Indonesia to Turn Over Yacht in 1MDB Probe to FBI

Indonesia will hand over a luxury yacht seized on the resort island of Bali to U.S. authorities, police said Wednesday, giving the Justice Department an elusive asset connected to a $4.5 billion fraud case centered on the Malaysian state fund 1MDB, The Wall Street Journal reported. Daniel Silitonga, Indonesia’s chief police investigator in seizure of the yacht Equanimity, said police would transfer control over the $250 million, 300-foot vessel “in a few days” upon the completion of legal arrangements. Indonesia seized the Cayman Islands-flagged, helipad-equipped Equanimity at the request of the U.S. Federal Bureau of Investigation on Feb. 28, capping a monthslong search by U.S. authorities. The Justice Department alleges that a Malaysian financier who controls the vessel—36-year-old Jho Low—helped siphon off at least $4.5 billion from the fund, 1 Malaysia Development Bhd., or 1MDB, between 2009 and 2015. 1MDB was established by Prime Minister Najib Razak in 2009 to spur Malaysia’s economy, but it now is being investigated by authorities in several countries on allegations ranging from money-laundering to misappropriation of funds involving billions of dollars. Read more. (Subscription required.)