BERJAYA FIASCO & MALAYSIA BELONGS TO VINCENT TAN???-PART 1
We are not writers but current situation has prompted us to discuss and analyze facts that are surrounding MALAYSIA. We have known how BERJAYA has secured many contracts and the connections they have. We were not really bothered at all until recently when it involves a security printing plant of Malaysian currency notes. A bit history of this security printing plant which dated back in 1999. That was the time when BANK NEGARA MALAYSIA (BNM) had given its permission to a company known as FOCUS EQUITY SDN BHD to conduct a feasibility study on printing of our own money i.e. the currency notes. Later, the outcome has resulted that the printing plant is viable and timely to be constructed. As such, in 2006, a loan worth of RM600 million was approved by a GOVERNMENT-BACKED BANK to the aforementioned company which will be backed up by a 30-year concession agreement between the government-backed bank, the government and Focus Equity sdn bhd. But, the way this printing plant is going to be materialised from the beginning is questionable. Thus, we are going to DISCUSS the facts and hope to get responses accordingly. 1. WHY BERJAYA? - The shareholding structure of FOCUS EQUITY comprises of corporate shareholders and one significant shareholder is BERJAYA LAND BHD. However, BERJAYA GROUP is under PN17 COMPANY and therefore, under that classification, the said holding company and its subsidiaries� accounts are placed under BNM抯 supervision. Any proceeds into any of the accounts are subject to BNM抯 sole discretion and are going to be used for outstanding payments owed by BERJAYA. Knowing the fact that all Berjaya companies are under BNM抯 monitoring, why government-backed bank抯 approved the loan? Having Berjaya Land Bhd as the shareholder will invite queries to the said government bank抯 methodology in approving loan application. Does the said bank have to succumb to someone in superior or obey blindly the instruction from the above? Furthermore, the government bank抯 exposure on Berjaya (before the abovementioned loan is approved) already stood at RM100 million. Thus, the approval of RM600 million would certainly exceeds the bank抯 SINGLE CUSTOMER LIMIT for Berjaya Group as a whole and concurrently, breached the BAFIA Act 1989. As such, why the government-backed bank抯 TOP MANAGEMENT gave indulgence to this issue? Apart from the above, the land where the printing plant will be located will be constructed on a Berjaya抯 land at BKT TAGAR, SELANGOR. Indirectly, this implies that Berjaya抯 controlling power on this high security project of national interest is uncontrollable and unlimited. In addition, rumours saying that BERJAYA is going to move its racecourse near to the printing plant, are MB SELANGOR in particular, and government going to allow such thing to happen? 2. WHY NO GOVERNMENT SHAREHOLDINGS ? - Initially, FOCUS EQUITY is wholly owned by ISTIMEWA RESTU SDN BHD which is a non-bumi company. Then, the structure has changed whereby the shareholdings are inclusive of BERJAYA LAND BHD, EVOLUSI SIERRA SDN BHD, MENARA SETARA SDN BHD AND AP WIRELESS SDN BHD. Looking at the structure, there is no government shareholder. Why government in particular MOF did not want to be involved in the so-called NATIONAL HIGH SECURITY STRATEGIC PROJECT? It is a need and responsibility for government representatives to be inside the project as to monitor and learn the security features in setting up a printing plant. Isn抰 it an obvious responsibility for BNM as well, to study every aspects of setting up the plant from the earliest stage as to avoid any hanky panky along the way. This is even more crucial since the setting up of the plant involves a CONCESSION AGREEMENT that lasts up to 30 YEARS. BNM is the official OFFTAKER for the printing money and therefore, the regulator should be inside the shareholdings too. Further, we can look at the Royal Mint抯 structure whereby the company has been privatised but yet, BNM still has a controlling interest in it. So, why the treatment has to be different now? As a matter of fact, KEMENTERIAN KESELAMATAN DLM NEGERI should also send a team of its people into the company. The printing plant of currency notes are indeed and sensibly a very big and sensitive issue. It will affect the country抯 financial well being in the future and therefore, security matter is highly applicable here. Here, why the said ministry can entrust these shareholders with an unknown background and unfavourable condition (referring to Berjaya)to run the company? In brief, the project is about printing of currency notes and misuse plus misdeed could happened easily especially without any direct supervision from the government. Our money might be swindled out of the country and our currency may end up as in the case of BLACK MONEY. Don抰 we realize that Malaysia is infamous for its pirated goods especially cds and vcds and we certainly don抰 want that our currencies to have the same fate. Worse still, we have just been recently shocked by the allegation of counterfeit money in the newly ended Ijok抯 by-election. Is the government waiting when every thing has been finalised and concession agreement has been signed, then to reconsider to be the partner. Obviously at that moment, the purchase price would be at premium and again, if this happened, our government will have to fork out unnecessary sum of money just like in the case of PANTAI HOLDINGS. If the government could intervene in the early stage, this scenario will not have to be repeated and it is still not too late for the government to do so. All of the printing plant in this world are owned by the government (correct us if we are wrong), and how rationale is the government in allowing a wholly privately owned company to print our own currencies in our own land where the major issue of security is a great concern ? If we want to raise our doubt , why don抰 we look at singapore (as the current administration is prone in satisfying this so-called 揷lose� neighbour of ours); why that country does not want to build their own printing plant if the plant is really viable? Don抰 we know that Singapoorah is always ahead of us in every aspect even now can freely intimidate and belittle our current administration? 3. WHO ARE THE BUMI SHAREHOLDERS/DIRECTORS? -The current 22% BUMI SHARES belongs to Evolusi Sierra Sdn Bhd, Menara Setara Sdn Bhd and AP Wireless Sdn Bhd. Who are these companies and the person behind them? Have they involved in the security business before or are they just proxies to someone who is powerful and also a master hypocrite to the bumis? In actual fact, the 30% QUOTA FOR BUMI has not been complied with. So, is it the end of NEP policy which is slowly being taken away and lately, the same thing happened in the SJER/IDR project too (again, here it shows the 揷lose� relationship between our administration and that dynasty ruled country). 4. WHAT IS THE RESULT OF THE FEASIBILITY STUDY? -We don抰 think so that the said result has made known publicly or even to the decision makers related to this security project. The findings should be disclosed so as to ascertain that this project is in accordance to the recommendations made from the said study and thus, informed decisions can be made rightfully. Do the government-backed bank aware of this study and its details? Do they have the hard evidence of the said study? 5. GERMAN PRINTING PLANT ALREADY EXISTED IN MALAYSIA - Focus Equity proclaimed that they are the only printing plant in MALAYSIA and even worse, the sole supplier in SOUTH EAST ASIA (correct us if we are wrong). This is further evidenced on the latest newspaper article published in the Star dated 18.4.07. However, this GERMAN COMPANY has long established its presence in MALAYSIA except that the company is not producing Malaysian currencies. They only cater for foreign markets. We are sure that the company is monitoring closely the development of Focus Equity, as to why Focus Equity could easily produce the Malaysian currencies without going the same procedures as the German company did (correct us if we are wrong)?. Are there any double standards or self-interest practised here? Is there any kickback occurred here?BERJAYA FIASCO & MALAYSIA BELONGS TO VINCENT TAN???-PART 2
6. CONCESSION AGREEMENT - Is it true that GOVERNMENT is no longer a party to any concession agreements? BNM is the PAYMASTER and in any conventional loans, there would be an agreement signed by the paymaster/purchaser and the supplier/seller. However, will BNM continue to sign the agreement and look thoroughly into the terms and conditions of the said agreement? BNM is the responsible party who gave permission to the project and they should also become the signing party as well. Most importantly before any signing of the agreement, has the ATTORNEY GENERAL抯 office and all the relevant parties peruse thoroughly each of the wordings in the agreement. Of course, we wouldn抰 like to blunder on the agreement part as what we did in the 1st generation IPP agreement which had resulted a huge benefit to YTL (the said company also in line with the current administration抯 favouritism towards Singapoorah; one concrete incident was when YTL had swiftly suggested to build a rapid train to Singapoorah once our Pak Lah-abau scrapped the scenic bridge and that former idea is still on the table? Doesn抰 it ring a bell that once that train is built, it would be more difficult for MALAYSIAN to continue to build that scenic bridge厀hich the latter is more important and beneficial to the country) at the expense of TNB; indirectly affected the rakyat as well. 7. SECURITY IS UNJUSTIFIED - How come the government-backed bank can allow for a gearing ratio of 90:10? To our understanding, the only solid form of security for this printing project is the printing plant抯 land which is worth less than RM100 million against the total loan of RM600 million. Whereabouts that we can find any commercial banks to agree to this kind of credit proposal? Even worse, there are no guarantees given by any of the shareholders or directors of Focus Equity. Having laid down all the discussion points , we really hope that there will be some intellectual and good feedback from all the readers. Looking at the time frame when this loan was given out, one hardly notice that it is actually coincides with the cabinet OR rather Pak Lah-abau抯 decision to scrap the scenic bridge which worth the same amount too i.e. RM600 million. And finally, we really hope that the rumours on the early resignation of the government-backed bank抯 Group Managing Director has nothing to do with this fiasco as the Focus Equity抯 account has just turned into NPL this year (correct us if we are wrong) and yes, what a coincidence that the cover page of BNM抯 audited report 2006 depicted the printing money technique known as intaglio!********************************************
The present Agong is one happy King leaving with a big bank of notes for retirement. His brother-in-law Vincent Tan was given the contract to print money and guess what? Vincent Tan printed extra for the family to last ten generations.
Merry Christmas.
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