Kuala Lumpur: Former chief executive officer of 1Malaysia Development Berhad (1MDB) Arul Kanda Kandasamy told the High Court here today that he met fugitive businessman Low Taek Jho, also known as Jho Low, in Abu Dhabi four years prior to his appointment at 1MDB. This revelation was made during Arul Kanda's testimony in the USD6.59 billion lawsuit against him and former chairman of the board Tan Sri Mohd Irwan Serigar Abdullah.
According to BERNAMA News Agency, Arul Kanda was responding to a question from 1MDB's counsel Datuk Lim Chee Wee during the hearing. Lim inquired about Arul Kanda's time in the Middle East, specifically whether he had met any prominent business people, including Jho Low, while in Abu Dhabi. Arul Kanda confirmed the meeting, stating it took place in 2011. He revealed that Jho Low had proposed an investment related to Al Maryah Island, a financial district in Abu Dhabi.
Arul Kanda also mentioned meeting Khadem Al Qubaisi and Mohammed Badawy al Husseiny in Abu Dhabi, who were later linked to the 1MDB scandal. Discussing his appointment to 1MDB, Arul Kanda explained that he was approached by 1MDB's then-former director Ashvin Jethanand Valiram during Valiram's visits to Dubai. Arul Kanda had sent his resume to Valiram and underwent interviews with the then-chairman of 1MDB, Tan Sri Lodin Wok Kamaruddin, and former director Tan Sri Ismee Ismail, along with a phone interview with the then-CEO Datuk Shahrol Azral Ibrahim Halmi.
Arul Kanda disclosed that he conducted due diligence on 1MDB before joining, noting negative media articles about the company. He received his offer letter on December 18, 2014. In May 2021, 1MDB filed a lawsuit against Arul Kanda and Mohd Irwan, accusing them of breach of trust and conspiracy, which allegedly resulted in losses of USD1.83 billion linked to investments in 1MDB-Petrosaudi Ltd, later converted into Brazen Sky Limited investment.
The lawsuit also claims that both defendants misappropriated USD3.5 billion paid to Aabar Investments and USD1.265 billion to the International Petroleum Investment Company on May 9, 2017. Additionally, 1MDB alleges that Mohd Irwan conspired with Arul Kanda to extend the latter's employment agreement, resulting in a payment of RM2,905,200 to Arul Kanda, against the company's interests, leading to financial losses.
Consequently, 1MDB is seeking USD6.59 billion in damages from both defendants and an additional RM2.9 million from Mohd Irwan related to the employment agreement extension. The hearing before Judge Datuk Raja Ahmad Mohzanuddin Shah Raja Mohzan is set to resume tomorrow.