The Justice Department has reached an agreement with Jasmine Loo Ai Swan, the former general counsel of 1Malaysia Development Berhad (1MDB), to recover artwork by Pablo Picasso and a financial account in Switzerland linked to funds allegedly embezzled from 1MDB. Additionally, the department has obtained forfeiture orders on other assets allegedly purchased with 1MDB funds by Low Taek Jho, also known as Jho Low, including diamond jewelry and artwork by Vincent Van Gogh, Claude Monet, Pablo Picasso, Jean-Michel Basquiat, and Diane Arbus.
The department previously initiated numerous civil forfeiture cases against assets it alleges were acquired by Low and his co-conspirators using funds misappropriated from 1MDB. According to civil forfeiture complaints, more than $4.5 billion belonging to 1MDB was allegedly misappropriated between 2009 and 2015 by high-level officials of 1MDB and their associates through a criminal conspiracy involving international money laundering and bribery. Established by the Malaysian government to promote economic development through global partnerships and foreign direct investment, 1MDB's funds were intended to improve the well-being of the Malaysian people.
The agreement with Loo resolves the civil forfeiture action against the Picasso artwork and financial account in Switzerland under her control, collectively valued at approximately $1.8 million. This agreement does not release any criminal claims against her.
The forfeiture of other artwork and jewelry allegedly purchased by Low is based on a recent settlement agreement related to real estate and artwork forfeitures in two other cases. This resolves three additional civil forfeiture cases filed in the U.S. District Court for the Central District of California. The collective value of these assets, along with those controlled by Loo, is estimated at nearly $85 million.
Prior to this settlement, the United States has returned or assisted in returning over $1.4 billion in assets associated with the international money laundering, embezzlement, and bribery scheme to Malaysia.
Low faces separate criminal charges in the Eastern District of New York for allegedly conspiring to launder billions of dollars embezzled from 1MDB and for conspiring to violate the Foreign Corrupt Practices Act by allegedly paying bribes to various Malaysian and Emirati officials. He also faces charges in the District of Columbia for allegedly conspiring to make and conceal foreign campaign contributions during the U.S. presidential election in 2012. The agreement with Loo does not release any entity or individual from filed or potential criminal charges.
The FBI’s International Corruption Squads in New York City and Los Angeles along with IRS Criminal Investigation Los Angeles Field Office are investigating the case.
Trial Attorneys Barbara Levy, Sean Fern, Jonathan Baum, and Joshua Sohn of the Criminal Division’s Money Laundering and Asset Recovery Section (MLARS) along with Assistant U.S. Attorney Jonathan Galatzan for the Central District of California are prosecuting the case. They received significant assistance from the Justice Department’s Office of International Affairs and MLARS’ Program Management Staff.
The Justice Department acknowledges significant assistance provided during this investigation by several entities including Malaysia's Attorney General’s Chambers, Royal Malaysia Police, Malaysian Anti-Corruption Commission; Singapore's Attorney-General’s Chambers; Singapore Police Force-Commercial Affairs Department; Switzerland's Office of the Attorney General; Federal Office of Justice; British Virgin Islands' Attorney General’s Chambers.
The Kleptocracy Asset Recovery Initiative is led by prosecutors in MLARS in partnership with federal law enforcement agencies often collaborating with U.S. Attorneys’ Offices to forfeit proceeds from foreign official corruption. Individuals with information about possible proceeds of foreign corruption located in or laundered through the United States are encouraged to contact federal law enforcement or send an email to kleptocracy@usdoj.gov or https://tips.fbi.gov/.