It is the democratic right of PAS to contest in any and every seat in Malaysia, but perhaps they should be more worried about hanging on to most of their gains in the last General Elections.
I have read with mild amusement the announcement by PAS Election Director, Datuk Mustafa Ali, that the party will field candidates in DAP-contested seats in the next General Elections.
Let me state clearly that it is the democratic right of any party to field candidates in any seat throughout the country, and that would obviously include PAS. Datuk Mustafa Ali is even welcomed to field a candidate in Petaling Jaya Utara to provide the voters with an additional choice for selection.
As PAS has officially terminated all forms of political cooperation with DAP, this will include all cooperation between the parties in Selangor despite the fact that PAS representatives remain in the state government.
DAP Selangor has met and confirmed that we will not be providing any assistance or support to any PAS candidate in the state for the next general election.
Instead, I will direct all DAP leaders and branches in the state to start active work in certain seats contested by PAS with the objective of contesting them in the next general election.
These seats will include, but are not limited to:
No Constituency % Malay voters Majority % PAS
1 Seri Serdang 45.5% 16,251 62.9%
2 Dusun Tua 50.9% 4,701 55.1%
3 Taman Templer 50.9% 7,467 58.2%
4 Tanjong Sepat 52.0% 682 51.4%
5 Chempaka 53.1% 9,608 63.1%
6 Lembah Jaya 54.0% 8,713 60.5%
7 Paya Jaras 56.2% 5,522 57.2%
8 Meru 58.6% 9,079 62.9%
In addition, DAP Selangor would like to express our unequivocal support for PKR and any other parties contesting in Selangor which subscribes fully to the common policy framework. These parties should be able to work in a coalition built upon consensus, in the interest of protecting of all Malaysians in a democratic multi-racial environment.
The final list of seats DAP Selangor contests will ultimately be subjected to amicable negotiations with our new post-Pakatan Rakyat coalition parties which does not include PAS. The objective will be for the new coalition to continue our record against Barisan Nasional in Selangor and contribute towards winning Putrajaya in the next General Elections.
Tony Pua
Showing posts with label Pakatan Rakyat. Show all posts
Showing posts with label Pakatan Rakyat. Show all posts
Thursday, July 16, 2015
Monday, June 08, 2015
Pakatan Rakyat's End Will Not, and Ever, Delude Our Principles
Pakatan Rakyat Selangor is in unchartered waters post-PAS Muktamar.
The PAS General Assembly (“Muktamar”) has decided to sever all ties (“putus hubungan”) and stop all political cooperation “kerjasama politik” with DAP. As a result, Pakatan Rakyat in Selangor has undoubtedly entered unchartered waters. The only thing certain under such circumstances is that nothing can or will be the same again.
It is inconceivable for anyone to think or believe that Pakatan Rakyat can continue to exist in its current state given the above unequivocal motion. The Pakatan Rakyat government comprises of three political parties which subscribed to a common policy platform. However, when the common policy platform is breached, compounded by the decision of one party to stop cooperation with another within the coalition, then the coalition naturally collapses.
How does the Government function, when the state executive councillors (Exco) of PAS refuses to cooperate with the Exco from DAP when carrying out their respective duties? Can one even imagine how surreal the state Exco meeting will be, with the PAS Exco ignoring the DAP Excos or pretending that they don’t exist?
The problems do not just exist within the Executive Council, but with all levels of the Selangor Government. Will PAS local councillors for example, pay no heed to all comments, suggestions and proposals by DAP local councillors when carrying out their responsibilities at the local government level?
What’s more, such refusal to cooperate will be egged on by PAS leaders such as Nasruddin Hassan Tantawi, the top vote-getter amongst the 18 newly elected central committee members. After all, he urged the Party faithfuls to fight DAP with his now-famous war cry, “We may be dressed in jubah (robes) and turbans, but you must remember that underneath this jubah, there are elbows and knees that can be used (against DAP).”
Hence it will never be “business as usual” again. The question which remains, and is still unanswered is what form of political realignment will take place to allow a new coalition government to remain in power in Selangor.
As my colleague, Johor state chairman and MP for Kluang, Liew Chin Tong has alluded to, there is now a vacuum in the anti-establishment, moderate and progressive Malay political space after PAS swerved hard to the far-right. He said,
"In the weeks and months to come, the search for new paths by the progressives and all other Malay moderate opinion leaders to fill the vacuum would see major political realignments in Malaysian politics."
The ability for this gap to be filled, whether by the DAP and/or PKR, or by the rise of new factions or parties, will determine the future of the new coalition for Selangor.
The failure of this gap to be filled, which will allow a tenable coalition which subscribes firmly to the “Common Policy Platform” endorsed by the Rakyat in the last general election, may lead to a collapse of the Selangor state government and for elections to be called.
As of today, no final decision have been made by DAP Selangor. In the coming days, we will engage and discuss with DAP Central Executive Committee and abide by any decision which is made at the national level. Unlike leaders of several other political parties we know of, Malaysians can be assured that DAP leaders in Selangor will not be hypocrites and betray our principles to remain in power at all cost.
Tony Pua
Wednesday, July 30, 2014
Dr Mohd Zuhdi Marzuki Perlu Meminta Maaf Atas Pendapat Yang Rasis Dan Ekstremis
Pengarah Operasi Pusat Penyelidikan PAS (PPP) Dr Mohd Zuhdi Marzuki perlu
meminta maaf kepada semua rakyat Malaysia ke atas pendapat beliau yang
bersifat rasis dan ekstremis.
Berikutan kontroversi yang terbangkit seteleh mesej WhatsApp Dr Mohd Zuhdi Marzuki
dalam kumpulan Ahli Jawatankuasa PAS Pusat terdedah secara meluas, beliau telah
menjelaskan bahawa beliau “tidak termasuk dalam senarai mereka yang menyokong usul
keluar PR itu.”
Beliau berkata “semoga dengan penjelasan ini, nama saya dapat dibersihkan daripada
tanggapan buruk pelbagai golongan ekoran sikap segelintir pihak di dalam PAS yang
membangkitkan fitnah yang sedang tidur."
Rakyat Malaysia tidak mempertikaikan langkah Dr Mohd Zuhdi mengkaji sama ada PAS patut
berada di dalam ataupun keluar daripada gabungan Pakatan Rakyat. Pendirian Dr Mohd
Zuhdi untuk keluar atau kekal dalam Pakatan juga tidak merupakan tumpuan kritikan. Itu
merupakan hak ahli PAS.
meminta maaf kepada semua rakyat Malaysia ke atas pendapat beliau yang
bersifat rasis dan ekstremis.
Berikutan kontroversi yang terbangkit seteleh mesej WhatsApp Dr Mohd Zuhdi Marzuki
dalam kumpulan Ahli Jawatankuasa PAS Pusat terdedah secara meluas, beliau telah
menjelaskan bahawa beliau “tidak termasuk dalam senarai mereka yang menyokong usul
keluar PR itu.”
Beliau berkata “semoga dengan penjelasan ini, nama saya dapat dibersihkan daripada
tanggapan buruk pelbagai golongan ekoran sikap segelintir pihak di dalam PAS yang
membangkitkan fitnah yang sedang tidur."
Rakyat Malaysia tidak mempertikaikan langkah Dr Mohd Zuhdi mengkaji sama ada PAS patut
berada di dalam ataupun keluar daripada gabungan Pakatan Rakyat. Pendirian Dr Mohd
Zuhdi untuk keluar atau kekal dalam Pakatan juga tidak merupakan tumpuan kritikan. Itu
merupakan hak ahli PAS.
Saturday, July 06, 2013
BN Selangor Rejects PAC Chairmanship: An Abdication of Duty
For the second term running, Barisan Nasional (BN) state assemblymen are again abdicating from their duties to the rakyat to act as an effective opposition to check and balance the Pakatan Rakyat state government.
For this new term, the unconditional offer to chair the powerful Public Account Committee (PAC) has been offered to the state Opposition Leader, Datuk Mohd Shamsuddin Lias. However the latter has indicated that he will not take up the position giving the ridiculous excuse that the offer was “politically motivated”.
BN has also rejected the PAC chairmanship offer in 2008, after initially accepting it then. However, after being firmly entrenched to the state opposition with fewer numbers for the second term, it is time for them to accept their role and perform their functions dutifully.
There is no point in the BN opposition making all sorts of wild allegations against the state government when the Pakatan Rakyat are giving the PAC chairmanship to BN on a silver platter. As the chairman of the PAC, he will be able to set the agenda for the PAC meetings, review alleged misconduct and controversies, secure all relevant documents and interview any officer involved including State Executive Councillors.
Hence we find it completely inexplicable that BN is rejecting the position for the second time, unless the rejection is “politically motivated”. BN is rejecting the position because it does not want to endorse the practice of transparency and accountability.
Despite the slew of rhetoric and slogans in the Government Transformation Programme (GTP) to increase transparency and accountability, the BN government led by Datuk Seri Najib Razak has consistently refused to accept the first world parliamentary best practice of an opposition leader leading the PAC.
Hence even though the unconditional offer of the PAC chairmanship is to promote first world legislative assemblies, Datuk Seri Najib Razak has instructed that the position not be accepted because it will make him look bad in the Parliament.
It appears that Datuk Seri Najib Razak will not be able to live down the fact that a Pakatan Rakyat government accepts a BN PAC Chairman, while he is unable to practise what he preach in the Parliament. The Prime Minister obviously fears a Pakatan-led PAC in Parliament which will be more pro-active and meticulous in uncovering various abuses, scandals and corruption in the BN government.
We call upon the Ministers in-charge of GTP, Datuk Idris Jala and Datuk Paul Low to play their part to push the Government to not only accept the PAC chairmanship in Selangor, but also to offer the Parliament’s PAC chairmanship to Pakatan Rakyat. Datuk Seri Najib Razak must realise that he lost the trust of 51% of the rakyat in the last general election due to a poor record in transparency and accountability. By offering the PAC chairmanship to Pakatan Rakyat, he will be able to prove that he is indeed walking the talk about fighting corruption and abuse of power.
However, regardless of whether the Parliament’s PAC chairmanship position is offered to Pakatan Rakyat, Datuk Seri Najib Razak must at the very least instruct Datuk Mohd Shamsuddin Lias to accept the Selangor state assembly’s PAC chairmanship, to act its role as a responsible opposition in ensuring transparency and accountability.
There is no more valid excuses that Selangorians can accept in the rejection of the role. In fact, the failure of accepting the role will only permanently cement BN as the opposition in Selangor for the 14th General Election. The rakyat will be able to tell that Pakatan Rakyat governments practice what we preach, while the BN Governments led by the Prime Minister is only good with the song and dance, with no earnest effort in making real transformation.
For this new term, the unconditional offer to chair the powerful Public Account Committee (PAC) has been offered to the state Opposition Leader, Datuk Mohd Shamsuddin Lias. However the latter has indicated that he will not take up the position giving the ridiculous excuse that the offer was “politically motivated”.
BN has also rejected the PAC chairmanship offer in 2008, after initially accepting it then. However, after being firmly entrenched to the state opposition with fewer numbers for the second term, it is time for them to accept their role and perform their functions dutifully.
There is no point in the BN opposition making all sorts of wild allegations against the state government when the Pakatan Rakyat are giving the PAC chairmanship to BN on a silver platter. As the chairman of the PAC, he will be able to set the agenda for the PAC meetings, review alleged misconduct and controversies, secure all relevant documents and interview any officer involved including State Executive Councillors.
Hence we find it completely inexplicable that BN is rejecting the position for the second time, unless the rejection is “politically motivated”. BN is rejecting the position because it does not want to endorse the practice of transparency and accountability.
Despite the slew of rhetoric and slogans in the Government Transformation Programme (GTP) to increase transparency and accountability, the BN government led by Datuk Seri Najib Razak has consistently refused to accept the first world parliamentary best practice of an opposition leader leading the PAC.
Hence even though the unconditional offer of the PAC chairmanship is to promote first world legislative assemblies, Datuk Seri Najib Razak has instructed that the position not be accepted because it will make him look bad in the Parliament.
It appears that Datuk Seri Najib Razak will not be able to live down the fact that a Pakatan Rakyat government accepts a BN PAC Chairman, while he is unable to practise what he preach in the Parliament. The Prime Minister obviously fears a Pakatan-led PAC in Parliament which will be more pro-active and meticulous in uncovering various abuses, scandals and corruption in the BN government.
We call upon the Ministers in-charge of GTP, Datuk Idris Jala and Datuk Paul Low to play their part to push the Government to not only accept the PAC chairmanship in Selangor, but also to offer the Parliament’s PAC chairmanship to Pakatan Rakyat. Datuk Seri Najib Razak must realise that he lost the trust of 51% of the rakyat in the last general election due to a poor record in transparency and accountability. By offering the PAC chairmanship to Pakatan Rakyat, he will be able to prove that he is indeed walking the talk about fighting corruption and abuse of power.
However, regardless of whether the Parliament’s PAC chairmanship position is offered to Pakatan Rakyat, Datuk Seri Najib Razak must at the very least instruct Datuk Mohd Shamsuddin Lias to accept the Selangor state assembly’s PAC chairmanship, to act its role as a responsible opposition in ensuring transparency and accountability.
There is no more valid excuses that Selangorians can accept in the rejection of the role. In fact, the failure of accepting the role will only permanently cement BN as the opposition in Selangor for the 14th General Election. The rakyat will be able to tell that Pakatan Rakyat governments practice what we preach, while the BN Governments led by the Prime Minister is only good with the song and dance, with no earnest effort in making real transformation.
Wednesday, May 22, 2013
Himpunan Kesyukuran Pakatan Rakyat
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Pakatan Rakyat akan teruskan bantahan terhadap PRU13 yang tidak bersih dan adil. Pada masa yang sama, kami juga ingin mengucapkan terima kasih kepada pengundi-pengundi kerana telah memberikan sokongan yang cukup hebat kepada Pakatan Rakyat di Wilayah Persekutuan dan Selangor.
Di Selangor dan Wilayah Persekutuan, Pakatan Rakyat bukan sahaja berjaya mempertahankan kuasa di negeri Selangor, kami telah meningkatkan jumlah kerusi dan juga majoriti yang diperolehi oleh calon-calon kami.
DAP Wilayah Persekutuan dan Selangor akan menganjurkan satu Himpunan Kesyukuran Pakatan Rakyat dengan butir-butir seperti berikut:
Tarikh: 23hb Mei 2013 (Khamis)Penceramah termasuklah Lim Kit Siang, Nurul Izzah Anwar, Khalid Samad, Zaid Ibrahim, Tamrin Ghafar, Teresa Kok, Teng Chang Khim, Tony Pua dan lain-lain.
Masa: 7 malam
Tempat: Padang Timur, Petaling Jaya (hadapan Amcorp Mall)
Kami juga ingin mengucapkan terima kasih kepada Pihak Polis Diraja Malaysia kerana telah memberikan kerjasama untuk menjalankan Himpunan Kesyukuran Pakatan Rakyat pada 23hb Mei (Khamis) 7 malam di Padang Timur secara lancar.
Pihak polis akan membantu mengawal trafik dan telah mencadangkan supaya para hadirin menggunakan tempat letak kereta yang sedia ada yang ditunjukkan dalam peta di bawah.
Untuk mengurangkan kesesakan jalanraya lagi, kami menggalakkan para hadirin menggunakan sistem LRT Taman Jaya.
Saturday, December 01, 2012
BN Will Bankrupt Malaysia, Not PR
UMNO President, Datuk Seri Najib Razak attempted to scare Malaysian voters that by voting Pakatan Rakyat, the latter will bankrupt the country in 3 years.
Najib said, the opposition under Anwar’s leadership was espousing poor policies, pointing to its plans to ensure an average of RM4,000 a month as household income, abolition of tolls and the PTPTN debt, RM500 special allowance for teachers and hiking the royalty payment to 20 percent for oil-producing states.
“If all these are done in the first year, the federal budget deficit will spiral to almost 30 percent. By 2015, our debt to GDP will sky-rocket to 140 percent.
“In three years time, we will reach a critical stage where we will lose our economic sovereignty, like Greece,” he said.
Without even going into the details of the accusations over Pakatan Rakyat policies which have been well rebutted by my colleagues previously, Najib’s claims are completely preposterous.
Pakatan Rakyat has unveiled our Alternative Budget for 2013 which has clearly spelt out our expenditure proposals which are much less extravagant and much more prudent than that by the Barisan Nasional (BN) Government. We have proposed an expenditure of RM234 billion and projected a deficit of 3.5%, as opposed to BN’s RM252 billion and a 4% deficit. How did Najib pluck a 30% or a incredulous RM300 billion deficit from thin air?
In fact, if the BN Federal Government scandals are anything to go by, it is the current administration’s continued profligacy which will cause the country to be "bankrupt" if they are voted back into power.
We have seen how the BN Government provide all sorts of unacceptable excuses not to collect back RM250 million of soft loan extended to UMNO Wanita Chief Datuk Shahrizat Jalil’s family in the failed National Feedlot Corporation projects where the money was abused to purchase luxury condominiums. Similarly, Datuk Seri Najib has instructed that RM589.6 million of outstanding debt from Tan Sri Tajuddin Ramli to Federal Government subsidiaries be completely written off for no good reason.
At the same time, we have surfaced RM140.2 billion worth of contingent liabilities or Federal Government guaranteed debts which are not included in our official debts of RM502 billion. The contingent liabilities or hidden debts are rising at an exponential rate as a means for the BN Government to bail out its cronies and failing GLCs such as the RM12.5 billion Port Klang Free Zone (PKFZ). In fact, the heavily indebted Port Klang Authority has officially requested the Finance Ministry to write up RM2.1 billion out of its RM4.6 billion debt incurred as a result of government guarantee.
On the other hand, Pakatan Rakyat Governments have proven our prudence in managing state finances. The Selangor State Government for example has successfully recovered RM392 million worth of debt from Talam Corporation incurred during BN’s administration. Similarly, open and transparent policies have resulted in repeated surpluses in both the Penang and Selangor administrations. Penang achieved a record budget surplus of RM138 million in 2011 after successive surpluses since 2008. Similarly, the Auditor-General has also confirmed a surplus of RM180.5 million in 2011, a 45% increse from RM124.2 million achieved in 2010. The finacial reserves of the Selangor state government has also increased from a mere RM400 million in 2008 to a whopping RM2.4 billion today.
Pakatan Rakyat will implement prudent spending and will reallocate funds for our proposed expenditure, by cutting wasteful expenditure, restructuring subsidies target groups and eliminating corruption via open, transparent and competitive tenders and procurement systems.
Hence the proof of the pudding is in the eating, and Malaysians throughout the country can evaluate and compare the performance of the BN administration versus the Pakatan state administrations over the past 5 years and make informed judgements. Pakatan Rakyat has more than proven that we are more than capable of strengthening the country’s finances and economy, while on the other hand, the continued corruption, abuse of power and profligacy under BN will inevitably lead to economic disaster for the nation.
Friday, September 21, 2012
Pakatan Is Ready To Rule
Pakatan says ready to rule Malaysia
By Mohd Farhan Darwis September 19, 2012
KUALA LUMPUR, Sept 19 ― Pakatan Rakyat (PR) leaders are convinced of their fitness to govern the country if Barisan Nasional (BN) loses hold of Putrajaya in the coming polls, pointing to their achievements in the four states they currently lead.
The three-party pact of DAP, PKR and PAS now administer the states of Selangor, Penang, Kedah and Kelantan, following their historic electoral performance in Election 2008 when they denied BN its customary two-thirds parliamentary majority.
DAP publicity secretary Tony Pua noted that in 2008, PR had not expected to make the gains it did, much less being voted into four state administrations.
“But we succeeded,” he said. “Now, we are really ready and that is proof that we are ready to rule.”
Today, the Petaling Jaya Utara MP added that it PR will be judged based on its policies and not just the personalities behind them.
“The policies are more important... it does not matter who becomes a minister, it is the policy (that matters),” he said.
“It doesn’t matter who is elected (from PR), we are definitely much better (than BN).”
[...]
Like Pua, PAS vice-president Salahuddin Ayub also disagreed with the observers and recounted PR’s achievements in the states it governs as an example of the pact’s ability.
He said PR’s track record was strong enough to dispel doubts over the abilities of its leaders, even if they have never governed the entire country.
“I feel what is more important is our integrity and our track record... these are the most valuable assets that the PR governments have shown they possess.
“We have produced many qualified leaders who can be trusted... no misappropriation or abuse like leaders from BN,” said the Kubang Kerian MP, adding that he was proud of PR’s mentri besars and chief minister.
“For three consecutive years, the Auditor-General’s Report has proven that we have governed well,” he said.
Agreeing with her colleagues, PKR vice-president Nurul Izzah Anwar said that not only did PR’s track record prove its competence, the pact’s joint manifesto has also bound all three parties together and shown that they are a united front.
“World history and democracies have shown that it is the wants and choices of the people that will decide who should be given the mandate to rule.
“If the people’s aspirations are not fulfilled, the people will be the judge and select a replacement... on national level, almost all policies and issues of PR have been used by BN,” she said.
The BN coalition has been the only federal government since the country was formed, having previously ruled as the Alliance Party.
For the full story on The Malaysian Insider, click here.
Friday, September 07, 2012
Chua Tee Yong Doubts KPMG Too?
Datuk Chua Tee Yong is proving himself to be the worst MCA Minister, first with his bogus RM1 billion Talam Debt Bailout claim and now, insinuating incompetence and fraud by in the audit by independent auditors KPMG by referring to the US Enron scandal.
On 3 July 2012, Datuk Chua Tee Yong commenced a series of malicious allegations against the Selangor state government led by Pakatan Rakyat with concocted claims that Selangor abused RM1 billion to bailout Talam Corporation by purchasing the latter’s properties at high prices, allowing the latter to recover from financial distress. This has included the fictitious claim that Talam’s shares were lifted from suspension on Bursa Malaysia as a result of Selangor’s actions.
We have already proven that Talam was never suspended on Bursa Malaysia, and the company completed its financial regularization plan, which was approved by Securities Commission in 2009, well before any agreements was signed with the current Selangor state government.
Despite the embarrassment of making false allegations, as well as the detailed explanations given with regards to the fact that no money was ever paid to Talam Corporation by the state government and the non-existence of any RM1 billion abuse of any kind, MCA prodigy has been relentless in touring Selangor’s hills and lakes to continue the accusations that the state government either “over-paid” or made unsound investment decisions which disadvantaged the state, and benefited Talam.
The state government led by Menteri Besar Tan Sri Khalid Ibrahim has taken the simple step of appointing independent international auditors KPMG to conduct a due diligence on the Talam deal immediately to ensure that the Malaysian public not only gets to hear from the state government, they have a open and transparent mechanism to evaluate the state’s competence.
The independent auditors have completed their due diligence study and were given access to every document requested to conduct the investigations.
KPMG has confirmed in its report that “the Selangor State Government entered into two debt settlement agreements with Talam in order to recover an amount of RM392 million of debts owed by Talam…” where “the debt settlement was in the form of settlement assets, comprising 9 plots of land, 2 properties and 60% shares in a subsidiary of Talam and cash/debt assignment.
Most importantly, the auditors concluded that “the settlement agreements entered into with Talam were purely a debt settlement arrangement” which means there is only collection from Talam, and no payment to Talam to purchase any properties from the latter as repeatedly accused by Datuk Chua and his merry men.
In fact, after reviewing all documents on the transactions, including valuation reports conducted by both the Federal government agencies as well as private property valuers, KPMG was happy to concluded that “the Selangor State Government made a sound commercial decision”. KPMG further added that “the gross consideration is sufficient… to recover the Talam debts, with no debt waiver by Menteri Besar Incorporated”.
There can be no stronger endorsement on the decisions made by the state government under the Talam debt settlement agreement to prove not only that they were above board, they were also made in the interest of the state. There was no “haircut” undertaken by Selangor in the recovery exercise.
Instead of hiding from sheer embarrassment, Datuk Chua Tee Yong has decided to humiliate himself further by stating in his tweet yesterday, “(an) audit report depends on the scope of the work. Enron and a lot of (other) cases show that (an) audit and its results are limited to the documents available," he said in a tweet.”
Datuk Chua Tee Yong is fast proving himself to be the least competent of the many incompetent MCA Ministers and Deputy Ministers in the Cabinet. After clamouring for independent reports, Datuk Chua is now insinuating that he knows more, or has in his possession more documents than was supplied to KPMG in the latter’s audit. He is now clearly insinuating that KPMG is not competent in its audit exercise and has taken part in audit fraud by comparing the Talam audit to the mega Enron audit scandal in the United States.
Datuk Chua is shameless in making such accusations especially since he himself claims to be a qualified Australia-certified Chartered Accountant.
If he has any further evidence to the contrary, we have set up a forum or debate in his constituency of Labis this coming weekend on 9th September 7.30pm for him to prove himself in front of his own constituents.
The state government has now officially appointed us, Dr Dzulkefly Ahmad, William Leong and Tony Pua to be the official spokespersons for the government on this issue. There is no longer basis for Datuk Chua to give excuses that we do not represent the state and hence are unfit to “debate” him.
If Datuk Chua is not even willing to defend himself in front of his own voters who put him in office, then he should just forever hold his peace on the Talam issue and start focusing on more pressing issues in the Ministry of Agriculture such as recovering the RM250 million outstanding from National Feedlot Corporation.
On 3 July 2012, Datuk Chua Tee Yong commenced a series of malicious allegations against the Selangor state government led by Pakatan Rakyat with concocted claims that Selangor abused RM1 billion to bailout Talam Corporation by purchasing the latter’s properties at high prices, allowing the latter to recover from financial distress. This has included the fictitious claim that Talam’s shares were lifted from suspension on Bursa Malaysia as a result of Selangor’s actions.
We have already proven that Talam was never suspended on Bursa Malaysia, and the company completed its financial regularization plan, which was approved by Securities Commission in 2009, well before any agreements was signed with the current Selangor state government.
Despite the embarrassment of making false allegations, as well as the detailed explanations given with regards to the fact that no money was ever paid to Talam Corporation by the state government and the non-existence of any RM1 billion abuse of any kind, MCA prodigy has been relentless in touring Selangor’s hills and lakes to continue the accusations that the state government either “over-paid” or made unsound investment decisions which disadvantaged the state, and benefited Talam.
The state government led by Menteri Besar Tan Sri Khalid Ibrahim has taken the simple step of appointing independent international auditors KPMG to conduct a due diligence on the Talam deal immediately to ensure that the Malaysian public not only gets to hear from the state government, they have a open and transparent mechanism to evaluate the state’s competence.
The independent auditors have completed their due diligence study and were given access to every document requested to conduct the investigations.
KPMG has confirmed in its report that “the Selangor State Government entered into two debt settlement agreements with Talam in order to recover an amount of RM392 million of debts owed by Talam…” where “the debt settlement was in the form of settlement assets, comprising 9 plots of land, 2 properties and 60% shares in a subsidiary of Talam and cash/debt assignment.
Most importantly, the auditors concluded that “the settlement agreements entered into with Talam were purely a debt settlement arrangement” which means there is only collection from Talam, and no payment to Talam to purchase any properties from the latter as repeatedly accused by Datuk Chua and his merry men.
In fact, after reviewing all documents on the transactions, including valuation reports conducted by both the Federal government agencies as well as private property valuers, KPMG was happy to concluded that “the Selangor State Government made a sound commercial decision”. KPMG further added that “the gross consideration is sufficient… to recover the Talam debts, with no debt waiver by Menteri Besar Incorporated”.
There can be no stronger endorsement on the decisions made by the state government under the Talam debt settlement agreement to prove not only that they were above board, they were also made in the interest of the state. There was no “haircut” undertaken by Selangor in the recovery exercise.
Instead of hiding from sheer embarrassment, Datuk Chua Tee Yong has decided to humiliate himself further by stating in his tweet yesterday, “(an) audit report depends on the scope of the work. Enron and a lot of (other) cases show that (an) audit and its results are limited to the documents available," he said in a tweet.”
Datuk Chua Tee Yong is fast proving himself to be the least competent of the many incompetent MCA Ministers and Deputy Ministers in the Cabinet. After clamouring for independent reports, Datuk Chua is now insinuating that he knows more, or has in his possession more documents than was supplied to KPMG in the latter’s audit. He is now clearly insinuating that KPMG is not competent in its audit exercise and has taken part in audit fraud by comparing the Talam audit to the mega Enron audit scandal in the United States.
Datuk Chua is shameless in making such accusations especially since he himself claims to be a qualified Australia-certified Chartered Accountant.
If he has any further evidence to the contrary, we have set up a forum or debate in his constituency of Labis this coming weekend on 9th September 7.30pm for him to prove himself in front of his own constituents.
The state government has now officially appointed us, Dr Dzulkefly Ahmad, William Leong and Tony Pua to be the official spokespersons for the government on this issue. There is no longer basis for Datuk Chua to give excuses that we do not represent the state and hence are unfit to “debate” him.
If Datuk Chua is not even willing to defend himself in front of his own voters who put him in office, then he should just forever hold his peace on the Talam issue and start focusing on more pressing issues in the Ministry of Agriculture such as recovering the RM250 million outstanding from National Feedlot Corporation.
Wednesday, July 18, 2012
PNSB - Spectacular Turnaround Under Pakatan Rakyat
Contrary to the frivolous allegations by Datuk Chua Tee Yong, the financial performance of Permodalan Negeri Selangor Bhd (PNSB) has improved by leaps and bounds under the Pakatan Rakyat leadership
Last week Datuk Chua Tee Yong has continued his crusade against the Selangor state government over the Talam “scandal” by alleging that the Selangor state wholly-owned subsidiary Permodalan Negeri Selangor Bhd (PNSB) was forced to take a supersized RM230 million loan to acquire land from Menteri Besar (Incorporated) as part of the Talam debt settlement agreement.
The question we are asking Datuk Chua and his merry men is what exactly is wrong with taking a RM230 million to acquire RM450 million worth of land assets, as audited, valued and recognized in the PNSB 2010 financial accounts? Where is the impropriety in that?
As highlighted in my press conference last week, and in case Datuk Chua isn’t aware, PNSB is a property development company. It has to acquire land to develop and construct, in order to sell and make a return for the company. It is no different from any property development company, privately held or publicly listed or government owned. Hence the acquisition of land for future potential development is the normal course of business for a property development company! Where exactly is the “scandal” in the above transaction?
However, by thrusting PNSB into the limelight, it gave me an opportunity to review the financial performance of PNSB in detail. To my pleasant surprise, the performance of PNSB has improved by leaps and bounds under the new Pakatan Rakyat leadership, beyond even my cautiously optimistic expectations.
A quick look at the profit and loss statements of PNSB showed that it made losses for 4 consecutive years since 2005 including the transition year of 2008.
However, as the above chart illustrates, that PNSB has been increasing its after tax profits (税后利润) 3 consecutive years in a row from RM8 million to RM23.4 million to RM28.4 million in 2009, 2010 and 2011 respectively. This also means 2 consecutive years of record profits for PNSB in 2010 and 2011.
How is it that a Chartered Accountant (特许会计师) with qualifications from Royal Melbourne Institute of Technology (RMIT) (墨尔本皇家理工大学) can accuse PNSB of being forced to be indebted, when its financial turnaround (财政周转) from the days of Barisan Nasional has been nothing short of spectacular?
Datuk Chua accused PNSB of depleting its cash reserves (现金储备) which stood at RM76.0 million in 2008 and RM77.6 million in 2009. However, the accounts of PNSB clearly showed a massive increase in cash reserves to RM167.0 million as at December 2011.
Datuk Chua accused the State Government of causing PNSB to increase its debts by RM230 million to acquire properties in Bukit Beruntung and Bestari Jaya. However, Datuk Chua must certainly be impressed with the fact that the total assets (总资产) of PNSB has increased by leaps and bounds from RM111.4 million in 2008 to RM761.0 million and RM823.8 million in 2010 and 2011 respectively.
In addition, and probably more tellingly, the Net Tangible Assets (有形资产净值) of PNSB has improved by 17.7% from RM11.55 per share in 2009 to RM13.59 per share in 2011.
I have never been trained in accounts whether in school or in university and I don’t claim to be a qualified accountant or accounting analyst. So, despite the initial rejection by Datuk Chua Tee Yong, I hope that he will reconsider the offer to debate the Talam debt “scandal” which he has raised, perhaps at least to teach me how to do proper accounting.
He should also take up the debate mantle to erase the damage to his reputation as a double-counting accountant and justify once and for all that Selangor under Pakatan Rakyat has committed a RM1 billion bailout of Talam Corporation, instead of him committing a billion ringgit blunder.
If Datuk Chua prefers a neutral venue instead of holding the debate at Wisma MCA, we can do it at The Star auditorium so that his allegations can be given maximum reach and coverage.
It would be a shame for him to turn down his very first invite to a public debate, unlike the MCA President Datuk Seri Chua Soi Lek who had courageously faced DAP Secretary-General Lim Guan Eng in live debates not once, but twice.
Once again, I very much look forward to Datuk Chua’s favourable reply.
Last week Datuk Chua Tee Yong has continued his crusade against the Selangor state government over the Talam “scandal” by alleging that the Selangor state wholly-owned subsidiary Permodalan Negeri Selangor Bhd (PNSB) was forced to take a supersized RM230 million loan to acquire land from Menteri Besar (Incorporated) as part of the Talam debt settlement agreement.
The question we are asking Datuk Chua and his merry men is what exactly is wrong with taking a RM230 million to acquire RM450 million worth of land assets, as audited, valued and recognized in the PNSB 2010 financial accounts? Where is the impropriety in that?
As highlighted in my press conference last week, and in case Datuk Chua isn’t aware, PNSB is a property development company. It has to acquire land to develop and construct, in order to sell and make a return for the company. It is no different from any property development company, privately held or publicly listed or government owned. Hence the acquisition of land for future potential development is the normal course of business for a property development company! Where exactly is the “scandal” in the above transaction?
However, by thrusting PNSB into the limelight, it gave me an opportunity to review the financial performance of PNSB in detail. To my pleasant surprise, the performance of PNSB has improved by leaps and bounds under the new Pakatan Rakyat leadership, beyond even my cautiously optimistic expectations.
A quick look at the profit and loss statements of PNSB showed that it made losses for 4 consecutive years since 2005 including the transition year of 2008.
However, as the above chart illustrates, that PNSB has been increasing its after tax profits (税后利润) 3 consecutive years in a row from RM8 million to RM23.4 million to RM28.4 million in 2009, 2010 and 2011 respectively. This also means 2 consecutive years of record profits for PNSB in 2010 and 2011.
How is it that a Chartered Accountant (特许会计师) with qualifications from Royal Melbourne Institute of Technology (RMIT) (墨尔本皇家理工大学) can accuse PNSB of being forced to be indebted, when its financial turnaround (财政周转) from the days of Barisan Nasional has been nothing short of spectacular?
Datuk Chua accused PNSB of depleting its cash reserves (现金储备) which stood at RM76.0 million in 2008 and RM77.6 million in 2009. However, the accounts of PNSB clearly showed a massive increase in cash reserves to RM167.0 million as at December 2011.
Datuk Chua accused the State Government of causing PNSB to increase its debts by RM230 million to acquire properties in Bukit Beruntung and Bestari Jaya. However, Datuk Chua must certainly be impressed with the fact that the total assets (总资产) of PNSB has increased by leaps and bounds from RM111.4 million in 2008 to RM761.0 million and RM823.8 million in 2010 and 2011 respectively.
In addition, and probably more tellingly, the Net Tangible Assets (有形资产净值) of PNSB has improved by 17.7% from RM11.55 per share in 2009 to RM13.59 per share in 2011.
I have never been trained in accounts whether in school or in university and I don’t claim to be a qualified accountant or accounting analyst. So, despite the initial rejection by Datuk Chua Tee Yong, I hope that he will reconsider the offer to debate the Talam debt “scandal” which he has raised, perhaps at least to teach me how to do proper accounting.
He should also take up the debate mantle to erase the damage to his reputation as a double-counting accountant and justify once and for all that Selangor under Pakatan Rakyat has committed a RM1 billion bailout of Talam Corporation, instead of him committing a billion ringgit blunder.
If Datuk Chua prefers a neutral venue instead of holding the debate at Wisma MCA, we can do it at The Star auditorium so that his allegations can be given maximum reach and coverage.
It would be a shame for him to turn down his very first invite to a public debate, unlike the MCA President Datuk Seri Chua Soi Lek who had courageously faced DAP Secretary-General Lim Guan Eng in live debates not once, but twice.
Once again, I very much look forward to Datuk Chua’s favourable reply.
Monday, July 16, 2012
Talam Debt Recovery: A Testament of Pakatan Good Governance
The Selangor administration led by Tan Sri Khalid Ibrahim has proven that its integrity, accountability and good governance in managing the state’s finances and serves as a preview of how Pakatan Rakyat will run Putrajaya
The recent “egg-in-the-face” expose by Datuk Chua Tee Yong over an alleged RM1 billion land scandal in Selangor has instead allowed the state administration to showcase our integrity and accountability in managing the rakyat’s money, in stark contrast to the Barisan Nasional (BN) government.
The facts which has surfaced over the past few days since Datuk Chua’s sensational expose that was given front page treatment by BN-owned mass media has proven that Datuk Chua not only could not tell the difference between debit and credit columns of a balance sheet, he had the uncanny subtraction ability of “two minus one equals three” (2 – 1 = 3).
The records show that Talam Corporation Berhad was allowed to incur debts of RM392 million to the Selangor government during the BN administration before 2008. These debts were never properly documented or recorded in the books of the state government companies – Universiti Industri Selangor (UNISEL), Kumpulan Hartanah Selangor and Permodalan Negeri Selangor Bhd (PNSB). What is worse was the fact that there was no effort made by the BN administration to collect these debts.
However, the new Pakatan Rakyat state led by Menteri Besar Tan Sri Khalid Ibrahim has demonstrated that with political will, no company will be able to escape from paying its debts to the Government. Within a year after discovering the discrepancy in the state-owned companies’ financial records, Tan Sri Khalid has via the Menteri Besar (Incorporated) (MBI) recouped every sen of the RM392 million debt from Talam Corporation in the form of cash and properties.
The most remarkable thing about the entire exercise was the fact that the Selangor government did not have to suffer any haircuts in the debt recovery exercise despite the fact that Talam itself was just recovering from severe financial difficulties. On the contrary, the state government was able to RM676 million of property assets which was valued by an independent valuer to be worth more at RM685 million.
On the whole, despite having spent hundreds of millions of ringgit more in terms of welfare subsidies and grants for the people of Selangor, such as the RM130 million 20m3 free water subsidy for every household each year, the Mesra Usia Emas Programme for the elderly and the RM300 million infrastructure grant from MBI, the state financial reserves have increased from only RM733 million in 2008 when Pakatan Rakyat took over, to a whopping RM1.9 billion as at May 2012.
This stands in stark contrast with the BN federal government which continues to fund itself with debt and deficit. Instead of collecting in full the court-ordered judgement of RM589.15 million from Tan Sri Tajudin Ramli, the BN administration has chosen to write off the debt in its entirety, causing massive losses to the rakyat of Malaysia.
What rubs salt to wound is the fact that these debts were incurred as a result of the privatization of Malaysia Airlines System (MAS) to Tan Sri Tajudin and his subsequent bailout which cost tax-payers more than RM3.2 billion. MAS had then ratcheted up more than RM8 billion in debt before it was handed back to the Government in 2001.
As a result of such massive bailouts as well as write off of debts owed by crony companies, the Federal Government debt has increased by leaps and bounds from RM242 billion in 2007 to RM363 billion in 2009 and RM456 billion in 2011. This represents an 88.4% increase in Federal Government debt in just 4 years! The above has yet to take into account the unseen debts guaranteed by the Federal Government which stands at RM117 billion as at December 2011.
The above examples offers incontrovertible testimony that Pakatan Rakyat will be much better managers of the country’s finances compared to BN. We will ensure that all debts are collected and are utilized to the benefit of the rakyat. We will stop bailouts of political cronies and ensure that brakes are applied to the runaway debt train.
There is no question that by ruling the country with the principles of competency, accountability and transparency, as showcased in the examples above, Pakatan Rakyat is the proven coalition to allow Malaysians to achieve their full unrealized potentials.
The recent “egg-in-the-face” expose by Datuk Chua Tee Yong over an alleged RM1 billion land scandal in Selangor has instead allowed the state administration to showcase our integrity and accountability in managing the rakyat’s money, in stark contrast to the Barisan Nasional (BN) government.
The facts which has surfaced over the past few days since Datuk Chua’s sensational expose that was given front page treatment by BN-owned mass media has proven that Datuk Chua not only could not tell the difference between debit and credit columns of a balance sheet, he had the uncanny subtraction ability of “two minus one equals three” (2 – 1 = 3).
The records show that Talam Corporation Berhad was allowed to incur debts of RM392 million to the Selangor government during the BN administration before 2008. These debts were never properly documented or recorded in the books of the state government companies – Universiti Industri Selangor (UNISEL), Kumpulan Hartanah Selangor and Permodalan Negeri Selangor Bhd (PNSB). What is worse was the fact that there was no effort made by the BN administration to collect these debts.
However, the new Pakatan Rakyat state led by Menteri Besar Tan Sri Khalid Ibrahim has demonstrated that with political will, no company will be able to escape from paying its debts to the Government. Within a year after discovering the discrepancy in the state-owned companies’ financial records, Tan Sri Khalid has via the Menteri Besar (Incorporated) (MBI) recouped every sen of the RM392 million debt from Talam Corporation in the form of cash and properties.
The most remarkable thing about the entire exercise was the fact that the Selangor government did not have to suffer any haircuts in the debt recovery exercise despite the fact that Talam itself was just recovering from severe financial difficulties. On the contrary, the state government was able to RM676 million of property assets which was valued by an independent valuer to be worth more at RM685 million.
On the whole, despite having spent hundreds of millions of ringgit more in terms of welfare subsidies and grants for the people of Selangor, such as the RM130 million 20m3 free water subsidy for every household each year, the Mesra Usia Emas Programme for the elderly and the RM300 million infrastructure grant from MBI, the state financial reserves have increased from only RM733 million in 2008 when Pakatan Rakyat took over, to a whopping RM1.9 billion as at May 2012.
This stands in stark contrast with the BN federal government which continues to fund itself with debt and deficit. Instead of collecting in full the court-ordered judgement of RM589.15 million from Tan Sri Tajudin Ramli, the BN administration has chosen to write off the debt in its entirety, causing massive losses to the rakyat of Malaysia.
What rubs salt to wound is the fact that these debts were incurred as a result of the privatization of Malaysia Airlines System (MAS) to Tan Sri Tajudin and his subsequent bailout which cost tax-payers more than RM3.2 billion. MAS had then ratcheted up more than RM8 billion in debt before it was handed back to the Government in 2001.
As a result of such massive bailouts as well as write off of debts owed by crony companies, the Federal Government debt has increased by leaps and bounds from RM242 billion in 2007 to RM363 billion in 2009 and RM456 billion in 2011. This represents an 88.4% increase in Federal Government debt in just 4 years! The above has yet to take into account the unseen debts guaranteed by the Federal Government which stands at RM117 billion as at December 2011.
The above examples offers incontrovertible testimony that Pakatan Rakyat will be much better managers of the country’s finances compared to BN. We will ensure that all debts are collected and are utilized to the benefit of the rakyat. We will stop bailouts of political cronies and ensure that brakes are applied to the runaway debt train.
There is no question that by ruling the country with the principles of competency, accountability and transparency, as showcased in the examples above, Pakatan Rakyat is the proven coalition to allow Malaysians to achieve their full unrealized potentials.
Saturday, July 14, 2012
What's PNSB's Debt Got To Do With Talam?
If there’s something to take home positively from the series of “exposés” from Datuk Chua Tee Yong and his band of Selangor MCA cheerleaders, it is that he will doggedly persist with making increasingly ludicrous allegations against the Pakatan Rakyat state government, even if it is at the expense of exposing himself as a half-baked accountant.
To date, he has not even responded to the billion ringgit mega-blunder he has made, or other alleged scandals over the land asset recovery by the Selangor state which were exposed as unscandalous. He now alleges that the Selangor state subsidiary Permodalan Negeri Selangor Bhd (PNSB) was forced to take a supersized RM230 million loan to acquire land from Menteri Besar (Incorporated) as part of the Talam debt settlement agreement.
Firstly, it does not at all make any sense for PNSB to take a RM230 million loan just to recover outstanding debts of RM22 million from Talam. Secondly, Datuk Chua himself admitted that he was not able to ascertain that PNSB had taken the hefty loan to purchase the plots of land in the Hulu Selangor constituency as the state firm’s 2011 audited accounts are not yet available. Hence he’s really just shooting in the dark!
But even if we were to assume that he is spot-on, that a RM230 million loan was indeed taken by PNSB to acquire RM450 million worth of land assets, as audited, valued and recognized in the PNSB 2010 financial accounts, where is the impropriety in that?
In case Datuk Chua isn’t aware, PNSB is a property development company. It has to acquire land to develop and construct, in order to sell and make a return for the company. It is no different from any property development company, privately held or publicly listed or government owned. And if Datuk Chua isn’t familiar, it’s a concept called “land-banking”. Hence the acquisition of land for future potential development is the normal course of business for a property development company! Where exactly is the “scandal” in the above transaction?
What’s more, as a trained accountant, Datuk Chua should know that getting into debt is not in itself an adverse event for the company. Otherwise, Malaysia’s largest property developers SP Setia Bhd, Sunway Bhd or IOI Corporation Bhd must be among the worst run companies because they carry debts of RM2.44 billion, RM2.42 billion and RM5.46 billion respectively in their books.
What is important is whether the liabilities that a company undertakes are sufficiently backed by its assets, and whether these assets can generate higher returns than the cost of funds. In this particular case, it is clear that the RM450 million of additional assets as pointed out by Datuk Chua himself, is worth nearly double that of the debt. So what’s the problem?
Sunday, July 08, 2012
Did Selangor Bail Out Talam?
Datuk Chua Tee Yong is confused. He is aware that Talam owes the Selangor government RM392 million. If that is the case, then why would the Selangor government “acquire” RM676 million of assets from Talam?
He alleged that “this is a clear cut case of bailout whereby PR Selangor Government used the Rakyat money to help a listed company by buying a lot of its assets.”
What the Selangor government did was to have Menteri Besar Incorporated (MBI) legislated to takeover the debts Talam owed to UNISEL (RM255 million), Kumpulan Hartanah Selangor Bhd (RM115 million) and Permodalan Negeri Selangor Bhd (RM22 million). This means that MBI will do the collection for the above debts amounting to RM392 million directly from Talam.
These debts were not previously accounted for, and no efforts were made by the respective Selangor subsidiaries to collect these debts. Hence to ensure that all outstanding debts due to the state government are collected, Tan Sri Khalid Ibrahim himself has made it his personal mission to ensure that the Selangor rate-payers will not be shortchanged.
So how did MBI collect the debt?
After months of hard-nosed negotiations, Talam had agreed to make the full payment of RM392 million in the form of cash and assets, in 2 tranches. The first tranche was in 12 March 2010, while the second was in 9 April 2010. The settlement of Talam debt to MBI was fully disclosed in Bursa Malaysia and the related financial documents are publicly available on the above dates on Bursa’s website.
In summary, Talam paid RM12.7 million in cash and settled the balance in property assets. Were we shortchanged by the assets?
Some of these assets still had outstanding balances with the bank. This means that if the state were to take over these assets, the state will need to “settle” these outstanding loans. In this case, MBI took over RM676 million of assets from Talam, which had RM266.2 million of loans outstanding and RM30.5 million of other fees to be paid. Hence the net value accruing to MBI for these properties after deducting the loans and fees, will be RM379.2 million.
By adding RM379.2 million to RM12.7 million, Talam would have settled in full its debts of RM392 million. This means that MBI had collected RM392 million worth of additional cash and assets as part of the exercise.
I would like to ask Datuk Chua who is not only a trained accountant, but a former Chief Financial Officer of a Government-linked Company, where is it in the above debt recovery exercise has the rakyat’s money been abused?
Datuk Chua in his statement, accused that “… the PR Selangor Government has acquired RM676 mil of assets to bailout TALAM.” Datuk Chua must enlighten me as to how taking RM676 million worth of property with net asset value of RM379.2 million bailing out Talam? We are taking assets away from Talam, not giving them more assets!
If I were Talam, I would be mighty upset because under the BN reign, I didn’t need to pay back a single sen to the state government agencies, but under PR, I’m forced to give up hundreds of millions of assets in order to settle my debts.
Datuk Chua also said that “from this deal, TALAM walked away with cash over RM266 mil which is paid to Talam bankers. The exact figures I have not worked out yet.” I can only assume that Datuk Chua hasn’t “worked [it] out yet” because he hasn’t got a clue what is going on.
In fact I’m completely stunned because surely he could have worked out that even though Talam managed to “settle” the RM266 million outstanding with their bankers for the loans they took for the properties, Talam gave up RM676 million worth of assets to MBI in return? And based on the Mathematics we learnt in school, I believe RM676 million is far larger than RM266 million.
Datuk Chua attempted to confuse the public even further with his own blunder and confusion by arguing that “instead of just recovering RM392 mil debt, PR Selangor Government bought up to additional RM284 mil worth of assets from TALAM to assist the company.”
Conclusion
I will conclude that Datuk Chua failed to differentiate between “buying” assets and “taking over” assets as part of a debt recovery exercise.
I strongly suggest that Datuk Chua and his team of Selangor MCA leaders, including MCA Selangor Youth Chief Dr Kow Cheong Wei, MCA Selangor Public Services and Complaints Chairman Dato' Theng Bok and veteran comeback politician, Datuk Yap Pian Hon, who stood with him over these baseless and frivolous allegations, to publicly apologise for misleading the Malaysian public with their inadequate understanding of corporate finance.
They should stop making a complete fool of MCA and themselves. This “advice” includes their latest claim that the Selangor Government had “overpaid” for a piece of land from Talam.
They have 24 hours to repent and withdraw their baseless accusations. If not, I’ll hold another press conference same time tomorrow to shred to pieces their allegations that Selangor had “overpaid” for land in the above debt recovery exercise, whether it is RM41 million or more.
He alleged that “this is a clear cut case of bailout whereby PR Selangor Government used the Rakyat money to help a listed company by buying a lot of its assets.”
What the Selangor government did was to have Menteri Besar Incorporated (MBI) legislated to takeover the debts Talam owed to UNISEL (RM255 million), Kumpulan Hartanah Selangor Bhd (RM115 million) and Permodalan Negeri Selangor Bhd (RM22 million). This means that MBI will do the collection for the above debts amounting to RM392 million directly from Talam.
These debts were not previously accounted for, and no efforts were made by the respective Selangor subsidiaries to collect these debts. Hence to ensure that all outstanding debts due to the state government are collected, Tan Sri Khalid Ibrahim himself has made it his personal mission to ensure that the Selangor rate-payers will not be shortchanged.
So how did MBI collect the debt?
After months of hard-nosed negotiations, Talam had agreed to make the full payment of RM392 million in the form of cash and assets, in 2 tranches. The first tranche was in 12 March 2010, while the second was in 9 April 2010. The settlement of Talam debt to MBI was fully disclosed in Bursa Malaysia and the related financial documents are publicly available on the above dates on Bursa’s website.
In summary, Talam paid RM12.7 million in cash and settled the balance in property assets. Were we shortchanged by the assets?
Some of these assets still had outstanding balances with the bank. This means that if the state were to take over these assets, the state will need to “settle” these outstanding loans. In this case, MBI took over RM676 million of assets from Talam, which had RM266.2 million of loans outstanding and RM30.5 million of other fees to be paid. Hence the net value accruing to MBI for these properties after deducting the loans and fees, will be RM379.2 million.
By adding RM379.2 million to RM12.7 million, Talam would have settled in full its debts of RM392 million. This means that MBI had collected RM392 million worth of additional cash and assets as part of the exercise.
I would like to ask Datuk Chua who is not only a trained accountant, but a former Chief Financial Officer of a Government-linked Company, where is it in the above debt recovery exercise has the rakyat’s money been abused?
Datuk Chua in his statement, accused that “… the PR Selangor Government has acquired RM676 mil of assets to bailout TALAM.” Datuk Chua must enlighten me as to how taking RM676 million worth of property with net asset value of RM379.2 million bailing out Talam? We are taking assets away from Talam, not giving them more assets!
If I were Talam, I would be mighty upset because under the BN reign, I didn’t need to pay back a single sen to the state government agencies, but under PR, I’m forced to give up hundreds of millions of assets in order to settle my debts.
Datuk Chua also said that “from this deal, TALAM walked away with cash over RM266 mil which is paid to Talam bankers. The exact figures I have not worked out yet.” I can only assume that Datuk Chua hasn’t “worked [it] out yet” because he hasn’t got a clue what is going on.
In fact I’m completely stunned because surely he could have worked out that even though Talam managed to “settle” the RM266 million outstanding with their bankers for the loans they took for the properties, Talam gave up RM676 million worth of assets to MBI in return? And based on the Mathematics we learnt in school, I believe RM676 million is far larger than RM266 million.
Datuk Chua attempted to confuse the public even further with his own blunder and confusion by arguing that “instead of just recovering RM392 mil debt, PR Selangor Government bought up to additional RM284 mil worth of assets from TALAM to assist the company.”
Conclusion
I will conclude that Datuk Chua failed to differentiate between “buying” assets and “taking over” assets as part of a debt recovery exercise.
I strongly suggest that Datuk Chua and his team of Selangor MCA leaders, including MCA Selangor Youth Chief Dr Kow Cheong Wei, MCA Selangor Public Services and Complaints Chairman Dato' Theng Bok and veteran comeback politician, Datuk Yap Pian Hon, who stood with him over these baseless and frivolous allegations, to publicly apologise for misleading the Malaysian public with their inadequate understanding of corporate finance.
They should stop making a complete fool of MCA and themselves. This “advice” includes their latest claim that the Selangor Government had “overpaid” for a piece of land from Talam.
They have 24 hours to repent and withdraw their baseless accusations. If not, I’ll hold another press conference same time tomorrow to shred to pieces their allegations that Selangor had “overpaid” for land in the above debt recovery exercise, whether it is RM41 million or more.
Saturday, July 07, 2012
Chua Tee Yong Double Counts Talam "Scandal"
Datuk Chua Tee Yong had claimed that the “PR Selangor Government must explain to the Rakyat the acquisition on the RM676 mil worth of assets and the usage of RM392 million allocation which total to the RM1 billion questionable deal.”
Firstly, from a mathematical standpoint, using RM392 million to acquire RM676 million of assets does not add up to a RM1 billion questionable deal. That’s elementary double-counting.
It's like saying he used RM40,000 to acquire a RM60,000 car. It's either a RM20,000 cock-up, or a RM40,000 abuse or a RM60,000 con-job. It's NOT a RM100,000 scandal.
But that’s not important. What is important is whether the Pakatan Rakyat (PR) Selangor government had abused tax-payers’ monies to bailout financially troubled company, Talam Corporation as alleged by Datuk Chua. Check out subsequent posts for details.
Monday, June 18, 2012
Sunday, January 29, 2012
Najib Should Check His Own Reflection First
The Prime Minister appears particularly shaken by the promises made by Pakatan Rakyat to improve the livelihood of ordinary Malaysians by restructuring and renegotiating unfair contracts the BN government has signed with its cronies which has enabled the latter to make billions of ringgit in profits every year at the expense of the rakyat.
Dato' Seri Najib Razak went to the extent of accusing the moves by Pakatan Rakyat, which will include abolishing and reviewing highway tolls, as "short-term" measures which are "recipe for economic disaster".
Before making such wild and unfounded allegations, the Prime Minister should perhaps do better to first look into his own reflection in the mirror, especially in the manner which the wealth of the country has been pillaged by BN leaders and its crony businessmen.
As admitted by none other than his own Minister in the Prime Minister's Department, Datuk Idris Jala, should existing economic policies continue, Malaysia will become a bankrupt nation by 2019. How is it that a country which is overflowing with natural resources, ranging from tin to rubber, from palm oil or crude oil, and from timber to gold, can risk becoming "bankrupt" is beyond belief. The only reason for this bankruptcy risk is none other than the 50 years of economic management by the BN government.
Malaysia's federal government debt-GDP ratio has increased to 53%, particularly in the recent years. We have accumulated RM462 billion of debt as a result of 14 consecutive years of budget deficits.
What is more alarming, Global Financial Integrity, a watchdog based in the United States revealed that Malaysia lost RM150 billion in illicit outflows in 2009, and has accumulated more than RM1 trillion since 2000. And yet despite the expose, Dato' Seri Najib Razak has failed to address the issue beyond "setting up a committee" to look into the matter.
Instead the Prime Minister chose to criticise the policy position of Pakatan Rakyat to restructure and where possible completely abolish toll in an exercise which will only benefit ordinary Malaysians burdened with higher cost of living. A Pakatan Rakyat government will not only restructure just highway tolls, we will also restructure all existing unfair privatisation agreements such as the Independent Power Producers, water concession companies and other unfair privatisation contracts.
Najib has chosen not to implement fair policies for its tax-payers but instead to protect the astronomical profits of its corrupt leaders and politically-connected cronies. The PLUS highway for example was built at the cost of only RM6.9 billion but it makes PLUS net profit of more than RM1.3 billion in 2011 alone. Despite the sky-high earnings which will only increase annually due to more cars on the road and higher toll rates, the BN government has extended the concession period of the highway toll to the year 2038, or another 27 years of merciless profits at the expense of ordinary Malaysians.
It is under the "capable" economic management of BN leaders that today, we are embroiled in billions of ringgit of financial scandals in projects such as the RM12.5 billion Port Klang Free Zone, the new RM3.9 billion "low-cost" airport, the RM9 billion acquisition of naval patrol vessels or the now infamous RM330 million "cows and condos" quagmire.
The Pakatan Rakyat governments have ruled Penang, Selangor and other states for more than 3 years now. We have proven that not only can we govern despite the lack of experience, we can administer the states better than BN did over the past 50 years. We have successfully reduced corruption and improved efficiency, resulting in record financial reserves levels, lower debts and institutionalised welfare benefits for the man-on-the-street.
We have proven that our policies do not destroy the economy but have made Selangor and Penang the top investment destination for foreign investors.
It is BN, if given the opportunity to continue ruling the country which will continue to impoverish the rakyat to enrich the cronies with vested interest via lucrative contracts and privatisation concessions.
Dato' Seri Najib Razak went to the extent of accusing the moves by Pakatan Rakyat, which will include abolishing and reviewing highway tolls, as "short-term" measures which are "recipe for economic disaster".
Before making such wild and unfounded allegations, the Prime Minister should perhaps do better to first look into his own reflection in the mirror, especially in the manner which the wealth of the country has been pillaged by BN leaders and its crony businessmen.
As admitted by none other than his own Minister in the Prime Minister's Department, Datuk Idris Jala, should existing economic policies continue, Malaysia will become a bankrupt nation by 2019. How is it that a country which is overflowing with natural resources, ranging from tin to rubber, from palm oil or crude oil, and from timber to gold, can risk becoming "bankrupt" is beyond belief. The only reason for this bankruptcy risk is none other than the 50 years of economic management by the BN government.
Malaysia's federal government debt-GDP ratio has increased to 53%, particularly in the recent years. We have accumulated RM462 billion of debt as a result of 14 consecutive years of budget deficits.
What is more alarming, Global Financial Integrity, a watchdog based in the United States revealed that Malaysia lost RM150 billion in illicit outflows in 2009, and has accumulated more than RM1 trillion since 2000. And yet despite the expose, Dato' Seri Najib Razak has failed to address the issue beyond "setting up a committee" to look into the matter.
Instead the Prime Minister chose to criticise the policy position of Pakatan Rakyat to restructure and where possible completely abolish toll in an exercise which will only benefit ordinary Malaysians burdened with higher cost of living. A Pakatan Rakyat government will not only restructure just highway tolls, we will also restructure all existing unfair privatisation agreements such as the Independent Power Producers, water concession companies and other unfair privatisation contracts.
Najib has chosen not to implement fair policies for its tax-payers but instead to protect the astronomical profits of its corrupt leaders and politically-connected cronies. The PLUS highway for example was built at the cost of only RM6.9 billion but it makes PLUS net profit of more than RM1.3 billion in 2011 alone. Despite the sky-high earnings which will only increase annually due to more cars on the road and higher toll rates, the BN government has extended the concession period of the highway toll to the year 2038, or another 27 years of merciless profits at the expense of ordinary Malaysians.
It is under the "capable" economic management of BN leaders that today, we are embroiled in billions of ringgit of financial scandals in projects such as the RM12.5 billion Port Klang Free Zone, the new RM3.9 billion "low-cost" airport, the RM9 billion acquisition of naval patrol vessels or the now infamous RM330 million "cows and condos" quagmire.
The Pakatan Rakyat governments have ruled Penang, Selangor and other states for more than 3 years now. We have proven that not only can we govern despite the lack of experience, we can administer the states better than BN did over the past 50 years. We have successfully reduced corruption and improved efficiency, resulting in record financial reserves levels, lower debts and institutionalised welfare benefits for the man-on-the-street.
We have proven that our policies do not destroy the economy but have made Selangor and Penang the top investment destination for foreign investors.
It is BN, if given the opportunity to continue ruling the country which will continue to impoverish the rakyat to enrich the cronies with vested interest via lucrative contracts and privatisation concessions.
Monday, January 16, 2012
DAP Petaling Jaya Election Fund-Raising Dinner
Friday, January 13, 2012
Tuesday, December 20, 2011
Peaceful Assembly Bill 2011 Walk Out
The "Walk-Out" - was it right or was it wrong?
I've received plenty of emails, tweets and questions during meetings asking about the Pakatan Rakyat "walk-out" during the passing of the Peaceful Assemblly Bill 2011 debate in parliament earlier in December.
Without going into the merits of the walkout, perhaps its better for me to explain what happened that day and the parliamentary process. This will at the very least clarify some of the misinformation doing its rounds and give you a clearer picture of what actually happened.
1. Pakatan Rakyat was given only 3 speakers to speak. Hence only 1 rep from each party. The top leaders spoke - about 20 min each - Anwar, Kit Siang and Hadi. So we all spoke and all the points the civil society and the Bar Council raised were all raised in parliament. You can check the speeches in the Hansard which can be downloaded from the www.parlimen.gov.my website. No more speakers were allowed and the Speaker dictates the order in parliament.
2. There is no room for amendments at all. Full stop. BN had no intent on incorporating any of the proposals by Pakatan or others into the Act. For everyone's information, it has never happened in the history of Malaysian parliament where any single amendment proposals or motions by the opposition were adopted. The parliament will and can pass any law tabled by the BN govt with sheer brute majority. The only exception is that the constitution can only be amended with 2/3 majority which we have denied. For the 1st time in recent history, there were no constitutional amendments proposed during the current term.
Hence aside from the above, the Parliament is a "rubber stamp" due to BN majority and the exercise of the Whip who controls all their MPs votes.
3. Hence the only difference was the "voting" being carried out in our presence or absence. The outcome is already a forgone conclusion. It makes absolutely no practical purpose to stay and vote because the BN MPs are out in force to ensure the bill's passage.
Finally, again without judging whether we should have walked out or not - we walked out only after we have exhausted all practical channels to reject or amend the bill, and after it was made absolutely clear from BN's side that they have no intent to make any changes to the bill. We walked out to protest the "tyranny of majority" by BN in parliament and their refusal to accede to the voice of the people, especially to set up a parliamentary select committee on PAB. It made a mockery of the parliamentary institution which we were not willing to take part in.
Hope the above makes it clearer on the situation.
But as I've mentioned many times during Q&A sessions during townhalls and forums, the public backlash as a result of the walkout, whether justified or otherwise will certainly make Pakatan MPs think twice about such moves in the future. This is because perception of the walkout, regardless of whether it is misinformed or actual, is what matters most at the very end of the day.
I've received plenty of emails, tweets and questions during meetings asking about the Pakatan Rakyat "walk-out" during the passing of the Peaceful Assemblly Bill 2011 debate in parliament earlier in December.
Without going into the merits of the walkout, perhaps its better for me to explain what happened that day and the parliamentary process. This will at the very least clarify some of the misinformation doing its rounds and give you a clearer picture of what actually happened.
1. Pakatan Rakyat was given only 3 speakers to speak. Hence only 1 rep from each party. The top leaders spoke - about 20 min each - Anwar, Kit Siang and Hadi. So we all spoke and all the points the civil society and the Bar Council raised were all raised in parliament. You can check the speeches in the Hansard which can be downloaded from the www.parlimen.gov.my website. No more speakers were allowed and the Speaker dictates the order in parliament.
2. There is no room for amendments at all. Full stop. BN had no intent on incorporating any of the proposals by Pakatan or others into the Act. For everyone's information, it has never happened in the history of Malaysian parliament where any single amendment proposals or motions by the opposition were adopted. The parliament will and can pass any law tabled by the BN govt with sheer brute majority. The only exception is that the constitution can only be amended with 2/3 majority which we have denied. For the 1st time in recent history, there were no constitutional amendments proposed during the current term.
Hence aside from the above, the Parliament is a "rubber stamp" due to BN majority and the exercise of the Whip who controls all their MPs votes.
3. Hence the only difference was the "voting" being carried out in our presence or absence. The outcome is already a forgone conclusion. It makes absolutely no practical purpose to stay and vote because the BN MPs are out in force to ensure the bill's passage.
Finally, again without judging whether we should have walked out or not - we walked out only after we have exhausted all practical channels to reject or amend the bill, and after it was made absolutely clear from BN's side that they have no intent to make any changes to the bill. We walked out to protest the "tyranny of majority" by BN in parliament and their refusal to accede to the voice of the people, especially to set up a parliamentary select committee on PAB. It made a mockery of the parliamentary institution which we were not willing to take part in.
Hope the above makes it clearer on the situation.
But as I've mentioned many times during Q&A sessions during townhalls and forums, the public backlash as a result of the walkout, whether justified or otherwise will certainly make Pakatan MPs think twice about such moves in the future. This is because perception of the walkout, regardless of whether it is misinformed or actual, is what matters most at the very end of the day.
Friday, November 18, 2011
Ismail Sabri and KR1M Victimises the Poor
Pakatan Rakyat MPs are the real heroes fighting for the interest of Malays and poor Malaysians by exposing the substandard and illegal products being peddled by BN Ministers as “cheap” and “quality” products comparable to branded goods
Pakatan Rakyat members of parliament have over the past 2 weeks exposed the fact that many of the goods sold in Kedai Rakyat 1Malaysia (KR1M) were not only substandard, illegal and unhealthy, many of these products were also not cheaper than products sold in existing hypermarkets.
We were criticised by the Domestic Trade, Cooperatives and Consumerism Minister, Dato’ Ismail Sabri as being unfair by not comparing “apple to apple”, that is we should not be comparing 1Malaysia products with house-branded products from Tesco, Giant or Carrefour.
However, we have proven that the comparison was indeed not “apple to apple” for products such as the “oyster sauce” because the sauce from Tesco contained real oyster extracts, the 1Malaysia product had only flavouring and no oysters.
At the same time, the comparison of 1Malaysia milk powder with that of Nestlé’s Nespray 1+ demonstrated not only a far inferior product but also the fact that the latter was 24% cheaper than the former. The 1Malaysia milk powder was short of at least 15 legally required vitamins and minerals, deficient in calcium and iron and provided a 802% overdose of Vitamin A, putting at real risk our very young children.
Instead of facing up to the problems, Dato’ Ismail Sabri has chosen to go on an inflammatory rant calling Pakatan Rakyat MPs, DAP and myself racists for allegedly being anti-Malay in our exposés.
Dato’ Ismail Sabri said on his Facebook (http://www.facebook.com/profile.php?id=1631334090) and Twitter on Tuesday 15th November 2011 that
“tony phua DAP ni masih tk habis2 menfitnah KRIM. kini dgn tuduhan tdk berkualiti. semlm isu ini tlh dijwb oleh Mydin & pembekal IKS. jelas agenda DAP yg ingin menguburkan KRIM yg rata2 supplier nya terdiri dari IKS bumiputra. Rata2 pembeli nya terdiri dari gol berpendapatan rendah bumiputra. Mydin pun bumiputra. malangnya ada bumiputra spt nurul izah & zulkifli 'menyalak' bagi pihak DAP..”
The racist accusations made by the Minister is not only completely baseless, it is the complete opposite of what the Pakatan Rakyat MPs are trying to achieve. By exposing the list of poor quality and illegal products which do not meet the minimum legal standards set out in the Food Act 1983 and Food Regulations 1985, it is Pakatan Rakyat that is truly fighting for the interest of the mostly Malay consumers at KR1M as well as other poor Malaysians.
If not for our exposés, many Malays and other poor Malaysians will still be consuming poor quality oyster sauce, evaporated millk, ice-cream, sardines and fruit jam sold at KR1M. What is worse, if not for Pakatan Rakyat highlighting the shocking deficiencies of the 1Malaysia children’s milk powder which resulted in the product’s withdrawal yesterday, a whole generation of Malay and poor Malaysian children might end up suffering from malnutrition, disease and poor physical development.
It is the BN Ministers like Dato’ Ismail Sabri who are more than willing to sacrifice the interest of ordinary Malays and Malaysians by giving unsubstantiated “guarantees” on the quality of KR1M products and pander to the monetary and vested interest of certain businessmen.
The fact that Dato’ Ismail Sabri’s ministry is going to subsidize the KR1M stores to the tune of RM40 million in 2012 to sell some of these products to ordinary Malaysians without first ensuring strict quality control over the products shows that BN Ministers are only keep to score political goals with KR1M. They are not at all interested in the welfare of Malaysians, especially the Malays, who will suffer the most.
Pakatan Rakyat members of parliament have over the past 2 weeks exposed the fact that many of the goods sold in Kedai Rakyat 1Malaysia (KR1M) were not only substandard, illegal and unhealthy, many of these products were also not cheaper than products sold in existing hypermarkets.
We were criticised by the Domestic Trade, Cooperatives and Consumerism Minister, Dato’ Ismail Sabri as being unfair by not comparing “apple to apple”, that is we should not be comparing 1Malaysia products with house-branded products from Tesco, Giant or Carrefour.
However, we have proven that the comparison was indeed not “apple to apple” for products such as the “oyster sauce” because the sauce from Tesco contained real oyster extracts, the 1Malaysia product had only flavouring and no oysters.
At the same time, the comparison of 1Malaysia milk powder with that of Nestlé’s Nespray 1+ demonstrated not only a far inferior product but also the fact that the latter was 24% cheaper than the former. The 1Malaysia milk powder was short of at least 15 legally required vitamins and minerals, deficient in calcium and iron and provided a 802% overdose of Vitamin A, putting at real risk our very young children.
Instead of facing up to the problems, Dato’ Ismail Sabri has chosen to go on an inflammatory rant calling Pakatan Rakyat MPs, DAP and myself racists for allegedly being anti-Malay in our exposés.
Dato’ Ismail Sabri said on his Facebook (http://www.facebook.com/profile.php?id=1631334090) and Twitter on Tuesday 15th November 2011 that
“tony phua DAP ni masih tk habis2 menfitnah KRIM. kini dgn tuduhan tdk berkualiti. semlm isu ini tlh dijwb oleh Mydin & pembekal IKS. jelas agenda DAP yg ingin menguburkan KRIM yg rata2 supplier nya terdiri dari IKS bumiputra. Rata2 pembeli nya terdiri dari gol berpendapatan rendah bumiputra. Mydin pun bumiputra. malangnya ada bumiputra spt nurul izah & zulkifli 'menyalak' bagi pihak DAP..”
The racist accusations made by the Minister is not only completely baseless, it is the complete opposite of what the Pakatan Rakyat MPs are trying to achieve. By exposing the list of poor quality and illegal products which do not meet the minimum legal standards set out in the Food Act 1983 and Food Regulations 1985, it is Pakatan Rakyat that is truly fighting for the interest of the mostly Malay consumers at KR1M as well as other poor Malaysians.
If not for our exposés, many Malays and other poor Malaysians will still be consuming poor quality oyster sauce, evaporated millk, ice-cream, sardines and fruit jam sold at KR1M. What is worse, if not for Pakatan Rakyat highlighting the shocking deficiencies of the 1Malaysia children’s milk powder which resulted in the product’s withdrawal yesterday, a whole generation of Malay and poor Malaysian children might end up suffering from malnutrition, disease and poor physical development.
It is the BN Ministers like Dato’ Ismail Sabri who are more than willing to sacrifice the interest of ordinary Malays and Malaysians by giving unsubstantiated “guarantees” on the quality of KR1M products and pander to the monetary and vested interest of certain businessmen.
The fact that Dato’ Ismail Sabri’s ministry is going to subsidize the KR1M stores to the tune of RM40 million in 2012 to sell some of these products to ordinary Malaysians without first ensuring strict quality control over the products shows that BN Ministers are only keep to score political goals with KR1M. They are not at all interested in the welfare of Malaysians, especially the Malays, who will suffer the most.
Tuesday, October 11, 2011
Budget 2012: BN vs PR
It is difficult not to “feel good” after a record-breaking pre-election budget where goodies big and small, were liberally handed out to practically all segments of society. The question is, beneath the sweeteners, are there substantive reforms proposed in the Budget 2012 to make “transformative” changes to our economy to achieve the goal of becoming a “high-income nation” by 2020.
The answer, when compared side by side with Pakatan Rakyat (PR) Alternative Budget is obvious. There is little in the Barisan Nasional (BN) federal government’s budget that indicates a determination to slaughter sacred cows and take the Malaysian economy to the next level.
Both the PR and BN’s budgets had proposed cash grants to various deserving segments of society in order to help alleviate their increasingly heavy burdens. However, PR matched its welfare benefits with policies to rectify the distortions created by the current government to reduce inflationary pressures and the cost of living over the longer term.
PR has called for the abolition of artificial monopolies licensed by the Government such as Bernas which monopolises the sale and distribution of local and imported rice. In addition, predatory market strategies by Telekom Malaysia to stifle competition will be made illegal while the monopoly of satellite and cable television will be abolished.
On top of that we will dismantle cartels in the telecommunication, media, airline, oil and gas as well as other industries to ensure a genuine competitive market which will benefit the man on the street with lower prices.
What’s more, we have promised drastic changes to the current privatisation policies which are opaque, uncompetitive and clearly benefit the concessionaires at the expense of the Government and the rakyat. The 2-prong strategy demands the renegotiation or expropriation of current concession assets such as independent power producers, highway and water companies, while putting in place an open, transparent and competitive framework to ensure only the parties with the best services at the lowest price will be awarded the relevant contracts in the future.
Under PR for example, all Approved Permits to import cars will be auctioned not only to increase government revenue, but also to ensure only genuine businessmen and not rent-seeking middle-men secure the rights.
PR has also committed to transform our labour market in the interest those who are paid suppressed wages by instituting a minimum wage of RM1,100 per month. This will ensure that all workers will receive a humane subsistence wage. The measure will not only stimulate domestic demand in our economy, it will also increase the attractiveness of hiring local workers as opposed to foreign workers while phasing out low value-added industries.
It is only with these institutional and structural changes, can we be assured of lower cost of living in the middle and longer term. The budget announced by the Prime Minister has instead chosen to prescribe pain-killers which will ease the rakyat’s suffering in the short term, without the medication to cure the actual illness.
In fact when comparing the two budgets, had PR used the more optimistic BN revenue assumptions of RM186.9 billion and our planned expenditure of RM220 billion, the projected deficit of PR’s budget would further decline to 3.8%, significantly lower and healthier than BN’s 4.7%. This proves that PR can provide not just the “pain-killers” with welfare grants and “cure” the economy by removing artificial barriers to lower cost of living; we can do it all by spending less, and incurring lower debts than BN.
The above also shows that with good governance and the necessary political will to reform and restructure our economy, there will be no need for the Government to further tax the rakyat via BN’s proposed Goods and Services Tax (GST). Therein lies the fundamental difference between BN and PR’s budget – the former prescribes a sugar-coated placebo that makes you feel good in the short term only to tax you more later, while the latter seek to ease the pain and cure the illness at the lowest possible cost.
The answer, when compared side by side with Pakatan Rakyat (PR) Alternative Budget is obvious. There is little in the Barisan Nasional (BN) federal government’s budget that indicates a determination to slaughter sacred cows and take the Malaysian economy to the next level.
Both the PR and BN’s budgets had proposed cash grants to various deserving segments of society in order to help alleviate their increasingly heavy burdens. However, PR matched its welfare benefits with policies to rectify the distortions created by the current government to reduce inflationary pressures and the cost of living over the longer term.
PR has called for the abolition of artificial monopolies licensed by the Government such as Bernas which monopolises the sale and distribution of local and imported rice. In addition, predatory market strategies by Telekom Malaysia to stifle competition will be made illegal while the monopoly of satellite and cable television will be abolished.
On top of that we will dismantle cartels in the telecommunication, media, airline, oil and gas as well as other industries to ensure a genuine competitive market which will benefit the man on the street with lower prices.
What’s more, we have promised drastic changes to the current privatisation policies which are opaque, uncompetitive and clearly benefit the concessionaires at the expense of the Government and the rakyat. The 2-prong strategy demands the renegotiation or expropriation of current concession assets such as independent power producers, highway and water companies, while putting in place an open, transparent and competitive framework to ensure only the parties with the best services at the lowest price will be awarded the relevant contracts in the future.
Under PR for example, all Approved Permits to import cars will be auctioned not only to increase government revenue, but also to ensure only genuine businessmen and not rent-seeking middle-men secure the rights.
PR has also committed to transform our labour market in the interest those who are paid suppressed wages by instituting a minimum wage of RM1,100 per month. This will ensure that all workers will receive a humane subsistence wage. The measure will not only stimulate domestic demand in our economy, it will also increase the attractiveness of hiring local workers as opposed to foreign workers while phasing out low value-added industries.
It is only with these institutional and structural changes, can we be assured of lower cost of living in the middle and longer term. The budget announced by the Prime Minister has instead chosen to prescribe pain-killers which will ease the rakyat’s suffering in the short term, without the medication to cure the actual illness.
In fact when comparing the two budgets, had PR used the more optimistic BN revenue assumptions of RM186.9 billion and our planned expenditure of RM220 billion, the projected deficit of PR’s budget would further decline to 3.8%, significantly lower and healthier than BN’s 4.7%. This proves that PR can provide not just the “pain-killers” with welfare grants and “cure” the economy by removing artificial barriers to lower cost of living; we can do it all by spending less, and incurring lower debts than BN.
The above also shows that with good governance and the necessary political will to reform and restructure our economy, there will be no need for the Government to further tax the rakyat via BN’s proposed Goods and Services Tax (GST). Therein lies the fundamental difference between BN and PR’s budget – the former prescribes a sugar-coated placebo that makes you feel good in the short term only to tax you more later, while the latter seek to ease the pain and cure the illness at the lowest possible cost.
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