KUALA LUMPUR: Claims for damages filed by four companies' court-appointed liquidators suing DBS Bank are linked to accounts opened by Jho Low associate, Eric Tan, says the 1Malaysia Development Bhd (1MDB) Asset Recovery Taskforce.
On Wednesday (Sept 9), the liquidators of four companies, BlackRock Commodities (Global) Ltd, Platinum Global Luxury Services Ltd, Affinity Equity International Partners and TKIL Global Investments Ltd, were reported to have filed and served a claim for damages in the Singapore High Court of more than S$1bil against South-East Asia's largest lender.
In a statement, the taskforce said based on the statement of claim filed, the five accounts in question were opened with DBS in 2013.
It said the account opening papers for all four companies named Tan Kim Loong, better known as Eric Tan, as their sole beneficial owner.
The taskforce also said Tan, who was the signatory on every one of the five accounts, is a Malaysian and a known associate of Jho Low and who acted as his proxy.
The money, once received into the five accounts, was not simply parked there. It was moved back and forth between the four companies for no legitimate reason and paid out to third parties, including jewellers, a private jet charterer and nightclubs.
The money was also paid out in connection with the purchase of a superyacht.
"Between 2013 and 2014, more than US$1bil stolen from 1MDB and SRC International passed through these four companies. That money is owed to 1MDB, so any recovery by the four companies and their court-appointed liquidators is a recovery for Malaysia," said the taskforce.
Welcoming the action, the taskforce said the four companies' court-appointed liquidators are pursuing this claim for the benefit of the fraud victims, including 1MDB.
It said banks are the gatekeepers of the financial system.
"When shell companies with no business move large sums in circles like this, then pay it out to luxury goods dealers, a bank should ask questions. Those questions were not asked.
"Our position is simple. This is a proper claim by court-appointed liquidators and any money recovered will be returned to the Malaysian people," said the taskforce. – Bernama
