CEO: More vital for 1MDB to resolve debts than sue people

JOHOR BARU: Only lawyers will gain if 1Malaysia Development Bhd (1MDB) were to sue all those making baseless allegations about the company, says its chief executive officer Arul Kanda Kandasamy.

Arul said proving 1MDB’s ability to resolve its own debts was more important than suing people.

“We have sued some individuals for defamation, but the Opposition members who always say ‘sue me’ will end up using all means possible to prolong the hearings.

“If we sue everyone, who wins? Only the lawyers will end up richer.

“So for me, what is most important is to prove that we can solve our own problems,” he said in reply to a question by a member of the public at a 1MDB discussion session here on Monday.

Arul said despite all the claims by the Opposition, the company had been operating as usual.

“Whatever the allegations, 1MDB is still paying off debts and continuing its development projects such as the Tun Razak Exchange (TRX) and Bandar Malaysia.

“These developments serve as evidence to counter the Opposition’s tricks in defaming the Government,” he added.

He noted that TRX had successfully attracted investments from major companies such as Prudential, HSBC Bank, Affin Bank and Tabung Haji.

Arul also said that 1MDB’s assets, largely in the property sector, currently stood at RM43bil, which was much higher than its total debt of RM31bil.

“It should be understood that the value of the assets will continue increasing from time to time in view of the majority being in the property sector.

“For now, the company’s assets are more than enough to pay off its debt,” he stressed.

Arul, however, did not deny that the previous 1MDB management lacked experience, which had contributed to its problems.

If we sue everyone, who wins? ... What is most important is to prove that we can solve our own problems. Arul Kanda Kandasamy