🌐 What’s the Big Deal?

The 1Malaysia Development Berhad (1MDB) scandal involves billions of dollars allegedly stolen from Malaysia’s sovereign wealth fund between 2009 and 2014. Investigators say over US$4.5 billion was misappropriated.

For years, this was one of the most complex financial frauds, involving shell companies, high-level political actors, and global banking institutions.

🔍 Latest Major Update (2025)

1. JPMorgan Settlement

In August 2025, JPMorgan Chase agreed to pay RM 1.4 billion (USD 330 million) to the Malaysian government.

This settles all existing and potential claims related to 1MDB, and binds both sides from any future litigations on this matter.

Importantly, JPMorgan is not admitting liability.

The money will go into Malaysia’s Assets Recovery Trust Account.

At the same time, Swiss authorities fined JPMorgan’s Swiss unit CHF 3 million for failing to prevent money laundering tied to 1MDB.

2. Legal & Lawsuit Updates

1MDB has dropped JPMorgan and Coutts from one of its billion-dollar lawsuits, shifting focus to Deutsche Bank, PetroSaudi, and other individuals.

According to the amended claim, 1MDB is now demanding US$1.83 billion from PetroSaudi / Obaid, US$1.11 billion from Deutsche Bank, and more from others.

3. Najib Razak Case

In June 2025, a Malaysian court dropped three money laundering charges against former Prime Minister Najib Razak linked to 1MDB-SRC International.

However, the discharge was not an acquittal. Prosecutors still retain the right to re-file the charges.

4. Goldman Sachs Executive Sentenced

In a related development, Tim Leissner, a former Goldman Sachs banker, was sentenced to 2 years in U.S. federal prison for his role in the 1MDB scandal.

Leissner admitted that over US$4.5 billion was misused.

⚠ Why This Is a Monumental Cover-Up

Institutional Involvement: Big banks like JPMorgan and Goldman weren’t just passive players — they allegedly enabled the fraud, and internal failures (or willful negligence) allowed vast sums to move undetected.

Political Power: High-level political leaders (like Najib) are deeply entwined in the scandal, which points to a systemic abuse of power.

Legal Loopholes: Settlement without admission of liability means accountability is murky. Money is paid, but full responsibility is not legally acknowledged.

Global Reach: This isn’t just a Malaysian problem — it’s a global financial scandal, implicating institutions and regulators across multiple countries.

#BTC #Trump