How should we judge a government?

In Malaysia, if you don't watch television or read newspapers, you are uninformed; but if you do, you are misinformed!

"If you're not careful, the newspapers will have you hating the people who are being oppressed, and loving the people who are doing the oppressing." - Malcolm X

Never argue with stupid people, they will drag you down to their level and then beat you with experience - Mark Twain

Why we should be against censorship in a court of law: Publicity is the very soul of justice … it keeps the judge himself, while trying, under trial. - Jeremy Bentham

"Our government is like a baby's alimentary canal, with a happy appetite at one end and no
responsibility at the other. " - Ronald Reagan

Government fed by the people

Government fed by the people

Career options

Career options
I suggest government... because nobody has ever been caught.

Corruption so prevalent it affects English language?

Corruption so prevalent it affects English language?
Corruption is so prevalent it affects English language?

When there's too much dirt...

When there's too much dirt...
We need better tools... to cover up mega corruptions.

Prevent bullying now!

Prevent bullying now!
If you're not going to speak up, how is the world supposed to know you exist? “Orang boleh pandai setinggi langit, tapi selama ia tidak menulis, ia akan hilang di dalam masyarakat dan dari sejarah.” - Ananta Prameodya Toer (Your intellect may soar to the sky but if you do not write, you will be lost from society and to history.)

Monday, January 16, 2012

Another take on NFC

If not for arrogance and penchant for luxury, NFC could have escaped the radar of the critics.

Instead of buying luxury condominiums in Bangsar and Singapore, the directors should have bought large tracts of land which would serve their primary purpose of breeding cattle. Had they bought land instead, they would have benefited from substantial appreciation in value.

Even with my simple mind, I can think of tracts of land divided into individual farms which could be rented out to individual farmers, on condition that they rear only cattle. Just imagine the image to any outsider who does not bother to check out the real deal. Or...

Instead of the reduced number of cattle from 8,000 to below 6,000 heads, they could have bought more cattle which could have given a favourable impression that they were doing the right thing. For say, Rm30 million, they could have bought 30,000 heads of cattle at Rm1,000 each, or 10,000 at Rm3,000 each, depending on the current price. I bet substantial increase in number would have silenced some critics, after all we are dealing with public perception.

Hypothetically, having a soft loan at 2% pa interest, the directors could have just borrowed from the government and put in FD at a conservative 3% pa, and enjoy a yearly Rm2.5 million in net income without doing anything. If a claim that the loan repayment does not set in until the full Rm250 million has been disbursed was true, then borrowing Rm249 million (just short of 1 million), they could have almost Rm7.5 million yearly! Enough for decent company cars and directors' remuneration. Just to show how ludicrous government aid could be easily abused if not properly monitored. (It has been reported that the loan at 2% pa is repayable over 17 years starting from 2013, after a grace period of 3 years, instead of the above notion 'that the loan repayment does not set in...' It is still a damn good deal by any standard.)

Recent statements by PM and other ministers did not make sense. What people expect from 'assets are frozen' is when bank accounts are frozen and directors effectively suspended from their positions and duties while the company is being run by someone appointed by the government and investigations are being carried out. But according to NFC official, it is 'business as usual' and the only thing frozen is probably the beef!

The NFC case has caught the attention of many people because of its ease at getting a large amount of soft loan at incredibly favourable terms, which was misused to pay overgenerous directors' remuneration, buy luxury car and condominiums. NFC has caused envy among fellow Malaysians. No doubt it is likely to be a liability to BN and a good point to use by PR in the coming general election. If the directors' rationale for buying condominiums is good investments, then everyone of us would like the government to lend us the money to do so.

By the way, the following could be a true story which shows financial returns from investment in property could be so rewarding. Maybe the directors of NFC were wise in this sense, but not when it involved public funds meant for a specific venture...

A Singapore millionaire, LKA, who secretly maintained a mistress in Hong Kong, bought a posh sea view apartment (in his own name) for her to live in, plus gave her a monthly allowance of US$5,000. The house cost him about US$700,000 in 2005. The affair lasted for 5 years.

He sold the house this year for $3.8 million, after they broke up. A quick calculation shows that after 5 years of a fling with the woman, he still had a net gain of $2.8 million plus 5 years of FREE SEX.

When his wife found out about this, he offers the $2.8 million to her. But she was still not happy ..., and she was very mad at him and gave him a big mouthful... She yelled at him at the top of her voice and said... "BLOODY IDIOT, STUPID FOOL" !!! ... Why the hell didn't you keep TWO MISTRESSES !!!!


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