KUALA LUMPUR: The High Court has granted the government a three-month extension on a restriction preventing PetroSaudi International Ltd (PSI) and its director Tarek Obaid from accessing US$340mil (RM1.61bil) linked to 1Malaysia Development Bhd (1MDB).
Justice Noor Ruwena Mohd Nurdin made the order after allowing an application by deputy public prosecutor Mahadi Abdul Jumaat, following a notice filed by the plaintiff on Dec 5.
"I have considered the objection by the respondent (Obaid) as this matter has been prolonged.
"However, I must also consider the public interest. The court has to strike a balance and give it a bit of time in order for prosecution to wrap up their case," she said here on Tuesday (Dec 23).
The court allowed a three-month extension, which ends on March 23 next year, from the date of order.
On May 10, the government successfully blocked PSI and Obaid from accessing the US$340mil (RM1.61bil) tied to 1MDB. The funds are held in a client account at Clyde & Co LLP in the UK for PetroSaudi Oil Services (Venezuela).
In 2020, the court issued an interim order to prevent the parties from moving the funds linked to 1MDB, keeping them in an escrow account. The interim order maintains the status quo until the government’s prohibition application is resolved, which seeks to restrict dealings with the funds belonging to PSI and PSOS-VZ in the escrow account.
The Malaysian government alleges the funds originated from 1MDB in a 2010 joint venture with PSI to form 1MDB PetroSaudi Ltd.
The application was filed under Section 53 of the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act 2001.
