Amicorp to Challenge 1MDB's $1 Billion Claims Amid Scandal Fallout

Amicorp Group is challenging a $1 billion claim from Malaysia's 1MDB, denying involvement in a $7 billion fraudulent scheme. The scandal, linked to the former Malaysian PM Najib Razak, involves complex dealings and major international figures. Amicorp cooperates with global authorities but refutes wrongdoing.

Amicorp Group has announced its intention to challenge a claim exceeding $1 billion from the scandal-plagued Malaysian fund 1MDB. The corporate services provider denies any knowledge or facilitation of over $7 billion in fraudulent transactions associated with the embezzlement of 1MDB funds.

In a statement released late Monday, Amicorp said it would contest the legal action initiated by Malaysia's sovereign wealth fund, 1Malaysia Development Berhad, in the British Virgin Islands. 1MDB claims Amicorp, headquartered in Hong Kong, and its CEO played a crucial role in the fraud that took place between 2009 and 2014, making it one of the largest claims tied to the multibillion-dollar graft scandal.

Investigations by Malaysian and U.S. authorities previously suggested that $4.5 billion was illicitly diverted from 1MDB, implicating former Malaysian Prime Minister Najib Razak, Goldman Sachs employees, and high-level officials globally. Amicorp is accused of orchestrating a sophisticated conspiracy involving shell companies and fake transactions to conceal the movement of funds.

Amicorp argues that the funds were misappropriated by senior Malaysian officials and the top management of Abu Dhabi's International Petroleum Investment Co and its subsidiary Aabar Investments PJS. In 2023, these UAE firms agreed to pay $1.8 billion to Malaysia in settlement over the 1MDB scandal.

Najib Razak, who established 1MDB in 2009, is now serving a prison sentence for corruption and money laundering involving former unit SRC International. Despite his reduced sentence, he continues to face several other corruption trials linked to 1MDB.

Amicorp claims it has not been subject to any administrative investigations or civil lawsuits, affirming its cooperation with Singaporean and Swiss authorities under mutual assistance arrangements in criminal matters, though it provided no further details.

(With inputs from agencies.)