The Kuwaiti Public Prosecution’s decision - to arrest Sheikh Sabah Jaber Al-Mubarak, the son of the former prime minister in what has become known locally as the "Malaysian Fund" - was a surprise of the high caliber in the political and popular circles alike.

A local newspaper revealed in its reports that the Interior Ministry arrested yesterday Sheikh Al-Sabah and his businessman Hamad Ali Al-Wazzan, on Wednesday, on charges related to money laundering operations.

According to published press reports, after a 12-hour marathon investigation session, Attorney General Dirar Al-Asousi decided yesterday to detain Al-Mubarak and Al-Wazzan until next Sunday in order to complete the investigations with them.

Al-Qabas newspaper quoted sources familiar with the progress of the ongoing investigations as saying that there are surprises with the emergence of new names in the coming days, and that the defendants will not be denied in Thursday's investigations, "as they will be confronted with every document found by the prosecution confirming the suspicion of money laundering through the implementation of government projects within development plans Future. "

# Kuwaiti_Association for Defense of Money_General @alqabas
The "Malaysian Fund" symposium warns against corruption and poor oversight ... and reveals
Kuwait surprises that were used as a money laundering station! Https://t.co/rLH1cyU6JC pic.twitter.com/53wYZ2HNN0

- Public Money Association (@kappf) June 23, 2020

Details of the case
The chapters of the "Malaysian Fund" case began to unfold last May, after a meeting that gathered a number of American officials with the former Minister of Defense Sheikh Nasser, the son of the Emir of the country, Sheikh Sabah Al-Ahmad Al-Sabah, and to provide evidence of the involvement of a number of former officials in facilitating the passage of suspicious financial operations. For the benefit of Chinese and Malaysian companies through projects and deals.

The suspicious operations, according to the reports published in the local newspapers, included a series of projects and deals related to entities, companies, people, and electronic applications inside and outside Kuwait.

However, it became clear later that the chapters of this case date back to 2018, when a Kuwaiti bank submitted a report to the Financial Investigation Unit against the backdrop of a bank transfer of 17 million dinars (55 million dollars) made by Al-Wazzan in favor of an account linked to the mother’s Malaysian fund case.

Not only that, but one of the branches of foreign banks operating in Kuwait submitted four reports in 2017, 2018 and 2019 to the Financial Investigation Unit as well, related to the inflation of Sheikh Sabah's bank account with the value exceeding the threshold of one billion dollars.

The mother case
The above is related to the mother case in Malaysia, where the authorities announced in 2018 the arrest of former Prime Minister Najib Abdul Razzaq against the backdrop of major corruption cases, represented in the theft of sovereign wealth funds internationally known as "1MBD".

Among the most prominent partners of Abdul-Razzaq in the case of theft was businessman Lu Taek-Jo "Joe Lu", who was issued arrest warrants against him in more than one country, including Malaysia and the United States.

Investigations into the funds of the Malaysian Sovereign Fund are being conducted in at least eight countries, including: Malaysia, the United States, Switzerland, Hong Kong and Singapore, as well as more than one Gulf country, including Kuwait.

"Joe Lu" Kuwait
According to the information contained in the Kuwaiti media, the Wazzan "Joe Lu Kuwait" was the link between the Malaysian "Joe Lu" - who visited the country in 2019, despite all international arrest warrants against him - and Sheikh Sabah Al-Mubarak, who took over the Wazzan - According to the available information - negotiations regarding the purchase of a bank owned by the latter in the Comoros, before the Wazzan, which has a specialized application for transportation in Kuwait at a later stage, becomes a pivotal player in everything related to the management of companies and accounts of Mubarak.

And at the end of last May, Anas Al-Saleh, Deputy Prime Minister and Minister of Interior, announced the referral of a report to the Public Prosecution on suspicion of the involvement of some politicians, destinations and companies based in Kuwait in money laundering operations for Chinese and Malaysian companies, in the context of the global corruption issue known as the Malaysian sovereign fund issue.

Al-Saleh said - in a statement published by Kuwait News Agency (KUNA) - that the report referred all parties involved in these transactions and companies to the Public Prosecution to complete the legal procedures.

The Cabinet also decided to entrust both the Audit Bureau and the Anti-Corruption Public Authority (impartiality) with examining and reviewing all transactions related to this file, in order to determine whether there are suspicions of corruption crimes. The Kuwaiti authorities had previously issued a decision to freeze the accounts of the accused persons and their families, as well as prevent them from traveling.

Secretary of the Kuwaiti Lawyers Association Adnan Abel: His Excellency Deputy Prime Minister and Minister of Interior Anas Al-Saleh stressed the necessity of following up the files and cases of corruption and his support for the efforts of the association and various institutions in this regard and the need to hold everyone who proves his connection or responsibility for it and the application of the law to everyone without distinction Or distinction. pic.twitter.com/fmmn3HWYfn

- Kuwait Lawyers Association (@ KUWAITILAWYER63) July 7, 2020

Wide interaction
This file has elicited wide popular and political reactions over the past few weeks and days. In this context, MP Riyadh Al-Adsani considered that the case involved "flagrant transgressions" involving individuals, companies and banks inside and outside Kuwait, and included very large financial transfers.

Al-Adsani said in press statements that some of these operations were punctuated by attempts to place suspicious bills with the aim of covering financially criminal activities, in addition to that the transfers were made in various currencies, some of which were made inside Kuwait by depositing and withdrawing, and transferring abroad by suspicious methods.

Al-Qabas newspaper revealed that several companies in the country were involved in money-laundering transactions and operations, explaining that the method followed in money-laundering operations took place by entering bank accounts as payments, in exchange for certain business contracts, provided that these contracts are later canceled.

Expected penalties
: Lawyer Saleh Al-Ajmi, President of the Association for the Defense of Public Funds, says that money laundering crimes if they are proven against the defendants in the case of the Malaysian Fund consist of three items: ten years imprisonment, confiscation of the laundered money, in addition to a fine equivalent to twice the amount issued.

Al-Ajami said in a press statement that the imprisonment period is the aggravated punishment according to the Money Laundering Crime Law, adding, "But if the accused uses his authority or influence, the penalty of imprisonment will double to 20 years, instead of ten years."