Hearing of US$340mil 1MDB-linked suit on Dec 6 and 9

KUALA LUMPUR (Bernama): The government’s application to block PetroSaudi International Ltd (PSI) and its director Tarek Obaid from using over US$340mil (RM1.4bil) linked to 1Malaysia Development Berhad (1MDB), which was kept in a client’s account at a UK law firm, will be heard on Dec 6 and 9 at the High Court here.

Judge Datuk Ahmad Shahrir Mohd Salleh fixed the dates after hearing the latest developments in the case from deputy public prosecutor Budiman Lutfi Mohamed.

"The next case management will be on Nov 11 and any further affidavit or affidavit-in-reply must be filed on or before Nov 10. There would be no further affidavits after Nov 10,” the judge said.

Earlier, Budiman said the UK law firm, Clyde & Co LLP, had informed the prosecution in writing that it did not wish to respond to the prosecution’s affidavit served to it.

In a proceeding on Oct 8, Budiman told the court that the prosecution had served the cause papers on three foreign entities, namely PetroSaudi International Limited in Saudi Arabia, as well as the two London based companies, Clyde & Co and Temple Fiduciary Services Limited.

Hence, he said, they needed time to confirm whether or not the entities wanted to respond and file an affidavit on the documents served to them.

On July 16 last year, the court granted the government’s application for an interim order to block the parties from moving the monies linked to 1MDB and kept in a client’s account at the UK-based law firm, to other entities.

The interim order is to maintain the status quo of the parties until the disposal of the government’s prohibition application seeking an order to restrain any dealings on the monies belonging to PSI and PSOS-VZ which are currently in an escrow account held by Clyde & Co.

Besides the US$340mil, the government, in its application, is also seeking unspecified money that was deposited under an intermediate account name, Temple Fiduciary Services Limited, at Barclays Bank in the UK.

The application, filed under Section 53 of the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act, named Tarek, PSI, PSOS-VZ, Clyde & Co and Temple Fiduciary as the first to fifth respondents. – Bernama