Arul denies admitting 1MDB fraud

KUALA LUMPUR - 1Malaysia Development Bhd (1MDB) has never "admitted there was fraud" as has been alleged by various personalities and subsequently wrongly reported by certain media, says President and Group Executive Director, Arul Kanda.

"What I did say is that, given the content of the April 12, 2016 statement by the Office of the Attorney General of Switzerland, 1MDB must now be open to the possibility of fraud, that it cannot be discounted," he said in a statement here.

He was referring to various commentaries on his recent statements regarding the possibility of fraud in relation to the state-owned 1MDB.

Arul Kanda said it was regrettable that various personalities have chosen to "spin" his words to further their own agendas.

"What is more important, in my view, is 1MDB's firm contention on the US$3.5 billion deposits paid to Aabar Investements PJS Ltd (Aabar BVI).

"1MDB maintains that it dealt with senior executives, hence these transactions bind Abu Dhabi's International Petroleum Investment Co (IPIC) and Aabar Investments PJS as corporates - bluntly put, it is an internal matter for them to resolve," he said.

He reiterated that 1MDB would not shy away, and looked forward to resolving this dispute with IPIC through discussion and if necessary, arbitration, in order to ensure an expeditious resolution, in the interests of all stakeholders.

In the meantime, 1MDB will continue to extend full cooperation to the Royal Malaysian Police in its ongoing investigations into the company, he said.

"1MDB has always maintained, and continues to maintain, that if any evidence of wrongdoing is found, then action must be taken, according to the law," said Arul. – Bernama

• ‘Massive fraud’ likely behind deal with Aabar BVI, says Arul