This was revealed by the ministry in a written reply in the Dewan Rakyat today to a question from Muhyiddin Yasin (PPBM-Pagoh).
The PPBM president had asked the finance ministry to explain why there was a delay in 1MDB presenting its financial statement for the past three years.
“On July 8, 2015, the police seized various original documents from 1MDB. Appeals by 1MDB management for the return of the documents have gone unheeded.
“This has made it difficult for the auditors to complete the financial statements for the years in question as they need the original documents to proceed with their tasks,” the ministry said.
Parker Randall were appointed 1MDB’s external auditors by the finance ministry in January this year, after Deloitte quit as auditors in February last year.
In its written reply the ministry added however, that the auditors have started the audit process based on the information that is available, but no timeline could be given as to its completion due to the on-going police investigation.
The ministry also pointed out that the Dewan Rakyat need not be updated on the 1MDB financial statements.
“The 1MDB financial statements have never been presented to the Dewan Rakyat previously nor is there any rationale for doing so in future,” the ministry said.
The ministry added however, that the financial statements for the years 2009 to 2014 were submitted as required by law to the Companies Commission of Malaysia (SSM) and are accessible online.
Prior to Parker Randall and Deloitte, 1MDB had appointed Ernst & Young (EY) and KPMG as auditors since its inception in 2009.
KPMG had overseen 1MDB’s accounts in 2010, 2011 and 2012, while Deloittes did the accounts for 2013 and 2014. 1MDB’s first auditor, Ernst & Young, was fired in 2010 for raising questions on investments, as previously reported by the Wall Street Journal.
Following Deloitte’s departure last year, 1MDB president Arul Kanda was reported as saying that Deloitte stepped down because it was unable to complete auditing 1MDB’s 2015 accounts.
Ministry: No decision on re-audit of 2013, 2014 1MDB accounts
http://www.freemalaysiatoday.com/category/nation/2015/05/15/1mdb-accounts-being-audited-by-foreign-firm-deloitte/