RM31.2bil in assets linked to 1MDB, SRC recovered

RM31.2bil in assets linked to 1MDB, SRC recovered

The finance ministry says the funds have not been utilised for new operating or development expenditures.

The finance ministry said the recovered funds were used only to repay debts and meet existing 1MDB and SRC International Sdn Bhd commitments. (Reuters pic)
PETALING JAYA:
From the establishment of the Asset Recovery Trust Account in December 2018 until Sept 30 this year, the government has recovered RM31.2 billion related to 1MDB and SRC International Sdn Bhd (SRC), says the finance ministry.

The ministry said the recovered funds have not been utilised for new operating or development expenditures.

“The funds are tightly regulated and used only to repay debts and meet existing 1MDB and SRC commitments,” it said in a written parliamentary reply.

The ministry was responding to Dr Wan Azizah Wan Ismail (PH-Bandar Tun Razak), who had asked how the government ensures public assets recovered from high-profile cases are used for public-centred development projects, with transparent and effective monitoring mechanisms.

The ministry said the controls imposed on the recovered funds were important to ensure public funds were not further burdened by 1MDB-related liabilities.

“As of Sept 30, 2025, the remaining funds amount to RM5.29 billion, while 1MDB’s outstanding debt obligations remain at RM24.46 billion.

“That amount includes Islamic Medium Term Note sukuk issuance of RM9.02 billion, comprising principal (RM5 billion) and interest (RM4.02 billion), and shareholder advances from the finance ministry and Minister of Finance Incorporated (RM15.44 billion),” said the ministry.

The ministry said the government remained committed to intensifying efforts to recover all misappropriated funds related to 1MDB and SRC, with the primary objective of maximising returns to repay outstanding debts and meet commitments within the stipulated timeframes.

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