A US court’s move to grant a dismissal of forfeiture action against super yacht Equanimity does not mean Low Taek Jho is in the clear, said a lawyer for 1Malaysia Development Bhd.

“It doesn’t prove his innocence,” lead counsel Jeremy Joseph told The Malaysian Insight.

“Action is in Malaysia,” he said, referring to criminal charges filed against the Penang-born businessman better known as Jho Low.

Low’s lawyers, in a statement on Monday, said the Department of Justice’s motion to dismiss its forfeiture action is a result of the Malaysian government’s mishandling of the seized vessel, and that their client is innocent.

“The DoJ, with the consent of Equanimity (Cayman) Ltd, agreed to seek the dismissal of this action. While it is not a perfect outcome, it is reasonable and understandable, given the brazenness of the Mahathir government in illegitimately seizing the yacht from Indonesia, in blatant violation of Indonesian law and with no regard for a US court order designed to ensure all parties are afforded their full rights under the law,” said the statement, referring to Prime Minister Dr Mahathir Mohamad.

The lawyers also said by illegally seizing the Equanimity, Malaysia is solely responsible for eroding the yacht’s value.

“Not surprisingly, the hapless Mahathir regime, in a disastrous PR stunt, failed to sell the vessel at fair market value at auction.”

The luxury yacht will now be sold for no less than US$130 million (RM543 million), after there were no bidders for its initial price of US$250 million.

The Equanimity was seized in Bali in February last year and handed over to Malaysia in August.

It was brought to Port Klang on August 7, before being moved to Langkawi.

Low was last month charged in absentia at the Kuala Lumpur Sessions Court with five counts of criminal wrongdoing under Section 4(1)(a) of the Anti-Money Laundering and Anti-Terrorism Financing Act 2001.

He allegedly received US$1.03 billion via an account at Bank Good Star Ltd at RBS Coutts Bank Ag in Zurich, Switzerland, between September 30, 2009 and October 25, 2011.

The wanted financier was also jointly charged with former aide Eric Tan with two counts under Section 4(1)(a) of the same act.

The charges involved losses of US$126 million that the duo allegedly received via an account at RBS Bank Ltd in Singapore, owned by Acme Time Ltd, where the transaction involved the issuance of Islamic medium-term notes by the Terengganu Investment Authority Bhd in May 2009. – January 2, 2019.