KUALA LUMPUR – The DAP’s Tony Pua said it would not be possible for 1Malaysia Development Bhd (1MDB) to make it on time to submit its financial year ended March 31, 2015 (FY15) and FY16 accounts to the Companies Commission Malaysia (SSM) by end of this month (March 31).
At Parliament lobby today, Pua, who is MP for Petaling Jaya Utara, said it is impossible for 1MDB to complete both sets of the said financial statements, without an opening balance.
“Since the previous accounts for FY13 and FY14 cannot be relied on, and the new auditor has not decided whether to conduct an audit again, the subsequent financial statements will not have an opening balance,” he said.
“Any auditor worth their salt would immediately tell you that they (1MDB) will not be able to complete a financial audit for the year, with the opening balance or prior year accounts. In this case, it is clear that there have been no audited and certified accounts for March 2013 and 2014, given that Deloitte has withdrawn its enforcement,” he explained.
Hence, Pua said the only resolution for the matter is to conduct another audit on 1MDB’s FY13 and FY14 accounts.
“It is the statutory requirement for the independent auditor to carry out the above task; and directors who fail to ensure that the above are duly completed in a timely matter, may be punishable by up to five years’ jail or fined RM30,000,” he said.
Yesterday, Parliamentary documents revealed Pua questioned the Ministry of Finance (MoF) whether there will be another round of audit work to be carried out by 1MDB’s newly-appointed auditor Parker Randall.
The MoF said the decision has not been made at this juncture, and will decide “after further discussions with the new auditor”.
Parker Randall was appointed after 1MDB’s former auditor Deloitte tendered its resignation.
While Parker Randall is a multinational audit firm, Pua said the firm’s presence in Malaysia is represented by a four-partner firm called Afrizan Tarmili Khairul Azhar.