Showing posts with label Malaysia Boleh. Show all posts
Showing posts with label Malaysia Boleh. Show all posts

Friday, March 17, 2017

Malaysia vs North Korea: There Is No Such Thing As FOC


Published by The Malay Mail on 13 March 2017. 
Malaysia will count on its international allies if the diplomatic situation with North Korea goes south, Datuk Seri Hishammuddin Hussein said today.
The defence minister said Malaysia may not have enough military assets compared to Pyongyang if the two countries went to war, but it has other ways to counter the reclusive state which has nuclear weapons in its arsenal.
“We will deal with it when the time comes, but don’t think we are only dependent on our own assets,” the minister told the press at the Parliament lobby.
Hishammuddin said Malaysia has its own allies thanks to cordial bilateral relationships with many countries, pointing at the help it received from 26 countries during the search for the missing flight MH370.
See more at: http://www.themalaymailonline.com/malaysia/article/malaysia-will-count-on-allies-if-n.-korea-wants-war-says-defence-minister#sthash.uDa5HJ5K.dpuf

Published by The Star Online on 8 March 2017.
The Government spent about RM456mil in the search for MH370, which disappeared exactly three years ago today.
Transport Minister Datuk Seri Liow Tiong Lai said the underwater sweep over 120,000 sq km of the southern Indian Ocean involved Malaysia, Australia and China. The search was suspended on Jan 17 this year.
"The decision to suspend the operations is in line with the Ministerial Tripartite Meeting between Malaysia, Australia and China which was held in July 2016.
"Through the meeting, the three countries agreed that unless there are new clues or credible evidence available, only then a further search operation will be considered," Liow told William Leong (PKR-Selayang) in Parliament.
Leong had asked to state the costs incurred in the MH370 search, and if a report providing the full information and data will be released.
Read more at: http://www.thestar.com.my/news/nation/2017/03/08/parliament-mh370-search-cost-rm456mil-says-liow-tiong-lai/#suy4QVmfyotvkz6e.99

Friday, December 12, 2014

Perwaja Steel Closure Is Inevitable


Published by Free Malaysia Today on 12 December 2014.

The Terengganu government has assured the 1,500 workers of Perwaja Steel Sdn Bhd that their welfare will be cared for although Perwaja will cease operation by year end. Trade and Industry Committee chairman Tengku Putera Tengku Awang said the state government has urged China-based Eastern Steel Sdn Bhd to employ Perwaja workers.

“The state government has negotiated with Eastern Steel who agreed to employ skilled Perwaja workers. However, Eastern Steel did not set a quota for the workers,” he told reporters after winding up debate in the state assembly today.

Established in 1982, Perwaja changed ownership several times and was beset by financial problems, forcing operations to be closed. Eastern Steel is Malaysia’s largest steel plant with investment of RM1.8 billion on a 500-hectare site in Teluk Kalong, Kemaman.

Tengku Putera said the state government via the Workers Coordination Committee was willing to meet with the Perwaja workers involved. “The retrenchment of Perwaja workers was decided one year ago but the first phase only began in early September. The closure is inevitable, although some capital injection and a rescue plan had been implemented,” he added. The state government is also willing to provide assistance to Perwaja workers who want to venture into business.

- BERNAMA

Link: 

Wednesday, December 10, 2014

Public Accounts Committee probes Felcra


By Terence Fernandez.

Several past and present directors of the Federal Land Consolidation and Rehabilitation Authority (Felcra) including three deputy ministers are facing serious allegations of breach of trust and fiduciary duty for accepting honorariums without the approval of the Ministry of Finance (MoF).

It was reported last month that Felcra Bhd directors had paid themselves over RM700,000 in bonuses over a span of three years — in defiance of an MoF order not to do so. In 2008, when Felcra wrote to the MoF for approval to pay honarariums, the latter had declined the request.

Among those subject to an ongoing Public Accounts Committee (PAC) inquiry are MoF deputy secretary Datuk Dr Mohd Isa Hussain — who also sits on the audit committee. Mohd Isa, whose portfolio involves investments, Ministry of Finance Incorporated and privatisation is supposed to be MoF’s representative in Felcra to look out for the interests of the ministry.

However, the PAC heard that he had accepted the honorariums from 2010 to 2012 along with the other directors of the 11-member board.

The membership has changed over the course of the last three years, with three deputy ministers also named as receiving directors’ fees without MoF approval. They are former Felcra chairman Datuk Tajuddin Abdul Rahman, who is the present Deputy Agriculture and Agro-based Industries Minister; Deputy Human Resources Minister Datuk Seri Ismail Abdul Muttalib; and Deputy Urban Wellbeing, Housing and Local Government Minister Datuk Halimah Siddique.

Each director was paid RM20,000 in 2010, while Tajuddin who was chairman was paid RM30,000. This amount was raised to RM30,000 for each director and RM50,000 for the chairman for the next two years.Halimah, however, joined at the tail end of 2012 and as such only received RM5,000.

Felcra’s excuse was that the payment was “consolation” money was for “excellent work”, and paid out RM133,333 in 2010; RM257,500 in 2011; and RM332,500 in 2012.

Other than Mohd Isa, also facing the PAC during last month’s hearing were newly-appointed Felcra chairman Datuk Bung Mokhtar Radin and Felcra chief executive officer Datuk Ramlee Abu Bakar.

PAC chairman Datuk Nur Jazlan Mohamed had made it clear that Bung Mokhtar was not among those who had received the bonuses and is assisting the PAC in the investigations.

Nur Jazlan had also revealed, in a case of putting the cart before the horse, that the Felcra board only sought MoF approval for the bonuses in October — after the money was paid.

PAC sources tell The Edge Financial Daily that the Malaysia Anti-Corruption Commission (MACC) chief commissioner Tan Sri Abu Kassim Mohamad had viewed the PAC findings and was of the opinion that there is no element of corruption but a clear case of breach of trust.

“It is in clear breach of the Companies Act where shareholder approval was not obtained to pay out the honorariums,” said a source.

This article first appeared in The Edge Financial Daily, on December 8, 2014.

Link:
http://www.theedgemarkets.com/my/article/pac-probes-felcra

Tuesday, October 28, 2014

Call for a review of Felda Global Ventures Holdings Bhd (FGVH)


BY JENNIFER GOMEZ. Published by The Malaysian Insider on 28 Oct 2014.

DAP is calling for a review of Felda Global Ventures Holdings Bhd (FGVH), saying it has failed Malaysians given the recent collapse of the plantation giant's share price.

It said the drop resulted in losses of billions of ringgit for Felda settlers and pension funds such as Employees Provident Fund and the Pensions Fund.

The party's national publicity chief Tony Pua said that the share price had dropped from its offer price of RM5.39 on June 28, 2012, to RM3.67 on September 11 this year.

Pua said this was a shocking 40% decline in price in just over two years, despite the company’s 2012 Annual Report stating that “FGVH's stunning debut on the main market in Bursa Malaysia in 2012 was a global sensation. This is just the start of our metamorphosis into a global powerhouse”.

Pua said that the performance of FGVH over the past two years reduced the statement to a laughing matter.

"It was a big boast, for not only did the company fail to become a 'global powerhouse', it was a trailing laggard even in Malaysia.

"Datuk Seri Najib Razak, as prime minister and finance minister, who promised Felda settlers the stars during the listing exercise, must take decisive action to reverse the decline in the company before the rot continues and becomes irreversible," Pua said at the parliament lobby today.

He said the parliamentary reply given by Deputy Minister in the Prime Minister's Department Datuk Razali Ibrahim two weeks ago that the decline in the share price was because of the drop in the global crude palm oil prices from US$930 (RM3,044) in June 2012 to US$670 (RM2,209) was unacceptable.

"The excuse of the prime minister that the decline in the global CPO price caused the drop in the  stock price is unacceptable because the decline in global CPO prices affected all plantation companies, not just Felda.

"And yet Felda's performance was by far the worst among all the plantation companies on the stock exchange."

He said that the company cannot be allowed to fail as it would affect the performance of EPF and also cause a drop in government revenue.

"Felda settlers own 18.9% of the company as well, we cannot ditch it. The company must be rescued and it starts from the management, their performance should be reviewed and under-performers should be removed."

Pua said that in the past six months, FGVH was the worst performer of all plantation stocks listed on Bursa Malaysia and that since mid-October, its price had dropped by 29.1% compared with its peers – IJM Plantations (-6.3%), IOI Corp (-2.7%), Genting Plantations (-9.4%) and Sime Darby (-1.6%).

He added that the closest poor performer to FGVH was KL Kepong, which saw its share price drop by 16.6% during the same period.

Pua said FGVH had the advantage of captive land in the form of settlers’ land with rentals below market rate yet it failed to capitalise on it.

"By right, it should beat the market because it has advantages over other private companies but instead, it has performed badly.”

He said FGVH’s share price was an embarrassment because of the solid support of government-related funds, such as EPF, KWAP, Lembaga Tabung Haji and other state funds.

The share price drop had resulted in losses of about RM1 billion for EPF, KWAP and Tabung Haji, he said, adding that the management failed to generate sufficient returns for the people compared with  other companies.

"We do not want FGVH to become another company which is completely dependent on the government like Proton or worse, like MAS.

"Action must be taken now as the management has failed to perform over the last two years.”

Link: http://www.themalaysianinsider.com/malaysia/article/dap-wants-felda-global-reviewed-after-plunge-in-share-price#sthash.c5w3pLkM.BYeRqhcw.dpuf

Published by Free Malaysia Today on 28 Oct 2014.
DAP publicity chief Tony Pua today questioned the Finance Ministry’s honesty in explaining why the share price of Felda Global Ventures Holdings Bhd (FGVH) had dropped 40% in just two years.
He noted that the price had fallen from the initial offer of RM5.39 on June 28, 2012 to only RM3.67 last Sept 1 although KLCI had appreciated from 1,599 to 1,855 points over the same period.
Referring to the Finance Ministry’s explanation that the decline was due to the drop in the global price of crude palm oil from $930 to $675, Pua said this was a “less than honest” answer to a question he posed in Parliament.
If that was the case, he said, then other plantation companies would have been afflicted with a similarly poor performance.
Relevant posts: 
FGVH, 3rd largest IPO in Malaysia, shares dropped again!
EPF buying Felda shares as stock price hits NEW LOW

Tuesday, October 7, 2014

Malaysia’s Deplorable Sedition Act

Photo from Asia Sentinel.

Published by The New York Times on 6 October 2014. By the Editorial Board.

The Malaysian government has increasingly employed the Sedition Act, a British colonial era law, to intimidate and silence political opponents. The law criminalizes speech uttered “to excite disaffection” against the government and defines sedition so broadly that it is an invitation to authoritarian abuse.

Prime Minister Najib Razak had promised to repeal the act, but, since the general elections in May last year, his government has made full use of the law to hound his critics. While Mr. Najib’s ruling coalition, Barisan Nasional, won 60 percent of the parliamentary seats in the election, for the first time since independence in 1957, the opposition coalition, Pakatan Rakyat, won a 51 percent majority of the popular vote.

The elections seem to have shaken the government enough for it to arrest and prosecute an array of politicians, journalists, academics, students, religious leaders and civil society activists who did not advocate the overthrow of the government. For example, a senior opposition politician was charged with sedition for criticizing a decision by the appeals court in a statement to the news media. A local state assemblyman was charged for allegedly saying “damn, damn” about the government’s United Malays National Organization to several assemblymen. Since 2013, at least 14 people have been charged. Those found guilty can face up to three years in prison.

Mr. Najib’s crackdown is a deplorable attack on free speech and a serious threat to democracy. He appeared to understand this danger when he promised to repeal the Sedition Act. He should do so immediately.

Thursday, September 11, 2014

Dr M has raised questions about the heavy debt & usage of funds at 1MDB

Published on 11 September 2014 by Malaysian Insider.

Tun Dr Mahathir Mohamad has raised questions about the heavy debt and usage of funds at 1MDB in his first open criticism of the controversial government-owned investment company started by Prime Minister Datuk Seri Najib Razak.

Writing in his blog yesterday, the former prime minister noted that 1MDB had spent billions of ringgit buying power plants from Genting and Ananda Krishnan and had paid above market prices for them.

He also lamented that 1MDB is heavily indebted. It has debt of around RM38 billion after just five years in operation as the country's sovereign wealth fund.

"The money for 1MDB is not from the country's surpluses. It is debt, billions of ringgit of debt that has added to the already high national debt," Dr Mahathir wrote.

The former PM, who recently wrote he was withdrawing support from Najib, said as the government was already facing a deficit budget problem, it would not have the ability to help pay the 1MDB debt.

He also noted that a large part of the money raised from the issue of debt paper by 1MDB has been sent to the Cayman Islands, a move which many has questioned.

Critics have complained about the lack of transparency in how the money is managed out of Cayman and it has been estimated that at least RM18 billion of 1MDB's money is parked there.

1MDB is Malaysia's second sovereign wealth fund after Khazanah Nasional Bhd.

Tuesday, September 2, 2014

Lynas gets full operating licence before TOL expiry date!

By Eileen Ng. Published by The Malaysian Insider on 2 September 2014.
The Lynas rare-earth refinery in Gebeng, Pahang has been granted a Full Operating Stage Licence (FOSL), days before its two-year Temporary Operating Licence (TOL) expires midnight today.
The Atomic Energy Licensing Board (AELB) director-general Hamrah Mohd Ali said the board met on August 21 and agreed to issue a two-year FOSL to Australian rare earth miner and producer Lynas after it fulfilled all the conditions set.
"They have complied with all the conditions set by us during the TOL stage and that is why the licence was issued," he told The Malaysian Insider when contacted today.
He said this included having a permanent disposal facility, a condition set by the TOL, which Lynas detractors had accused the Australian company of failing to comply with.
To this Hamrah said: "We work based on science and facts, not hearsay. They have submitted all the relevant documents to the board which showed they have complied with the conditions set and that is why we granted the licence to them."
Hamrah said the board could issue FOSL of between one and three years but he could not explain why Lynas was given a two-year licence.
"It is up to the board to decide on the tenure of the licences. Lynas is one of the 2,000 plants in Malaysia where we issue licences but the company can renew their licence after the two years has lapsed," he said.
The Australian mining company chose Malaysia for its operations following generous incentives including pioneer status and a 12-year tax holiday. It employs some 300 personnel in its Kuantan facility.
Despite strong protest from environmentalists, in September 2012, the AELB granted Lynas (Malaysia) Sdn Bhd a TOL for a two-year period ending on September 2, 2014.
In December last year, the board said Lynas had submitted last July the results of its research on recycling its waste for commercial purposes.
However, it said further study was needed on the findings.
The main concern over the rare-earth processing plant was contamination of the coastal environment and the adverse health impact which could result from the mismanagement of radioactive waste streams.
This fear stemmed from the experience in the 1980s at Mitsubishi Chemical’s Asian Rare Earth plant in Bukit Merah, Ipoh, which was shut down more than two decades ago and linked to cases of leukaemia because of radioactive exposure, some of which were fatal.
The board had on several occasions assured residents that it was monitoring the operations of the Lynas plant around the clock and said it had found radiation levels onsite and offsite to be within acceptable limits.
Link: http://www.themalaysianinsider.com/malaysia/article/lynas-gets-full-operating-licence-before-tol-expiry-date

RM6 billion injection of public funds into Malaysia Airlines (MAS) is a bailout or an investment?

Published by The Malay Mail Online on 29 August 2014.

The RM6 billion injection of public funds to turn around the fortunes of ailing national carrier Malaysia Airlines (MAS) is not a bailout but an investment, Prime Minister Datuk Seri Najib Razak said today. Najib said state fund Khazanah Nasional intends to fully recover the RM6 billion investment but that recovery for the ailing national carrier could take longer than the three years envisaged by the restructuring plan announced today.

“This is an investment, not a bailout,” Najib told reporters after the Umno Supreme Council meeting here. “The recovery may take more than three years. But we believe in three years we will see a positive turnaround,” he added. Najib also said that any downsizing of the company will be done in the most humane and compassionate way.

Khazanah announced today that the carrier will trim its workforce by 6,000 although Ahmad Jauhari Yahya will stay on as chief executive until July 2015. He said that a foreign CEO, if hired, will make room for a local eventually. 

Najib also claimed the plan is rooted in making MAS a commercially viable airline, and Putrajaya would need to subsidise MAS if it wants to keep certain routes. The prime minister also said that the airline is being kept alive as Malaysians want MAS as a national carrier.

Read more: http://www.themalaymailonline.com/malaysia/article/rm6-billion-mas-turnaround-plan-is-not-a-bailout-says-najib

Published by Reuters on 29 August 2014.

Malaysia Airlines (MASM.KL) (MAS) will slash nearly a third of its 20,000 workforce and cut back its global route network as part of a radical 6 billion ringgit ($1.9 billion) restructuring following the devastating impact of two jetliner disasters.

The 42-year-old company will be de-listed by the end of the year under the broad revival plan announced by state fund Khazanah Nasional on Friday that aims to bring long-elusive efficiency and global standards to the loss-making carrier.

The 6,000 job cuts were higher than expected by the industry and mark a painful new blow for staff after a traumatic year for the national flag-carrier and the Southeast Asian country. Khazanah, which owns a majority stake in MAS, said it would invest in "re-skilling" those who lose jobs and pledged to set up a panel to improve often rocky relations between unions and management.



Published by Bloomberg on 29 August 2014. By Chong Pooi Koon, Choong En Han and Elffie Chew.

Malaysian Airline System Bhd. (MAS), which lost two jetliners in air disasters this year, will eliminate 6,000 jobs as the national carrier restructures.

Chief Executive Officer Ahmad Jauhari Yahya, whose term was due to end next month, will lead the carrier until July 1, Azman Mokhtar, managing director of majority owner Khazanah Nasional Bhd., said today in Kuala Lumpur. The full impact of the disasters will only be seen in the second half, the airline said yesterday after reporting its sixth quarterly loss.

Sovereign wealth fund Khazanah made a 1.38-billion ringgit ($438 million) buyout offer this month to take Malaysia Airlines private, and the funds are part of 6 billion ringgit it is investing to return the carrier to profit in three years. Prime Minister Najib Razak has said “painful steps” need to be taken to overhaul the airline, which has racked up 4.9 billion ringgit in losses since the start of 2011.

“We believe the fastest way is actually to create a hard reset and create a clean slate,” Azman said. “We needed to have a fresh start because the current MAS, unfortunately the cost structure does not work, unfortunately the revenue has been consistently below its cost.”

The national carrier that traces its beginnings to the 1930s will cut its workforce to 14,000 from 20,000, with Khazanah setting aside funds for retrenchment costs. It’s struggling to repair its image after MH370 vanished in March and MH17 was shot down over Ukraine last month.

CEO Search

As part of the restructuring, Khazanah will review Malaysia Airlines’ services to Europe, renegotiate supply contracts and move the carrier’s headquarters and operations to Kuala Lumpur International Airport, the fund said. It will spend 1.6 billion ringgit on revamp and retrenchment costs.

Khazanah’s buyout will result in the company’s delisting, targeted for completion by year-end. The airline is expected to be relisted in three to five years, Khazanah said. A global search will be carried out to find a new CEO by the end of this year, it said.

Khazanah will invest in a “staggered and conditional basis” over the next three years, it said in a statement. “While funds have been made available, they come with strict conditions, so as to ensure that MAS truly resets its business model and cost structures, in order to be truly sustainable.”

The 6 billion ringgit it is pumping into the carrier is not a bailout, Azman said today as the fund outlined its plans in a 40-page report titled “Rebuilding a National Icon.” Shares of Malaysia Airlines (MAS) were suspended from trading today. They have lost 19 percent of its market value this year.

Tainted Image

“The need to restructure the company was accelerated” after the disasters damaged the brand, Ahmad Jauhari said in a statement yesterday. “Our company has had to undergo a thorough re-examination and re-evaluation in order to reposition ourselves as a stronger and more sustainable Malaysia Airlines for the future.”

The March 8 disappearance of Flight 370, en route to Beijing from Kuala Lumpur with 239 people on board, sparked street protests in Beijing and prompted boycotts by Chinese travelers. No trace of the plane has been found in the world’s longest search for a missing jet in modern aviation history.

The airline’s yields, or measure of ticket prices, fell 4 percent in the second quarter to 21.7 sen, the company said. It filled 73.7 percent of its seats in that period, 6.7 percentage points lower than a year earlier.

Rebuild Sales

“We expected the impact of MH370” on second-quarter performance, Ahmad Jauhari said. “Given that, our team put in much hard work and effort to regain market confidence and rebuild sales. Tragically, just as we were beginning to see signs of recovery in all regions, we were dealt the blow of MH17.”

Flight 17 carried 298 people and was shot down in Ukraine July 17 on a route Malaysia Airlines said was declared safe by the International Civil Aviation Organization. The Ukrainian government blamed the downing on pro-Russian rebels in the country’s eastern part.

Average weekly bookings fell 33 percent immediately after the incident, the airline said yesterday. Unverified images of near-empty Malaysia Airlines planes have circulated on social media since MH17 crashed. The airline will review its European routes, Khazanah said today.

Malaysia Airlines said it retired its older Boeing Co. 737-400 aircraft at the end of June, six months earlier than planned, to save fuel costs and increase productivity. It had a fleet of 127 aircraft at mid-August.

The company’s cash and cash equivalent dropped to 2.38 billion ringgit at the end of June, compared with 3.25 billion ringgit at the end of March, it said.

The net loss widened to 307 million ringgit last quarter from a year earlier, the company said. Revenue fell to 3.59 billion ringgit. The carrier will probably lose more than 1 billion ringgit in 2014 and continue to report losses through 2016, according to analyst estimates compiled by Bloomberg.

Tuesday, April 29, 2014

Why Is Malaysia Hiding Its Report on MH370?


By Clive Irving. Published by The Daily Beast on 28 April 2014.

Day 50 of the search for Flight MH370 has come and gone without one fragment of the Boeing 777 being found. This is extraordinary. The greatest mystery in aviation history eludes explanation in spite of the enormous effort being made in the far reaches of the Indian Ocean.

Two questions prevail over many others: Are enough resources being devoted to the underwater search? Is it realistic to persist with the search during the Southern Hemisphere’s winter when the conditions can only get worse?

A reasonable way of assessing the answers to both questions is to measure the effort against the only similar exercise in recent experience: the search for Air France Flight 447 in the south Atlantic that began in 2009.

First of all, it’s striking that the Flight 447 search was never a continuous and open-ended effort. It was carried out over a period of a little more than two years in four discrete, limited-time operations. The first began immediately after the Airbus disappeared at the beginning of June 2009, and concluded, with a final tally of floating wreckage and bodies, at the end of that month.

The second was carried out for three weeks between July and August 2009. Although this search located nothing, it did provide valuable information that contributed to eventual success. A multi-beam echo sounder attached to the hull of a French research ship mapped the profile of the seabed—a formidable combination of deep valleys, sharp ridges, and sand-covered plateaus—that would greatly increase the efficiency of the autonomous underwater vehicles, UAVs, deployed in later searches. (The British Royal Navy’s HMS Echo has been performing the same sonar mapping work in the search zone west of Perth, Australia.)

The third search, a year later, was divided into two phases and in total lasted from April 2 to May 24, without result. It deployed much more sophisticated deep-water equipment, including a towed Orion deep-water sonar scanner and three highly advanced remote-controlled Remus UAVs from the Woods Hole Oceanographic Institution in Massachusetts. (There has been discussion of sending an Orion, owned by the U.S. Navy but operated by a company called Phoenix International, to Australia to supplement the Bluefin-21.)

The fourth operation, which was again split into two phases, lasted from March 24 until May 13, 2011 and was successful. It was one of the three Remus vehicles, again operated by the Woods Hole team that on April 2 detected a concentration of debris at a depth of nearly 13,000 feet. The recovery of the debris and bodies was made by another vehicle, the Remora III, operated by Phoenix International.

It was only then that the searchers realized that in the first 2009 operation two towed ping detectors, similar to the one deployed three weeks ago in the search for Flight MH370, had passed very close to the debris field without detecting it, which warns us that ping location is far from being a perfected science.

The flight data recorder was retrieved and taken to the BEA headquarters in Paris. Steps were taken to ensure total transparency. The data from the recorder was downloaded in the presence of investigators from Brazil (many of the passengers were Brazilian), the United Kingdom and Germany (both partners in Airbus), the U.S. National Transportation Safety Board, and two representatives from the French judicial system.

It is clear that the search for the remains of the Air France Airbus A330 was carefully planned, systematic and well-resourced, each operation timed for the season when the south Atlantic was at its least challenging in terms of weather.

Of course, the searchers had a boost that the search for Flight MH370 does not have: the early discovery of wreckage. But, even with that advantage, the Atlantic search demonstrated that there is no point in using the most effective deep-diving equipment until the area can be narrowed to a searchable size. Then, and only then, can the technology work—first the location of debris and then its recovery.

In the search for Flight MH370, the Australians seemed confident that they had a sufficiently focused target zone of 154 square miles, hard decisions now have to be made. The single Bluefin-21 UAV could be supplemented by either Orion or Remus-type UAVs, but none has yet been requested and those available would take at least two weeks to arrive, either from Europe or the U.S.

Or, given the likelihood of worsening sea conditions as winter deepens, a decision could be taken to call off the search for at least six months. That would be politically unpalatable, given the very vocal anguish and frustration of the families of the missing. But it would also be realistic.

As well as questions about the future of the search, there are others raised by the persistent lack of transparency in Kuala Lumpur about the crash investigation. 

Last week the Malaysian prime minister, Najib Razak, told CNN’s Richard Quest that an initial report on Flight 370 had been sent to the International Civil Aviation Organization, the ICAO. That was somewhat surprising. It’s not customary for air accident investigation reports to go to the ICAO. It’s the responsibility of each nation’s accident investigation agency to release the reports directly to the public as they see fit, according to long-established protocols that demonstrate the independence of the investigators from both political and industry influence.

As it happens, the case of Air France 447 serves as an international benchmark for the integrity of crash investigations.

Only one month after Flight 447 disappeared, French investigators issued their first brief report. They could not explain the sequence of events leading to the accident, but were able to rule out scenarios that could have fed public alarm and conspiracy theories. The airplane had not broken up in the sky. It had hit the water with great force, but there was no evidence from pieces of wreckage of either fire or an explosion.

Five months later, without any additional physical evidence to work with, the BEA issued an update on their investigation. By then they were able to identify a critical sequence of events—and what had probably triggered them. The Airbus’s speed gauges, external devices called pitot tubes, were vulnerable to icing in turbulent weather at high altitude. Consequently they had given false readings which, in turn, had caused the autopilot system to shut down.

And the BEA was already emphatic about an issue that had suddenly been made urgent by the challenges encountered in searching for the Airbus’s black boxes. Among their recommendations to the European Aviation Safety Agency, EASA, and the ICAO, were:

“To make it mandatory, as rapidly as possible, for airplanes performing public transport flights over maritime areas to be equipped with an additional ULB [underwater locator beacon] capable of transmitting on a frequency and for a duration adapted to the pre-localisation of wreckage;

“To study the possibility of making it mandatory for airplanes performing public transport flights to regularly transmit basic flight parameters (for example position, attitude, speed, heading).”

This was, it should be emphasized, in November 2009.

There was never any doubt about the BEA’s commitment to go public with what they found. They were well aware of the public anxiety that follows a large loss of life in unexplained circumstances.

At the same time though, as they pressed on with their investigation, the BEA was under the increasing scrutiny of four powerful interests, Air France, Airbus, the aerospace conglomerate Thales who manufactured the speed gauges, and the two very aggressive unions that represent French airline pilots.

The investigators were careful to preface their reports with this caveat: “…the investigation is not conducted in such a way as to apportion blame or to assess individual or collective responsibility. The sole objective is to draw lessons from this occurrence which may help to prevent future accidents or incidents.”

The BEA’s final report in July 2012, reflecting the value of the data retrieved from the black boxes, ran to more than 200 pages. It was descriptive, prescriptive, and exemplary in its clarity.

Careful not to blame, it nonetheless left no doubt that that the fate of Flight 447 required urgent action on at least three issues: the flawed speed gauges, Air France’s failure adequately to train pilots to take control after an autopilot failure in the “blind” situation of a night flight, and to equip airliners with live streaming of data that would end the dependency on black boxes in accidents over water. (They also recommended that the battery life of the pingers used to locate sunken black boxes be extended from 30 to 90 days—something that the Florida manufacturer of the Boeing 777’s pingers is now finally offering.)

So, why did the Malaysians not follow this model and, instead of sending their report to the ICAO in Montreal, release it themselves?

Everybody involved in assisting the Malaysians has been very tight-lipped about what is going on.

Boeing staff have been in Kuala Lumpur working alongside technicians from the NTSB. In a statement, Boeing said: “We continue to serve as technical adviser to the NTSB and in that role we have been an active and engaged party to the investigation.” The British, represented by the Air Accidents Investigation Board, AAIB, are equally buttoned-up: They explained that they are there as part of a large international effort because the Boeing 777 was powered by Rolls-Royce engines, but concluded, “it is not appropriate for the AAIB to comment further on the investigation.” Investigators from the BEA spent a week in Kuala Lumpur advising on the organization and operation of undersea searches, but they left late in March.

In any case, the investigation has had no physical evidence to work with. Something as basic as the timeline of Flight MH730 from when it took off to when it was last spotted on radar has never emerged in a form that could inspire confidence—the whole issue of radar coverage and intercepts has been used more to fuel speculation for bizarre theories than to bring dependable detailing to the narrative.

Boeing and the U.S. investigators are in an uncomfortable place. No doubt lawyered up for future liability litigation Boeing is, at the same time, trapped in an investigation that few aviation experts have any confidence in. With the Malaysians in charge, there is a clear risk for Boeing of being compromised by a process that is not sealed off from political influence and agendas.

The Malaysian prime minister did say that the report sent to the ICAO was pressing for the mandatory adoption of live data streaming from airliners, which is rather like a bank manager who has not installed alarms complaining that it was too easy to rob his bank. He did tell Richard Quest that the report might be released this week.

To put it mildly, transparency is not exactly second nature to Malaysian politicians. It’s a single-party state unused to public scrutiny. By sending their first report to the ICAO, the Malaysian politicians can argue that they have shared responsibility for it with the appropriate United Nations agency. In fact, the ICAO is culpable in the inexcusable failure to act on the BEA’s 2009 recommendation that critical performance data should be live-streamed from airplanes flying over water.

Friday, April 4, 2014

Petronas has been bailing out GLCs financially since 1985, says Ku Li


By V. Anbalagan, Assistant News Editor. Published by The Malaysian Insider on 4 April 2014.

The founding chairman and chief executive of Petronas yesterday lamented that Putrajaya has been treating the leading oil and gas company as a cash cow, especially in bailing out government-linked outfits of financial trouble.

Tengku Razaleigh Hamzah, or Ku Li, said since its inception in 1974 and until 2011, Petronas paid the government RM529 billion in dividends, taxes, petroleum proceeds and export duties.

He said the reliance of Petronas to help government-linked outfits out of financial trouble had been going on since 1985.

Ku Li, a finance minister from 1976 to 1984, said that year Petronas rescued the then Bank Bumiputra with a RM2.5 billion bailout, and again in 1991 when it coughed up another RM1 billion.

In 1997, he said Petronas had to rescue the financially ailing Konsortium Perkapalan Berhad for RM2 billion.

He added that Petronas was made to underwrite the construction of the Twin Towers, located in the heart of Kuala Lumpur, for RM6 billion and the building of the extravagant Putrajaya, the administrative capital of the Federal Government, for RM22 billion.

"This amount could have been used more productively to fund a national pension programme for Malaysians, as has been done by a certain Scandinavian country," he said in his speech at the launch of the book "Rich Malaysia, Poor Malaysians" at the Sultan Sulaiman Club in Kuala Lumpur last night.

The book, authored by Anas Alam Faizli, is a collection of essays reflecting his thoughts on energy, economy and education in Malaysia.

The bailout and construction of mega projects was done during the premiership of Tun Dr Mahathir Mohamad, who initiated a series of major infrastructure ventures in the 1990s.

Ku Li said the exorbitant amount of the bailout and construction of these projects that was forced onto Petronas had also deprived the company from the much needed cash build-up for reinvestment, which would ensure its business sustainability.

He said it was important for Petronas to look further afield at business investments outside the oil and gas sector, and it was critical for the corporation to have a strong cash reserve for reinvestment purposes.

"It was this need for prudence that had led Tun (Abdul) Razak, the prime minister of the day (1970-1976) to impress upon me the need to ensure that Petronas would enjoy parity with such multinational companies," he said.

He said today Petronas was on par with oil majors and was ranked as one of Fortune 500's largest and profitable oil and gas companies.

"But sadly, it is being abused and treated as the piggy bank whenever the government needed cash in a hurry," he said.

Ku Li said while subsidising of consumer goods was not the most efficient of ways in managing the high cost of living, it was fairly understandable if the government extended a helping hand to the small man.

"What is sinful and cannot be forgiven is the ease with which the powers that be had been dishing out subsidies to such entities like the national power supplier, the independent power producers and some other non-power outfits," he said.

As pointed out by Anas in his book , Ku Li said since 1997 this subsidy had amounted to RM136.5 billion.

He said the sad part was that while these power producers continued to enjoy subsidised fuel price, petroleum subsidy to the consumers – which purportedly cost the government RM14 billion in 2011 – was partly discontinued.

Tuesday, March 25, 2014

Malaysia Government seeks EXTRA RM2.3 BILLION for 2013 expenses


By Leven Woon. Published by Free Malaysia Today on 24 March 2014.

Putrajaya today tabled an RM2.392 billion Supplementary Supply Bill in the Dewan Rakyat today seeking extra allocations for 2013 expenditures. The Prime Minister’s Department and Public Service Department were among the agencies seeking the largest additional allocations of RM55.6 million and RM53.3 million respectively. Meanwhile the Treasury sought RM2.09 billion contribution to statutory funds.

According to the bill, the contribution was meant to finance development expenditures last year. Public Service Department on the other hand reasoned that the RM53.3 million was to fund the medical costs of retired civil servants and army veterans. It said the amount for that purpose has been credited to the contingency funds beforehand but additional costs have been incurred.

Meanwhile, Prime Minister’s Department said it is requesting RM55.6 million more due to the expenditures of the new Istana Negara’s opening ceremony celebration (RM31.2 million) and Federal Territories Land and Mineral Office’s contractual workers’ salaries (RM10.74 billion).

It is also to cover the Eastern Sabah Security Command (Esscom) operation costs (RM8 million) and operation cost shortages (RM3.4 million). Other requests were from the Foreign Ministry (RM28.1 million), Agriculture and Ago-based Ministry (RM20 million), Natural Resources and Environment Ministry (RM8 million), Works Ministry (RM50 million), Energy, Green Technology and Water Ministry (RM13.8 million), Communication and Multimedia Ministry (RM46.9 million) and Home Ministry (RM15.9 million). Science, Technology and Innovation Ministry sought an extra RM20 million while Urban Wellbeing, Housing and Local Government was asking additional RM10 million.

Th government had tabled a RM251.6 billion budget in 2013 and had initially asked for an extra RM15 billion in the first Supplementary Supply Bill.


In the last five years, the Malaysian Anti-Corruption Commission (MACC) only convicted 1,395 inividuals and collected RM48 million in fines despite receiving a RM983 million government allocation, said Kampar MP Ko Chung Sen today.

“This means for every case convicted, the government spent an average of RM704,744,” Ko told reporters in Parliament’s lobby today. He said Minister in the Prime Minister Department Paul Low should take responsibility and resign over MACC poor conviction rate despite receiving a high government allocation.

He added that MACC’s budget had increased by 24.4% in 2013 compared with 2011 but the number of cases convicted had dropped by 31.7%. Ko said in 2013, MACC received a RM251 million allocation and convicted 265 individuals.

In 2011, MACC’s allocation was RM202 million and number of individuals convicted 388. “The MACC is not only catching the big sharks, the little fishes are also getting away,” said the DAP lawmaker.

Ko said it was worrying that 90% of corporate executives agreed that bribery and corruption were a major problem for business in Malaysia as shown in a survey done by international auditing firm KPMG in January.

Read more here:

Despite the government paying RM270 million, a mentoring programme implemented since 2011 to improve English language teachers’ skills has had minimum impact on the quality of English among students and teachers alike.

The Dewan Rakyat was told today that the Program Penutur Jati Bahasa Inggeris (PPJBI), which hires foreign teachers to mentor local English language primary school teachers from rural areas, was unable to prevent last year’s UPSR results for the English subject plunging lower than ever.

However, the programme, which ran from 2011 to 2013, has since been extended from Oct 1, 2013 to Sept 30, 2015, at an additional cost of RM184.4 million, according to Deputy Education Minister P Kamalanathan.


Kos dan perbelanjaan yang diperuntukkan untuk kempen dan iklan cukai perkhidmatan dan perkhidmatan (GST) yang akan dilaksanakan pada 1 April 2015 mencecah RM365 juta.

Perkara itu dinyatakan oleh Menteri Kewangan Datuk Seri Najib Razak dalam jawapan bertulisnya bagi menjawab pertanyaan Khalid Samad (PAS-Shah Alam) berhubung kos kempen dan iklan cukai itu.

Dalam jawapan bertulisnya, Najib yang juga perdana menteri berkata perbelanjaan yang telah dan akan dilakukan kerajaan berhubung kempen itu merangkumi:

i) RM98 juta untuk sistem perkomputeran GST yang siap dibangunkan oleh Jabatan Kastam Diraja Malaysia bagi 2013/2014.
ii) RM150 juta penyediaan perisian perakaunan bersubsidi kepada Perusahaan Kecil dan Sederhana (PKS) sedang diuruskan oleh kastam - meliputi RM125 juta pada 2014 dan RM25 bagi tahun berikutnya.
iii) RM100 juta bagi geran latihan kepada peniaga yang diuruskan oleh Kementerian Kewangan yang meliputi RM50 juta pada 2013 dan RM50 juta untuk tahun ini.
iv) RM17 juta bagi program publisiti melalui media arus perdana dan media sosial - akhbar, televisyen, radio dan papan tanda, laman web, blog, Twitter dan Facebook - yang diuruskan oleh Kementerian Kewangan pada 2012-2014.

Sebelum ini, Khalid yang juga ahli jawatankuasa Pusat PAS membangkitkan perkara sama dalam sidang medianya pada Februari lalu.

Sementara itu, dalam sidang medianya di lobi parlimen hari ini, Khalid mengkritik kos kempen cukai itu yang ditanggung dan menurutnya akhirnya membebankan rakyat.

"Belum apa-apa lagi, kerajaan nak kena tanggung RM365 juta untuk nak laksanakan GST. Ini duit rakyat, dan akhirnya digunakan untuk membebankan rakyat."

Monday, March 3, 2014

Taib might have broken Sarawak state law as Chief Minister


Written by Ho Wah Foon. Published by The Edge Malaysia on 3 March 2014.

Tan Sri Abdul Taib Mahmud, who has just stepped down as Sarawak chief minister and become the Yang di-Pertua Negeri (state governor), had led the state imperiously for 33 years; and during these years, his family members have amassed billions of wealth.

Ruling with a tight fist, Taib had allowed his immediate and extended families to control 400 companies in every sector in Malaysia and hold overseas assets worth more than RM800 million in four countries, according to the 8-page special cover story in The Edge Weekly.

Under the state constitution, the Chief Minister shall not hold any office of profit and shall not actively engage in any commercial enterprise, but according to the research findings of The Edge Weekly Taib might have broken this state law while he was ruling Sarawak. “Checks show that Taib is a director/shareholder of at least five Malaysian companies: Demak Jaya Holdings Sdn Bhd, Hamamorial Sdn Bhd; Mesti Bersatu Sdn Bhd, Pehin Sri Heritage Sdn Bhd and Ramah Jelita Sdn Bhd,” stated The Edge Weekly.

For example, Demak Jaya Holdings was started in 1988 and made an exempt private company on July 15, 2013. It is co-owned by Taib (50%) and his sister Hanifah Hajar Taib-Alsree (50%). The weekly, in its in-depth investigative report this week, also revealed that due to various reports on the web of companies owned by Taib’s family members, his family members have relinquished some of the companies or converted them to exempt status, which will block public access to their financial information.

Apart from revealing which companies have used the exempt status as a shield, The Edge Weekly also reported the connections of Taib’s family to some of the controversial privatisations of public listed companies in Malaysia and listed what assets they hold overseas.

Although as Yang di-Pertua Negeri, Taib is supposed to hold a ceremonial role, the political analysis of The Edge Weekly sees him as more than a figurehead. “He will wield more power and influence than any governor in history,” said its writer.

A full investigative report and detailed analysis on this powerful politician and his business empire, headlined A Sprawling Family Business Empire, is found in the pull-out of The Edge Weekly (March 3-March 9).

Tuesday, January 7, 2014

Priest reveals proof Christians used ‘Allah’ before Merdeka


By Jennifer Gomez. Published by The Malaysian Insider on 7 January 2014.
A century-old Catholic prayer book is the latest proof that Christians in the Malay peninsula not only prayed in Malay more than 100 years ago, but also communicated with each other and the church in the language, says a priest at the centre of a new “Allah” row in Malaysia.
Catholic weekly Herald editor Father Lawrence Andrew said the 1905 publication was a Malay language prayer book and not Indonesian. "From the spelling of the words, you would see it is old Malay. And you can find the modern translation of the old Malay used in the scripture in the Alkitab," he told The Malaysian Insider.
His church and other Catholic churches in Selangor managed to avoid disruption to their Sunday services when planned protests by certain Muslim non-governmental organisations were called off over their use of the word “Allah” in the Bahasa Malaysia services.
Andrew said the prayer book quoted the First Letter of Peter, one of the verses in old Malay read: “Rendahkanlah diri mu dibawah tangan berkuasa Allah itu, sopaia dia angkatkanlah kamu di waktu katemuannha." In the Akitab, the verse read: “Oleh itu, rendahkanlah diri kamu ke bawah tangan Allah yang berkuasa, supaya Dia meninggikan kamu pada masa yang ditetapkan-Nya.”
The priest reiterated it was particularly important for Malay-speaking Christians to be able to pray in Malay, especially for those from Sabah and Sarawak who were living in the peninsula.
"There seems to be a general misconception that the use of the word is a new trend in the Christian faith, but that is not true. It has been used for hundreds of years. And this prayer book is just one example that Catholics in Malaya were praying in Malay before the British came and English was widely used, alongside Malay by the East Malaysians," Andrew said.
He said the Malay prayer book was mailed to him by the daughter of its owner not long ago.
In a hand-written note that came with the prayer book titled "Kabaktian Sahari-harian" (Daily Prayer), the sender wrote: "This book belonged to Mary De Silva who was a boarder in the convent at St Anne's church, Bukit Mertajam, around the year 1919, where this book was used. Now the book belongs to her daughter Lily De Silva who lives with her son in Penang".

Putrajaya won its case last October against the Herald at the Court of Appeal, which overturned a 2009 High Court ruling that Herald has the constitutional right to use the word “Allah”.
The church is appealing against the decision at the Federal Court.
Despite the court process, tensions have risen in the past few weeks over the church's use of the word “Allah” in its Bahasa Malaysia service, leading to the prospect of demonstrations outside churches.
It is understood more than 80 police reports have been lodged against Andrew over his remark that the word “Allah” would continue to be used in Catholic churches in Selangor.
His comments came following a statement from the new director of the Selangor Islamic Affairs Department (Jais), Ahmad Zaharin Mohd Saad, who had said that the state religious authorities would write to churches in Selangor asking them to comply with the Selangor Non-Islamic Religions (Control of Propagation among Muslims) Enactment 1988.
Andrew’s comments resulted in several Muslim groups and Selangor Umno threatening to protest in front of churches in the state on Sunday but the protests were called off at the last minute.
But not before a group of protesters burned an effigy of Andrew on Friday. Still, the priest in his Sunday sermon, called on his congregation not to fear and to remain faithful to God.
Andrew is to meet Selangor executive councillor in charge of religion, Sallehen Mukhyi, and later he will have his statement recorded by Selangor police. Yesterday, he accompanied Archbishop Emeritus Tan Sri Murphy Pakiam for a meeting with the Selangor police chief Datuk Mohd Shukri Dahlan over the recent religious conflict involving the Catholic church and several Muslim groups. Today, Andrew will have his statement recorded.