and Sports minister said the newspaper’s explosive allegations have to be investigated thoroughly.

“As a former Cabinet member, I can categorically state that the Cabinet was never informed that the China deals were linked to bail out 1MDB.

“If there is evidence of that happening, it was without Cabinet approval,” he said via his Twitter account on Tuesday (Jan 8).

WSJ reported that senior Chinese leaders had offered to help bail out Malaysia’s state-owned 1MDB investment fund in 2016, citing from meetings it reviewed.

Chinese officials allegedly told visiting Malaysians that China would use its influence to try and get the United States and other countries to drop probes of allegations that allies of then prime minister Datuk Seri Najib Tun Razak and others plundered the fund, according to the newspaper.

In return, Malaysia offered stakes in railway and pipeline projects, as part of China’s Belt and Road Initiative.

WSJ , China , 1MDB bailout , Khairy Jamaluddin