KUALA LUMPUR – A new high court judge will be presiding over the government’s bid to prohibit PetroSaudi International and its director Tarek Obaid from using more than US$340 million (RM1.4 billion), alleged to be 1Malaysia Development Berhad (1MDB) funds.
The funds are held in trust by law firm Clyde & Co in the United Kingdom.
Last year, judge Mohd Nazlan Mohd Ghazali presided over the matter, but he was transferred to the high court’s civil division on March 1.
Deputy public prosecutor Budiman Lutfi Mohamed told reporters that judge Ahmad Shahrir Mohd Salleh has fixed September 6 and 7 to hear the prohibition application during case management this morning.
“The hearing date will be on September 6 and 7,” he said.
Besides Petrosaudi International and its director Tarek Obaid, the other respondents in the legal action are Petrosaudi International’s PetroSaudi Oil Services (Venezuela) Limited (PSOL), Clyde & Co, and Temple Fiduciary Services Limited.
Meanwhile, when asked about the possibility of a settlement between the government and the relevant parties, Budiman said that negotiations are still ongoing, but did not give details.
Previously, the court was told that the parties were negotiating a settlement.
On October 1 last year, PSOL’s legal team sought postponement of the matter due to “new developments, where parties need to review their respective positions and take instruction”.
The Malaysian government filed the main forfeiture suit against PetroSaudi on July 10 as part of efforts to recover US$340 million, which allegedly originated from 1MDB.
In its application, the government claimed that the amount totalling US$340,258,246.87 at Clyde & Co, owned by PetroSaudi International and its subsidiary PSOL, was derived from money-laundering.
The application was filed under Section 53 of the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act 2001.
PetroSaudi International was formerly a joint-venture partner of 1MDB.
According to the US Justice Department, the joint venture is alleged to have been a front to siphon 1MDB funds. – The Vibes, March 17, 2021