According to investigative journalist Bradley Hope, newly appointed US attorney-general Pam Bondi announced the immediate closure of both KARI and Task Force Klepto Capture in an email on Wednesday.

“The units recovered billions in stolen assets since 2010,” Hope said in a post on X yesterday.

Hope also quoted a source as saying that a key objective in disbanding the units was to gain control of a multi-billion dollar forfeiture fund – money seized from corrupt officials that was meant to be returned to victim countries.

Hope co-authored “Billion Dollar Whale” with journalist Tom Wright, with whom he investigated the 1MDB scandal as reporters for The Wall Street Journal.

The DoJ had used KARI’s authority under civil asset forfeiture laws to seize over US$1 billion in assets linked to misappropriated funds from 1MDB. These assets included luxury properties, art pieces, and other high-value items purchased with embezzled money.

The initiative also facilitated international cooperation with countries like Malaysia, Switzerland, and Singapore to track down laundered funds across multiple jurisdictions.

Under KARI, the DoJ also filed civil suits to recover additional funds linked to 1MDB, including forfeitures worth hundreds of millions of dollars.

According to NBC News today, Bondi issued 14 policy memos on Wednesday, including the order to disband KARI and Task Force Klepto Capture.