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China rejects reports of role in Malaysia fund scandal

The Chinese embassy in Kuala Lumpur has denied claims that Beijing officials offered to bail out a corrupt Malaysian sovereign wealth fund – known as 1MDB – and deflect US interest in the scandal, following reports by the Wall Street Journal.

The story broke that in 2016 China was in talks with the now former Prime Minister Najib Razak to help cover up illegal practices by the administration, in return for more infrastructure deals in Malaysia and its waters. Over $20 billion of new deals were signed in the period following the talks.

The Chinese embassy in Malaysia said that its cooperation with other countries never carries political conditions, Reuters quoted.

“China has all along adhered to the principle of non-interference in the internal affairs of any other country. We do not accept any groundless accusations made against China,” the embassy said.

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