1Malaysia Development Berhad scandal

The 1Malaysia Development Berhad scandal is a political scandal that is taking place in Malaysia. In 2015, Prime Minister Najib Razak was accused of sending over 2.67 billion Malaysian ringgit (about US$700 million) from 1Malaysia Development Berhad (1MDB), a government-run company that was made to develop the country's economy, to his own bank accounts.[1] Many Malaysians called for Najib to resign because they did not want a corrupt prime minister. In 2018, Najib was defeated in an election by Mahathir Mohamad.

A Malaysian politician, Anwar Ibrahim, has asked questions about the true purpose of 1MDB. He told Parliament that the company "has no business address and no appointed auditor" to check the company's finances. [2] According to records, 1MDB has nearly RM 42 billion (US$11.73 billion) in debt.[3]

Introduction

"Berhad" is a Malay word that means limited. In this case it means a limited company. That means that a company's finances are separate from those of the owners. Members of the public may not own shares in the company.

Timeline

See the main article: Timeline of the 1Malaysia Development Berhad scandal

References

  1. ↑ "Malaysian taskforce investigates allegations $700m paid to Najib". The Guardian. 6 July 2015. Retrieved 24 March 2018.
  2. ↑ "Gov't 'gambling' on untested 1MDB". Malaysiakini. 18 October 2010.
  3. ↑ "1MDB faces fresh debt payment test". Free Malaysia Today. 27 February 2015. Archived from the original on 1 March 2015.