SINGAPORE -- A former banker serving a jail term for witness tampering in Singapore’s investigation of 1Malaysia Development Bhd, Yeo Jiawei, has admitted to money laundering.
Yeo also pleaded guilty on Wednesday to cheating his former employer.
He was given a 30-month prison term in December on charges of attempting to interfere with witnesses in the investigation.
The former BSI SA wealth planner’s admission of guilt came after the Monetary Authority of Singapore wrapped up a two-year probe into fund flows related to the Malaysian investment fund. Prosecutors identified Yeo as a central figure linked to Malaysian financier Low Taek Jho, who was characterised by US investigators as the controller of a plan to drain billions from 1MDB.
The Malaysian fund, at the heart of several money laundering and corruption probes across the globe, has consistently denied any wrongdoing. Low has previously described his role with 1MDB as informal consulting that did not break any laws.
Yeo had referred to Low as “boss” and spent at least one night at his house, according to earlier court proceedings. Yeo said it was a misunderstanding that he worked for Low.
Singapore has imposed a total of S$29.1 million (US$21 million) in penalties on eight banks as part of its 1MDB probes. Credit Suisse Group AG and United Overseas Bank Ltd were among the firms that paid penalties, while BSI and Falcon Private Bank Ltd were also ordered to shut their local operations.
Five people, including Yeo, have been convicted in Singapore, the only country so far to have brought criminal charges against bankers.
Yeo accumulated a net worth of S$23.9 million through “secret profits” in the 15 months after he left BSI in June 2014, prosecutors said in an earlier hearing. Yeo had said the money was earned legitimately.