$3.5b 1MDB-linked lawsuit against StanChart to proceed to Singapore trial after bank loses appeal

Standard Chartered Bank (StanChart) lost its appeal to strike out a lawsuit tied to the 1Malaysia Development Berhad (1MDB) scandal, allowing the case to proceed to trial in Singapore. The High Court dismissed the appeal on June 30, upholding a November 2025 decision that had already rejected the bank’s request to dismiss the action. The lawsuit, brought by court‑appointed liquidators on behalf of Alsen Chance Holdings, Blackstone Asia Real Estate Partners and Brightstone Jewellery, alleges that between 2009 and 2013 StanChart facilitated more than 100 intra‑bank transfers that concealed stolen funds and ignored anti‑money‑laundering red flags, resulting in losses of over US$2.7 billion (S$3.5 billion) and $20 million in public funds. The liquidators claim the transfers included US$150 million to Najib Razak’s personal account and other sums to vendors for luxury goods purchased by Rosmah Mansor. StanChart maintains it will vigorously defend itself and has stated it will seek further appeal, while the liquidators view the dismissal as a positive step toward recovering assets and holding those responsible accountable. The case underscores the ongoing legal efforts to address the 1MDB fraud and recover misappropriated funds for the benefit of Malaysia’s people.

(Source：Straitstimes)