DBS Group Holdings faces a lawsuit in the Singapore High Court regarding the 1MDB financial scandal. Liquidators Jason Aleksander Kardachi and Karnjote Singh are seeking SGD 1.298 billion, approximately $1.03 billion, in damages.
The claim involves four companies: Blackrock Commodities (Global) Ltd., Affinity Equity International Partners Ltd., Platinum Global Luxury Services Ltd., and TKIL Global Investments Ltd. These entities held five accounts at DBS opened in 2013.
The accounts were controlled by Eric Tan, an associate of fugitive financier Jho Low. According to the 1MDB Asset Recovery Taskforce, over $1 billion in misappropriated funds passed through these accounts between 2013 and 2014.
DBS rejected the allegations in a filing dated September 9–10. The bank stated it intends to defend against the claims and has not set aside any financial provisions for potential losses related to this case.
The 1MDB fund, established in 2009, saw approximately $4.5 billion siphoned out. Previously, the Monetary Authority of Singapore imposed penalties on DBS and other institutions for anti-money laundering failures linked to 1MDB.
