KUALA LUMPUR: The much anticipated move by the prosecution to get Arul Kanda Kandasamy on the stand as a star witness in the 1Malaysia Development Berhad (1MDB) audit tampering trial finally materialised today.
The former 1MDB chief executive, who was brought in to sort out 1MDB's mess in 2015, revealed how he ended up in the job and the kind of challenges he faced in completing the task he was hired to do.
Arul Kanda also touched on how Datuk Seri Najib Razak had approached issues faced by the fund - especially on the mounting debt and missed loan payment, and the road shows he was asked to go on in the run-up to the 14th General Election.
The 45-year old started his testimony by answering questions posed by lead prosecutor Datuk Seri Gopal Sri Ram, pointing out that he had been recommended to join 1MDB by one of its then board members Ashvin Jethanand Valiram.
Later, when asked about the 1MDB audit report and his conversations about it with Najib, Arul Kanda said the then prime minister was concerned that the audit report would end up becoming political fodder against him.
"He was concerned it would be spun politically," he said, adding that was why Najib wanted him to attend a meeting with the auditors which took place on Feb 24, 2016.
It was at this meeting that amendments to the report were discussed.
Arul Kanda later agreed with Sri Ram that the original copy of the audit report would have been presented to the Public Accounts Committee (PAC) if not for the Feb 24 meeting.
He also confirmed that he met former PAC chairman Hasan Arifin and Najib's special officer Datuk Seri Ahmad Farid Ridzuan before being called to testify at the parliamentary committee sitting.
He said the meeting took place at Farid's house and he was asked to reveal what he intended to disclose at the PAC hearing.
"I found it unusual but I was asked to meet them so I did it," he said.
On the nationwide roadshows which he went on, Arul Kanda said he had done so on Najib's instructions.
He said Najib wanted him to explain issues faced by 1MDB and what was being done about it.
"I answered questions from the public based on facts which were available at that time.
"I often ended my talks by asking the public to make their own conclusions," he said.
Sri Ram: In your mind were you convinced that Najib did not receive any of 1MDB monies?
Arul Kanda: I can confirm based on 1MDB company records of moneys paid out, Najib was not recipient of those funds.
Later when cross-examined by Najib's lead counsel Tan Sri Muhammad Shafee Abdullah, Arul Kanda said Ashvin had asked him to consider joining 1MDB as the company was already in financial difficulty, having missed a loan repayment to Maybank.
"He was concerned about how the company was being managed and he thought with my background I could help turn things around."
Arul Kanda said he only got to meet Najib for the first time about one week after joining 1MDB, sometime in January 2015.
He added that Najib had also expressed concern about problems faced by 1MDB, especially on its financial commitments and failure to start projects which had been planned.
Arul Kanda said he had suggested to Najib for the National Audit Department to conduct an audit of the strategic development company and this was eventually done following a Cabinet decision not too long later.
In this trial, Najib is accused of using his position to instruct for amendments to the auditor general's report on 1MDB before it was presented to the PAC.
The trial before High Court Judge Mohamad Zaini Mazlan will continue on July 4.