ON THE MONEY TRAIL
THE freezing of Umno’s bank accounts has been linked to the alleged transfer of RM600 million from 1MDB. A senior Umno leader confirms that a huge sum was channelled to the party, 'several years ago', adding that investigators had probed its accounts before.
ARUL KANDA SACKED 2 DAYS BEFORE CONTRACT ENDS FOR ‘BREACH OF CONTRACT AND FIDUCIARY DUTY’ CONTROVERSIAL EMAIL BETWEEN PETROSAUDI EXECS DISCUSSING 1MDB-RELATED MATTERS, SURFACES
KUALA LUMPUR: 1Malaysia Development Bhd (1MDB) president and chief executive officer Arul Kanda Kandasamy has reportedly been sacked two days before his contract expires today.
A news portal cited the letter of termination, which asserted that Arul Kanda had “breached the contract and fiduciary duty” as head of the strategic development firm, which had become the focus of an international corruption investigation.
It was also reported that the previous government had agreed to pay Arul Kanda RM5 million as an ex-gratia for his services.
Arul Kanda joined 1MDB in January 2015.
Quoting sources, the report said he was paid RM2.5 million for the extension of his contract, with another RM2.5 million to be paid today. But with the sacking, 1MDB would now seek the return of the RM2.5 million that was paid.
Previously, Arul Kanda served as an executive vice-president and head of investment banking at Abu Dhabi Commercial Bank PJSC. Efforts by the New Straits Times to contact him were futile.
His termination was one of the latest changes at the helm of government-linked companies (GLCs) in recent weeks.
After the 14th General Election on May 9, several top GLC executives had announced their retirements and resignations, in what some observers viewed as a shake-up in the corporate sector following the change in government.
Yesterday, Permodalan Nasional Bhd (PNB) announced the retirement of chairman Tan Sri Abdul Wahid Omar effective today.
He would be replaced by former Bank Negara Malaysia governor Tan Sri Zeti Akhtar Aziz effective tomorrow.
Earlier, Telekom Malaysia Bhd announced the resignation of its managing director and group chief executive officer Datuk Seri Mohammed Shazalli Ramly effective June 6.
Tabung Haji had, on May 24, announced the resignation of Datuk Seri Abdul Azeez Abdul Rahim as its chairman.
On May 14, Tan Sri Shahrir Abdul Samad announced his resignation as chairman of Felda.
Other reports quoting sources said the contracts of Malaysia Airports Holdings Bhd chief executive officer Mohd Badlisham Ghazali and Petronas chairman Tan Sri Mohd Sidek Hassan would not be renewed when they expire today.