No overseas snoops

1MDB Group Executive Director Arul Kanda dispel the amongst the hopefuls about their diminished aspiration when he told Reuters today that none of the foreign investigators and/or law enforcement agencies are investigating the Malaysia Government strategic investment corporation.

NST story:

1MDB not contacted by foreign investigators: Arul Kanda

29 SEPTEMBER 2015 @ 9:04 PM

KUALA LUMPUR: Malaysia’s troubled strategic investment fund 1Malaysia Development Bhd (1MDB) has not been contacted by any foreign investigators over allegations of mismanagement and corruption, its president Arul Kanda told Reuters on Tuesday.

“In terms of the Swiss investigations or the Singaporean investigations or the FBI investigations, 1MDB has not been contacted by any of those authorities,” said Kanda, who was hired from Abu Dhabi Commercial Bank in January to conduct a strategic review of the state-owned fund, which owns mostly power and property assets.

The fund, which has Prime Minister Datuk Seri Najib Razak as chairman of its advisory board, has amassed debt of more than US$11 billion, engulfing Najib in a political storm amid allegations at home and abroad of graft and financial mismanagement at the fund. 1MDB has denied all the allegations.

Singapore’s police said in July they had frozen two bank accounts as part of an investigation linked to 1MDB.

“As far as I am aware, none of our accounts have been frozen,” Kanda, 39, said at his office when asked about its Singapore accounts.

Swiss authorities said at the end of August they had opened criminal proceedings against two 1MDB executives for suspected corruption and money laundering. The Swiss froze several tens of millions of dollars at Swiss banks in conjunction to the probe.

The growing controversy has battered Malaysian markets; the ringgit has lost a quarter of its value against the dollar this year, making it Asia’s worst performing currency, and Malaysia’s bonds have also fallen.

Ratings agencies have said they would be concerned if there were signs of broader policymaking being affected by the crisis, with Fitch warning it could downgrade the outlook on Malaysia’s sovereign debt. Kanda said some media reports had been politically motivated to undermine Najib.

“Clearly there are other agendas being pushed forward; it’s clear on the political front, of course, and I think that’s now very apparent what each different group is trying to achieve,” he said. Kanda, a trained barrister who has experience in restructuring and corporate finance, concluded early in his tenure that 1MDB should sell many of its assets to cut debt.

He said on Tuesday that process was on track. The selling of assets in power unit Edna Global Energy Bhd is a major plank of those efforts.

Kanda said asset sales planned in the coming weeks would put 1MDB in a positive cash position from early 2016. 1MDB was established in 2008 as the Terengganu Investment Authority with RM10 billion to manage oil royalty payments to the resources-rich northern state of Terengganu.

When Najib came to power in 2009 he renamed it 1MDB and turned it into a fully fledged investment fund. 1MDB expanded by purchasing power assets and large plots of land in the capital and other local regions, racking up debt until it plunged to a loss last year.

Abu Dhabi’s International Petroleum Investment Company (IPIC) agreed in May to provide 1MDB with US$1 billion in cash, allowing the fund to repay a US$975 million loan to a global banking syndicate.

The Abu Dhabi firm also agreed to assume US$3.5 billion of 1MDB debt and forgive an undisclosed amount of debt owed to IPIC by 1MDB, in exchange for assets that have not been named.

1MDB plans to use a US$1.4 billion deposit it placed with IPIC as collateral for the deal, Kanda said. — Reuters

Read More : http://www.nst.com.my/news/2015/09/1mdb-not-contacted-foreign-investigators-arul-kanda

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Two persons closely linked to Fourth Prime Minister, Khairuddin Abu Hassan and Matthias Chang, have been actively travelling abroad recently making all sorts of reports about allegedly white crimes committed within 1MDB.

They have also contributed to demonising Prime Minister Dato’ Sri Mohd. Najib Tun Razak for being involved in the same crimes. It is the clear objective that they are trying to achieve, which is to get Prime Minister Najib to resign or being toppled by pressures from the party and/or the anguished masses.

Movng goal posts

Movng goal posts

They have even casted the wrong perception about Prime Minister Najib would probably be arrested when he travels abroad, especially to the United Kingdom and United States and tried by International Criminal Court.

In the past ten days, Prime Minister Najib was on a working visit to London and was in New York, attending several engagements which include addressing the United Nations General Assembly.

All of these manipulations of half truths and lies are not adding to the right perception on efforts to resolve all financial woes and put 1MDB on the track of commercial principle of going concern.

Published in: on September 29, 2015 at 22:30  Comments (13)  

Anifah: Nazri is out of line!

Foreign Minister Dato’ Sri Anifah Aman display utmost displeasure when commenting on the remarks made by Tourism Minister Dato’ Sri Nazri Aziz for the Deputy Foreign Minister’s call on the statement that the Ambassador of China to Kuala Lumpur Dr Huang Huikang made after the visit to Petaling Street last Friday.

“No minister has any business in matters pertaining to the Foreign Ministry. Nazri is out of line!”, he said very sternly in an exclusive phone interview.

“It is normal practice that we (Wisma Putra) call foreign envoys to clarify and explain on any statements they made. We want to know whether they did say what was published in the media. It is a mater of public interest and a question of sovereignty”.

The Foreign Minister also added that Wisma Putra have the right to know if these envoys did or did not issue such statements.

“If they did say it or issue statement about it, then we have to tell them not to interfere in matters pertaining to domestic affairs or apologise”.

The Foreign Minister cited the Vienna Convention on diplomatic relation (1961) for this authority to request for an envoy to come forward and explain. “This is normal practice all over the world, to be called in as and when deemed necessary. In the past, we have called the United States, Vatican and Singaporean envoys to Wisma Putra and explain themselves”.

He also added that Nazri did not call him before making such a remark to the media. The remarks Nazri made carried the wrong connotation and public perception on the normal conduct of diplomatic relationship, even with China.

“The Deputy Minister, Chief Secretary (KSU) or any of the Deputy Chief Secretaries (TKUs) are authorised to summon envoys to Wisma Putra for such clarification. We have done this in the past and its a practice”.

He had sanctioned for Ambassador of China to be called in by Wisma Putra and the also added Prime Minister Dato’ Sri Mohd. Najib Tun Razak has been notified on the matter.

“Nazri does not have to interfere in matters pertaining to Foreign Ministry”.

Anifah showed displeasure for Nazri making the statement, which he regards as out of place. Nazri has taken his faux pas, a little bit too far his time.

*Updated 1700hrs 29 September 2015

Tourism Ninister Dato’ Sri Nazri Aziz admitted that he made a mistake with the statement, commenting on Deputy Foreign Minister Dato’ Sri Reezal Merican’s call on Saturday to summon the Chinese envoy.

Pro-Anwarista newsportal story:

My mistake, says Nazri after Anifah rebukes colleagues over China envoy

Published: 29 September 2015 6:07 PM

Datuk Seri Nazri Abdul Aziz says he made a mistake by commenting on Wisma Putra’s affairs but maintains he is experienced enough not to interfere in other ministries. – The Malaysian Insider file pic, September 29, 2015.
Datuk Seri Nazri Abdul Aziz says he made a mistake by commenting on Wisma Putra’s affairs but maintains he is experienced enough not to interfere in other ministries. – The Malaysian Insider file pic, September 29, 2015.
Datuk Seri Nazri Abdul Aziz today admitted he made a mistake by commenting on Wisma Putra’s decision to summon the Chinese ambassador to Malaysia over the latter’s remarks during a visit to Kuala Lumpur’s Petaling Street.

The Star Online today reported that the tourism and culture minister said he had no intention to interfere in Wisma Putra’s affairs, after Foreign Minister Datuk Seri Anifah Aman rebuked his Cabinet colleagues for interfering in the ministry’s affairs.

Nazri said he told the Chinese envoy Dr Huang Huikang not to worry because the usual practice was for the foreign minister to summon an ambassador, and not the deputy minister.

“The normal practice in Cabinet when one minister is not in the country, only another minister can act on his behalf, not his own deputy minister,’ Nazri told the Star Online today in a text message from Turkey.
Nazri said as such, he thought the Foreign Ministry did not make a decision to summon Huang as Anifah was away in New York for the United Nations General Assembly.

“I thought our foreign minister will call the ambassador himself when he comes back because that is within his power and proper but not his deputy.

“Obviously, I am mistaken and did not know that the foreign minister has instructed his deputy,” he said.

Nazri was quoted as saying that as a minister for 16 years, who had previously covered the foreign minister many times on requests, he concluded that only a minister could act on behalf of Wisma Putra, which was strict on protocol.

“Certainly now that is all changed and I am not aware but one thing is sure, I’m a very experienced minister and interfering is certainly not my intention,” he said in The Star Online report.

Nazri reportedly took Deputy Foreign Minister Datuk Seri Reezal Merican Naina Merican to task for calling in Huang over remarks by the Chinese envoy during his visit to Petaling Street on Friday.
Following this, Anifah (pic, left) expressed regret over comments by other ministers without referring to him first.

He said the matter could have been solved by Wisma Putra without their interference.

It was reported that Huang had met acting foreign minister Datuk Hamzah Zainuddin yesterday.

The envoy reportedly said that China was against extremism and racial discrimination, and warned against attempts to use violence to disrupt public order.

His comments came days after a group of “red shirt” protestors tried to get into Petaling Street which is dominated by Chinese traders, on September 16.

The group turned unruly and police had to use water cannon to disperse them. – September 29, 2015.

– See more at: http://www.themalaysianinsider.com/malaysia/article/my-mistake-says-nazri-after-anifah-rebukes-colleagues-over-china-envoy#sthash.XHoETrM9.dpuf

Published in: on September 28, 2015 at 22:00  Comments (15)  

Keeping it within the family

There is a growing concern about 1MDB’s proposal to rationalise its investments on energy and power generation conglomerate Edra Global Energy  Bhd. (Edra), as part rationalisation of 1MDB’s capital and debt exposure, that the new owners would be foreigners.

It is part of Group Exec. Director Arul Kanda’s rationalisation plan for capital and debt restructuring and operationalisation of investment within 1MDB, presented and approved by he Cabinet of 29 May 2015.

The bids for Edra Energy are already in:

The Star story:

1MDB draws up Edra list, TNB included

Thursday, 24 September 2015

PETALING JAYA: 1Malaysia Development Bhd (1MDB) has reportedly shortlisted several foreign parties, including Qatar’s Nebras Power QSC, Hong Kong-listed CGN Meiya Power Holdings Co and Saudi Arabia-based ACWA Power International for the sale of its power generation arm, Edra Global Energy Bhd.

Tenaga Nasional Bhd (TNB) has also been selected to participate in the sales of 1MDB’s power plants, according to a report by Bloomberg.

The report quoted sources as saying that the assets may fetch an equity value of as much as RM8bil.

The Bloomberg report also noted that foreign bidders might be restricted to owning no more than 49% of the plants and would be encouraged to team with a local partner, unless they seek an exemption.

1MDB had yet to revert to StarBiz queries on whether it had applied for a waiver to sell its power assets to foreigners and a confirmation on some of the bidders shortlisted.

The Energy Commission said it had referred StarBiz queries to the Energy, Green Technology and Water Ministry.

The ministry has yet to reply.

On Sept 7, 1MDB said it had already shortlisted four parties for the final bidding stage for the sale of Edra Global but it did not disclose the names.

1MDB is a wholly owned subsidiary of the Finance Ministry and is facing cash flow problems with debts of almost RM42bil.

It has assets of more than RM51bil, which are mostly in the form of land for development.

1MDB plans to sell Edra as part of its restructuring to reduce its debts.

Edra has five domestic and eight international power plants with total capacity of 5,500MW that are estimated to be worth RM12bil collectively.

In July, TNB had bought Edra’s 70% stake in Project 3B or a 2,000MW coal-fired plant in Jimah, Negri Sembilan, for RM46.98mil.

Last week, StarBiz reported that Edra Global has invited parties to build a new power plant to be located in Alor Gajah, Malacca.

In an advertisement, Edra stated that it was inviting “prospective applicants to express their interest in participating in a tender exercise for the design, engineering, procurement, construction and commissioning (EPC) of a 1,800MW to 2,400MW combined-cycle gas turbine (CCGT) power plant in Malaysia for Edra and/or its nominee”.

Edra’s advertisement said the power plant project would utilise advanced gas-turbine technology to realise the highest thermal efficiency consistent with the expectation of the power industry.

According to its website, CGN Meiya Power is a diversified independent power producer in Asia in terms of fuel type and geography, with a portfolio of wind, solar, gas-fired, coal-fired, oil-fired, hydro, cogeneration and fuel cell power generation projects and a steam project in China and Korea.

ACWA Power is a developer, investor, co-owner and operator of plants with a generation portfolio of 15,731 MW of power and 2.37 million m3/day of desalinated water with an investment value in excess of US$23bil.

Meanwhile, the Doha-based Nebras Power was established in 2014 and has the backing from Qatar Investment Authority through a 20% stake held by Qatar Holding LLC.

Nebras Power said on its website that it is making targeted acquisitions in South-East Asia, Europe, and MENA region, as well as forming major energy services partnerships.

Edra Global Energy Bhd. which was slotted for IPO exactly a year ago but it was postponed. Bids were received for the rationalisation of Edra, which include from foreign corporations.

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At the moment, these foreign bids poses as a hindrance for 1MDB to hive out its investment as part of the rationalisation plan.

The Star story:

Foreign shareholding limit poser for Edra Energy sale

Saturday, 26 September 2015
By: LEONG HUNG YEE

AS the race towards the sale of Edra Global Energy Bhd picks up, it is still not known if the transaction would be the first to see foreign shareholders owning more than 50% stake in power plants.

Of the four bidders that have been reported to be interested in Edra Energy, three are foreign names, with Tenaga Nasional Bhd being the sole party from the domestic market being interested.

Among the foreign parties, at least one has confirmed it has been in talks with 1Malaysia Development Bhd (1MDB) in respect to the purchase of the power assets.

Hong Kong-based CGN Meiya Power Holdings Co Ltd has confirmed it is interested in 1MDB’s power assets and has been in talks with the latter.

“… there have been preliminary discussions as to the proposed acquisition by the company and/or its affiliates of an interest in certain energy assets of 1MDB. However, no binding or definitive acquisition documentation has been entered into by the company in respect of the proposed acquisition. As such, the proposed acquisition may or may not proceed,” CGN Meiya says in a statement on the Hong Kong Stock Exchange.

State-backed CGN Meiya, an arm of China’s biggest atomic power generator is a diversified independent power producer in Asia in terms of fuel type and geography, with a portfolio of wind, solar, gas-fired, coal-fired, oil-fired, hydro, cogeneration and fuel cell power generation projects and a steam project in China and South Korea.

At the moment, foreign bidders are restricted to owning no more than 49% of the plants and are generally encouraged to team with a local partner to own power plants. This is a practise that has already been adopted by the Energy Commission when it put up the power plant projects for a competive bidding process.

Interestingly, this week, a local daily reported that there were concerns should the power plants of Edra be sold to foreigners as it would mark for the first time assets such as power generation plants to be controlled by parties who are non-Malaysians. The report further stated that more worrying was that the sale to foreigners would hamper opportunities for local vendors including bumiputra vendors.

The relevant authorities involved in the sale of Edra and foreign shareholding restrictions on power plants and 1MDB have so far not reverted on this matter.

The Energy Commission (EC), which is the regulator of the industry, referred StarBizWeek’s queries to the Energy, Green Technology and Water Ministry (KeTTHA).

“We have given some input (on this matter) to KeTTHA,” says an official.

The ministry, however, has yet to respond to the queries.

Meanwhile, at the time of writing, 1MDB has yet to reply to questions from StarBiz earlier this week on whether foreign-owned entities were among the bidders for Edra Energy and whether it had applied to the relevant authorities on seeking an exemption on foreign shareholding of the power plants.

Industry players say the participation of foreign buyers will likely be limited to 49% as with the case with participation of foreign bidders for new generation capacity in the past.

“Foreign parties are not allowed to own a majority stake in the power firm due to a nationality requirement under its power purchase agreement,” a banker notes.

Association of Water and Energy Research (Awer) president S. Piarapakaran says that based on the last two competitive bidding processes, the policy is straight forward – a maximum 49% cap on foreign equity.

“Secondly, electricity generation is also part of national energy security. Having a lot of power plants owned with higher foreign equity is not seen as a favourable move for a small economy like Malaysia,” he says.

Piarapakaran says any sale to entities that are foreign-controlled will create a precedence to other power plant owners to sell power plants to foreign companies.

“Therefore, the EC must be clear on government policies, bearing in mind that setting a precedence may backfire,” he says.

The sales of 1MDB power assets, valued at RM18bil in its books, is certainly gaining traction.

Early this week, 1MDB reportedly shortlisted several foreign parties, including CGN Meiya Qatar’s Nebras Power QSC and Saudi Arabia-based ACWA Power International for the sale of Edra.

TNB has also been selected to participate in the sales of 1MDB’s power plants.

The sale of Edra Energy is part of 1MDB’s rationalisation plan to reduce its debts of close to RM42bil.

1MDB was supposed to list Edra by the first quarter of this year, but had to withdraw its application due to uncertainties in relation to a 2,000MW coal-fired plant dubbed Project 3B.

The sale of 1MDB has not only attracted foreign parties but also local players. Besides TNB, the other companies that had expressed interested were YTL Power International Bhd and Malakoff Corp Bhd. But only Tenaga has put in an indicative bid.

On Sept 7, 1MDB said it had already shortlisted four parties for the final bidding stage for the sale of Edra Global but it did not disclose the names.

Edra has five domestic and eight international power plants with total capacity of 5,500MW worth RM12bil collectively.

In July, TNB had bought Edra’s 70% stake in Project 3B or a 2,000MW coal-fired plant in Jimah, Negri Sembilan, for RM46.98mil.

It has been an eventful journey leading up to the sale of Edra.

In the first week of March this year, 1MDB withdrew its submission seeking a listing of Edra Global after failing to meet Securities Commission requirements.

Late March, the Finance Ministry (MoF) appointed CIMB Group for the sale of Edra Global. But the mandate was relinquished a week later. Since then, 1MDB has been looking at a sale of Edra Global.

After the sale of Project 3B to TNB in July, Edra Global is now looking at commencing work on another power plant project in Malacca.

Towards this end, Edra has invited parties to build a new power plant to be located in Alor Gajah, Malacca.

In an advertisement, Edra stated that it was inviting “prospective applicants to express their interest in participating in a tender exercise for the design, engineering, procurement, construction and commissioning (EPC) of a 1,800MW to 2,400MW combined-cycle gas turbine power plant in Malaysia for Edra and/or its nominee”.

Edra’s advertisement said the power plant project would utilise advanced gas-turbine technology to realise the highest thermal efficiency consistent with the expectation of the power industry.

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Naturally, it attracted many eye browse to be raised despite only five out of the thirteen power generation plants are within Malaysian waters.

Utusan Malaysia story:

1MDB jual Edra pada firma asing?

JOHARDY IBRAHIM | 23 September 2015 12:52 AM
11 2 Google +0
KUALA LUMPUR 22 Sept. – 1Malaysia Development Berhad (1MDB) dijangka mengumumkan satu daripada tiga firma asing sebagai pemenang bida untuk mengambil alih 13 aset tenaga Edra Global Energy Berhad miliknya yang bernilai RM10 bilion atau AS$2.3 bilion, dalam usaha mengurangkan hutang piutang syarikat tersebut.

Sumber industri berkata, firma tenaga berpangkalan di Arab Saudi, ACWA Power International dan Pihak Berkuasa Pelaburan Qatar dikatakan berada di hadapan dalam senarai empat pembida, bersama satu lagi entiti asing dan juga firma tenaga tunggal dari Malaysia, Tenaga Nasional Berhad (TNB).
“Keputusan itu dijangka diumumkan secara rasmi selewat-lewatnya awal Oktober ini iaitu minggu depan,’’ katanya kepada Utusan Malaysia di sini hari ini.
Sumber industri bagaimanapun, melahirkan kebimbangan keputusan menjual kepada entiti asing boleh memberi implikasi sebaliknya terhadap 1MDB yang kini bergelumang dengan pelbagai kontroversi dan persepsi.
“Sebanyak 15 peratus aset Edra merupakan loji janakuasa tempatan dan dengan kepentingan menyediakan bekalan elektrik yang lancar ke seluruh negara, ia adalah dalam kepentingan negara bahawa aset-aset itu kekal dikuasai entiti Malaysia, bukan dijual kepada entiti asing,’’ katanya.
Malah ujar sumber industri, langkah ini dikhuatiri memberi kesan kepada kerajaan Malaysia kerana penjualan aset Edra kepada entiti asing bermakna pertama kali dalam sejarah industri strategik negara, aset jana kuasa dimiliki orang asing.
“Bila dikuasai oleh orang asing, siapa dapat membendung kemungkinan harga lebih tinggi jika bukan para pengguna iaitu rakyat Malaysia?,’’ soalnya lagi.
Lebih membimbangkan ujar sumber industri itu lagi, penjualan Edra kepada entiti asing akan menutup peluang kepada vendor-vendor tempatan termasuk Bumiputera yang telah berjaya dibimbing selama ini.
1MDB pada asalnya, mengumumkan rancangan untuk menyenaraikan perniagaan tenaganya pada Julai 2014, untuk menjana dana sebanyak RM11 bilion.
Sebahagian daripada dana itu bertujuan untuk membayar balik hutangnya yang menggunung kepada RM42 bilion setakat 31 Mac 2014.
Menurut laporan, 1MDB ha­­rus memba­yar antara RM2.4 bilion hingga RM2.7 bilion setahun dari segi faedah pinjaman.
Rancangan tersebut bagaimanapun, telah dibatalkan dengan 1MDB memutuskan untuk menjual kepentingannya dalam Edra.
Aset Edra terdiri daripada lima loji jana kuasa tempatan dan lapan antarabangsa termasuk di Bangladesh dan Mesir selain merupakan yang kedua terbesar di Malaysia selepas Malakoff Corp Bhd. Syarikat kerajaan itu juga mempunyai asetnya di Emiriyah Arab Bersatu (UAE) dan di Pakistan menerusi syarikat usaha sama.
Keseluruhannya Edra memiliki kapasiti penjanaan tenaga sebanyak 5,500 MegaWat yang dianggarkan bernilai RM10 bilion oleh bank-bank.
1MDB sebelum ini telah menandatangani Perjanjian Pembelian dan Penjualan Saham (SSPA) dengan TNB untuk mengambil alih 70 peratus kepentingan di dalam Jimah East Power Sdn. Bhd. (JEP), yang dimiliki 1MDB dengan nilai RM46.98 juta.
– See more at: http://www.utusan.com.my/bisnes/korporat/1mdb-jual-edra-pada-firma-asing-1.139242#sthash.owLTnyvf.dpuf

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For the record, the original plan for Edra Energy to be listed was in November 2013. However the delay in the award of Project 3B did not draw the right attraction for the IPO. Eventually, Project 3B was obtained in February 2014 and the works of IPO were restarted and the new target was set for November 2014.

However, the voracious and vile attacks of media such as Sarawak Report, The Edge etc. hampered the market confidence for the revised IPO plans. The delayed of Edra IPO affected the cash-flow of 1MDB and that spiralled into the vicious cycle.

Hence, the game of Edra IPO is back in play and part of the ‘Rationalisation Plan’.

Energy and power generation is deemed as ‘strategic’ and some people see ‘energy security’ as a very strategic interest that the nation should really closely guard.

Regardless, TNB is one of the bidders and there are commercial merits for Edra Energy be part of the nation’s premier power generation and distribution corporation. TNB is one of the core investments under Khazanah Nasional Berhad.

First of all, both Edra and TNB are Malaysian corporations and staffed by Malaysians. The culture and work relationship is seamless. The senior management of Edra are used how Malaysians do things and consumerism.

Edra Global Energy Bhd. portfolio

Edra Global Energy Bhd. portfolio

Secondly, since five of thirteen Edra power generation plants is here in Malaysia, there should be an economies of scale especially in resources and supply chain management.

The third point is that as a strategic investment of the Malaysian Government, Edra being part of TNB would be complimentary to deliver all the socio-economic development plans currently under the 11th Malaysia Plan and there on. Energy planning is a very important element to ensure the the nation’s growth is followed through.

The electrification program into the rural areas is still very much a key ingredient of Prime Minister Dato’ Sri Mohd. Najib Tun Razak’s ‘Transformation Plan’. This include the development and strengthening basic infrastructure to all communities.

Projection of power

Projection of power

An interesting fourth point is that the power generation sector in Malaysia generates USD35 billion per annum. It is of strategic important that Malaysian corporations are the net benefactors of the income derived from this sector.

The fifth point is that Edra is at the moment generating almost 14.4% of electricity within Malaysia. TNB at the moment is providing 55% of the power generated in Malaysia. The acquisition of Edra would bring TNB’s power generation level to over 69%.

The synergy for TNB to acquire Edra as part of its power generation program would definitely brought about economies of scale and strategic benefits not only to the corporation, but Malaysian consumers.

The sixth point is that Edra would be good extension of TNB for revenue of power generation from abroad since eight of the power plants are in Bangladesh and Egypt and associate corporations in UAE and Pakistan. It is a matured investment and could be realised immediately.

On the issue or even perception that TNB and/or Khazanah would be a bail out for 1MDB, it would easily mitigated that TNB is a plc and the shareholders would decide on this strategic corporate exercise.

TNB shareholders

TNB shareholders

After all, the offer would be a commercial in nature and the projection of future income and how it would affect the cash-flow of TNB as a Group would itself be the arguments for the bid.

The decision would be purely based on commercial basis which include the ability of this deal be financed either internally, within the Khazanah Group, from commercial banks and/or financial houses or a hybrid mix of the variable sources.

The fact is that 1MDB rationalisation plan for Edra Global Energy attracted a handful of good foreign bids. It is commercially viable and TNB should take the calculated risk and acquire the conglomerate.

Recently, there are valuable lessons learnt from the artificial controversy arisen from really bad bloggers canvassing the hiving off of the TRX parcel to Tabung Haji was advocated as “Bailing out 1MDB”. The fact is that, the TRX deal was a very good investment with huge commercial potential and its reflective from other deals.

It is without doubt that for the strategic sake of Malaysia, this deal should be transacted from the left pocket to the right pocket, in utmost transparency and on commercial basis.

Published in: on September 27, 2015 at 18:00  Comments (6)  

Lessons from Paracels XXIII: China envoy should be summoned for Beting Patinggi Ali

Satellite photo clearly demonstrating the PLA-N frigate at Beting Patinggi Ali, which part of Malaysian EEZ

Satellite photo clearly demonstrating the PLA-N frigate at Beting Patinggi Ali, which part of Malaysian EEZ

Wisma Putra would be summoning the Ambasaador from the People’s Republic of China to Malaysia Dr Huang Huikang for his alleged statement with regards to the planned ‘Redshirt Rally’ in Petaling Street.

Published: Saturday September 26, 2015 MYT 1:51:00 PM
Updated: Saturday September 26, 2015 MYT 3:03:06 PM

Wisma Putra expected to summon Chinese ambassador

 Dr Huang along with his wife (left) made an impromptu visit to Petaling Street Friday to handover mooncakes to various traders. Accompanying them was Hawkers and Petty Traders Association president Datuk Ang Say Tee.


Dr Huang along with his wife (left) made an impromptu visit to Petaling Street Friday to handover mooncakes to various traders. Accompanying them was Hawkers and Petty Traders Association president Datuk Ang Say Tee.

KUALA LUMPUR: Chinese ambassador to Malaysia Dr Huang Huikang is expected to be summoned by Wisma Putra following his statements that are seen as interfering in Malaysia’s domestic affairs.

It is understood the summon, set on Monday, will seek explanation from Dr Huang on his statement made during his visit on Friday, Wisma Putra officials said Saturday.

It is understood the Prime Minister’s Office has been informed of the summon.

Datuk Seri Najib Tun Razak is currently on a working trip to New York.

Dr Huang has been quoted as saying that China was against those who resort to violence to disrupt public order, an obvious reference to the threat by a group to hold demonstration in Petaling Street.

“The Chinese government opposes terrorism and any form of discrimination against races and any form of extremism,” he told reporters during a visit to Petaling Street on Friday.

Dr Huang also warned that Beijing would not fear voicing out against incidents, which threaten the interests of the country, infringe upon the rights of its citizens in doing business, or disrupt the relationship between Malaysia and China.

Officials when contacted are questioning the ambassador’s remarks when he spoke about terrorism and infringement of China’s national interest at Petaling Street.

“Malaysia views his remarks seriously. It tantamount to interfering in Malaysia’s domestic affairs,” said an official.

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HE Dr Huang was way out of line and should be seen as ‘interfering with domestic issues of Malaysia’.

Matters pertaining permits of public assembly and national security are the purview of the Royal Malaysian Police and the Home Minister is the one entitled to issue comments.

Armed Chinese Coast Guard light frigate, photographed at Beting Patinggi Ali

Armed Chinese Coast Guard light frigate, photographed at Beting Patinggi Ali

On the other hand, the Foreign Minister should also question HE Dr Huang as the official representative of China on the People’s Liberation Army – Navy (PLA-N) vessels detected at Beting Patting Ali (Luconia Shoals),

The Diplomat story:

Malaysia Responds to China’s South China Sea Intrusion

The country reacts strongly to Beijing’s incursion into its waters.
By Prashanth Parameswaran
June 09, 2015

Last week, The Borneo Post reported that China had once again encroached into Malaysian waters in the South China Sea.

According to the June 2 report, confirmed by Malaysian officials, a Chinese Coast Guard ship had been detected intruding into Malaysian waters at the Luconia Shoals – which Malaysia calls Beting Patinggi Ali. In this case, the vessel was not just passing through, but had been defiantly anchored just 84 nautical miles from the coast of Sarawak, well inside Malaysia’s exclusive economic zone and on the southern end of China’s nine-dash line which covers about ninety percent of the South China Sea.

This is hardly the first time Chinese vessels have encroached on Malaysian waters. Indeed, as I have written before both here and elsewhere, these intrusions have become both bolder and more frequent over the past few years (See: “Playing It Safe: Malaysia’s Approach to the South China Sea and Implications for the United States”). They pose a clear threat not only to the country’s claims in the South China Sea, but its extensive natural resource activities there as well as the territorial integrity of the nation given that the waterway divides Peninsular Malaysia from East Malaysia.

In response, Malaysia, a nation which has traditionally sought to secure its interests in the South China Sea quietly without undermining its overall relationship with Beijing through what I have termed a ‘playing it safe’ approach, has become increasingly alarmed and recalibrated its policy. Over the past few years, Malaysia has been lodging diplomatic protests directly with Beijing while also shaping debate on the South China Sea within ASEAN, increasing its military capabilities and strengthening ties with other countries including the United States (See: “Malaysia’s South China Sea Policy: Playing It Safe”).

Malaysia’s reaction to this incident is indicative of its growing concern. While Malaysia has at times downplayed such South China Sea-related matters in the past and preferred to handle them privately, the country’s response this time was much firmer and more public. Shahidan Kassim, a minister in the Prime Minister’s Department, told a press conference following the incident that he had held meetings with the country’s foreign ministry, national security council, navy and coast guard on the issue. He also announced that Malaysia had sent its navy and coast guard to monitor the area “to ensure the sovereignty of the country.”

Shahidan also took to his personal Facebook page to provide the Malaysian public with further details about the country’s response as well as pictures of the feature in question. In the post, which was written in Malay, he said Malaysian navy and coast guard vessels had anchored around one nautical mile from the Chinese vessel to monitor its activities. He also clarified that the feature was not a case of overlapping claims but one of a foreign ship intruding into Malaysia’s waters.

In an interview with the Wall Street Journal published on Monday, Shahidan said that Malaysia would also be taking further diplomatic action, and that Malaysian Prime Minister Najib Razak would himself raise the issue directly with Chinese President Xi Jinping. He also reiterated the fact that this was not an issue of overlapping claims.

“This is not an area with overlapping claims. In this case, we’re taking diplomatic action,” he said in the interview.

Malaysia – like many other countries – has registered such diplomatic protests before. What is interesting in this case is that the country is making a point to reveal publicly that it is doing so at the highest levels, rather than just carrying this out more quietly as it often does.

The relative hardening of Malaysia’s line in the South China Sea thus far should not be viewed as an abandonment of its ‘playing it safe’ approach.’ Though the response has been firmer and more public, it is still quite measured. Shahidan did not publicly condemn Beijing’s actions to a level that would prompt an escalatory Chinese response, and the Malaysian vessels have also been deployed cautiously. The Najib administration has proven unwilling to let the issue damage the Malaysia’s broader relationship with its largest trading partner, and there is little evidence to suggest this will change anytime soon. Malaysia is also no doubt aware that it is not capable of confronting Beijing directly. Indeed, as I have noted previously, the country has been careful to build in mechanisms to prevent escalation even when it does confront Chinese vessels, down to the number of ships deployed.

Nonetheless, it is notable that Beijing’s assertiveness in the South China Sea has been so alarming that it has even hardened the position of a country that – unlike the Philippines and Vietnam – has been traditionally quieter in how it expresses its reservations.

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Luconia Shoals is situated about 55 nautical miles off the coast of Sarawak, which is within the Exclusive Economic Zone (EEZ) as stipulated in the United Nations Convention Laws of the Sea (UNCLOS).

This is not the first time PLA-N vessels have been stationed within Malaysian EEZ. Twenty months ago, it was at Beting Serupai (James Shoal).

PLA-N officers and seamen took an oath to “Defend their territory” when they had the armed troop carrier and two frigates. This, indirectly is PLA-N’s projection of power on areas which are clearly part of Malaysian EEZ.

Otherwise, it is part of the disputed territories which China claimed as theirs as part of the ‘Nine-Dash-Line’.

China's military maneurvres affecting neighbouring nations and region the past 40 years are centred on hydro-carbon deposits

China’s military maneurvres affecting neighbouring nations and region the past 40 years are centred on hydro-carbon deposits

China’s expansion attitude and aggressive tendency within the disputed areas is a growing concern. At least two ASEAN nations have had military stand-off against PLA-N.

Despite being a signatory to UNCLOS (1982) and Document of Conduct with ASEAN nations where the agreement was sealed to address mutual disputes through multilateral discussions, China insists on bilateral talks instead.

Jakarta Globe story:

Commentary: Is Asean Losing Its Way?

The Association of Southeast Asia Nations has prided itself on its “Asean Way” – an informal and non-legalistic way of doing business, especially its culture of consultations and consensus that have resolved disputes peacefully. That way of doing may be fading among signs the group’s unity is seriously eroding. Against the backdrop of the rise of an assertive China, signs of disunity spell trouble for the region.

There are several reasons for this disunity. First, Asean today is a much bigger entity. Membership expanded in the 1990s to include Vietnam, Laos, Myanmar and Cambodia, with Timor Leste likely to be the 11th member. Asean’s functions and issues have also expanded. Economic cooperation has expanded from the idea of a free trade agreement to a more comprehensive economic community, which technically enters into force this year. Asean cooperation extends to a range of transnational issues from intelligence-sharing, counterterrorism, and maritime security to environmental degradation, air pollution, pandemics, energy security, food security, migration and people-smuggling, drug-trafficking, human rights and disaster management.

With an expanded membership, agenda and area of concern, it’s only natural that Asean will face more internal disagreements. It’s thus not surprising that one of the most serious breakdowns of consensus have involved its new members. Cambodia, as Asean’s chair, disastrously refused to issue a joint Asean communique in 2012 to please China – its new backer and aid donor – rejecting the position of fellow members, Philippines and Vietnam, on the South China Sea dispute.

Compounding challenges is the uncertain leadership of Indonesia. There are signs that the Jokowi government has downgraded Indonesia’s leadership role in Asean especially as the de facto consensus-builder of Asean on both intra- and extra-Asean conflicts, including the South China Sea. Jokowi’s “less multilateralism, more national interest” foreign policy approach, in sharp contrast to his predecessor Susilo Bambang Yudhoyono’s active leadership of Asean, could change. If not, the danger is that if the democratic, economically dynamic and stable Indonesia does not take Asean seriously neither will the world at large.
Without doubt, Asean’s main security challenge is the territorial disputes in the South China Sea. While not a new problem, the disagreement has telescoped due to recent Chinese activities. The most recent example: China’s reclamation activities in the Fiery Reef claimed by Vietnam and Mischief Reef and surrounding areas also claimed by the Philippines. This reflects a shift in China’s approach. While the Chinese military has pressed for land reclamation for some time, the leadership of Hu Jintao had resisted such moves. That restraint ended under the leadership of Xi Jinping, who is more prone to seek the PLA’s counsel in foreign policy issues related to national security and who has advanced China’s assertiveness on economic, diplomatic and military fronts. China is developing the islands further for both area denial and sea-control purposes and as a staging post for blue-water deployments into the Indian Ocean.

These developments challenge Asean’s role and “centrality” in the Asian security architecture. The economic ties of individual Asean members lead them to adopt varying positions. Until now, Asean’s advantage was that there was no alternative convening power in the region. But mere positional “centrality” is meaningless without an active and concerted Asean leadership to tackle problems, especially the South China Sea dispute.

Episodes such as the failure to issue a joint Asean communique in 2012 have led to the perception that Asean unity is fraying and China is a major factor. According to this view, China is out to divide and conquer Asean even as it pays lip-service to Asean centrality. This perception results from China’s seeming willingness to use disagreements within Asean, especially the consensus-breaking stance of Cambodia, insisting that Asean stay out of the South China Sea conflict, as an excuse to resist an early conclusion of the South China Sea Code of Conduct. China also takes the unwillingness of some Asean members to use strong language to criticize China as a sign of disunity. China cites earlier differences within Asean regarding the scope of the code of conduct over the inclusion of the Paracels, as desired by Hanoi. Moreover, China views the code as crisis-prevention tool rather than a dispute-settlement mechanism.

China needs to dispel perceptions that it is playing a divide-and-rule approach to Asean. It should also stop objecting to bringing the South China Sea question onto the agenda of the Asean Regional Forum and the East Asia Summit, on the pretext that not all Asean members are party to the dispute and outside countries such as the United States have no business even discussing the issue. This has the effect of undermining the very idea of Asean centrality or relevance that Beijing purports to uphold. It’s hard to see what the rationale for having these meetings might be without discussion of one of the most serious challenges to regional security and well-being.

As for Asean, it must not remove itself from the South China Sea issue. If anything, it should give even more focused attention to the disputes. One must not forget the lessons of the conflict triggered by the Vietnamese invasion and occupation of Cambodia from December 1978 to September 1989. Neither Vietnam nor Cambodia were members of Asean, and only Thailand was regarded as the “frontline state.” Then, Asean decided to involve itself in a conflict between two non-members because it considered the Vietnamese action a breach of regional norms and a threat to regional stability. Today, four of Asean members are parties to the conflict, out of which two are “frontline states”: Philippines and, ironically enough, Vietnam. The South China Sea conflict poses an even more serious threat to regional stability, and it is a legitimate concern of Asean as a group.

Finally, a word about the view put forward by some that Asean is irrelevant and should stay out of the South China conflict. The alternatives are few and bleak. US military action? It may have a deterrent value against the worst-case scenario of a full-blown Chinese invasion of the islands, but is unlikely to prevent the more likely scenario of China’s creeping expansion. Any US-China understanding is useful for crisis management, but Asean would have to worry whether in the long-term it would lead to US concessions to China – such as refraining from militarily and diplomatically challenging China’s position in the islands and surrounding areas. A decision by the Permanent Court of Arbitration in the Hague, which is considering a motion filed by the Philippines challenging the legality of China’s nine-dash line, may end up in Manila’s favor. This would help Asean, even if China rejects that verdict. But to make the most of such an opportunity, Asean would need to show collective support for such a verdict, and it might help if other claimants, such as Vietnam, also initiate similar legal action. China rejects a more direct role by the East Asia Summit, led by Asean anyway, because of US membership. The international community should render more support and encouragement to Asean to persist with its diplomacy in the conflict. And Indonesia needs to get back in this game.

Amitav Acharya is the Unesco Chair in Transitional Challenges and Governance at the School of International Service, American University, in Washington, DC. He is also past president of the International Studies Association, 2014-15, and author of The End of American World Order (Polity, 2014, Oxford India 2015, Shanghai People’s Press, 2016).

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China expect to muscles her way through these one-one-one talks. Trade, would be an efficient consideration as a tool to achieve its strategic objectives.

Regardless, Malaysia should be firm about its diplomatic and trade relationship with China and slap the wrist when necessary.

Published in: on September 26, 2015 at 19:00  Comments (13)  

Mis-re(d)presentation

It is good that the Police arrested trouble maker Dato’ Jamal Md. Yunos for the alleged statement made, “Riots in Petaling Street’, for planned rally for Saturday 25 September 2015.

The Star story:

Published: Friday September 25, 2015 MYT 9:42:00 PM
Updated: Friday September 25, 2015 MYT 10:45:13 PM

Jamal arrested, rally called off

 

BY AUSTIN CAMEONS

Jamal at the red shirt rally on Sept 16
Jamal at the red shirt rally on Sept 16

PETALING JAYA: Police arrested Sept 16 red shirt rally organiser Datuk Jamal Yunos on Friday night.

Kuala Lumpur CID chief Senior Asst Comm Datuk Zainuddin Ahmad said Jamal was detained at the Ampang Jaya police station where he gave a statement to the police.

“We arrested him under Section 105 of the Criminal Procedure Code to prevent a crime from occurring over his alleged statements that riots would occur in Petaling Street,” Zainuddin told The Star Online.

It is learnt that Jamal, the Sungei Besar Umno division chief, was detained at 9pm Friday and is being held at the Dang Wangi police station.

Earlier in the day, Deputy IGP Datuk Noor Rashid Ibrahim said police would summoned Jamal to Dang Wangi to record a statement over statements he made on Saturday’s rally at Petaling Street which has now been called off. (Read: Ali Tinju: Rally in Petaling Street called off)

Noor Rashid reportedly said police would not compromise with anybody trying to organise the rally and would take a firm action.

Police have warned Jamal that he would be arrested if he was found culpable of instigating chaotic situations.

On Wednesday, Jamal told reporters that the rally could take place on Saturday if the Domestic Trade, Cooperatives and Consumerism Ministry failed to act on complaints of illegal traders.

He, however, later said he would not be in Petaling Street on Saturday, saying he has nothing to do with rally.

“I am not involved and I am not going to be in Petaling Street,” he said.

Asked if he has information if protesters will gather in Petaling Street tomorrow, Jamal said he does not know.

“I repeat, I am not involved in the rally, so I do not know if one is really going to take place tomorrow,” he added.

Jamal has said that he was present at the Sept 16 rally to counter the Bersih 4 rally “as a middleman.”

“The police asked me to help with dispersing the crowd and that is all I did,” he said adding that he did not organise the Sept 16 rally or the one to be held tomorrow. He claimed the media had “spun” facts about the rally against him.

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In first place, it is not his place nor authority to act on behalf of the enforcement officers of the Ministry of Domestic Trade and Consumerism for the fake goods peddled at the permanent Petaling Street flea market.

Hence, there is no reason for him to organise the ‘Redshirt Rally’ tomorrow, at the planned venue.

Second, the Malays made the point aloud for the surprised turn out for the 16 September 2015 rally called ‘Perhimpunan Rakyat Bersatu’, despite the poor preparation and haze looms the region.

It was the message aloud as a response to the BERSIH 4.o rally which was sanctioned and promoted by DAP, which saw 80% or there abouts of the participants are of the Chinese ethnic.

The chants were guised as “Free and fair elections”, “Democracy and freedom of expression”, “Racism” and so forth. Where else, the underlying message is to rile up Malaysians to topple Prime Minister Dato’ Sri Mohd. Najib Tun Razak and the UMNO/BN led Federal Government.

Third, the Malays who constituted the majority of Malaysians in Semenanjung are no longer a group of silent majority and pessimistic in making the stance but instead came out to state that the choice the made shouldn’t be mocked.

Fourth point is that the Malays came out to tell the Chinese not to take their accommodating and tolerant nature as allowance to be treated as push-overs. They outright stated in the rally that they no longer can tolerate provocations, challenges and insults.

It is against the accommodating and tolerant traditional good nature of the Malays. It is against the heritage of the Malays village nature. It is against the principles of the formation of this nation and the practice of togetherness as citizens. It is against the spirit of understanding and unity, the main foundation of this nation.

It is against the teachings of Islam as the faith of the Malays and religion of the Federation.

Thus, there is reason for the ‘Redshirt Rally’ be organised for tomorrow. By far, threats in the likes of “Riots in Petaling Street” is a very serious proposition to be ignored and no action to be taken.

Published in: on September 26, 2015 at 01:29  Comments (14)  

Hari Raya of Hubris Liars

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The anarchists who excessively wanted to paint the picture that Prime Minister Dato’ Sri Mohd. Najib Tun Razak would be arrested by the Federal Bureau of Investigation upon arrival in the US soil, has been proven to poor liars.

New York Times story:

Malaysia’s Leader, Najib Razak, Faces U.S. Corruption Inquiry

By LOUISE STORYSEPT. 21, 2015
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The embattled prime minister of Malaysia, facing mounting political turmoil and a parade of inquiries at home and abroad into a sovereign wealth fund that he oversees, is now coming under the scrutiny of American investigators as well.

A federal grand jury is examining allegations of corruption involving the prime minister, Najib Razak, and people close to him, according to two people with knowledge of the investigation.

The inquiry, being run by a unit of the Justice Department that investigates international corruption, is focused on properties in the United States that were purchased in recent years by shell companies that belong to the prime minister’s stepson as well as other real estate connected to a close family friend, said the people knowledgeable about the case, who asked for anonymity because they were not authorized to discuss it. Investigators are also looking at a $681 million payment made to what is believed to be Mr. Najib’s personal bank account.

Pressure in Malaysia on Mr. Najib intensified on Monday as two separate courts dealt him legal setbacks. And the head of the country’s central bank, which is investigating transactions involving the sovereign wealth fund, said it had submitted its findings to the Malaysian attorney general.

“Right now, we know that the public wants answers to these questions, and they deserve to get the answers,” said the head banker, Zeti Akhtar Aziz, according to the Malaysian Insider news site.

The Justice Department investigation is still in its early days, and it could take years to determine if any federal laws were broken. It was opened partly in response to an examination by The New York Times of condominiums at the Time Warner Center in Manhattan whose ownership is hidden behind shell companies, according to the people with knowledge of the case.

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In an sms blast to UMNO leaders two days ago by a personality believed to be a very close associate to the former Malaysian Prime Minister, the scare was perpetuated.

 

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The former Prime Minister also pre-empted that possibility Prime Minister Najib be arrested if and when he steps into the United States, United Kingdom and a few other countries.

It is believed where his former Political Secretary and former UMNO Batu Kawan Vice Chief Khairuddin Hassan have been actively trotting around in making reports to the local law enforcement authorities of the said countries.

Obviously, the duo and their political master are dead wrong. Prime Minister Najib and wife here are seen on the streets of American soil and no reports about US FBI or Grand Jury arresting either of them or serving them with summonses.

It was also quickly pointed out that the former Prime Minister was wrong in his statement about International Criminal Court and failed to point out that the sitting Malaysia Prime Minister enjoys international diplomatic immunity, if not ratione matrinae status.

Furthermore Malaysia was never a signatory to the Rome Statute.

These hubristic lying tendencies and acts are traits of political-terrorists, out to do sabotage when they cannot achieve political victory through usual means.

They are willing to conspire with foreign media with Neo Con Jewish ‘Agenda’ and Opposition Leaders, which include incessant demonisation and deceptive statements and stories designed to get the people to rise and topple the sitting Prime Minister.

The fact is that, Wall Street Journal and New York Times are Neo Con Jewish controlled media.

This option most likely as they are unable to achieve their desired results, through proper and legitimate democratic means. Hence, they take it upon themselves to make the interpretations on what is good for the people and resort to unorthodox and even illegal tactics and political manoeuvres.

We are aware of the holiness day of Hari Raya Korban, to keep the day free from political writings.

However, getting the right message to as many Malaysians who might be swayed to all of these lies, manipulation and illusive political manoeuvres guised as “Persons seeking justice through internal law enforcement agencies in the name of ‘Saving Malaysia'”, is imperative.

It is very suspicious when reports in Wall Street Journal and New York Times about the FBI investigating Prime Minister Najib and the seriousness of the case, did not provide proper or named sources. What is more intriguing, the story was echoed and perpetuated over so many media all over the world.

Yet, neither FBI nor US Department of Justice confirmed these so-called ‘investigations’ but these media channels already painting the stories as if its the truth.

These political-terrorists and all the conspiracies must be stopped.

In a related development, Khairuddin who was released yesterday after held several days for remand for being investigated under Section 124C, was rearrested immediately under SOSMA for being involved in acts to topple the Prime Minister.

Today, Deputy Inspector General of Police confirmed that he is being held for 28 days under Security Offences (Special Measures) Act (SOSMA).

Bernama.com story:

Khairuddin Being Held For 28 Days Under SOSMA – Deputy IGP

KUALA LUMPUR, Sept 24 (Bernama) — Datuk Seri Khairuddin Abu Hassan, former vice-chairman of the Batu Kawan UMNO Division, is being held under detention for 28 days under the Security Offences (Special Measures) Act 2012 (SOSMA), Deputy Inspector-General of Police Datuk Seri Noor Rashid Ibrahim said today.

Khairuddin was rearrested yesterday by police outside the Jalan Duta Courts Complex here after he was released from remand under the Penal Code.

He had been under remand from Saturday under Section 124C of the Penal Code for allegedly attempting to commit activity detrimental to parliamentary democracy.

Khairuddin was first arrested at his home in Mont Kiara last Friday.

Noor Rashid said the police, after conducting their investigation under SOSMA, would refer the matter to the deputy public prosecutor for further action.

He spoke to reporters after the Aidiladha sacrificial slaughter of cows and prayers at Bukit Aman here.

Khairuddin had reportedly attempted to seek the intervention of the United States in Malaysian affairs.

Inspector-General of Police Tan Sri Khalid Abu Bakar had said that Khairuddin’s attempt to apply international pressure on Malaysia over the 1Malaysia Development Berhad issue was tantamount to sabotaging the country.

— BERNAMA

http://www.bernama.com/bernama/v8/ge/newsgeneral.php?id=1173924

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Khairuddin, is a personality known to take unorthodox steps to rock the boat. One of his traits is to maximise coverage by enduring into ludicrous stunts.

The interest of the nation is paramount, when push comes to shove. For the record, acts of instigating the people to rise and topple the democratically elected and legitimate Prime Minister and government of the day, is one of the reason why SOSMA exist.

Selamat Hari Raya Korban 1436H.

Published in: on September 24, 2015 at 14:00  Comments (14)  

Celcom launch Zipit Chat

zipitlogo

A secured communication mobile application for Android and iOS platforms based on the AES-256 military grade encryption technology called Zipit Chat, has been launched and now live for commercial download.

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It is a product developed 100% by Malaysian R & D engineers in Malaysia and it is collaboration between mTouche Technology Bhd. and Celcom.

As part of the campaign to the official launch, Celcom did a Hackerton to entice the interest on the feature of this applications, which is about secured messaging. The online campaign reached  18 million viewers and 17,000 registered to participate in the challenge to hack the messages, which provided a prize of RM100,000 in cash.

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None succeeded!

Hence, the encryption feature of the secured messaging application which enables subscribers to have a tamper-proof communication through sms, chat, e mail and voice-over-internet-protocol (VOIP), is the main selling point of the online product.

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How it works

  • In one-to-one communication, there is a mutual key exchange between sender and receiver using RSA algorithm.

Any 3rd party will not be able to decrypt the messages without the key. All messages communicated via Zipit Chat use 256-bit AES encryption technology.

 

  • In Group chats, a mutual shared key within a group is used to encrypt and decrypt messages communicated via the group channel.
  • In all the communication, only encrypted data will be sent via the line. Even if there is an interception during transmission, all they get is gibberish because they do not have the key to decrypt the actual message.
  • Zipit Chat also enables secure notes feature where users can keep their sensitive data encrypted in the application.

Think of it as a physical safe that keeps all the private and confidential files, locked with a padlock, and the rightful owner has the lock to open it.

Soon, it is expected that Celcom would bundle the application in some of the plans.

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The launch and officiating of the Zipit Chat was done by Celcom Chief Marketing Officer Zalman Affendy Zainal Abidin and the Branding Team. The event was graced by Celcom CEO Dato’ Sri Shazalli Ramly.

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This is a new milestone for Malaysians to communicate securely and with a lot of comfort.

Published in: on September 23, 2015 at 15:15  Comments (5)  

Kompang drumming, silat pengantin next?

The convenient global network of kompangs have been drummed up to portray the picture that Prime Minister Dato’ Sri Mohd. Najib Tun Razak is a wanted man, especially by the US Federal Bureau of Investigations, regardless whether it is true of not.

Reuters story:

FBI launches investigation into Malaysian state fund 1MDB: WSJ

The U.S. Federal Bureau of Investigation (FBI) has launched an investigation into allegations of money-laundering at troubled Malaysian state fund 1MDB, the Wall Street Journal reported on Sunday citing an unidentified source.

POSTED: 20 Sep 2015 10:50 UPDATED: 20 Sep 2015 17:42

KUALA LUMPUR: The U.S. Federal Bureau of Investigation (FBI) has launched an investigation into allegations of money-laundering at troubled Malaysian state fund 1MDB, the Wall Street Journal reported on Sunday citing an unidentified source.

The scope of the investigation into the debt-laden 1Malaysia Development Berhad (1MDB) was not clear, said the newspaper, which cited “a person familiar with the matter”.

Neither the FBI nor 1MDB responded to a request for comment.

The reported FBI investigation comes shortly after a former member of Malaysia’s ruling party was arrested just before travelling to the United States where he planned to make a police complaint and urge U.S. authorities to look into the allegations of money-laundering at 1MDB.

1MDB’s advisory board is chaired by Prime Minister Najib Razak. The fund has been dogged by controversy over its US$11 billion debt and alleged financial mismanagement.

A series of international investigations are underway as the scandal surrounding the fund widens.

Swiss authorities said this month they had frozen funds in Swiss banks amid investigations into 1MDB. Hong Kong authorities also said they were investigating a complaint related to the firm.

The WSJ had reported in July that investigators looking into 1MDB had found that nearly US$700 million was transferred into the personal bank account of Najib.

The prime minister has denied taking money from 1MDB or anywhere else for personal gain.

Malaysia’s anti-graft agency declared the funds a donation.

Najib has faced unprecedented criticism from within his ruling party, in particular form veteran former Prime Minister Mahathir Mohamad, who has called on Najib to step down.

Both anti-government and pro-government protesters have taken to the streets in recent weeks, raising concern about political stability.

(Reporting by Praveen Menon; Editing by Robert Birsel)

– Reuters

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The story is a planned build up, from the hype of the arrest of former Batu Kawan UMNO Vice Chief Khairuddin Abu Hassan and the travel restrictions of former Tun Dr. Mahathir Mohamad Political Secretary Matthias Chang.

Straits Times of Singapore story:

Arrested Najib critic was scheduled to meet FBI agents to lodge 1MDB complaint

 

PUBLISHED SEP 19, 2015, 2:48 PM SGT

KUALA LUMPUR – A former Umno leader who said he was prevented from boarding a flight to New York where he had planned to lodge a complaint against state investor 1Malaysia Development Bhd (1MDB), was scheduled to meet agents from the Federal Bureau of Investigation (FBI) on Monday (Sept 21).

The meeting between former Batu Kawan Umno vice-chief Khairuddin Abu Hassan and the FBI agents was arranged with assistance from the US Embassy in Malaysia, his lawyer Matthias Chang told The New York Times (NYT).

But the plan was derailed after the Immigration Department barred Khairuddin from leaving the country on Friday. He was picked up from his home in Kuala Lumpur and taken to the Dang Wangi district police headquarters

Khairuddin was charged with trying to overthrow the government, his lawyer said.

“This was a blatant abuse of power to prevent this report from being filed in the United States,” NYT quoted Chang as saying. “It is so ridiculous to say that our action would undermine democracy,” he added.

Khairuddin’s arrest came just hours after he said he was being investigated for submitting evidence related to 1MDB to the Swiss Attorney-General. He had handed the evidence to the Swiss authorities on Aug 20 and urged them to investigate the state fund’s activities involving Swiss and international banks. The Swiss authorities said last month they had opened criminal proceedings related to 1MDB.

The NYT report said Khairuddin, a relatively junior member of the Umno party who turned against Najib late last year, has travelled to financial capitals in Europe and Asia in an effort to spur investigations into the prime minister’s dealings.

Besides Switzerland, Khairuddin has also lodged complaints in Hong Kong regarding banking activity involving 1MDB.

He said in an interview this month that he had planned to submit documents to US law enforcement officials alleging money laundering, according to NYT.

“I strongly believe that the US authorities have all the records on money movements,” Khairuddin said, but declined to be more specific.

Set up in 2009 to invest in Malaysia’s economy, 1MDB is now struggling to repay more than US$11 billion (S$15.3 billion) worth of debts.

In July, the Wall Street Journal reported that a Malaysian government investigation found that almost US$700 million was deposited into the Prime Minister’s private accounts through entities linked to 1MDB ahead of the general election in 2013. The Malaysian leader has denied any wrongdoing.

Malaysia’s anti-corruption body said last month that the money was not from 1MDB and was a political donation from a donor in the Middle East.

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What is intriguing that Khairuddin is bent about the need to make the journey to the US, in the quest to advance the notion for the alleged case against Prime Minister Najib.

The fact is that, FBI have offices all over South East Asia and the region which include the US Embassy in Jalan Tun Razak.

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It simply means that FBI agents could get the case investigation here in Kuala Lumpur. And if the case is material and significant enough where Prime Minister Najib is allegedly involved in a series massive money laundering activities, the FBI agents would be dispatched from Quantico, Maryland to where ever need be.

Not the other way around.

What is more interesting, media all over the world is conveniently echoing Wall Street Journal’s story about this. The fact remains, FBI have not issued any statement or confirmation that they are investigating the matter and/or Prime Minister Najib.

Already, there are personalities in this country painting the wrong picture about Prime Minister Najib is “Wanted” and “Would be arrested under ICC”.

Isn’t is convenient the Neo Con Jewish media, wrangling their chains around global media in the attempt to portray a dark perception about Prime Minister Najib and his UMNO/BN led Federal Government Malaysia?

Perhaps, it is the extension of the ‘Agenda’ which was started and compounded by manipulation and deceits of Sarawak Report, Anwaristas like Tong Kooi Ong and Opposition leaders.

Now that we can the kompangs being drummed, would there be a silat pengantin next?

Probably, they can get several senior FBI Officials and US Senators and politicians to make statements about the matter. Like silat pengantin, it is just another precursor to embellish the whole hype about the party.

Published in: on September 22, 2015 at 11:00  Comments (12)  

Ratione materiae

Fourth Prime Minister Tun Dr. Mahathir Mohamad could be mistaken in his opinion about Prime Minister Dato’ Sri Mohd. Najib Tun Razak could be arrested by Interpol for money laundering, when the latter travels abroad.

Pro-Anwarista news portal story:

Najib risks arrest if he travels abroad, says Dr Mahathir

BY V. ANBALAGAN, ASSISTANT NEWS EDITOR

Published: 20 September 2015 9:51 AM
Tun Dr Mahathir Mohamad has drawn a grim picture on the possibility of Datuk Seri Najib Razak being arrested by Interpol if foreign countries investigate the prime minister for alleged money laundering.
“He could also be arrested if he left the country. So he has to remain here, like how he withdrew the passports of some people and barred them from going overseas,” the statesman said in a video uploaded on the blog “Din Turtle”.

The longest-serving prime minister said this during a meeting with Kumpulan Melayu Berani Bersatu at a restaurant in Kuala Lumpur on Friday afternoon.

Dr Mahathir said domestic laws were applicable only if crimes were committed locally.
“But if a crime has some connection with a foreign country, that nation has power (to investigate and prosecute),” he said.

Dr Mahathir cited the fate of Sudanese president Omar al-Bashir who is now wanted by International Criminal Court to stand trial on various charges such as the genocide in Darfur.

The United Nations says the court’s warrant for Omar must be implemented by countries who have signed the Rome Statute.

“He (Omar) could be arrested if the country he was visiting concurred with the alleged crime,” Dr Mahathir said.

He said if countries like Switzerland, England and the United States believe that Najib had allegedly been involved in money laundering, they could enlist Interpol to arrest him.

Dr Mahathir also felt Najib would not resign but only through possibility of prosecution outside Malaysia.

Najib has come under intense criticism over the financial scandals surrounding state investment vehicle 1Malaysia Development Berhad and for receiving RM2.6 billion in political donations.

“That is only a possibility based on the current international law,” he added.

Former Batu Kawan Umno vice-chief Datuk Khairuddin Abu Hassan was reported to have travelled to countries in Europe and Asia to push for investigations over alleged discrepancies of debt-ridden 1MDB.

Najib is chairman of 1MDB’s advisory board.

The Umno man handed over evidence to the Swiss authorities on August 20 and urged them to investigate the state investment arm’s activities involving Swiss and international banks.

He insisted that he only acted in the country’s best interests.

Khairuddin was scheduled to meet agents from the Federal Bureau of Investigation (FBI) in the US on Monday but found last Friday that a travel ban had been imposed on him.

He was arrested by police for allegedly attempting to overthrow the government. Police have obtained a six-day remand against him.

The Wall Street Journal today reported that the FBI has started investigations into allegations of money laundering. – September 20, 2015.

– See more at: http://www.themalaysianinsider.com/malaysia/article/najib-risks-arrest-if-he-leaves-the-country-says-dr-mahathir#sthash.EsLiNWqo.dpuf

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The Malay Mail Online reported that Tun Dr. Mahathir was talking about global money laundering.

Dr M claims global money-laundering probes could open PM to arrest

Sunday September 20, 2015
11:13 AM GMT+8
KUALA LUMPUR, Sept 20 ― Ongoing investigations by foreign countries into alleged money-laundering activities linked to 1Malaysia Development Bhd (1MDB) may open the prime minister to arrest abroad if any wrongdoing is proven, according to Tun Dr Mahathir Mohamad.

Speaking at a meeting with an NGO named Kumpulan Melayu Berani Bersatu on Friday, Dr Mahathir said that there was a “possibility” that such a scenario could happen.

“Those countries ― Switzerland, Britain, America ― if they find Najib doing any money laundering (activities) they can ask Interpol to arrest him if he goes overseas.

“So he (Najib) has to remain here, like how he withdrew the passports of some people and barred them from going overseas,” the said in a video uploaded on the blog “Din Turtle”.

Dr Mahathir added that domestic laws were applicable only if crimes were committed locally.

“But if a crime has some connection with a foreign country, that nation has power (to investigate and prosecute),” he added, citing the case of Sudanese president Omar al-Bashir as an example.

Omar is now wanted by International Criminal Court to stand trial on genocide charges in Darfur.

The former prime minister did not, however, specify how the probes abroad were linked directly to Datuk Seri Najib Razak.

The Federal Bureau of Investigation (FBI) in the United States is now probing entities connected to 1MDB over alleged money-laundering activities in the country, the Wall Street Journal (WSJ) reported today citing an anonymous source.

But the immediate subject of the FBI investigation is not currently known.

The WSJ pointed out, however, that its previous report alleging that US$700 million (RM2.9 billion) was funnelled into PM Najib’s accounts involved two deposits made via US banks, a Swiss international bank and Wells Fargo in New York.

The US investigation on 1MDB is the latest announce by a foreign country, following reports of probes in Switzerland, the SAR of Hong Kong, and the United Kingdom.

The probes were reportedly prompted by reports lodged by former Umno leader and 1MDB critic Datuk Seri Khairuddin Abu Hassan, who was arrested on Friday and remanded for another six days yesterday.

The WSJ has published a series of reports detailing dubious activity allegedly involving 1MDB, beginning with an exposé in July on the US$700 million deposit in Najib’s accounts.

Najib has denied any impropriety over the US$700 million donation, which was described as a political donation to the Umno party that he heads.

– See more at: http://www.themalaymailonline.com/malaysia/article/dr-m-claims-global-money-laundering-probes-could-open-pm-to-arrest#sthash.SsRnVexd.dpuf

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The fact is that under the international law, the Head of State and Head of Government enjoys the immunity blanket from prosecution rationae materiae (Functional immunity).

The case that Tun Dr. Mahathir cited, which is against President Omar al-Bashir of Sudan, is about genocide in Darfur. That is crime against humanity.

The International  Criminal Court which was mentioned by the Fifth UMNO President is incepted to try four types of international crimes; genocide, crimes against humanity, war crimes and the crime of aggression.

It is also four these hedious crimes where the nation that the leader resides or rule is unable to take them, to face the law.

Malaysia is neither a signatory to the treaty of the ICC nor the Rome Statute.

It is believed that this was mentioned, in line with persons closely associated to Tun Dr. Mahathir, former Politcal Secretary Matthias Chang and former Batu Kawan UMNO Vice Chief Khairuddin Hassan were recently barred from leaving the country.

It is also believed that Khairuddin was on his way to New York, to meet FBI agents with regards to alleged crimes committed by Prime Minister Najib.

image

The duo have been busy travelling to several European countries lately and attempting to meet law enforcement officials, in their sordid agenda to build cases against Prime Minister Najib pertaining to 1MDB and the so called ‘donation’, from yet to be named individual from West Asia.

Regardless, Tun Dr. Mahathir could be misleading some of the hopefuls to watch Prime Minister Najib be ousted by an arrest when the latter is abroad.

It is misleading statements like this that would confuse the public more. The arrest would not happen and the Malaysian public perception view the leadership would spiral towards more chronic confusion.

It would not be good for the nation, which is having tough challenges to weather the current economic crisis.

Published in: on September 21, 2015 at 01:00  Comments (24)  

Red is the universal sign of critical level

Lots could be said about the recently concluded 16 September 2015 which had a surprised turnout which sent strong messages to many and electrical shivers to the spine of the selected few.

It is summed up in Joceline Tan’s column in Sunday Star:

Analysis

Published: Sunday September 20, 2015 MYT 12:00:00 AM
Updated: Sunday September 20, 2015 MYT 12:55:32 PM

Political game of numbers

BY JOCELINE TAN

Red sea: Massive numbers, fierce slogans and police water canons added to the drama of the Malay rally but Dr Mahathir was a no-show.

The red show of force at the Sept 16 rally was a signal that Malays have the numbers to defend their hold on political power and fill the streets with raw energy.

TUN Dr Mahathir Mohamad’s signature song is the 1960s hit, My Way – or so they say. But not many had heard him sing it until recently when a video clip of him belting out the song on stage went viral.

He was somewhat off-key, the high notes evaded him – or rather, he dodged the high notes. But all said and done, he had a pretty strong voice for a 90-year-old.

He has also acted in his first movie, Kapsul, which is now playing in cinemas. Well, actually, he played himself in a Malay sci-fi movie that involves time travel triggered by a Vision 2020 time capsule.

It was a cameo role and he had joked in that self-deprecating way of his: “I asked for payment but they don’t want to pay me.”

Age is probably just a number to this man because he is still game for new experiences, including attending his first street protest. His appearance at the Bersih 4 demonstrations in Kuala Lumpur on Aug 29 and 30 sent shock waves through Umno.

His hardcore supporters applauded him for that but the average Joe in Umno saw it as siding with the opposition while the more thinking class thought Dr Mahathir was going against everything he had once stood for.

He was at the Bersih 4 rally on both days and held a press conference during which he said he did not support Bersih and proceeded to run down Prime Minister Datuk Seri Najib Tun Razak.

He was accompanied by, of all persons, former Umno/ PKR/ Kita politician Datuk Zaid Ibrahim who has not had many nice things to say about the older man in recent years.

Politics is full of strange bedfellows but very few in Umno had imagined he would do such a thing.

“He is such a special brand name for Umno. When he took that brand to the Bersih crowd, it was just not right for me,” said Deputy Finance Minister Datuk Johari Ghani.

Or, as Datuk Albakri Mohd Noor of the Umno Veterans group put it: “He taught us that such demonstrations were not the way. Now it’s okay because he wants to bring down the PM.”

The Umno crowd thought their former president would make amends by attending the Malay rally on Sept 16.

But Dr Mahathir not only spurned the rally, he also openly opposed it. He said the Red Shirts were not fighting for the Malays, there was no need for the rally and it should be cancelled.

A day later, he insisted he was still unsure about the purpose of the rally.

“He went for the Bersih protest but he skipped the National Day parade. I feel sad that it has come to this,” said Wan Hakim Wan Mokhtar, assemblyman for Air Putih, Terengganu.

Dr Mahathir has been in Malay politics long enough to read the signs. It was a red sea of Malays made up primarily of Umno and Malay NGOs. They were there because they wanted to make their presence felt and to defend the Malay-led Government and their place in power.

The organisers have been accused of playing up communal sentiments and causing racial tensions but there is no denying that Umno has the numbers.

More important, as one Malay professional pointed out, the party has the network, machinery and resources to mobilise its grassroots at short notice.

There is no denying that many of them were bussed in from all over the country and there was talk of duit minyak or pocket money for participants. But they arrived in the city with a raw energy and oneness that has been missing in Umno for some time now.

“The crowd and the mood, I was like, wow! The silent majority came out in full force,” said Wan Hakim.

Former Kelantan strongman Tan Sri Annuar Musa was one of those who pushed hard for the rally, and he gave an emotional speech as he looked out over a sea of red in Padang Merbok, the gathering point in KL designated by the police.

His fellow Kelantanese, Kok Lanas assemblyman Datuk Alwi Che Ahmad who also addressed the crowd, could feel the energy in the air.

“We went ahead only after many meetings with the police; there were so many conditions we had to follow. But we are the party in power and we want to respect the police.

“We are not into demonstrations but the last Bersih pushed us to the wall. If they want to overthrow us through street politics, we will defend ourselves the same way. We want to tell them, don’t push us because we will fight back,” said Alwi.

The chief target of the Malay rally was DAP. Right or wrong, the Umno right wing perceived DAP as the driving force behind what they now call the “Chinese Bersih”. As such, some of the more aggressive slogans seen at the rally were aimed at DAP.

DAP has gone from strength to strength and its hold over the Chinese since 2008 has been grounded in a well-engineered hate campaign against Umno.

It has blamed Umno for everything that has gone wrong in the country. In retaliation, Umno is now painting DAP as a Chinese chauvinist party that questions Islam and insults Malay leaders.

DAP veteran Lim Kit Siang has been vocal in slamming the Malay rally as racist, and who can blame him? He was the convenient lightning rod for the Malay rally.

He is one of the few DAP leaders alive whose political career goes back to the dark days of 1969. The protesters held placards linking him to the May 13 race riots of that time, although it is doubtful if many of the younger ones were even sure who he is.

Raja Petra Kamaruddin, in an article on the Malay rally, put things in perspective when he wrote that it is not what you do or say that impacts race relations, it is how others perceive what you do or say that counts.

The “yellow rally” was aimed at free and fair elections but the Malay perception was that the Chinese protesters at Bersih 4 were out to change the Government. Those behind the Malay rally meant it as show of Malay and Muslim strength but it was perceived by outsiders as a racist and provocative gathering.

Dr Mahathir was not spared either. There were placards telling him: “Tun, jangan pecah belah orang Melayu (don’t divide the Malays).”

No one in Umno wants to say it openly but their perception is that Dr Mahathir is so intent on bringing down Najib that he does not seem to care if Umno also comes tumbling down.

Umno blogger Ahirudin Attan did not mention names in his Rocky Bru’s blog, but everyone knew who he was referring to when his posting on the rally concluded with the following: “And whether you like it or not, Melayu mudah lupa (Malays easily forget). They will forget the good you have done because of the really bad that they think you are doing even if you had been a hero before.”

There has been criticism that the rally was held to shore up Najib’s image. But the Umno president, said Alwi, was actually quite reluctant about this sort of retaliatory protests and was concerned that it might go wrong.

The rally did not help him much but the big numbers and its cohesiveness bolstered the morale of Umno members. Their confidence had been shattered by the outcome of the last two general elections but the rally gave them the sense that they can survive if they stay united.

Their anger over the hate campaign against their party and leaders has been building up. But they had held back because they did not want to alienate whatever Chinese support there was left for the ruling coalition.

All that changed after Bersih 4. They could see that the Chinese mood had not softened and the community is still dead set against Umno. The rally was their way of saying enough is enough and to show that Umno has the numbers to survive.

Dozens of police reports were lodged against Bersih 4 and it is likely that the same will be done with the Red Shirts.

The concern is that Malaysia is about to enter an era of rallies – of reds versus yellows. Thailand went through years of red shirts rallying against the yellow shirts and vice versa. And they are now under military rule.

The Bersih organisers have not ruled out another Bersih. If that happens, there will probably be a second Malay rally.

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It is interesting to note, despite the Redshirt Rally is far from the neat and well planned organisation of BERSIH 4.0 on 29-30 August 2015, the outcome is really alarming red and thunderously frightening.

A lot of UMNO Divisions’s machinery were mobilised less than 48 hours before the event. This is because the ‘green-for-go’ obtained from the Kuala Lumpur Police only received on the weekend before the event.

Hence, the appearance of several UMNO MT Members, Division Chiefs and even Deputy Ministers, along with NGO leaders and right wing nationalists and activists, walking from three different point to converge at Padang Merbok.

Even members of the Opposition party, who have expressed their strong displeasure on matter of ‘nationalism’ showed up and lend their support.

The numbers do make a point, to expound the strong messages across.

What is intriguing is that the foreign and international media gave a lot of coverage for the BERSIH 4.0 rally, which was deemed “Illegal” but not a peep for the one which obtained proper permit and was even better turn out, considering the preparations.

Neither did the Malaysia Day rally a few hours later in Kota Kinabalu, where Prime Minister Dato’ Sri Mohd. Najib Tun Razak received very thunderous welcome and cheers by the Sabahans and Sarawakians, mostly of the Bumiputera ethics.

They wore red too.

It is only to fortify the notion that the international community through their media wanted to subdue the strong messages and demands of the Malays and Bumiputera Sabah and Sarawak, who represent the majority of this nation.

The colour ‘Red’ did paint the true picture of the silent majority of the nation.

Published in: on September 20, 2015 at 13:00  Comments (2)