UAE fund says Malaysian fund, ministry default on over $1.1B

Staff Writer
Columbus CEO

DUBAI, United Arab Emirates (AP) — A government-backed investment fund in the United Arab Emirates says indebted Malaysian investment fund 1MDB and the southeast Asian country's finance ministry are in default over more than $1.1 billion in debt.

The Abu Dhabi-based International Petroleum Investment Company said in a filing to the London Stock Exchange on Monday that it has "performed all of its obligations to date" under the terms of the loan.

It says the Malaysian side has failed in obligations including the repayment of just over $1.1 billion plus interest under terms drawn up in May 2015.

Malaysian Prime Minister Najib Razak was behind the creation of 1MDB in 2009 and has been fighting allegations that cash from the fund flowed into his personal accounts.