What discrepancies did Tony Pua find in the 1MDB audit?

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Tony Pua Highlighted Timing Discrepancies in 1MDB's Financial Dealings

Petaling Jaya Utara MP Tony Pua raised concerns regarding the timing of a significant financial transaction involving 1Malaysia Development Bhd (1MDB) and its joint venture with PetroSaudi International Limited. He questioned whether the accounting firm KPMG had conducted adequate due diligence on 1MDB's financial statements, specifically pointing to an agreement signed after the company's financial year-end.
Discrepancy in Joint Venture Agreement Date

Pua noted a specific discrepancy related to 1MDB's joint venture with PetroSaudi International Limited. He claimed that documents indicated 1MDB had signed an agreement to convert its 40 per cent stake in the joint venture entity, 1MDB-Petrosaudi Limited, into a US$1.2 billion Islamic loan.
Transaction Occurred Post Financial Year-End

The core of Pua's assertion was the date this conversion agreement was reportedly signed: June 14, 2010. This date is significant because it fell almost three months after 1MDB's financial year, which concluded on March 31.
Implications for Financial Reporting

In accounting and auditing practices, transactions that occur after a financial year-end are typically reported in the subsequent financial period. The timing of the conversion agreement, as highlighted by Pua, raises questions about how this transaction was reflected in 1MDB's financial statements for the year ending March 31, 2010, and whether it was appropriately disclosed according to prevailing accounting standards.

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What discrepancies did Tony Pua find in the 1MDB audit?

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