JAKARTA, Indonesia—A potentially prolonged custody battle is unfolding over a $250 million yacht allegedly connected to the 1MDB global scandal, with lawyers moving on multiple fronts to block the U.S. from seizing the boat.
The moves could upend a U.S. win against a Malaysian financier the Justice Department alleges is a central player in a $4.5 billion scandal that has spawned investigations in several nations.
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