Friday, October 07, 2011

Budget Day today ....

To a question raised by an MP, PM Najib said that Malaysia's Forex Reserve as at 15/09/2011 stood at RM 414.5 billion. He continued to say that Malayia's foreign debt as at 30/06/2011 stood at RM 241.7 billion. As one who hates to owe anyone, I am suggesting why can't Malaysia pay off all the foreign debt now using the reserves that it has, leaving still a healthy balance of RM 172.8 billion in reserves. Further, he said that what was owed represented 29.1 % of GDP, meaning, Malaysia's GDP was RM 833.4 billion. With so much money coming in, why should we continue to owe those damn foreigners with their Yens, Pounds, Dollars and Euros and suffer the vagaries of exchange rates and the hassles of paying interests ?

In the Budget for 2012, PM Najib proposes as follows:-

Total budget is RM 232.8 billion comprising
  • RM181.6 billion in operating expenditure and
  • RM 51.2 billion in development expenditure.
The RM 181.6 billion operating expenditure comprises :-
  • RM 52.0 billion for emoluments
  • RM 30.5 billion for supplies and services
  • RM 96.5 billion for fixed charges and grants
  • RM 1.1 billion for purchase of assets
  • RM 1.5 billion for other expenditures
The RM 51.2 billion development expenditure comprises:-
  • RM 29.8 billion for infrastructural, industrial, agricultural and rural development
  • RM 13.6 billion for education/training, health, welfare, housing, community development
  • RM 4.4 billion for security
  • RM 1.4 billion for general administration
  • RM 2.0 billion for contingencies reserve
To finance the RM 232.8 billion, where is Najib going to get the money from ? He's targeting to achieve RM 186.9 billion in the government's total revenue for 2012. This leaves RM 45.9 billion more to get. He mentioned about 4.7% deficit, which worked out to be RM 10.94 billion that would add to the amount available to RM 197.84 billion, which is still RM 34.96 billion short !

I am still trying to figure out this .........??


Thursday, October 06, 2011

The pomfret swallows the shark ..

It is usual for a big company to swallow a small company especially if the small company is an upstart company trying to steal the business of the big company. Here we have in Malaysia, a newly minted airline company calling itself Air Asia, has managed to swallow Malaysian Airline that has been the flagship airline of Malaysia since the MSA days of the 1950s. [ 20.5% of MAS share was given to AirAsia which in turn surrendered 10.0% of its share to MAS - a share-swap deal based on the closing prices of both counters at 05/08/2011]. The reason for this is that it is deemed that MAS could be better managed by an entrepreneur like Tony Fernandez. MAS's performance over several decades has, since its inception, been on the rise and on the decline like a yo-yo. When it faced serious problems in the early 1990s, it roped in Tajuddin Ramli who bought a controlling share of the airline buying at some RM 8.00 per share and who ran the airline as the CEO. When MAS performance worsened and its share dropped to less than RM 4.00 per share, the other shareholders reckoned that it's time to get rid of Tajuddin Ramli. [MAS is said to have suffered losses amounting to RM 8.0 billions]. However, Tajuddin Ramli was allowed to re-sell his MAS shares at the price that he bought them, despite the fact that MAS shares had dropped in price at the local bourse. [To be fair to Tajuddin Ramli, he was persuaded to buy the MAS shares at RM 8.00 per share because he was, at that time, the only Malay who can afford to buy them (as part of his "national service" as he called it, to save MAS), having made money from Celcom. And why shouldn't he re-sell them at the same price, despite the lower price at the bourse. It was in fact a solicited transaction between him and the other shareholders].

Big companies are easier to run than medium-sized or small companies because the system has already been set up. The CEO has only to supervise and monitor the components in the system.

To continue as this is going to be really long as more research is needed ..


Steve Jobs ....

Steven Jobs is dead. Long live Apple.


War on drugs ...

There's never a day that passes by without us reading of foreigners getting caught attempting to smuggle drugs into Malaysia. The drugs that are smuggled in are either to be consumed in the country or to be transit to another country. The amount of drugs smuggled are not small - in grams and so on, but in the kilos worth millions of ringgit. Why are foreigners - Iranians, Africans, Latin Americans - continue to smuggle drugs knowing that the penalty is death. The way they smuggle sometimes borders on the ridiculous and the hilarious. There was one instance in which an African was caught trying to smuggle several kilos of drugs in hollowed-out cassava (tapiocca) only to be apprehended by the Customs authorities at KLIA. An Iranian was caught trying to smuggle drugs in packs of cosmetic goods. There are some others that swallowed drugs using condoms that burst in their stomach to their utter misfortune.

Regardless of whatever ways, smuggling drugs are on the increase in terms of frequency and quantity. It's as though these foreigners were ignorant of the laws (an unlikely scenario since drug smuggling has been given wide publicity, not only in Malaysia but in other Asean countries). Most likely, they do it because they know they can get away with it, due to the lack of enforcement but most probably due to the laxed justice system in Malaysia.

The smugglers get away with smuggling due to the propensity of the Malaysian judiciary to declare court cases involving drugs as ones that have no prima facie just because the prosecutors arguments are not as strong as those of the defendants as, for example, dismissal on mere technicalities when the drugs concerned were ketamin when in fact they should have been methamphetamine. Sometimes even slight conflict in weights of the drugs was enough to dismiss court cases. When initially the Police may charge a smuggler for bringing in say 1 kilo of heroin, it is later confirmed by the Chemistry dept. that the weight is actually 0.9 kilo and the weight differential is sufficient reason for a Malaysian judge to dismiss the case as one that has no prima facie. What a farce.

The Malaysian judiciary doesn't seem to be concerned with the drug menace in this country, what a drug does to us and the young generations. All it bothers is the letter of the law. If there's a slight flaw in the evidences given, or there's no direct evidence, then the case doesn't merit to be heard in court and hence to be dismissed outright. The judge is satisfied that he reckons he or she has done a good job - as a dispenser of true blue Malaysian justice.

The authorities should come down hard on these foreign smugglers especially and also on the local smugglers. A psychological war of the same intensity as that conducted during the Emergency days of yesteryears should be declared. Treat drug smuggling as terrorism and drug smugglers as terrorists. Given half a chance, incarcerate them in prisons for a lifetime or, better still, hang them. Tell the world we mean business. Always look askance at foreigners coming into the country especially at those from Africa, Latin America and the Middle East, and especially at those who make repeat visits. Always believe that for every kilo of drug that gets apprehended, 10 kilos manage to enter the country.

Update 13/10/2011 Thursday: True enough, before the week is out, the Police has caught one African and a Laotian to be involved in 4.5 kilos of syabu worth RM 70,000. In a separate incident, 7 Iranians (4 of whom were women) and a local were apprehended by the Police for being involved in 16.5 kilos of syabu worth RM 4.125 million in several raids in KLIA from last Thurday. The criminals smuggled the drugs in hair spray containers the upper part of each was filled with a small container of hairspray while the lower was filled with drugs. The smugglers are using all sort of ways, such as in the handles of their bags and so on to bring drugs into the country. Another tactic is to leave the bag with drugs so that it can be kept by the Lost & Found office of KLIA and to send an unsuspecting local to recover the bag. The authorities have since been wise to this tactic.


Sunday, October 02, 2011

Ong Boon Hua, illegal immigrant ...

Ong Boon Hua is now lying on his deathbed somewhere in Bangkok. For years, he tried to enter Malaysia officially to live his life out and to die in Sitiawan alongside his ancestors or so he claimed. He claimed that he was born here and by right should die in his "beloved" country. He had apparently forgotten that he had been responsible for the death of thousands of Malaysians. But his life is not here. It is in Thailand where he has been living all these years, where he has his business in his hotels and restaurants. We Malaysians, especially us Malays, don't want him and if we want him its only to cut up his body into a million pieces to be fed to the fishes.