1MDB audit: CEO wanted parts of audit to be dropped

Arul Kanda wanted parts of the National Audit Department's audit on 1MDB to be dropped.

Written by TheMole

KUALA LUMPUR — Jan. 13, 2020: Former 1MDB CEO Arul Kanda Kandasamy shocked the National Audit Department (NAD) when he asked that certain parts of its audit on the company be dropped a few months after having the opportunity to scrutinise it.

The reason Kandasamy offered was that whatever opinions from the audit team had to be dropped as he felt these were subjective and not supported by strong evidence.

According to former NAD director of audit Saadatul Nafisah Bashir Ahmad, the request was made by Kandasamy in March 2016 at a meeting at the office of former chief secretary to the government Tan Sri Ali Hamsa.

Prior to this everyone involved or having an interest in the audit was given the opportunity to speak at an exit conference the previous December.

The testimony came from Saadatul Nafisah, who retired on May 16, 2016, after 36 years of service, at the trial of former prime minister Datuk Seri Najib Razak and Kandasamy on a charge of tampering with the 1MDB final audit.

At the exit conference Kandasamy had also given a statement and supporting documents but at the March meeting was still asking the auditors to amend or delete the wordings in the audit. The NAD however stood firm and refused the request.

In February the same year Kandasamy had also sent Saadatul Nafisah an e-mail with several new suggestions to be included in the final audit but this was also ignored by the NAD, especially since no document or evidence was given as support.

Najib is charged with using his position to order amendments to the audit before it was tabled to the Public Accounts Committee to prevent any action against him while Kandasamy is charged with abetting Najib.

The trial before Justice Mohamed Zaini Mazlan continues tomorrow.



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