NAJIB’S NECK ON THE LINE: 1MDB CONFIDENT OF MEETING DEC 31 DEADLINE ON MASSIVE RM2.5BIL IPIC PAYMENT

1MDB plans to settle the second payment of US$602 million and interest costs to International Petroleum Investment Company (IPIC) on or before the Dec 31 deadline.

A source familiar with the matter told Malaysiakini that 1MDB would make an announcement on this soon.

“That is most definitely our plan… It is very much the plan to get it paid on or before Dec 31,” he said on condition of anonymity.

Earlier this month, 1MDB chairperson Irwan Serigar Abdullah declined to comment on the matter.

“You wait and see, I will come back (to the media),” he replied when asked if the firm would be able to meet the deadline.

Prior to that, Irwan, who is also Treasury secretary-general, was asked on United States attorney-general Jeff Sessions’ description of the 1MDB scandal as “kleptocracy at its worst”.

“Wait, when the time comes, I will come to the press,” he had replied.

Speaking at the Global Forum on Asset Recovery in Washington DC on Monday, Sessions said almost half of the US$3.5 billion (RM14.2 billion) corruption proceeds seized by the US government came from 1MDB-related civil forfeiture suits.

He alleged that corrupt officials and their associates reportedly used 1MDB funds for a “lavish spending spree” such as US$200 million for real estate in South California and New York, US$130 million in artwork, US$100 million in an American music label and a US$265 million yacht.

IPIC has been pursuing US$1.2 billion from 1MDB. In April, both firms reached a settlement before an arbitration process could take place in London.

However, 1MDB missed the first deadline to pay IPIC US$602 million on July 31. Following negotiations, IPIC granted an extension. The amount was fully paid by Aug 30.

– M’kini

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