'I HAD NO PERSONAL KNOWLEDGE 1MDB FUNDS USED TO BUY JEWELLERY FOR ROSMAH', ARUL KANDA TELLS COURT

KUALA LUMPUR, Jan 14 (Bernama) -- Former chief executive officer of 1Malaysia Development Berhad (1MDB), Arul Kanda Kandasamy told the High Court here today that he had no personal knowledge that monies from the company’s funds were used to buy jewellery worth USD1.3 million for Datin Seri Rosmah Mansor.

Arul Kanda said this when 1MDB’s counsel Raphael Kok Chi Ren referred to him the United States Department of Justice (DOJ)’s complaint on June 2017 during the trial 1MDB’s USD6.59 billion lawsuit against him and former chairman of the board Tan Sri Mohd Irwan Serigar Abdullah.

Kok: Based on the DOJ’s complaint, monies from Blackrock Commodities (Global) Limited were used to purchase jewellery for Datuk Seri Najib Tun Razak’s wife Datin Seri Rosmah.

Arul Kanda: That is stated in the DOJ complaint. I don't have personal knowledge.

According to the DOJ’s complaint, the monies were used to purchase 27 assorted gold necklaces and bracelets worth USD1.3 million.

Arul Kanda, who is the first defendant, told the court that the money was used to purchase a luxury yacht and real estate, one of which was registered under Kassem Dean, the husband of singer Alicia Keys.

Asked by Kok whether the witnesses had knowledge that fugitive financier Low Taek Jho or Jho Low and his associates Eric Tan were beneficial owners of monies over USD200 million deposited in bank accounts, Arul Kanda said, "I agree as stated in the document in the DOC’s complaint".

In May 2021, 1MDB filed a lawsuit against the two individuals, accusing them of breach of trust and conspiracy, which led to losses of USD1.83 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 USD3.5 billion in company funds paid to Aabar Investments and USD1.265 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 USD6.59 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 before Judge Datuk Raja Ahmad Mohzanuddin Shah Raja Mohzan continues tomorrow.

-- BERNAMA