Back
Havish Gupta
Figuring Out • 2d
While everyone’s talking about the Bluesmart Scam rn… Lemme tell you about the scam where a guy looted an entire country. So In 2009, Malaysia launched 1MDB — a government fund meant to boost the economy. Unofficially, a guy named Jho Low (a close friend of the Malaysian PM who helped him win elections) was influencing the fund from behind the scenes. Phase 1: The scam begins In the first deal, 1MDB Invested in a oil joint venture with PetroSaudi where 1MBD had to invest $1 Billion for 40% Stake. Out of that, $700M quietly goes to Good Star Ltd. It was said that PetroSaudi ordered to do that to pay 'their' loan but in reality, Good Star Ltd was managed by Jho. Phase 2: Over the next few years, 1MDB raised $6.5B through bonds (with help from Goldman Sachs). Goldman made unusually high profits from the deal resulting in over $600M in fees. High profits kept everyone stayed silent, and the money flowed into shell companies instead of helping Malaysia. Now With billions in hand, Jho Low’s shopping list looked like this: - A $250M yacht - Mansions in New York, LA, and London - Expensive Art, jets, jewelry - Parties with celebrities - Financing the movie, “THE WOLF OF WALL STREET!!” Fallout: The huge transactions caught the attention of global authorities. In 2015, The Wall Street Journal and Sarawak Report exposed Jho Low’s links. The US Department of Justice confirmed that $4.5B was stolen from 1MDB. What happened next? Former PM Najib Razak was voted out, fined millions, and was sentenced to 12 years in jail, Goldman Sachs had to pay over $3B in fines, And Jho Low? He was Last seen in China & is Still missing.
Replies (14)
More like this
Recommendations from Medial
Download the medial app to read full posts, comements and news.