RM1.3 bil repatriated from 1MDB assets will be used to service debts

Finance Minister Lim Guan Eng says the government will continue its efforts to recover other 1MDB assets.

PETALING JAYA: The finance ministry today said the RM1.3 billion in funds received through the repatriation of 1MDB assets will be used to service the RM51 billion in debts incurred by the scandal-plagued investment arm.

In a statement, its minister Lim Guan Eng said the RM51 billion includes the RM8.6 billion in interest borne and loans by the ministry that were used to repay the debts.

“The funds will also be used to pay legal and litigation costs arising from efforts to repatriate and dispose off 1MDB assets around the world,” he said.

Yesterday, Attorney-General Tommy Thomas said that some US$322 million (RM1.3 billion) will be received from assets worth US$1.7 billion being claimed by the United States’ Department of Justice (DoJ).

Welcoming Thomas’ announcement, Lim said the repatriation of the assets is a first step towards resolving 1MDB related issues and to help the country shed the kleptocratic image it earned due to the scandal.

“The repatriation of these assets through legal processes also proves that 1MDB-related wrongdoings have occurred,” he said.

He said the government will continue its efforts to recover other 1MDB assets and, at the same time, strengthen internal controls and anti-corruption initiatives to prevent such incidents from recurring in the future.