KUALA LUMPUR, JPMorgan Chase has agreed to pay the Malaysian government US$330 million to settle all matters linked to its involvement in the multibillion-dollar 1MDB scandal, both parties confirmed on Friday.
Investigators in Malaysia and the United States previously revealed that at least US$4.5 billion was misappropriated from 1Malaysia Development Berhad (1MDB) between 2009 and 2014.
In 2021, 1MDB filed lawsuits against units of JPMorgan, Deutsche Bank, and Coutts & Co, accusing them of negligence, breach of contract, conspiracy to defraud, and dishonest assistance. Court filings showed that 1MDB had sought US$800 million in damages from JPMorgan (Switzerland) Ltd. Under the settlement, JPMorgan’s payment will be channelled into the government’s 1MDB Asset Recovery Trust Account.
“The settlement resolves all current and future claims between the parties and prevents any further litigation related to 1MDB,” both sides said in a joint statement.
They also confirmed that all outstanding appeals related to the lawsuit against JPMorgan’s Swiss unit at the Malaysian High Court will be withdrawn.
