KUALA LUMPUR (April 1): The Prime Minister's Office of Malaysia (PMO) said The Wall Street Journal (WSJ) "has been forced to admit" for the first time that some of the funds donated to Prime Minister Datuk Seri Najib Tun Razak came from Saudi Arabia.

According to a statement from the PMO yesterday, quoting the prime minister's press secretary Datuk Seri Tengku Sariffuddin, for nearly a year, WSJ had denied that the funds came from Saudi Arabia and attacked those who suggested otherwise.

"This included the Attorney General who, after reviewing the exhaustive investigations and examining all the evidence - including wire transfers and interviews with the Royal Family - confirmed that the funds were a donation from the Royal Family of Saudi Arabia.

"Neither the confirmation from lawful Malaysian authorities, nor the foreign minister of Saudi Arabia, nor reputable outlets such as the BBC and Daily Telegraph, was enough to make the WSJ stop their attacks or denials that any of the funds had come from Saudi Arabia," Sariffuddin said.

The PMO statement followed a WSJ report, which alleged that 1Malaysia Development Bhd (1MDB) had transferred money to Najib's bank accounts.
 
WSJ, quoting Malaysian investigation documents on bank-transfer involving 1MDB and Najib's accounts, reported that Najib had spent US$15 million (about RM59 million) on clothes, jewelry and a car in Malaysia and abroad.

The WSJ report alleged that Najib had spent the money in countries including Malaysia, the US and Italy. 1MDB had subsequently issued a statement to deny the allegations.

WSJ's report also alleged that US$200 million was transferred to Najib's accounts from a person in Saudi Arabia and the country's finance ministry.

WSJ said the finance ministry did not respond to WSJ's request for comment.