• Datin Seri Rosmah Mansor formally pledged in court to hold onto any of her luxury goods pending a lawsuit by 1MDB and SRC International

• 1MDB and SRC International is attempting to prevent Rosmah from removing or disposing her assets worth up to US$350 million (RM1.6 billion) amid allegations of misappropriating funds for luxury goods

• If successful, Rosmah would also be required to disclose all her assets and permitted to withdraw only up to RM10,000 a month for living and legal expenses

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• Rosmah was accused of buying jewellery, handbags, and other luxury items using funds from 1MDB and SRC International across 14 countries between 2010 and 2014

KUALA LUMPUR, June 14 — Datin Seri Rosmah Mansor has given an undertaking to the court today that she will not dispose of any jewellery items, handbags, watches and spectacles currently in her possession subject to confirmation they were purchased with misappropriated 1Malaysia Development Bhd (1MDB) funds in an ongoing suit.

Rosmah’s undertaking was recorded before judicial commissioner Adlin Abdul Majid earlier during today’s case management on an ongoing Mareva injunction application filed by 1MDB, its subsidiaries, and SRC International Sdn Bhd to bar Rosmah from removing or disposing of any of her assets up to nearly US$350 million (RM1.6 billion).

Rosmah was represented by counsels Tan Sri Muhammad Shafee Abdullah and Reza Rahim. 1MDB was represented by Datuk Lim Chee Wee and Lee Shih.

As per the interim (temporary court order), Rosmah's undertaking is made without admitting liability and pending further confirmation from her legal counsels over some 11,000 luxury goods 1MDB claimed were purchased by offshore paying entities through misappropriation of its funds.

"The first defendant hereby undertakes not to dispose of any jewellery items, handbags, watches and spectacles currently in her possession or control subject to confirmation that these items are items in Schedule A," read the order.

Schedule A contains an inventory list of some 11,000 luxury goods said to be in Rosmah's possession that authorities had seized during a raid in Pavilion Residences after the 2018 general election.

At the onset of the proceedings, Muhammad Shafee and Reza informed the court they could not yet ascertain what items were in Rosmah's possession as they had only received the voluminous documents needed from the plaintiffs several days ago.

They then informed the court of their client's intention to file a striking out application, as the luxury items targeted in this civil action may overlap with the forfeiture proceedings following the 2018 Pavilion Residences raid.

In that forfeiture proceeding, the federal government's application was dismissed by the High Court. The prosecution did not appeal.

The lawyers also informed the court that they will be filing an application to recuse Adlin from hearing the matter. They did not disclose the reason for Adlin's recusal.

The recusal application will be heard on August 26 and has to be disposed of before parties could proceed to the injunction hearing to be scheduled at a later date.

Before the hearing was adjourned, Adlin also reminded all parties of the need to be cognisant that it has to be dealt with in a timely manner since this was a commercial matter after Rosmah's counsel had earlier sought more time to prepare their submissions.

"I would like to emphasise that this is a commercial case, so we need to keep at pace with commercial reality to move fast enough," she said.

The order (Mareva injunction) and other injunctive relief sought follows the companies’ latest suit against Rosmah and another, over luxury goods allegedly bought through the misappropriation of US$346 million in funds — later known as the 1MDB scandal.

A Mareva injunction is a court order preventing someone from disposing of property pending the outcome or completion of a legal action.

In the application filed on June 10, 1MDB, SRC International and nine other entities that are seeking an injunction preventing Rosmah from disposing of her assets — whether owned legally or beneficially in her name or not — up to the value of US$346,010,489 (or its ringgit equivalent).

She would also be required to fully disclose all her existing assets whether in or outside Malaysia whether in her name or not and whether solely or jointly owned by providing details to the court in writing.

The companies also want an interim preservation order compelling Rosmah to surrender the luxury goods into the custody of the police or any other party deemed fit by the court.

Rosmah would be allowed, however, to withdraw up to RM10,000 monthly or any other sum ordered by the court, for her living and legal expenses. She may still negotiate the monthly withdrawal for its limit and purpose.

The injunction application follows the latest 1MDB and SRC civil suit against Rosmah, where a total of 11 plaintiffs claim that monies from the companies were channelled to various offshore entities, and later paid to 48 vendors in 14 jurisdictions for the luxury goods in 320 payments.

Rosmah is being sued along with Shabnam Naraindas Daswani (also known as Natasha Mirpuri), who allegedly purchased or procured the luxury goods for Rosmah.

In the suit, they are asking Rosmah to return any of these items in her possession and to pay approximately US$350 million or an amount to be assessed by the court. They also want Shabnam to pay a sum to be determined by the court.

Apart from the claimed sums, the plaintiffs are seeking general, aggravated and exemplary damages from the duo.

This is a second civil suit brought against Rosmah, the wife of former prime minister Datuk Seri Najib Razak, in connection with the purchase of jewellery.

In an earlier suit, Lebanese jeweller Global Royalty Trading SAL is seeking the recovery of US$14.57 million in connection with 44 jewellery items shipped to her in February 2018.

Rosmah contends they were seized by police and are no longer in her possession.

• Rosmah was accused of buying jewellery, handbags, and other luxury items using funds from 1MDB and SRC International across 14 countries between 2010 and 2014
• 1MDB and SRC International have since filed an injunction to prevent Rosmah from removing or disposing her assets

To know more about this developing story, read Malay Mail’s wrap-up of the issue: All you need to know about: 1MDB suing Rosmah over alleged RM1.6b luxury shopping spree