Ex Cfo Kpmg Firm On Meeting Najib Over 1mdb Overseas Investment

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1MDB TRIAL | KPMG’s Ahmad Nasri Abdul Wahab, in a telephone call to 1MDB’s then-chief financial officer Azmi Tahir, had stressed the international audit firm’s request to meet then-premier Najib Abdul Razak.
Azmi told the Kuala Lumpur High Court today that it was because KPMG was not satisfied with information and documentation provided by 1MDB’s management for the purpose of auditing the Malaysian sovereign wealth fund’s US$2.3 billion overseas investment.
The 12th prosecution witness was testifying during the RM2.28 billion 1MDB corruption trial against Najib, who was also the finance minister and chairperson of the fund’s board of advisers.
During proceedings before trial judge Collin Lawrence Sequerah, Azmi said that between Nov 29 and Dec 15, 2013, KPMG indicated to him (Azmi) that they were not happy with the information and documents provided by 1MDB.
He previously testified that KPMG managed to secure the meeting with Najib for this purpose on the Dec 15 date.
KPMG was later dropped as the auditor for 1MDB and Deloitte was brought on board to audit the fund.
Azmi said that despite management having tried to give as much information as possible to KPMG, the auditor was not satisfied and wanted to meet the sole shareholder, Najib.
1MDB is fully owned by the Minister of Finance Incorporated (MoF Inc).
During cross-examination by defence counsel Wan Aizuddin Wan Mohammed, Azmi replied that the request to meet Najib arose during a telephone conversation between the witness and Nasri.
Azmi said that Nasri reiterated that KPMG would only sign off on the 2013 1MDB financial statement if they get to hear from the then-premier about the overseas investment in Brazen Sky Limited, a British Virgin Islands-incorporated entity.
Wan Aizuddin: What was your reaction when you heard the request?
Azmi: I was surprised. I asked why they wanted to meet the prime minister? They say they wanted to hear from the shareholder that everything is okay. They said if okay, then they would sign off (on 1MDB financial statement).
The former CFO testified that after the telephone call with Nasri, he then contacted businessperson Low Taek Jho (Jho Low) to inform him about KPMG’s request.
Businessperson Low Tak JhoThe prosecution contended that Low’s involvement in wrongdoing at 1MDB was on the authority of Najib.
The defence team claimed that the accused had no knowledge of wrongdoing and that the whole embezzlement scheme was solely masterminded by Low and several members of the fund’s management team.
Azmi explained to Aizuddin that Low then seemed to question why KPMG was so adamant to meet Najib.
“I communicated to Low (about KPMG’s request), so Low asked why meet the prime minister, why they (KPMG) cannot accept the information (provided by 1MDB’s management).
“(I told Low that) They said if the meeting with the prime minister was satisfactory, they would sign off, to which Low asked ‘Sure ah? Sure ah?’, and I said ‘Yes’,” Azmi said.
Aizuddin then asked why the need to call Low first rather than Najib’s then principal private secretary Azlin Alias.
Azlin and then science technology and innovation minister Jamaluddin Jarjis died in a helicopter crash in 2015.
The trial before Sequerah is set to continue this afternoon.
Najib is on trial for four counts of abuse of power and 21 counts of money laundering involving RM2.28 billion of 1MDB’s funds. - Mkini

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