KUALA LUMPUR: 1Malaysia Development Bhd's (1MDB) fund of US$13mil was used by two "players" at casino and resort company Las Vegas Sands LLC in the United States 12 years ago, the High Court here has been told on Monday (Nov 4).
UK-based financial fraud investigator Richard Templeman said the two were fugitive businessman Low Taek Jho, or Jho Low, and his associate Eric Tan Kim Loong.
According to Templeman, on June 20, 2012, US$41mil was transferred from Red Granite Capital, a company owned by Riza Shahriz Abdul Aziz (aka Riza Aziz), the stepson of Datuk Seri Najib Razak, to a shell company named Alsen Chance.
Alsen Chance, with no legitimate business, was used to launder funds misappropriated from 1MDB and SRC International Sdn Bhd, and it then distributed these funds (US$41mil) to various parties, including the casino company.
"US$13mil (approximately RM57mil at current rates) was transferred to Las Vegas Sands LLC, whereby US$11mil was on July 10, 2012, marked for 'Player No 3454296' and US$2mil on July 11, 2012, marked for 'Tan Kim Loong Player No 4678710'.
"Meanwhile, on July 23, 2012, amounts of US$7.35mil and US$1.3mil were credited to the Alsen Chance account from Las Vegas Sands LLC. These payments were marked 'funds due from Low Taek Jho' and 'funds due from Tan Kim Loong'.
"It seems likely these funds were the balance of those paid out to Las Vegas Sands LLC on July 10 and 11, 2012, and therefore represent the funds transferred from Red Granite Capital to Alsen Chance," said the British citizen1.
In his witness statement, Templeman – who has 24 years' experience in the investigation of complex fraud and financial crime – said that Riza Aziz also received millions of monies from Good Star Limited, a company owned by Jho Low, from 2011 onwards.
For the record, in 2009 and 2011, Good Star received US$700mil and US$330mil respectively from 1MDB.
In May 2021, 1MDB and its three subsidiaries, namely 1MDB Energy Limited, 1MDB Energy Holdings Limited and 1MDB Energy (Langat) Limited, filed the suit against Riza Aziz, Red Granite Pictures Inc and Red Granite Capital Ltd for allegedly receiving around US$248mil in funds that they misused for their personal gain, including financing a film and purchasing various properties.
1MDB claimed that Riza Aziz had misappropriated their funds from Jho Low or was wilful and reckless in failing to make relevant inquiries as to the sources of the funds.
As such, the plaintiffs were seeking a declaration that Riza Aziz was responsible for the misappropriated funds, demanding a repayment.
In a statement of defence filed in 2021, the defendants claimed to have obtained a loan from the Saudi royal family or the International Petroleum Investment Company to produce several films in the United States.
The trial before Judicial Commissioner Datuk Raja Ahmad Mohzanuddin Shah Raja Mohzan continues. – Bernama
