The source, from MACC, said the firm was believed to have been involved in the misappropriation of approximately US$1 billion from 1MDB funds, including the transfer of around US$700 million to an offshore entity beyond 1MDB’s control.

“In line with this, MACC is also investigating and gathering further information on former 1MDB executive director Tang Keng Chee, who is suspected of having connections to the allegedly misappropriated funds linked to the 1MDB case,” the source said.

The source did not disclose the name of the international law firm involved.

The source said the investigation was initiated based on intelligence obtained through meetings and discussions with several countries, focusing on cross-border financial transactions and the role of professional parties involved in 1MDB-related dealings.

It is understood that MACC is also working to obtain additional information on several other individuals under scrutiny to facilitate the country’s asset recovery efforts.

In November, the finance ministry said the government had recovered a total of RM31.2 billion related to 1MDB and SRC International Sdn Bhd since the establishment of the Asset Recovery Trust Account in December 2018, up to Sept 30 this year.

The ministry said the recovered funds had not been utilised for new operating or development expenditures.