PetroSaudi: What's in the name?

The Public Accounts Committee’s (PAC) report on 1Malaysia Development Berhad (1MDB) revealed that the board of directors were repeatedly given inaccurate information, including on the name of PetroSaudi.

The National Accounts Department’s checks showed that four different names have been registered under the name of ‘PetroSaudi’.

i. PetroSaudi International Ltd established in Saudi Arabia

ii. PetroSaudi International, set up in the Cayman Islands

iii. PetroSaudi Holdings (Cayman) Ltd, set up in the Cayman Islands

iv. PetroSaudi International Ltd, set up in the Seychelles

In a joint-venture agreement dated Sept 28, 2009, PetroSaudi Holdings (Cayman) Ltd was referred to as "PSI", while the written resolution of the sole director of the company which was signed by Tarek Obaid referred to it as "PSH".

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1MDB press statement dated September 30, 2009 announced the signing of a joint-venture between 1MDB and Petrosaudi International Ltd. referred to as ' PSI ' .

The National Accounts Department added that the 1MDB board of directors failed to realise that ‘PSI’ in the joint-venture referred to the PetroSaudi Holdings (Cayman) Ltd.

In most cases, ‘PSI’ has been always referred to as PetroSaudi International Ltd. (Saudi Arabia).

This suggests ‘PSI’ gave the impression that PetroSaudi Holdings ( Cayman) Ltd. was the same entity as PetroSaudi International Ltd. (Saudi Arabia).