Standard Chartered PLCSTAN
Mentioned
Impact on stocks 2
Financials
Standard Chartered PLCOthers
DBS Group Holdings LtdDBS19
Mentioned
1MDB Misappropriation Case: Lawsuit Filed Seeking About 1.03 Billion US Dollars from DBS
Regulation
In connection with the misappropriation of funds case involving 1Malaysia Development, Malaysia's state investment fund, DBS Group, Southeast Asia's largest bank, announced on the 9th that its subsidiary DBS Bank has been hit with a damages lawsuit seeking payment of an estimated 1.298 billion Singapore dollars, or about 1.03 billion US dollars. The plaintiffs include four companies serving as liquidators of 1MDB: BlackRock Commodities (Global), Platinum Global Luxury Services, Affinity Equity International Partners, and TKIL Global Investments. The liquidators confirmed to Reuters that they had filed a damages lawsuit against DBS Bank seeking more than 1 billion dollars. DBS indicated it will fight the claim vigorously and made clear it has not set aside a provision for the damages sought. It said it had never before been sued over 1MDB and declined to explain the details of the claims made in this filing. The US Department of Justice has said that 1MDB officials used a complex scheme spanning the globe to misappropriate more than 4.5 billion dollars between 2009 and 2015. The liquidators are seeking to recover funds related to 1MDB, and in July last year they filed suit against Standard Chartered Bank in a Singapore court. The liquidators allege that Standard Chartered Bank facilitated the misappropriation of more than 2.7 billion dollars in total between 2009 and 2013. DBS Group shares ended trading on the 9th at 77.50 Singapore dollars, down 0.8 percent from the previous day.
Standard Chartered PLCDBS Group Holdings Ltd