Press Release

Clarification on Recent Statements by Arul Kanda, President & Group Executive Director
Clarification on Recent Statements by Arul Kanda, President & Group Executive Director, 1MDB

“I refer to various commentary on my recent statements regarding the possibility of fraud in relation to 1MDB. In particular, I must clarify that I had never “admitted there was fraud” as has been mistakenly alleged by various personalities and subsequently wrongly reported by certain media. What I did say is that, given the content of the 12 April 2016 statement by the Office of the Attorney General of Switzerland, 1MDB must now be open to the possibility of fraud, i.e. that it cannot be discounted. It is regrettable that various personalities have chosen to “spin” my words to further their own agendas.

What is more important, in my view, is 1MDB’s firm contention on the USD3.5 billion deposits paid to Aabar BVI. 1MDB maintains that it dealt with senior executives, hence these transactions bind IPIC and Aabar PJS as corporates - bluntly put, it is an internal matter for them to resolve. 1MDB will not shy away, and looks 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 (PDRM) in its ongoing investigations into the company. 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.”

- Arul Kanda, 1MDB President and Group Executive Director