1MDB drops lawsuits against JPMorgan and Coutts in $1.1B fraud case

A stunning reversal in the 1MDB saga as two major banks exit the case. What’s next for Malaysia’s quest to reclaim billions lost to fraud?

, and Administrator

2025 November 13 . 5:13 PM

1 min read

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1MDB drops lawsuits against JPMorgan and Coutts in $1.1B fraud case

1Malaysia Development Bhd (1MDB) has dropped its appeals against JPMorgan Chase and Coutts & Co, following a High Court ruling that the case should be pursued in Switzerland. The move comes after 1MDB accused the two financial institutions of dishonestly receiving funds and handling transfers to Good Star Ltd.

In a significant development, JPMorgan Chase and Coutts & Co have been removed from 1MDB's US$1.1 billion civil suit. This follows 1MDB's decision to drop its appeals against the two institutions. The lawsuit will now proceed against Deutsche Bank, PetroSaudi International Ltd, PetroSaudi Holdings (Cayman) Ltd, Tarek Obaid, and Patrick Mahony.

Earlier this year, JPMorgan Chase reached a settlement with the Malaysian government. The bank paid US$330 million (RM1.4 billion) in August to resolve the dispute. This payment is part of the ongoing efforts to recover funds allegedly misappropriated from 1MDB.

With JPMorgan Chase and Coutts & Co no longer part of the lawsuit, the focus now shifts to the remaining defendants. The Malaysian government continues its pursuit to recover funds and bring those responsible to justice. The next steps in the legal process are awaited with keen interest.