1MDB Liquidators Sue Standard Chartered Over Alleged Fraud Enabling

The liquidators of Malaysia's 1MDB have launched legal action against Standard Chartered in Singapore, alleging the bank's role in facilitating a fraud that resulted in over $2.7 billion in financial losses more than a decade ago. Standard Chartered has denied the allegations, vowing to contest the lawsuit.

This latest development is part of a comprehensive initiative to recover money stolen from 1MDB in a global scheme that saw about $4.5 billion misappropriated between 2009 and 2014. Malaysian officials have noted that additional billions remain unaccounted for in the sprawling scandal.

The lawsuit filed by Kroll's liquidators highlights serious accusations of oversight negligence by Standard Chartered, including failing to flag suspicious transfers that allegedly helped conceal the illicit flow of funds. The case underscores ongoing efforts to hold accountable any entity, especially financial institutions, that contributed to the dereliction of fiduciary duties.

(With inputs from agencies.)