The Office of the Attorney General of Switzerland said on Friday that it had fined J.P. Morgan (Switzerland) CHF3 million in connection with the misappropriation of assets from the Malaysian sovereign wealth fund 1Malaysia Development Berhad (1MDB).
Keystone-SDA
Generated with artificial intelligence.
JPMorgan Chase has agreed to pay 1.4 billion ringgit (CHF270 million) to the Malaysian government to settle all issues related to its role in the scandal involving the Malaysian sovereign wealth fund 1MDB, according to a joint statement on Friday.
This content was published on
+ Get the most important news from Switzerland in your inbox
The US Department of Justice has said that more than $4.5 billion (CHF3.6 billion) was misappropriated from 1MDB between 2009 and 2015 by senior fund executives and their associates.
In 2021, 1MDB sued subsidiaries of JPMorgan, Deutsche Bank and Coutts to recover the huge losses suffered by the scandal-hit investment vehicle, claiming “negligence, breach of contract, conspiracy to defraud/prejudice and/or dishonest assistance”.
According to court documents, it sued J.P. Morgan (Switzerland) for $800 million.
+ 1MDB Fraudsters Convicted by Swiss Over $1.8 Billion Scam
The Office of the Attorney General of Switzerland said on Friday that it had fined J.P. Morgan (Switzerland) CHF3 million in connection with the misappropriation of assets from the Malaysian sovereign wealth fund 1Malaysia Development Berhad (1MDB). The outflow of funds totalled around CHF174 million.
The US bank said in a statement that “since then, we have strengthened our controls, earning the confidence of regulators in Switzerland and beyond. We are pleased that these issues have been resolved”.
JPMorgan and Malaysia said in a joint statement that the US banking giant would pay the sum into the southeast Asian country’s asset recovery trust account, “without admitting liability”.
“The settlement agreement resolves all existing and potential claims and commits both parties not to pursue any future lawsuits or litigation related to 1MDB,” said the statement released on Friday by the Malaysian Ministry of Finance.
Each party, they said, will also withdraw all pending actions related to 1MDB’s previous lawsuit against J.P. Morgan (Switzerland) in the Malaysian High Court.
The fund, set up in 2009 as then Prime Minister Najib Razak set about modernising Malaysia, quickly became embroiled in allegations of corruption, leading to a series of investigations, including in Switzerland, Singapore and the US.
The outcry over the fiasco prompted voters to oust Najib Razak and the long-ruling United Malays National Organisation (UMNO) party in the 2018 elections.
The former prime minister is currently seeking to have his prison sentence converted to house arrest.
Translated from French by DeepL/sb
We select the most relevant news for an international audience and use automatic translation tools to translate them into English. A journalist then reviews the translation for clarity and accuracy before publication.
Providing you with automatically translated news gives us the time to write more in-depth articles. The news stories we select have been written and carefully fact-checked by an external editorial team from news agencies such as Bloomberg or Keystone.
If you have any questions about how we work, write to us at english@swissinfo.ch
More
Workplace
Working on Sundays is detrimental to well-being, says Swiss study
This content was published on
A study by the University of Bern shows that working on Sundays is detrimental to well-being and particularly affects women.
Read more: Working on Sundays is detrimental to well-being, says Swiss study
More
Swiss Politics
Safra Sarasin private bank and former asset manager sentenced
This content was published on
The Office of the Attorney General of Switzerland has fined private bank J. Safra Sarasin CHF3.5 million for aggravated money laundering. A former bank employee received a six-month suspended prison sentence.
Read more: Safra Sarasin private bank and former asset manager sentenced
More
Workplace
Swiss CEO salaries rose by 7% in 2024
This content was published on
The salaries of Swiss company bosses soared last year, according to a study by the Ethos Foundation.
Read more: Swiss CEO salaries rose by 7% in 2024
More
International Geneva
Famine confirmed in Gaza for first time, says UN-backed report
This content was published on
Famine has been declared in a northern part of the Gaza Strip, according to the Integrated Food Security Phase Classification (IPC) system.
Read more: Famine confirmed in Gaza for first time, says UN-backed report
More
Swiss Politics
Zurich Airport ground handling staff to strike on Friday
This content was published on
Ground handling staff at Zurich Airport have announced a strike for Friday afternoon. According to a union, 200 jobs are at risk.
Read more: Zurich Airport ground handling staff to strike on Friday
More
Foreign Affairs
UNRWA boss Lazzarini to step down in March 2026
This content was published on
Philippe Lazzarini will step down as head of the United Nations Relief and Works Agency for Palestinian Refugees (UNRWA) at the end of his term in March, he announced on Thursday.
Read more: UNRWA boss Lazzarini to step down in March 2026
More
Swiss Politics
Swiss government predicts CHF845 million budget deficit in 2026
This content was published on
The Federal Council published its 2026 budget proposal on Thursday: a projected deficit of CHF845 million francs ($1 billion).
Read more: Swiss government predicts CHF845 million budget deficit in 2026
More
Swiss Politics
Outage extended at Swiss nuclear plant
This content was published on
The Gösgen nuclear power plant in northwestern Switzerland will be out of service for six months. It has not been connected to the grid since late May.
Read more: Outage extended at Swiss nuclear plant
More
Global health
Swiss authorities and firms agree to cut sugar in cereals, yoghurts and drinks
This content was published on
Cereals, yoghurts and drinks in Switzerland will contain less sugar by 2028. The Swiss government and 21 companies renewed the so-called Milan Declaration in Bern on Thursday.
Read more: Swiss authorities and firms agree to cut sugar in cereals, yoghurts and drinks
More
Swiss AI
Swiss robots to deliver Just Eat takeaway meals
This content was published on
Swiss robots to deliver Just Eat Takeaway meals.
Read more: Swiss robots to deliver Just Eat takeaway meals
