The lawyers are concerned with coming to terms with the multi-billion dollar fraud and corruption scandal in Malaysia. Deutsche Bank is apparently among the defendants.
Dhe Malaysian sovereign wealth fund 1MDB and one of its previous offshoots have filed a number of civil suits against a large number of parties following the corruption and money laundering affair. The Malaysian Ministry of Finance announced on Monday that there were a total of 22 lawsuits against institutions and individuals. The allegations ranged from fraud to conspiracy. According to the information, this involves the recovery of assets with a total volume of more than 23 billion dollars (about 20 billion euros).
The ministry left open exactly against whom the lawsuits are directed. The fund 1MDB itself has filed six lawsuits against nine partly state institutions and 25 individuals, it said. The former offshoot SRC is directed with 16 lawsuits against 15 individuals and eight institutions. The lawsuits from SRC are about abuse of power and fiduciary obligations. The government is now targeting other parties who have directly or indirectly caused losses at 1MDB or SRC, said Finance Minister Tengku Zafrul Abdul Aziz.
According to information from the Bloomberg news agency, the US bank JPMorgan and Deutsche Bank are among the defendants. JPMorgan declined to comment. When asked, a spokesman for Deutsche Bank said the company was not aware of the basis on which a legitimate lawsuit should be built. No post has yet been received on the matter.
The 1MDB fund was set up in 2009 to promote the Malaysian economy. Ex-members of the government and dubious advisors are said to have embezzled most of the funds – allegedly with the help of former employees of the US investment bank Goldman Sachs.
Goldman pleaded guilty last fall and accepted a fine of $ 2.9 billion in a settlement with authorities in several states. Previously, the former Malaysian Prime Minister Najib Razak was sentenced to twelve years in prison in a corruption trial.