"Behind every great man there is a great woman"........she makes you, or destroy you!
Acrimonious Split Rattles Malaysian Premier’s Family
One of the greatest woman of the 20th century, stood by her man, care for her poor people.
Written by John Berthelsen and A. Lin Neumann | ||
The current scandal over patronage funds exposes deeper truths about the country's feudal ways
The Philippines' multibillion dollar Pork Barrel, the center of a massive and growing scandal, is a river of money that enriches those most at its confluence but then flows down to mayors and other local political leaders, corrupting the democratic process as it goes, with a trickle eventually reaching impoverished voters in the form of favors and benefits intended to buy loyalty for the local congressman.
The Pork Barrel, formally known as the Priority Development Assistance Fund (PDAF), provides each of the country's 24 senators with P200 million (US$4.8 million) per year, or P1.2 billion for an entire six-year term. Congressional representatives receive P70 million per year, or P210 million for their three year terms. For months, attention has been riveted on the activities of Janet Lim Napoles, who made herself and her family massively rich after she set up a series of phony NGOs that were the recipients of PDAF funds that were then apparently recycled back to the lawmakers in cash after Napoles took a 30 percent cut. That story has been told extensively and is the subject of an official government audit report; at least six senators and 28 congressmen could be liable for criminal charges. Mother's Milk But the other part of the story is how these funds even when "properly" used perpetuate an almost unbreakable system, helping to create a long chain of political dynasties. In effect the PDAF has been a government-funded way to sustain a corrupt and feudal system. The way the funds are used illustrates the enormous difficulty of ending or reforming a system that makes a truism of the phrase that money is the mother's milk of politics. The funds were intended to finance rural development projects for constituents but investigations have shown that while many districts benefit from them, more often they are used as a method of delivering patronage and furthering the business interests of powerful local families. The poorly audited PDAF funds and other sources of money that flow down from lawmakers to district officials or mayors are sometimes used to fund outright illegal operations including smuggling of drugs or weapons and munitions sales, according to a former military officer, virtually unstoppable by an outmanned, outgunned and often corrupt customs service trying to police an archipelago of 7,100 islands, about 2,000 of which are inhabited.Read more. |
Written by Vanson Soo | |
MONDAY, 26 AUGUST 2013 |
Written by John Berthelsen | |
FRIDAY, 15 MARCH 2013 |
The Swiss bank UBS, at the center of allegations of money laundering by Sabah’s chief minister Musa Aman, said it couldn’t comment on the claims although a spokesman for the bank said UBS is fully committed to assisting in the fight against money laundering.
“UBS does not comment on market speculation or rumor,” Mark Panday, a spokesman for the bank’s operations in Hong Kong, told Asia Sentinel. “However, in all markets in which it operates, UBS’s policy is to cooperate fully with regulators. Indeed, it is committed to assisting in the fight against money-laundering, including corruption and terrorist financing.”
The Sarawak Report, an NGO based in Kuching and London, alleged in a report made public Sunday that more than US$90 million was passed circuitously in 2007 by Sabah lawyer Richard Christopher Barnes from Musa into Barnes’ UBS Hong Kong account before it was forwarded in turn to a UBS Zurich account in the chief minister's own name.
The money transfers allegedly were shepherded by a UBS client manager named Denis Chua, who originally worked at the Singapore branch for HSBC Hong Kong until 2006. According to the report, Chua moved to UBS, taking the accounts with him.
The Sarawak Report said Hong Kong’s Independent Commission Against Corruption discovered the transactions in an investigation into alleged money-laundering by a Musa associate, Michael Chia Tien Foh, and compiled a detailed list of the transactions between Barnes, Chia and the UBS accounts.
Denis Chua is believed to have left UBS. A call to the UBS Hong Kong office elicited no response. Panday declined any further comment on the matter.
Hong Kong’s money-laundering law, which appears to be focused mainly on drug trafficking, nonetheless make it an offense for bankers, lawyers or accountants to deal with property they know or have reasonable grounds to believe represents the proceeds of drug trafficking or other serious crimes. Offenders are subject to a maximum of 14 years in prison. Records must be kept on any transaction over HK$8,000, the rough equivalent of US$1,000.
The Hong Kong Monetary Authority’s voluminous guidelines put the onus on banks and other financial institutions and their professional employees to ensure that companies follow legal guidelines on deposits. As required by the guidelines, banks make it a common practice to subject all employees dealing with the transfer of funds to regular, detailed briefings on money-laundering statutes and the penalties involved.
The need to guard against money laundering received new impetus in 2004 when the Hong Kong Monetary Authority urged banks to be especially alert to the possibility of money laundering as the territory prepared tReda moreo become an outlet for yuan-denominated deposits. In June of that year, the HKMA issued a supplement to the territory's anti-money laundering guidelines, setting out "Know-Your-Customer" principles, taking account of the requirements of a paper on "Customer Due Diligence for Banks" issued by the Basel Committee on Banking Supervision. Read more
French case draws closer to Malaysian officials
Two magistrates have been nominated in Paris to investigate the politically explosive 2002 purchase of Scorpene submarines by the Malaysian Ministry of Defense when Najib Tun Razak was Defense Minister.
The case focuses on a 1.2 billion euro contract called a “programme soumalais” with the state-owned French defense giant DCNS, formerly known as DCN. The contract was later transferred to Armaris, a joint venture between DCNS and the French company Thales. In questioning in the Dewan Rakyat, the Malaysian Parliament, it transpired that a €114 million (US$150 million at current exchange rates) commission had been paid to a newly-minted company called Perimekar Sdn Bhd, nominally owned by the wife of one of Najib’s best friends, Abdul Razak Baginda, then the head of a Malaysian think-tank.
It is likely to take several years before the case comes to fruition. In the meantime Najib, now Malaysia’s prime minister and head of the United Malays National Organization, the country’s biggest political party, is preparing for snap elections, possibly in May or June, according to political observers in Kuala Lumpur.
At the heart of the story are allegations of a massive scandal involving not only Malaysian officials but top French politicians and arms purchases in Pakistan, Taiwan, India, Chile, Argentina, Saudi Arabia and other countries as DCNS geared up to sell naval equipment across the planet. The allegations include blackmail, kickbacks, a string of murders in Pakistan, Taiwan and Malaysia and involvement of such top figures as former French Prime Minister Edouard Balladur and others.
Other magistrates are handling different aspects of the affair. One, called “ l’affaire Karachi,” has raised suspicions of the involvement of the current French President Nicholas Sarkozy, who faces a difficult re-election campaign. Sarkozy has angrily denied any involvement. In that case, the deaths of 11 French engineers who were blown up in Karachi was first laid to a bomb set by Al Qaeda. However the bomb was later believed to have been set off by Pakistani military officials angered because the French had reneged on bribes promised by Balladur but cancelled by Jacques Chirac after he defeated Balladur for the presidency.
Judges investigating the affair have been probing whether Balladur received “retro commissions” or kickbacks for the contract. Balladur has given no credible explanation for 10 million French francs (€1.5 million) which found their way into his campaign coffers. Sarkozy was his campaign finance minister at the time.
In accordance with the French legal system, the Malaysia case has first been the subject of a preliminary survey from the financial division of the legal police. So the appointment of the two investigating judges, Serge Tournaire and Roger Le Loire, follows more than two years of investigation. The two are known for previous investigations on national and international corruption matters. They have broader powers to investigate independently and can call witnesses and conduct international surveys.
According to financial statements, the cost of the program was divided into four contracts:
The payment of bribes -- called commissions in this case – to foreign public officials as part of international contracts has been illegal in France since the ratification of the Organization for Economic Cooperation and Development Convention on bribery of September 2000.
Since the beginning of the probe, bribes amounting to €32.5 million have been investigated, authorities say.
Malaysia's Anti-Opposition Bloggers
Does Kuala Lumpur have a home-grown version of China’s ’50-centers?’
Is Malaysia getting its own version of China’s so-called 50-centers, the legions of Chinese bloggers who monitor websites and reply to criticism of the government for money?