Breaking News
Kuching international school beefs up security with three police officers after teacher attacked
KUCHING, Oct 22 — Tunku Putra-HELP (TPH) International School has confirmed that it will immediately enhance
...Civil servants effectively banned from using Waze app due to Israel ties
KUALA LUMPUR, Oct 21 — Civil servants have been banned from using the Waze navigation app with
...Govt looking at tougher penalties to tackle cable theft across public transport sector
KUALA LUMPUR, Oct 20 — The Transport Ministry is in the midst of drafting necessary measures
...Flood victim count at PPS records slight increase; Royal Malaysian Navy sends 100 personnel to Pangkor
IPOH, Oct 19 — A total of 156 flood victims from 50 families are seeking shelter
...Father and daughter killed as container crushes car in Sepanggar, police detain driver
KOTA KINABALU, Oct 19 — A 49-year-old trailer driver has been detained to assist investigations after
...Baby’s body found in Kuala Berang drain missing head and hand, police investigating
KUALA BERANG, Oct 17 — The body of a baby was found in a drain in
...
Arul Kanda says didn’t ask about two audit firms’ sacking as 1MDB CEO
KUALA LUMPUR, Jan 16 — Arul Kanda Kandasamy, the former CEO of 1Malaysia Development Berhad (1MDB), testified in the High Court today that he did not ask why the company’s two auditors were terminated.
1MDB’s auditors, Ernst & Young (EY) and KPMG were dismissed in 2010 and 2013, respectively.
Arul Kanda clarified that he did not inquire about the matter because he only joined the sovereign wealth fund in 2015.
The first defendant was responding to a question from 1MDB’s counsel, Datuk Lim Chee Wee during the hearing of the US$6.59 billion lawsuit against him and former chairman of the board Tan Sri Mohd Irwan Serigar Abdullah.
Lim: Did you engage with the stakeholders of your former auditors, namely EY and KPMG, to understand why they resigned or were terminated?
Arul Kanda: No.
When asked by Judge Datuk Raja Ahmad Mohzanuddin Shah Raja Mohzan if he had seen reprimanded reports (reports containing negative audit findings) from KPMG, Arul Kanda replied: “I do not know if there are any reprimanded reports”.
In May 2021, 1MDB filed a lawsuit against the two individuals, accusing them of breach of trust and conspiracy, which led to losses of US$1.83 billion, linked to the company’s investment in 1MDB-Petrosaudi Ltd, which was subsequently converted into the Brazen Sky Limited investment, purportedly recoverable from the Bridge Global Fund.
1MDB also alleged that both defendants committed breach of trust and conspiracy by misappropriating US$3.5 billion in company funds paid to Aabar Investments and US$1.265 billion paid to International Petroleum Investment Company on May 9, 2017.
1MDB further alleged that Mohd Irwan conspired with Arul Kanda to extend his employment agreement, resulting in a payment of RM2,905,200 to Arul Kanda, all while disregarding the company’s interests, which ultimately led to financial losses and damages.
Consequently, 1MDB is seeking US$6.59 billion in damages from both defendants and an additional RM2.9 million from Mohd Irwan related to the extension of the employment agreement.
The hearing resumes tomorrow.
