Ex-auditor-general: Najib wanted to omit issue of two 1MDB financial statements

KUALA LUMPUR: The High Court heard that Datuk Seri Najib Razak asked that the issue of two differing versions of 1Malaysia Development Bhd (1MDB) financial statements not be included in the final audit report, promising an investigation into it later.

Tan Sri Ambrin Buang, who was the auditor-general at the time, said he agreed to this request based on Najib's promise.

The witness recalled that he was asked to attend a meeting at the prime minister’s office by the former premier’s private secretary, Tan Sri Shukry Mohd Salleh, to discuss the audit report.

The meeting, which was held before Feb 22, 2016, was also attended by former chief secretary to the government, Tan Sri Ali Hamsa.

Ambrin said Najib asked him for a briefing on serious issues that were found during the audit, and so he raised the matter of 1MDB having two different financial statements.

"He promised me that the relevant authorities would investigate and get to the bottom of this," said the witness, who was testifying in the joint trial of Najib and former 1MDB CEO Arul Kanda Kandasamy, dubbed the Public Accounts Committee (PAC) trial, here on Wednesday (Nov 27).

On the meeting held two days later on Feb 24, Ambrin said Ali instructed him and Saadatul Nafisah Bashir Ahmad (former National Audit Department audit director) to attend the meeting, while the remaining members of the 1MDB audit team were to wait outside the meeting room.

The court had earlier heard a testimony from Ali, who had said he called a meeting on Feb 24, 2016, with 1MDB and other relevant agencies to discuss amendments to 1MDB’s audit report.

"In the meeting, Shukry said the audit report prepared by the NAD can be politicised by the Opposition.

“I was also briefed that 1MDB management, led by Arul Kanda, will be able to respond to our audit report," he said.

During the meeting, Ambrin said NAD was pressured to listen to the response from 1MDB about its findings.

"Arul Kanda expressed many opinions on the matter of the two versions of financial statements produced by 1MDB, and pressured NAD to not include this matter in the audit report," he said.

"I had no intention to hide, but agreed to not include this into the final audit report based on Najib’s promise to report this to the police," he said.

Najib is accused of using his position to order amendments to the 1MDB final audit report before it was tabled to the PAC to avoid any action against him.

He allegedly committed the offence in Putrajaya between Feb 22 and 26,2016.

Arul Kanda was charged with abetting Najib at the same place and time.

The hearing continues before Justice Mohamed Zaini Mazlan tomorrow.