KUALA LUMPUR: The High Court here today dismissed former 1Malaysia Development Berhad (1MDB) chief executive officer Arul Kanda Kandasamy and its former chairman Tan Sri Mohd Irwan Serigar Abdullah's bid to strike out a US$6.59 billion suit filed by 1MDB against them.
High Court Judicial Commissioner (JC) Datuk Raja Ahmad Mohzanuddin Shah Raja Mohzan, in dismissing the duo's applications, ruled that the suit must go to full trial as the court needed to hear testimonials from the witnesses.
"The matter cannot be decided by affidavits and this is not a case that can be summarily decided. Clearly, the allegation of fraud and conspiracy cannot be settled through a simple approach. Thus, I maintain the status quo and the suit will go for a full trial.
"This is not an obvious matter for striking out but requires this court to investigate via full trial. Justice would still come to the rightful party, and it merely takes a longer journey to achieve it," Raja Ahmad said.
He then ordered Arul Kanda and Mohd Irwan to pay RM10,000 each as costs to 1MDB and fixed Sept 14 for case management.
Lawyer Datuk Lim Chee Wee appeared for 1MDB, while lawyers Sanjay Mohan and Lavinia Kumaraendran represented Arul Kanda and Mohd Irwan, respectively.
Mohd Irwan filed the application to strike out the suit on Feb 18, 2022, on the grounds that it was premature as the investment of Brazen Sky Limited and the payment of Aabar Investments PJS Limited were clearly unsustainable since the court had yet to determine that 1MDB suffered losses of US$1.83 billion and US$3.5 billion.
Arul Kanda filed the same application on June 2, 2022, on the grounds that he cannot be held responsible for the losses incurred by 1MDB due to irregularities committed by others.
In May 2021, 1MDB filed a suit against the duo over an alleged breach of trust and conspiracy, causing 1MDB to suffer losses amounting to US$1.83 billion, in relation to its investment in 1MDB-Petrosaudi Ltd, which was converted into the alleged Brazen Sky Limited investment, said to be found in the Bridge Global Fund.
1MDB also claimed that Arul Kanda and Mohd Irwan committed a breach of trust and conspiracy by misappropriating 1MDB's funds, amounting to US$3.5 billion, paid to Aabar Investments and US$1.265 billion, paid to International Petroleum Investment Company (IPIC), on May 9, 2017.
1MDB alleged that Mohd Irwan also conspired with Arul Kanda to cause the company to implement the Employment Extension Agreement, and made a substantial payment of RM2,905,200 to Arul Kanda in accordance with the agreement, regardless of 1MDB's interests, causing the company to suffer losses and damage.
In this regard, 1MDB, among others, demanded that the two defendants pay US$6.59 billion for the breach and an additional RM2.9 million from Mohd Irwan in relation to the Employment Extension Agreement.
-- BERNAMA
Bernama
Wed Aug 23 2023
The High Court ordered 1MDB CEO Arul Kanda Kandasamy and its former chairman Tan Sri Mohd Irwan Serigar Abdullah to pay RM10,000 each as costs to 1MDB and fixed Sept 14 for case management. - BERNAMA/SINAR
ISIS Malaysia's perspective of Budget 2025
An excellent rakyat-centric budget under the overarching principle of a caring and humane economy.
Budget 2025: Record increase in STR, SARA aid initiatives
The government will provide a significant boost to the Sumbangan Tunai Rahmah (STR) and Sumbangan Asas Rahmah (SARA) initiatives next year.
Budget 2025: EPF contributions to be made mandatory for foreign workers – PM Anwar
The government plans to make it compulsory for all non-citizen workers to contribute to the Employees Provident Fund (EPF).
What policies to expect from Indonesia's new President Prabowo
Prabowo will be open to foreign investment, his aide has said, such as by offering investors management of airports and sea ports.
Budget 2025: Govt allocates RM470 mil to empower women's participation in PMKS
The Women's Leadership Apprenticeship Program will be intensified as an effort to produce more female corporate personalities.
Israel sends more troops into north Gaza, deepens raid
Residents of Jabalia in northern Gaza said Israeli tanks had reached the heart of the camp, using heavy air and ground fire.
Indonesia ramps up security ahead of Prabowo's inauguration
Prabowo Subianto will be sworn in as Indonesia's president on Sunday with Vice President-elect, Gibran Rakabuming Raka, also taking office.
Immediate allocation of RM150 mil for local authorities, DID to tackle flash floods
Datuk Seri Anwar Ibrahim said this allocation is intended to address the recent flash floods that hit the capital and several major towns.
Budget 2025: Sabah, Sarawak to continue receiving among highest allocations - PM
Sabah and Sarawak continues to be prioritised under Budget 2025, with allocations of RM6.7 billion and RM5.9 billion respectively.
NFOF will be operational in November 2024 with funding of RM1 bil
PM Anwar Ibrahim said NFOF will support venture capital fund managers to invest in startup companies with RM300 million set aside for 2025.
Minimum wage to increase to RM1,700 effective Feb 1, 2025
The Progressive Wage Policy would be fully enforced next year with an allocation of RM200 million, benefiting 50,000 workers.
Bursa Malaysia ends higher on Budget 2025 optimism
The benchmark index, which opened 1.85 points higher at 1,643.29, moved between 1,641.71 and 1,649.31 throughout the trading session.
Five important aspects relating to people’s lives in Budget 2025 - PM
The focus is on driving the MADANI Economy, speeding reforms, cutting red tape, raising wages, and tackling the cost of living.
Economic outlook: Govt plans to leverage, expand existing city transit system
The expansion aims to provide a more efficient and reliable public transportation network, reduce congestion, and improve accessibility.
Economic outlook: Budget 2025 to lay foundation for a digital-driven economy
The report said Budget 2025 will entail efforts to position Kuala Lumpur as a top 20 global startup hub by 2030 through the KL20 initiative.
Economic outlook: Corruption and lack of accountability hinder economic progress
Special Cabinet Committee on National governance is established to curb corruption, law reforms to modernise outdate regulations, MoF said.
National Wages Consultative Council will be strengthened
The govt will also incentivise hiring women returning from career breaks, offer job matching and improve care services facilities.
Economic outlook: Ensuring 11 years of compulsory education for all children
Budget 2025 will continue prioritising upskilling and retraining initiatives to equip workers with the latest skill sets necessary.
Consolidated public sector projected to record lower surplus of RM41.7 bil 2024
The MoF said the consolidated general government revenue is estimated to increase slightly to RM384.7 billion in 2024.
PM announces substantial Budget 2025 hastening Malaysia to become Asian economic powerhouse
Datuk Seri Anwar Ibrahim said it would create jobs and also tackle financial leakages to enhance public spending efficiency.