Finance Minister Lim Guan Eng has claimed that one of 1MDB's directors admitted that the alleged US$2.5 billion (RM9.8 billion) in 'fund units' investments were a scam.

He told reporters this after a briefing by 1MDB directors Norazman Ayob and Kamal Mohd Ali, president and CEO Arul Kanda Kandasamy, former CFO Azmi Tahir and former general counsel Ivan Chen at his office in Putrajaya this evening.

"The board of directors, who supply the ministry with the 1MDB board meeting minutes, claimed that they have repeatedly disputed the value and even the existence of these investments during the monthly board meetings.

"This is because the 1MDB management has repeatedly failed to supply the board with any evidence over the existence of these investments over the past two years.

"Kamal called these 1MDB investments 'a scam'," he added.

In total, 1MDB previously claimed it held approximately US$2.5 billion (RM9.8 billion) in fund units.

Of this, US$940 million was said to be held by its subsidiary Brazen Sky Ltd, and another US$1.56 billion by a separate subsidiary, 1MDB Global Investment Ltd.

However, the US Department of Justice claimed these fund units were "relatively worthless" and was a front for money that had been stolen.

During the same briefing, Lim claimed that Arul Kanda, who previously insisted the fund units were available for 1MDB to use to repay its debt, now said that he was uncertain if they even existed.

According to Lim, the 1MDB CEO also claimed to be in the dark about the state of the firm's finances.

"Arul Kanda when asked, highlighted that he is on 'garden leave' until the end of his contract in June 2018.

"Therefore, he claimed that he is in the dark as to the financial situation of the company," he said.

The new Pakatan Harapan government has accused the previous BN administration of trying to cover up the multi-billion ringgit 1MDB scandal and has vowed to uncover the alleged wrongdoings.

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