HEADLINES

Two years on, 1MDB suit against Rosmah awaits new judge

Case against wife of former Prime Minister details US$346 million (RM1.4 billion) complex money trail allegedly used to fund luxury purchases through offshore proxies

6:42 PM MYT

 

KUALA LUMPUR – A multi-million-dollar civil suit brought by 1Malaysia Development Berhad (1MDB) and 10 related entities against Datin Seri Rosmah Mansor remains in limbo more than two years after luxury items seized from her were returned, as the High Court awaits the appointment of a new judge to hear the case.

The civil action, filed in May 2024, seeks proprietary and monetary relief over thousands of luxury goods allegedly purchased using funds misappropriated from 1MDB and its related companies.

However, proceedings have stalled following a vacancy on the bench, leaving trial dates undetermined and several interlocutory applications filed by both parties pending.

A case management is scheduled for next week, where the court is expected to provide directions on the future of the litigation.

The suit marks a fresh attempt by 1MDB and its related entities to recover luxury assets after the police were forced to return the items to Rosmah in 2022.

In 2018, the police raided Pavilion Residence and seized nearly 12,000 pieces of jewellery, including diamond necklaces, rings, bracelets, tiaras and luxury watches, together with close to 300 boxes of designer handbags, predominantly Hermès Birkin bags, as well as handbags from brands including Chanel, Louis Vuitton and Prada.

The public prosecutor later sought to forfeit the items under anti-money laundering laws but failed after the High Court ruled in 2022 that the prosecution could not establish a direct link between the luxury goods and any predicate offence committed by Rosmah. The items were subsequently returned to her in stages throughout 2022.

The ongoing civil suit, however, relies on evidence uncovered in subsequent investigations conducted by court-appointed liquidators of 1MDB-related entities.

According to court filings made in 2025 and 2026, the liquidators traced a complex money trail involving more than US$346 million ( RM1.4 billion), which they allege was diverted between 2009 and 2014 to fund luxury purchases for Rosmah.

The plaintiffs claim the funds were channelled through eight offshore entities allegedly controlled by several associates and proxies of former prime minister Datuk Seri Najib Razak, including fugitive businessman Low Taek Jho, better known as Jho Low. – Bernama file pic, June 29, 2026

The plaintiffs claim the funds were channelled through eight offshore entities allegedly controlled by several associates and proxies of former prime minister Datuk Seri Najib Razak, including fugitive businessman Low Taek Jho, better known as Jho Low, and businessman Eric Tan Kim Loong.

Investigators further allege that about 320 payments were made to at least 48 luxury vendors worldwide to facilitate the purchases.

The plaintiffs contend that the transactions formed part of “coordinated and sham” arrangements designed to disguise the movement of misappropriated funds before payments reached the vendors.

Court documents also state that liquidators were able to match a number of luxury items purchased by the offshore entities to items originally seized during the Pavilion Residence raids.

A witness affidavit filed in the proceedings also outlines what the plaintiffs describe as the alleged modus operandi behind the purchases, claiming Rosmah personally selected the luxury items she wanted before Eric Tan, Jho Low and other intermediaries arranged payment through offshore entities.

The affidavit is expected to form a key part of the plaintiffs’ case in arguing that Rosmah was not merely a passive recipient of gifts but actively participated in selecting the items while being aware that payments were made through intermediaries.

The case is also expected to feature testimony from Shabnam Naraindas Daswani, who was initially named as a co-defendant before the suit against her was discontinued two months ago. She is now expected to testify on behalf of the plaintiffs against Rosmah.

Besides 1MDB, the plaintiffs comprise 1MDB Energy Holdings Limited, 1MDB Energy Limited, 1MDB Energy (Langat) Limited, Global Diversified Investment Company Limited, SRC International Sdn Bhd, Affinity Equity International Partners Limited, Alsen Chance Holdings Limited, Blackrock Commodities (Global) Limited, Blackstone Asia Real Estate Partners Limited and Brightstone Jewellery Limited. – June 29, 2026

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