KUALA LUMPUR, July 1 -- Standard Chartered is being sued for US$2.7 billion (RM11.3 billion) by liquidators tied to Malaysia's scandal-hit 1Malaysia Development Berhad (1MDB) fund, who allege the bank facilitated the laundering of billions in misappropriated public money.

Bloomberg reported today that the legal action, filed in Singapore, accuses the UK-based lender of enabling more than 100 intrabank transfers between 2009 and 2013 that helped obscure the trail of stolen funds.

The claimants said the transactions resulted in losses exceeding US$2.7 billion, along with S$20 million in Malaysian public funds.

The Financial Times (FT) first reported the suit.

In response, Standard Chartered said it had not yet received formal legal docu...