Malaysias ex-premier may face property embezzlement, money-laundering charges

Malaysian authorities are weighing charging former Prime Minister Najib Razak with money laundering and misappropriation of property, reports said.

As investigations into scandal-embroiled state fund 1Malaysia Development Berhad (1MDB), Najib Razak may face charges of dishonest misappropriation of property and money laundering, a source familiar with the matter told Thomson Reuters, while Najib has denied any wrong act in relation to the fund, maintaining that he is charged on “political grounds.”

Under the Malaysian Penal Code, property misappropriation carries a maximum of five-year prison sentence and a fine which depends on the offence and the misappropriated amount, while money laundering is punishable with a maximum jail sentence of 15 years and a fine of no less than the laundered proceeds.

This came following reports of millions of dollars siphoned to the former premier’s personal bank accounts from 1MDB, which he founded in 2009, and its former subsidiary SRC International.

It is worth noting that Najib lost the general elections in early May for Mahatir Mohamad who pledged to retrieve funds allegedly siphoned from 1MDB, and punish those responsible.

Moreover, Malaysia’s newly appointed Attorney General Tommy Thomas stated on Tuesday that he is considering pursuing criminal and civil action, as the Malaysian Anti-Corruption Commission (MACC) submitted to his office investigation documents on 1MDB, which is also the subject of money-laundering probes in the US, Switzerland and Singapore among other countries.

At the current moment, the attorney general is left to decide whether to accept or reject the recommendations, bring different charges, or order further investigations.