1MDB Bank Negara Approval:Are They Barking Up The Wrong Tree?

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Jho Low Claimed The “PM/ FM” Gave Approval To Keep Bank Negara In The Dark On 1MDB Loan

I 'll not doubt there is something rotten down in 1MDB and the goings-on, therein, may not be known to the PM.

As I have suggested earlier forensic audit of the account be carried out to detect any fraudulent transactions, such audit should be carried out by our Auditor-General together with a reputable international auditing firm, which has in-depth knowledge of the world of international banking and finance, the reason being our AG office may not be familiar with those complicated cobwebbed financial instruments.

What I am going to say here is not in support of Jho Low, 1MDB or the PM, it's purely my personal opinion.

I suggest you guys check out BN (Bank Negara) objectives and regulations before you freak out on this highly politicised issue.

Jho Low may be right about BN approval not required as it is an offshore to offshore loan in foreign denominated currency (no ringgit involved), which in all likelihood is outside BN jurisdiction, therefore, BN approval is not necessary. It also makes sense that only MOF (Ministry of Finance) approval is required as 1MDB is wholly owned by the Malaysian government under the jurisdiction and control of Ministry of Finance, therefore, the company's BOD approval is required and MOF being the sole shareholder of 1MDB, its consent is also required.

Being an entity under MOF, who else can give approval on the matter if not the Minister of Finance, who also happened to be the Prime Minister? Don't forget by virtue of being the PM, he automatically become the de facto CEO of all state-owned companies.

Bank Negara would be more concerned if there were going to be foreign exchange involvement, or if the loan originated or domiciled in Malaysia, or if proceeds of the loan remitted back to Malaysia, where there would be greater impact on the local currency, economy and financial well being of the country if things go wrong.

1MDB would only need to inform BN and gets its approval if it raised foreign loans or issued bonds and bring back the proceeds to Malaysia. Its borrowings from domestic banks must be reported to BN, who as regulator can block or vary the huge borrowings if it's worried of undue impact on the credit and monetary system. 

As it is, the ringgit had already gone deep down south due to comprehensive politicising of the issue that have created skepticism and distrust in the Malaysian economy. Today, the ringgit is 3.69 to US$1.00 due to highly speculative and effective rumoring rather than fact-based economic indicators. Malaysia, is now rated one of the most politically unstable countries among investors and fund managers and it will get worse if no effort is taken to stabilise the very fluid political situation.

Most of the blame should fall squarely on the shoulder of PM Najib Razak as he was more concerned in keeping his popularity and hold on to power within his own party rather than to revive and strengthen the party popularity among the populace.


If they are so sure of the BN regulation, why SR (Sarawak Report) not named the source in Bank Negara who says to them such approval is required?

I think, Sarawak Report, Rafizi and the rest of the gang are barking up the wrong tree on the issue of Bank Negara's approval.

Enter...... Rafizi The Moron, Mahathir The Bogeyman

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"Better to remain silent and be thought a fool than to speak out and remove all doubt"

A saying either by Abraham Lincoln or Mark Twain, or one copied the other, I am not sure who is the originator.

Nevertheless, Pakatan's Minister of Propaganda Rafizi Ramli has admitted responsibility for the debacle and is taking the fall for Anwar Ibrahim, or what he thinks he could get away with..........an apology on a rotten red herring ........because he thinks Malaysians are stupid.

He said "In all honesty, as the strongest proponent of the scheme, I bear most responsibility for the decision"

Let me take an excerpt from PKR Geobbels apology, who has now become the biggest moron in the Pakatan's outfit.

It is an open secret that the move to remove Datuk Seri Najib Razak has begun. As a party strategist, I cannot rule out the possibility that Najib is removed and Umno falls to the ultras led by Tun Dr Mahathir Mohamad’s faction.

The unscrupulous attack and schemes to take Selangor by hook or by crook will begin the moment a weak Najib is removed.

Even as we speak, Umno’s cards are all too obvious in the latest round of racial and religious controversies stirred up in Selangor in the last few months.

Should Najib fall, expect a full-blown manipulation of racial and religious issues to create mistrust and frustration with the Selangor government. Read more here.

Haha!, now you know why Anwar did what he did. It is because of the soon to be ousted Najib and his tormentor Tun Mahathir, who supposedly is on the war path to remove Najib from his premiership. 

He said "The job is not done and we are about to face another round of onslaught from Umno"

Beware! Mahathir and UMNO, his army of marauders is coming to re-invade Selangor.

Of course, if you are Pakatan supporters you would swallow his lies hook,line and sinker, but for those who still have their brains intact in the right place ......my apology Mr Geobbels Rafizi, you are the biggest bullshitter and if I may say a moron in the making. 

A pathetic lie even a child can see through.


A VERY HAPPY GONG XI FA CAI TO ALL MY READERS

The Cocksure Cocksucker !

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He is the most amusing and at the same the most disgusting schemer in the whole PKR outfit that might have put to shame the real Goebbels.

If you don't know who the real Joseph Goebbels is. Here he is!

Rafizi thinks a video showing a Bangla, the correct term is Bengali (there is yonks old confusion in this country of calling Sikhs and Pakistani (West) as Bengalis) holding his inked thumb and saying he is not Malaysian is strong evidence of cheating in the13th GE by BN. Here, the story.

Who is he trying to kid?

Below is another allegation of vote rigging, which sounds as hollow as the 40,000 Bengalis voting in the 13th GE, an incredulous story of logistical nightmare to fly them in all the way from Dhaka to KL. 




Most people know (unless you are bozo like him) with today's technology you can do almost anything with photos and videos. Though, videos are more difficult to doctor but easiest to stage. As they say nothing is impossible, it's miracle that takes time. Every week this court jester will come up with new evidence of frauds by BN.

Rafizi can get one of his Malaysian Indian friends to act as a Bengali and claimed he is from Bangladesh. What so difficult about that. Even my 5 years old grandson can shoot the video for him. All he has to do is get the actor.

Morons will believe him.

Why should the EC investigate such incredulous claims. It is not their job to investigate. If a crime had been committed the right avenue is the police and the court of law.

We have sufficient law to take care of election offences. Go to court to seek justice there, if you think you had been had. The streets, the stadiums and the huge rallies are not going to render justice, it can only be the tinder box, which is what Anwar wanted, I guess!

Someone told me he is a prodigy of some kind, but I think he is a bit screwed in the head. From his body language and his grins you know he is a man ,either, in love with himself or suffering from "siege mentality", the same sickness afflicting Anwar that makes him delusional, a persecution complex that is an acute irrational fear that other people are plotting one's downfall and that they are responsible for one's failures.

Let me ask this young and bright Melayu boy about Anwar's  sex video, which Anwar denied it was him and claimed the video was faked, though, the man in the video is a spitting image of him, does he think the video is pukka, the real stuff ?

If Anwar's video is faked, can we not also say Rafizi's video is also faked? 

In every game there should be fair play and level playing field. You can't win all the time. If you claim your video is genuine than Anwar's sex video must be the same.....pukka!

Whatever happened to Anwar's double, who was apparently apprehended by Malaysian Immigration and deported to Thailand. Another lie .There never was his double. That was another pre-election red herring to fool the people.

In spite of the fact that the experts confirmed the sex video is not faked, Anwar and every Pakatan leaders staged a wayang for the court of public opinion and the Malaysian public are sold..... log, stock and barrel.

Liars!

Najib's 1MDB And Cayman Islands: The Skunk Cabbage

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They have implicated he and his wife in the murder of Mongolian model Altantuya Shaariibuu, now they say he carted away RM7.0 billion of the people's money and hide it in the Cayman Islands.

The oppositions must be really desperate to spread its hate campaign against Prime Minister Najib. The implausibility is deafening.

Cayman Islands is an off-shore financial centre not a pirate's cove as made out by some opposition's leaders out to demonise the PM for their own political mileage. 

Cayman Islands is a British overseas territory and administered by Britain and is the 5th largest banking centre in the world. It has almost 300 banks, 800 insurers and 10,000 mutual funds and have global financial institutions such as HSBC, Deutsche Bank, UBS, Goldman Sachs and over 80 other administrators stationed there.It is also the world leading off-shore hedge funds jurisdiction.

The opposition is trying to paint a frosty picture of the operations of 1MDB and insinuated that Najib is planning to steal the people's money as per this loathsome article in Malaysiakini by the equally loathsome "Sang Kancil" called Rafizi. 

Cayman Islands is not a money laundering centre where one can park one's ill-gotten gains without questions asked. It is a bona fide international off-shore financial centre used by the world's big mutual and edge funds and serviced by equally reputable banks and financial institutions.

There have been various articles written on 1MDB as regard its investments and business activities that appeared in numerous blogs and news portal across the country.

The articles are targeted at the laymen who had little understanding of global investment and high finance, in another word, the nitty gritty world of international finance and investment. It's a political stinger to sucker the minds of the ignoramuses.

1MDB was set up as a sovereign vehicle wholly owned by the Malaysian government to raise funds and seek high yield investments in the global market. Naturally, there are and there will be many companies incorporated under the mother company as subsidiaries to take care of the various type of investments.

I am not sure how 1MDB obtain its working capital, whether it is direct from the government or from the market, or a mixture of both. From the little that I read, I presumed they obtain their funds from the market by issuance of foreign currency dominated bonds.

An article "Putting RM7.18b in Cayman Islands is beyond 1MDB's mandate" written by one M.Shanmugam, managing editor of the Edge, questioned the rationale of 1MDB depositing the money in the Cayman. The amount in question was the US$2.318 (RM7.18b) redemption of bond issued by PetroSaudi International (PSI). 

Before I get to the point let me ask whether there had been actual physical cash payout by PSI to 1MDB for the bond redemption, or was the bond a PIK bond?  I'll explain what PIK bond or PIK loan later.

The article also mentioned that as of 31 March 2012 the Islamic bond value had ballooned to RM6.8b including profit receivables, or interest payments that are due but not paid to 1MDB by PSI. 

Now, let see, if it is the same bond, how could after accrual of interests or dividend payments the amount is less than the original principal amount?

The same article also mentioned that on 1 June 2012 1MDB took up 49% equity stake in PetroSaudi Oil Services Ltd (PSOSL) at value equivalent to the outstanding amount due to 1MDB and an option (I  guessed) to buy the balance 51% at a token of US$10. 

The 'shares for bond' exchange he says had rendered the Islamic bond redeemed and no further cash transaction was required.

This is where I suspect the bond between PSI and 1MDB was a PIK Bond.

A PIK (Payment In Kind) Bond pays interest not in cash but in additional bonds or shares.It is a deferred coupon bond as there are no interest cash payments during the bond's term. Interest is only paid on maturity of the bond. Due to its high risk this kind of bond pays higher interest and are for sophisticated investors such as hedge funds, is not for the boys, or companies seeking cashflow.

My dissection here is only on the particular transaction with PSI and should not be construed as on the whole operation of 1MDB.  I do not have enough inputs to comment on the whole operation.

I agree, 1MDB should have more transparent disclosure of its dealings as it is wholly owned by the Malaysian government and the Malaysian people. 

I also believe Najib has no intention of cheating the Malaysian people, but if left in the hands of incompetent people disaster could happen. 

Lowering Car Prices: Killing The Myth

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Lowering car prices.

Another one of Anwar and Pakatan's hollow propaganda to fool the people.

After I posted my article "Reducing Oil Prices: Anwar On The Stump, Stumping The Idiots",  a regular commentator of this blog by pseudonym SM challenged me to not only expose our fuel prices being one of the lowest in the world and lowest in the region, but to also provide analysis and comparison of car prices with other countries in the region. 

SM, is also a diehard supporter of Anwar Ibrahim and Pakatan Rakyat. Like most Malaysians he thinks our car prices are highest in the world. 

Well, SM,  you are in for a big surprise, I will lay down facts and figures to show that was not the case. Our car prices are one of the lowest in the region. 

I am talking about cars for the working class, not luxury cars craved by the wealthy, which in spite of the high prices are selling very well in this country. 

The streets of Kuala Lumpur, other towns and cities are littered with posh cars of all luxury brands. A clear sign that there are more than enough people with more than enough money to buy them. 

In Malaysia, cars are still seen as status symbol, particularly, among the Chinese community, a reflection of their success in business or in their profession. Though considered expensive by Western standard these luxury cars are selling very well in Malaysia and more often than not they be owned by Chinese business people.

It is not surprising that Anwar and other PKR leaders the likes of Rafizi Ramli and Azmin Ali tried to delude the people by blaming wrong government policy for the high prices of cars, which is completely untrue,  pure fiction and propaganda to fool unthinking Malaysians.

Below is the price of  a popular Japanese model in the Asean region.

Price of Toyota Vios 1.5 c.c

Malaysia - RM71,105. = US$23,389.00

Indonesia - Rp221,950,000. = US$22,833.00

Philippine - P869,000. = US$21,003.00

Thailand - THB559,000. = US$19,302.00

Singapore - $109,988. = US$88,864.00

Looking at the prices above are we much more expensive than our neighbours?

Malaysian made cars are even cheaper than the above foreign made model. 

The cheapest in the market of a compact 4-door sedan is the Proton Saga 1.3 c.c. costing around US$11,479.00. Another popular model the Perodua MYVI is selling around US$14,456.00.

Unless, you want to bring the "one-lakh" car from India to this country which is just a basic body with an engine and four wheels, which is not likely to fit the Malaysian more sophisticated taste, the current prices for the type of cars available here are already almost floor level. 

Ask Anwar and Rafizi how much lower can they go?

You probably can reduce by another 20% by removing all standard accessories that comes with it, which means no power windows, no power steering, no CD player, no sporty wheels, no cruise control, no electronically controlled side view mirrors and many more nonessentials. 

Can you sell such basic cars in this market?

The current government policy of keeping car prices cheap for the proletariat and higher prices for luxury cars is the correct policy. It's a caring policy for the economically disadvantaged. 

Our car prices are already lowest in the region. 

Unfortunately, most Malaysians do not bother to check the facts and prefer to eat the opposition's wholesome lies, hook, line and sinker.

Malaysia's Goebbels,

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Man identified as ‘Papa Gomo’ disputes claim. Read more.

Not so smart Rafizi. If you have been clever enough you would have deemed it was a case of two men bearing the same name. That's why there were two different I/C numbers and two different addresses. If you have just used a little common sense you wouldn't have put yourself in such embarrassing position.

Not the first time you been caught with an over-excited brain. 

Remember your trip to Hong Kong where you claimed  the ICAC is going to reopen the Musa Aman's corruption case. Whatever happened to the case? 

Did the ICAC reopen the case?

Till today there was no confirmation from the ICAC of them showing interest to reopen the case.

Lately, you went on a wild goose chase to Manila on the case of the swindler distantly related to the Amans where you tried to relate the fraud to the Aman brothers.

All came to naught! 

A dismal and wasteful journey wasting your party's time and money. 

As Joseph Goebbels said " If you repeat a lie often enough, it becomes the truth", or "if you throw enough shit, some will stick"

Next time, don't get too overly excited, you have good credentials, don't spoil it for Anwar Ibrahim.

Rafizi, Malaysiakini,John Malott,Here's The EIU Report That Scares You, BN Is Strongly Positioned To Win

Hantu Laut 

What's the huge different between "likely to win", "will win" and "strongly positioned to win"

Unless, you are Rafizi Ramli, Malaysiakini and John Malott, who are pickers of trivialities, you won't want to be seen stupid splitting hairs. These guys not only have small minds, they are also pathetic liars, lousy propagandists and ego maniacal. 

Lies, lies, lies.  No where it is more apparent than in the quirky grouping called Pakatan Rakyat. Political oddballs cooking the devil's brew to cheat Malaysians.

PKR strategy chief Rafizi Ramli told FMT that the "EIU Report" that Barisan Nasional will win the 13th general elections is a complete spin by Bernama. 

It wasn't a spin, it was just a sex-up. The EIU did suggest BN the likely winner, strongly positioned to win.  Below is the EIU report, short and sweet.

You want to read the full report, you have to pay.

Overview

Malaysia: risk assessment
	Sovereign risk	Currency risk	Banking sector risk	Political risk	Economic structure risk	Country risk
January 2013	BBB	A	A	BBB	BBB	BBB

Download the numbers in Excel

Sovereign risk

Stable: The fiscal position is likely to remain weak in 2013-14 as the government struggles to implement fully its programme of subsidy rationalisation. But at the equivalent of an estimated 52.9% of GDP in 2012, public debt is manageable.

Currency risk

Stable: Malaysia's score is on the cusp of the A and BBB rating bands. Foreign-exchange reserves remain at healthy levels, but in the past year they have not grown as fast as in 2011, owing to weak export receipts.

Banking sector risk

Stable: Malaysia's banking risk rating has strengthened from BBB to A. The improvement reflects the relatively strong net foreign assets position of the country's commercial banks—a situation that is likely to persist in 2013-14.

Political risk

The ruling Barisan Nasional (BN) coalition is expected to complete its term, which ends in April. The BN is likely to win the subsequent election, but it will struggle to secure enough parliamentary seats to give it the two-thirds majority that would allow it to amend the constitution unchallenged.

Economic structure risk

Exports of goods and services will continue to account for a large proportion of GDP, highlighting Malaysia’s dependence on external trade.

Bernama did not spin the report. The spinner is Malaysiakini linking the story to a general report on Asian countries and not specific "country report" which is only accessible upon payment to EIU.

Below is the short report that cost me US$26.

Malaysia Economic and Political Outlook

Country Report Malaysia February 2013

Outlook for 2013-17

Election watch

February 4th 2013

The next parliamentary election must be held by mid-2013. Mr Najib is likely to make the performance of the economy a central plank of the BN's campaign and will emphasise the fact that, despite the gloomy global economic situation, the government's policies have helped to bolster domestic growth. The BN will also craft its campaign to appeal to voters in states where it lost control of the local assemblies to the PR at the last elections in 2008. Meanwhile, the opposition alliance is likely to focus its election campaign on the need to uphold the political and economic rights and interests of all Malaysians. The election will see the cash-strapped PR  pitted against the BN's well-oiled political machine. The BN is strongly positioned to win, although its likely margin of victory remains unclear. Mr Najib has worked hard to present himself as being committed to economic and social reform. However, this stance has yet to resonate with Malaysia's ethnic minorities, which make up around one-third of the electorate and whose members mostly voted for the PR in the 2008 election.

Link http://store.eiu.com/Article.aspx?articleid=590144243

The whole lot of you are a bloody shame! Spinners of the worst kinds.

Confirmation from EIU of my purchase.

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