KUALA LUMPUR: Hollywood megastars Kim Kardashian and Pharrell Williams were among the big celebrity names mentioned in a lawsuit involving 1Malaysia Development Bhd (1MDB) here today.
Fugitive businessman Low Taek Jho, who allegedly was the mastermind behind the global-scale financial fraud, had transferred US$406,000 to Kim Kardashian and her former flame Kris Humphries, while Williams received US$2,025,000 through Talamasca Inc.
This was revealed by financial fraud investigator Richard Templeman while testifying in the US$6.59 billion lawsuit filed by the sovereign wealth fund against its former top brass, Tan Sri Mohd Irwan Serigar Abdullah and Arul Kanda Kandasamy.
Templeman, who has 24 years of experience in investigating complex fraud and financial crime, said his investigation revealed that Low had transferred millions of dollars, which he allegedly received from 1MDB, through his shell company, Good Star Ltd.
He said the rogue financier obtained the funds from 1MDB's joint venture agreement with PetroSaudi Limited, where US$1.03 billion was misappropriated and fraudulently transferred to Good Star.
"1MDB had, by Oct 25, 2011, transferred a total of USD1.03 billion to the Good Star Account for the benefit of Low.
"These funds were transferred through a series of offshore companies and used for, inter alia, the personal benefit of the co-conspirators and their relatives and associates," he said in his witness statement before High Court judicial commissioner Datuk Raja Ahmad Mohzanuddin Shah Raja Mohzan.
The witness said Good Star also had remitted US$13.5 million to a Riyad Bank account in the names of Prince Faisal Bin Turki Al-Saud and Prince Saud Bin Abdulaziz Al-Saud (dubbed as Al-Saud account) in two tranches – US$12 million on June 10, 2011, and US$ 1.5 million on June 30, 2011.
"On June 13, 2011, shortly after receiving US$12 million from the Good Star Account, US$10 million was transferred from the Al-Saud Account to an AmBank account (AmPrivate Banking-MR) belonging to Datuk Seri Najib Razak.
"I have reviewed bank statements for Najib's AmBank account and have been able to approximately match an incoming amount in RM to the transaction stated to have been paid in US$ by applying a currency conversion," he added.
In May 2021, 1MDB filed a suit against Arul Kanda and Irwan over an alleged breach of trust and conspiracy, causing 1MDB to suffer losses amounting to US$1.83 billion, in relation to its investment in 1MDB-Petrosaudi Ltd.
1MDB also claimed that the two defendants committed a breach of trust and conspiracy by misappropriating 1MDB money, amounting to US$3.5 billion, paid to Aabar Investments and US$1.265 billion, paid to International Petroleum Investment Company (IPIC), on May 9, 2017.
1MDB alleged that Irwan also conspired with Arul Kanda to cause the company to implement the Employment Extension Agreement, and made a substantial payment of RM2,905,200 to Arul Kanda as per the agreement, regardless of 1MDB's interests, causing the company to suffer losses and damage.
In this regard, 1MDB, among others, demanded that the two defendants pay US$6.59 billion for the breach and an additional RM2.9 million from Irwan in relation to the Employment Extension Agreement.