KUALA LUMPUR — The United States Department of Justice (DOJ) has obtained a court order to forfeit a luxury New York apartment allegedly purchased using funds misappropriated from 1Malaysia Development Berhad (1MDB), marking the latest step in recovering assets tied to the international corruption scandal.
The forfeiture also covers rental income generated from the property, concluding a civil case seeking the recovery of more than US$6 million (RM24 million) in assets linked to an international money laundering conspiracy involving the Malaysian sovereign wealth fund, Malay Mail Online reported.
The DOJ stated the condominium was allegedly acquired for the benefit of May Ling Catherine Tan, described as a personal assistant to fugitive financier Low Taek Jho — also known as Jho Low — using money siphoned from 1MDB. It added that Tan also profited from the property by retaining rental proceeds.
“Under the forfeiture order entered in this case, the condominium and rental proceeds held by Tan will be forfeited to the US government,” the DOJ said in a statement issued by its Office of Public Affairs.
US authorities have long alleged that billions of dollars were misappropriated from 1MDB between 2009 and 2015 by “high-level officials of 1MDB and their associates” together with Low, through a global scheme involving money laundering and embezzlement.
1MDB was originally established by the Malaysian government to drive economic development and attract foreign investment. US investigators allege that, instead, its funds were diverted to finance a lavish international lifestyle, including luxury real estate in New York, Beverly Hills and London, a 300-foot superyacht, artworks by Claude Monet and Vincent van Gogh, and investments in Hollywood film production and the music industry.
The DOJ also noted funds allegedly channelled into the production company behind the Oscar-nominated film The Wolf of Wall Street, the redevelopment of Manhattan’s Park Lane Hotel, and shares in EMI.
The forfeiture action is part of a broader DOJ effort to recover assets linked to the 1MDB scandal, which has prompted investigations across multiple countries over the past decade.
The FBI’s International Corruption Squad in New York is leading the investigation, with support from authorities in Malaysia, Singapore, Switzerland, the United Kingdom, Luxembourg, Indonesia, Latvia and France. The DOJ specifically acknowledged cooperation from Malaysia’s Attorney General’s Chambers, the Royal Malaysia Police and the Malaysian Anti-Corruption Commission (MACC).
Low, once a prominent financier with close ties to Malaysia’s political elite, remains a fugitive believed to be living abroad.
The Wall Street Journal reported earlier this month that Low had sought a pardon from US President Donald Trump, which would remove US criminal charges against him. A White House official told the publication that the request was “not currently on its radar.”
Prime Minister Datuk Seri Anwar Ibrahim has clarified that the Malaysian government is not considering any possibility of granting a pardon to Low. – May 28, 2026