How Jho Low Used 1MDB Cash To Fund Rosmah’s Diamond Shopping Sprees


ast month’s filing by the US Department of Justice confirmed the money trail, which had long been suggested by Sarawak Report, linking Jho Low’s mysterious role in funding the ‘First Lady’s’ obsessive diamond shopping with money he stole from 1MDB. Our research in Hong Kong, a favourite jewellery haunt of Rosmah Mansor’s, revealed that by 2009 most of the money to settle Rosmah’s bills was coming via Jho Low.

Insiders from the industry explained to SR that the original ‘link man’ between traders and Rosmah was the former Malaysian carpet trader Deepak Jaikishan, something that has been extensively exposed and admitted to by Deepak also. However, in 2009, after Najib became Prime Minister and set about putting together 1MDB, it was Jho Low who started organising such payments, traders say. He was the man to go to and emails seen by Sarawak Report confirm that he utilised his relationship managers at Coutts Bank Singapore for the purpose, including Yak Yew Chee, who moved on to manage the corrupt 1MDB/Jho Low accounts currently being investigated at the now closed Singapore branch of BSI Bank. Yak organised transfers for jewellery purchases for Low Yak organised transfers for jewellery purchases for Low in 2009 Sarawak Report earlier revealed how Jho Low’s company Batumba Investments Limited Hong Kong, which was a subsidiary of his then main business Wynton Capital, paid millions of dollars to a subsidiary of the New York jeweller Louis Glick called Rose Trading in Hong Kong to pay for Rosmah’s diamonds. A related email from Jho Low ran ““Hi….please confirm receiving 1 million in total.. Datin is coming to Hong Kong. Do you want to show her more goods?”.

The transfers were run through Coutts as emails seen by Sarawak Report confirm: Fwd Payment advice to Rose Trading USD1,000,00 From: Lee Julia (RBS Coutts, SG To: Dear Mr Low, Thank Julia Lee (attachment) Speaking to traders again last week Sarawak Report has confirmed that in late 2009 the series of purchases from Rose Trading had amounted to no less than $3 million. They added that another $1.7 million was paid to another Hong Kong jewellery outlet called Firestone. DOJ confirm the 1MDB link However, it was the DOJ filing last month which tied these purchases directly to money taken from 1MDB via the theft by Jho Low’s company Good Star Limited from the original ‘joint venture’ with the company PetroSaudi. Amongst a bacchanal of expenditures towards Jho Low’s gambling and partying was listed that telling payment to Rose Trading: “between October 2009 and October 2010, misappropriated 1MDB funds sent from the Good Star Account into the Shearman IOLA Account were transferred as follows: (i) approximately $12,000,000 in wires to Caesars Palace,a Las Vegas casino; (ii) approximately $13,400,000 in wires to the Las Vegas Sands Corp., the owner of the Venetian Las Vegas, another casino; (iii) a wire for approximately $11,000,000 to “Eric” TAN Kim Loong, an associate of LOW;

(iv) approximately $4,000,000 in wires to Jet Logic Ltd., a luxury jet rental service; (v) a wire for approximately $3,500,000 to LOW’s sister; (vi) a wire for approximately $3,080,000 to Rose Trading, a Hong Kong jeweler; (vii) approximately $2,698,000 in wires to Yachtzoo, a luxury yacht rental service; (viii) approximately $2,288,000 in wires to Argent Design Ltd., a United Kingdom-based interior designer; (ix) a wire for approximately $670,000 to Excel Air, a jet rental company; (x) approximately $460,000 in wires to Skyline Private Air, an aircraft rental company; and (xi) a wire for approximately $155,000 to Billiyon Air, a jet rental company. [Section 108 DOJ Report] From this information we can now join up how the 1MDB ‘investment’ went from Good Star Limited, first to Low’s US lawyer’s client account at Shearman, then eventually to Batumba Investments Limited and then on to Rose Trading. “He should remember it’s my money too! The confirmation that Rosmah’s diamonds were bought using 1MDB cash, follows hard on the heels of our earlier story that she paid for millions of ringgit of beauty treatments also from public money stolen from the 1MDB subsidiary SRC International,

which had been funded from a loan from the public pension fund KWAP. At the time stories about Jho Low’s gargantuan spending were hitting the news in the US and Malaysia. One confidante of the time has related that Rosmah had exploded on reading some of the coverage: “He should remember its my money also!” the First Lady angrily exclaimed. At the time her listeners were not certain as to what she had meant. But, now everyone knows! $600 million yacht for sale – discounts likel Major re-fit before sale in Hong Kong? Meanwhile, the Hong Kong press have taken up Sarawak Report’s information that the yacht Equanimity is in the port and on offer for sale. The South China Morning Post confirms that the boat has had a major re-fit in their docks and that a local agent has been engaged with a view to an apparent sale. All parties say they have been forced to sign non-disclosure agreements, but have indicated that the ‘mystery owner’ of the yacht is eager for a quick sale. Although Jho Low has treated the yacht as his own ever since he acquired it in 2013, hosting a massive party to celebrate his own birthday back in November together with a fundraiser for the UN foundation, Sarawak Report asks if perhaps the actual ownership of the boat is also a little more complex than might first appear?

That the money came from funds stolen from Malaysia can be of little doubt however and the boat ought by rights to be seized and sold by investigators in Hong Kong, who have stated that they are working together with the DOJ and other global agencies who have been working to retrieve 1MDB’s stolen assets on behalf of the Malaysian people. It’s a job that Malaysia’s own government has been notably failing to undertake itself.

Don’t Bargain With Taib, Just Tell Him The ‘Score’


According to reports, three elderly former political allies sat down yesterday to discuss the mending of broken alliances. The new Prime Minister, his former Finance Minister and the Governor of Sarawak. Following the discussion it emerged that Taib, who still weilds real power in the state he owns so much of, has agreed to move his PBB party over from BN to Harapan, thereby consolodating the grip of the new ruling coalition into an overwhelming majority – of the sort that Dr M has always been used to governing with.

Don’t Betray Harapan’s Real Supporters Sarawak Report understands the desire to ensure that once poisonous snakes are well and truly rendered free from remaining venom. BN would be reduced to some 60 seats by such a switch (and that’s before election malpractices are examined and certain criminals are jailed). However, Harapan’s leaders must not make any deals with Taib that could tarnish the image of this new government and betray its real supporters from the outset. Sarawak was the shining star of the whole election. The opposition had barely bothered to campaign in the poor benighted state, since prospects had seemed so hopeless. Those rural seats so deprived and yet so controlled by BN were considered impregnable. Yet, in the event, a wondrous 10 seats were won over. These seats made up for disappointments caused by failures to control BN rigging in other areas that were considered safer – in Sabah and the mainland. So, well done Sarawak!

But, none of that was thanks to the Governor. It was despite him. Sarawak Report is aware that the leader of Harapan had predictably reached out to his old ally across the water in the run up to GE14. There were concerns that the reformers fighting Najib would need the support of the billionaire businessman politician to gain enough seats to smash BN. It seemed a grim compromise, but if that was what it would take to win, then it would have been a necessary evil. No guesses about the nature of the price Taib would be extracting – immunity and to keep his cash! However, in the end, the Governor opted to stay put. Cynical and selfish to the end to he sat on the fence and kept his options open. GE14 was won by the reformasi coalition WITHOUT the help of Taib Mahmud. It was only the day after Dr M had been finally sworn into office after a nail-biting 48 hours, during which Najib attempted to reverse the results and cobble more seats, that Taib got into his private jet and flew across to Putrajaya. Things would have been far swifter, easier and more decisive had Najib known yesterday what he knows now, which is that PBB is no longer with BN, but the new government.

Yet, through all that drama Taib and his Chief Minister sat tight and watched how the wind was blowing. If Najib had pulled off his dirty bid to defy the overwhelming majority of the people, play the sultans and keep in office, then it is plain that Taib would have been content to have PBB back him up, having doubtless extracted a heavy price for that continuing ‘loyalty’. Harapan’s genuine supporters are the Sarawak people, who won all those seats on Wednesday. These are the true friends of the new government and not Taib. It is Sarawak’s voters who deserve any rewards going therefore and not the grubby old kleptocrat of Kuching. As one veteran campaigner, DAP’s Chong Chieng Jen said today: “We have fought so hard against the corrupt regime. And now that we are seeing some light and chances of having the corrupt leaders in Sarawak brought to book and be held accountable, it would be absurd to allow these Sarawak BN parties to join PH – thereby whitewashing the corruption that has been comitted by them. Our supporters supported us through our struggles because they belive in our integrity… No one should be accepted from BN unless subject to vetting by the Malaysian Anti-Corruption Commisssion”

He makes a passionate and reasonable first point. The PM is welcome to do a political deal with PBB’s dismayed MPs, but not if that betrays the fervent and righteous hopes of the real supporters of Harapan. No crooks in cabinet and no pledges to let Taib keep all his stolen cash. The old Thief Minister’s best hope must to be to keep out of jail. Sarawakians are not vindictive types and they probably are willing to let the old man continue to keep his role the Astana, unlike Najib, who probably took less. However, the cash must be returned, because people need it. Mahathir cannot acceptably announce a full scale enquiry into 1MDB and pursue Najib in the relentless manner he has already signalled, whilst turning a blind eye to the tens of billions taken from Sarawak. He cannot investigate the corruption that has impoverished Malaysians without tackling the worst examples, which are over in East Malaysia and include the vast former state-owned businesses, lands and monopolies owned by the family of Taib Mahmud and Sabah’s Musa Aman. They could start with the industries that have been benefitting from state investment in Taib’s pet industrialisation project SCORE.

We are talking about billions of dollars of businesses in Sarawak and profits invested around the world. Money that could be spent on education, water supplies, homes, health and transport for people who have suffered deprivation far too long. Taib should set up a major trust – he can call it the Taib Mahmud Fund, if he likes – and into that trust should go the money he has siphoned out of his country. The money should go on benefitting the people and regenerating forests. He can do it the Bill Gates way and play the philanthropist. Otherwise, he must be legislated into it on pain of the full force of the law. It is the only sort of ‘deal’ the real supporters of Harapan in Sarawak can be asked to tolerate, certainly nothing less.

OUTRAGE! – Najib’s Secret Deal With China To Pay Off 1MDB (And Jho Low’s) Debts! – SHOCK EXCLUSIVE


Marked “For Internal Use Only” an Appendix to a Term Sheet due to be approved by the Malaysian Cabinet tomorrow (27th July) lays out in detailed figures how  Najib plans for over US$7 billion in accumulated 1MDB/Jho Low company debts to be wiped out by taxpayers in a secret deal between his Ministry of Finance and the Chinese state company CCCC (China Communications Construction Company).The PM’s ‘cunning plan’ is to get the Malaysian Government to agree to inflate the actual cost of the East Coast Rail Project from only RM30 billion to RM60 billion, all to be borrowed from the Chinese Government, in order to disguise the payment of 1MDB’s (and Jho Low’s) company debts!

Sarawak Report can reveal the secret figures behind the deal, which has been inflated 100% to hide the payments for 1MDB!

A whistleblower, who has supplied full details of the project, described the plan to Sarawak Report: “The Malaysian Government is planning to award an overvalued project to launder money in order to fill the loophole of 1MDB. The plan is to award the East Coast Rail Project to a Chinese Company, China Communication Construction Company Limited (CCCC). The initial budget for the project is MYR 30b, but they have overvalued the project for another MYR 30b, making it MYR 60b. The extra MYR 30b will be use to launder out cash to 1MDB related companies. The project has been proposed to the cabinet on 25/7/2016 and will be approved by the cabinet on 27/7/2016 with total value of MYR 60b.

The Chinese company, which is backed by the China Government, will help pay off the 1MDB dept in advance and progressively. In return, this Chinese company will be rewarded with high profits and land, and of course extra influence with the Malaysian government”. Doubling the cost of mega-project The outrageous plan is blatantly laid out in the term sheet and internal report, which have been leaked to Sarawak Report. The report says baldly that the actual cost of building the railway, has only been estimated by CCCC at RM27 billion. However, there is to be a so-called “Additional Differential” cost of RM29.85 billion, which will more than double the cost to make a total bill of RM60 billion, including a fat percentage of profit for the company (handily based on the total and not just the construction costs):

Najib plans to double the cost of the Railway to RM60 billion to hide his 1MDB missing money

The company makes no bones about the incentives provided by the Malaysian Government in this “Direct Contract”, meaning that there was no open tender to get the best deal for the project. CCCC says it has been given land on generous terms, including a chunk of land which was given cheap by Najib to 1MDB, then inflated in value at Ayer Item – the land which is valued at US$1.3 billion will be offered to CCCC for US$850 million. CCCC will also gets tax breaks including from GST for the next ten years. And then, as a Chinese State-owned company CCCC notes the benefit of the extended influence over Malaysia the project and the massive loan of the cash (at a generous 2% interest rate) will provide. So much for Najib Razak’s much vaunted ‘inward investment’ plans from fellow Islamic countries and his stirring of hatred against the so-called ‘Chinese Tsunami’ !

What is in this deceitful deal for the Chinese? Just take a look!

Sneaking 1MDB’s debts into the project The quid pro quo for the Chinese partners in this lucrative deal is to assist in Najib’s corrupted exit strategy for getting shot of his multi-billion dollar debts at 1MDB at a total cost of US$5.63 billion! The first priority being to get 1MDB off the hook over its outstanding payments to Abu Dhabi’s IPIC. In the first instance this will be achieved through the payment of the $850 million to 1MDB for the Ayer Item land, but after that the company will assume the repayment of the remaining debts for the disastrous ‘power purchase’ and ‘strategic partnership loans’ which lost billions (mainly stolen). The Malaysian taxpayer will of course have to pay the whole lot back with interest over the next 7 years in payments, all planned to be disguised by the inflated Rail Project!

Sneaking a write off of 1MDB’s debts in an up-front payment

Laughably, this outlay is set to be disguised by a repayment in ‘assets’ valued to the same amount of US$5.63 billion.  The assets concerned are largely duds – vaunted ‘liquid and cash assets’ tucked away by 1MDB in dodgy bank accounts, including the 1MDB Brazen Sky account at BSI (alleged worth $940 milllion) and also the supposed assets of 1MDB Global at BSI, (alleged worth US$1.56 billion). Significantly, we note that the 1MDB Global money, which was raised through a Goldman Sachs loan, is now also described as ‘Units’, raising the probability that these are in fact worthless pieces of paper representing bogus investments, similar to the ‘Units’ in Brazen Sky, which would imply, that like the PetroSaudi funds, the billions raised by 1MDB Global have all been stolen:

Worthless ‘units’ from Brazen Sky and 1MDB Global are being dumped into the deal as if they had been ‘bought’, whereas in fact all costs are being separately covered by the ‘additional items’ on the inflated projected

List of Payments totals US$7.5 billion/ RM29.8 billion Just last week the United States DOJ explained in searing detail how all that missing 1MDB money, which is now being sneaked onto the East Coast Rail tab, was stolen by Najib and his family and associates, including Jho Low and IPIC’s Khadem Al Qubaisi, to be spent on gambling, drinking, jets, yachts, record-breaking fine art purchases (in many cases depicting under-dressed female forms). The report sheet in our possession lays out in precise detail what CCCC/The Chinese Government has agreed to funnel through the project, in order to get Najib off the hook on all his problems. The astonishing list contained in an Appendix to the agreement is clearly costed and totals over US$7,5 billion. It includes writing off 1MDB’s debts to the Abu Dhabi sovereign wealth fund IPIC, which is currently suing 1MDB to the tune of US$6.5 billion over unpaid guarantees.

RM30 billion ‘Added Differential’ ie bail out for 1MDB and Jho Low

Bailing out Jho Low’s companies also!! Significantly, the list also includes an agreement to buy out two Jho Low related companies, which have long been suspiciously associated with Najib’s record of personal plunder from 1MDB.  These are Loh & Loh Corporation Berhad and Putrajaya Perdana Berhad, for which Jho Low and his partners will receive a healthy US$315 million:

Jho Low related companies which funnelled money to Najib are also in the secret bail out package!

Sarawak Report has long since exposed how Jho Low used 1MDB money, which was secretly channeled through a so-called Islamic loan agreement with the company PetroSaudi to ‘buy out’ the Sarawak UBG group in which he and Taib Mahmud held the major stakes. The purported buyer was Javace Sdn Bhd, a supposed subsidiary of PetroSaudi International, Seychelles (a bogus subsidiary of PetroSaudi, whose Director was Tarek Obaid, also a director of PetroSaudi). However, secret transactions obtained by Sarawak Report showed that all the money in Javace was controlled by a company Panama Investment Manager, which was owned by Jho Low. The two subsidiaries of UBG Putrajaya Perdana and Loh & Loh are still identified as crony companies controlled by Low and Putrajaya Perdana was identified by investigators as having played a key role in funnelling cash from 1MDB’s subsidiary SRC into Najib’s own personal accounts:

The diagram held up by Attorney General Apandi showing Putrajaya Perdana’s role in passing public money to Najib

Public figures? How the same project is being costed at RM60 billion, but with no mention of 1MDB

The agreement is due to be passed by Najib’s compliant cabinet….. about now!