Irwan Serigar's application to strike out US$6.59b 1MDB suit to be heard on July 1

 

The application of former Treasury secretary-general Mohd Irwan Serigar Abdullah to strike out the suit filed by 1MDB against him and former 1MDB chief executive officer Arul Kanda Kandasamy that they should pay up US$6.59 billion (1 US$ = RM4.29), will be heard on July 1.

Counsel Lavinia Kumaraendran who is representing Irwan said the application would be heard before High Court judicial commissioner Amarjeet Singh.

"The hearing date was fixed by senior assistant registrar Azlinda Ahmad Sharif during case management today," she said when contacted today.

Irwan as the second defendant filed the application on Feb 18 among others claimed the suit against him was premature as Brazen Sky Limited’s investment as well as Aabar Investments PJS Limited’s payment were clearly unsustainable as the court has yet to determine 1MDB suffered losses of US$1.83 billion and US$3.5 billion

Irwan in the application also claimed that he did not have any contractual, statutory or fiduciary obligations to 1MDB because his appointment as a director of 1MDB was after the losses had allegedly been suffered by 1MDB.

According to him, the loss claim allegedly suffered by 1MDB was an abuse of the court process as 1MDB had obtained money as soon as the settlement was reached in the civil suit with other parties filed by 1MDB.

Former 1MDB chief executive officer Arul Kanda Kandasamy

1MDB, which filed a suit against Arul Kanda and Irwan in May last year, alleged that the two defendants had committed a 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 alleged that the two defendants committed a breach of trust and conspiracy by misappropriating 1MDB money amounting to US$3.5 billion paid to Aabar Investments and US$1.265 billion paid to IPIC on May 9, 2017.

1MDB claims 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