The long-running scandal
surrounding Malaysia's state development fund 1MDB has gripped the
country for years, leading to arrests and multi-million dollar asset
seizures.
In the latest twist, the country's new government has
reopened investigations into the controversial fund - a move that could
put a former prime minister in jail.
What is the scandal about?
The
1 Malaysia Development Berhad (1MDB) fund was set up in 2009 to turn
Kuala Lumpur into a financial hub and boost the economy through
strategic investments.
It started to attract negative attention in
early 2015 after it missed payments due for some of the $11bn (£8.3bn)
it owed to banks and bondholders.
The fund was then accused of
money laundering and channelling hundreds of millions of dollars into
private pockets to acquire assets globally, including yachts, paintings,
jewellery and real estate.
The US Department of Justice (DOJ) began
investigating 1MDB, saying $4.5bn had been diverted. The fund is also
being investigated by several other countries.
Why is it political?
The
country's former prime minister Najib Razak was accused of pocketing
nearly $700m (£520m) from the fund, which he himself had set up.
Mr Najib has always denied the allegations and was cleared of wrongdoing by Malaysian authorities when he was in power.
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