Tuesday, April 11, 2017

Malaysia's AG Appandi contradicts statement relied on by NZ judge Toogood when allowing the Low Family to change trustees, and fight US asset seizure

by Ganesh Sahathevan



Apandi Ali ,Inner Temple Man

The relevant paragraphs from the judgement of New Zealand judge Toogood are reproduced below,together with statements made today by Malaysia's Attorney General Appandi,
Readers are reminded that SRC International was first a wholly-owned subsidiary of 1MDB Holdings, before it was taken over by the Minister For Finance Inc, which is in effect Malaysian PM Najib Razak,who is also Minister for Finance.

Apandi's statements were relied on by the Lows in arguments presented before Toogood in the New Zealand matter. Toogood accepted  without reservation the Low's assertion that Apandi had said:

There has been no evidence from any investigation conducted by any law

enforcement agencies in various jurisdictions which shows that money has

been misappropriated from 1MDB.

Apandi now says that was not quite what he meant.Readers can decide for themselves.

EN D



LOW HOCK & ORS v ROTHSCHILD TRUST (SCHWEIZ) AG & ORS [2017] NZHC 25 [20 January 2017]

ORAL JUDGMENT OF TOOGOOD J

[14] The US Government's complaints were filed on the ground that the forfeiture

assets were derived from violations of United States law, including money

laundering offences. It is contended that the assets are traceable to an international

conspiracy, said by the Government to involve Mr Jho Low in particular, to launder

money misappropriated from 1Malaysia Development Berhad (1MDB), a strategic

investment and development company wholly owned by the Government of

Malaysia. 1MDB aims to promote Malaysian economic development through global

partnerships and foreign direct investment and to strengthen Malaysia's ties to

important economic partners.


[15] It is said on behalf of the plaintiffs, however, that the Attorney-General of

Malaysia has issued an official statement, responding to the US Government’s

allegations, saying that:
There has been no evidence from any investigation conducted by any law

enforcement agencies in various jurisdictions which shows that money has

been misappropriated from 1MDB.







AG clarifies he never ordered probe into SRC to be stopped

 96 comments     Published Today 10:02 am     Updated Today 11:50 am


Read more: https://www.malaysiakini.com/news/378709#ixzz4dwDJOIhw



After having cleared Prime Minister Najib Abdul Razak 16 months ago, attorney-general Mohamed Apandi Ali has now clarified that “NFA” or “No Further Action” does not mean a case is closed.
Commenting on the investigation into the RM42 million from SRC International that went into the prime minister's personal bank account, Apandi said he ordered the Malaysian Anti-Corruption Commission (MACC) to wrap up its investigation into the case for "some time already" and expected the probe to be completed in a month or so.
According to The Malaysian Insight, he clarified that he had never ordered the investigation on SRC International to be stopped.
"When I said there was no more investigation (at a press conference in Jan 26, 2016), it was on the RM2.6 billion that went into the prime minister’s personal accounts," he was quoted as saying.
"When we declare NFA, it means we put it aside. Unless and if there is new evidence that warrants a file to be reopened and investigated again, we will do so.
"No files are closed permanently when we say NFA, even the 1MDB file,” he added.
Advised not to speak to the media
On the reason why Apandi did not correct the misconception surrounding the case earlier, Apandi said it was because he was advised not to speak to the media then.
"After that PC (press conference), I was advised not to talk to the press, and that was why I received the worst treatment," he explained.
At the press conference on Jan 26, 2016, Apandi said no charge would be brought against Najib based on the investigation carried out by MACC on the RM2.6 billion political donation and the RM42 million SRC International funds that went into Najib's account.
He had said then: "Based on the facts and evidence as a whole, I, as the public prosecutor, am satisfied that no criminal offence has been committed by the prime minister in relation to the three investigation papers. I will return the relevant investigation papers to MACC today, with the instruction to close the three investigation papers."
SRC is a former subsidiary of the prime minister's debt-laden brainchild 1MDB.
Najib unaware about SRC money
The SRC money was deposited into Najib's account in two transactions - on Dec 26, 2014, and Feb 10, 2015 - after being routed through two companies, Gandingan Mentari Sdn Bhd and Ihsan Perdana Sdn Bhd.
Najib had reportedly claimed to be unaware about the money from SRC, and Apandi also cleared him of any wrongdoing in the matter.
Apandi also told the press conference then that Najib had returned US$620 million from US$681 million (RM2.6 billion) that was channelled into his personal bank account.

The Malaysian Insight also quoted Apandi as saying: "Investigations into the rest are still going on, on 1MDB and SRC International. I had said NFA (previously). It is a standard directive given by the AG or the DPP (deputy public prosecutor) to investigation agencies. What it means is that it is NFA up to that date.”
"If I decide to open up, then I can open up any time, no file is closed. No further action does not mean that the file is closed," he added.
Malaysiakini is attempting to contact both MACC chief commissioner Dzulkifli Ahmad and deputy chief commissioner (operations) Azam Baki for their response on this.


Read more: https://www.malaysiakini.com/news/378709#ixzz4dwCYVeNO

Saturday, April 8, 2017

EPF will finance OSK's Melbourne development with AUD 175 Million (RM 525 Million) in borrowed money.after providing Ong Leong Huat & family AUD 154 million and a AUD 38.2 Million upfront profit

by Ganesh Sahathevan



Image result for ong leong huat
Ong Leong Huat 

As previously reported

OSK buys Melbourne property for AUD 145 Million, promises gardens in the sky,and gets EPF to pay AUD 154 Million for 49% in a market that is expected to collapse

The further details of the deal can be found on the OSK website and include this disclosure of a AUD 175 Million loan, which is an for the EPF an exposure over and above the AUD 154 million paid over to OSK:

PJ Development Holdings Berhad (“PJD” or “the Vendor”), a subsidiary of the (OSK) has, on 5 April 2017 entered into a Share Sale Agreement (“SSA”) with Employees Provident Fund Board (“EPF” or “the Purchaser”) for the disposal of 100 ordinary shares (“Sale Shares”) representing 100% equity interest in Yarra Development Holdings (Australia) Sdn Bhd (“Yarra Holdings”), a wholly-owned subsidiary of PJD (“the Disposal”);

Yarra Holdings is the registered and beneficial owner of all the issued and paid up shares in Yarra Australia. The principal activity of Yarra Australia is to engage in investment holding.

Yarra Holdings has applied for a credit facility of up to Australian Dollar One Hundred and Seventy Five Million (AUD175,000,000.00) only (“the Facility”) and CIMB Bank Berhad, OCBC Bank (Malaysia) Berhad and RHB Bank Berhad (collectively referred to as “the Lenders”) have agreed to grant the Facility to Yarra Holdings for the sole purpose of advancing an amount not exceeding Australian Dollar One Hundred and Seventy Five Million (AUD175,000,000.00) only to Yarra Australia to enable Yarra Australia to subscribe for the New Subscription Shares


Further details can be found at link http://disclosure.bursamalaysia.com/FileAccess/apbursaweb/download?id=78776&name=EA_GA_ATTACHMENTS.

Readers can see for themselves the type of deal OSK's Ong Elong Huat , his OSK and their business partners have struck with the EPF and its member contributors.
END

Thursday, April 6, 2017

OSK buys Melbourne property for AUD 145 Million, promises gardens in the sky,and gets EPF to pay AUD 154 Million for 49% in a market that is expected to collapse

by Ganesh Sahathevan 

The provident fund is paying A$154mil for a 49% stake in Yarra Park City Pty Ltd (YPC), which holds the rights to a five-acre mixed-use development worth over RM9bil in Melbourne.  The remaining 51% interest in YPC is held by PJ Development Holdings Bhd (PJD), which is a subsidiary of OSK.  The Melbourne project also marked the fund’s second development venture overseas after the Battersea project in London. (Picture shows: Ong (second from left) exchanging documents with Shahril. With them are OSK deputy group managing director Ong Ju Yan and EPF head of private markets department Rohaya Mohammad Yusof.)
The provident fund is paying A$154mil for a 49% stake in Yarra Park City Pty Ltd (YPC), which holds the rights to a five-acre mixed-use development worth over RM9bil in Melbourne. The remaining 51% interest in YPC is held by PJ Development Holdings Bhd (PJD), which is a subsidiary of OSK. The Melbourne project also marked the fund’s second development venture overseas after the Battersea project in London. (Picture shows: Ong Leong Huat (second from left) exchanging documents with Shahril. With them are OSK deputy group managing director Ong Ju Yan and EPF head of private markets department Rohaya Mohammad Yusof.)

The AFR reported in February this year:

Malaysia's OSK Property has won approval for the first stage of a $2.8 billion mixed-use project in Melbourne's Southbank, one of the largest single development proposals ever put to the state's planning authorities.

To be known as Melbourne Square, the project will transform a city-fringe block into a vertical village with six towers linked by a network of elevated gardens.

Then known as PJ Development, the Malaysian developer paid a record $145 million to acquire the city fringe site in June 2014 from interests associated with the Mario LoGiudice's Banco Group.

Today ,Thursday, 6 April 2017 The Star reported:


The Employees Provident Fund  is paying A$154mil for a 49% stake in Yarra Park City Pty Ltd (YPC), which holds the rights to a five-acre mixed-use development worth over RM9bil in Melbourne.
The remaining 51% interest in YPC is held by PJ Development Holdings Bhd (PJD), which is a subsidiary of OSK.


“The disposal and YPC subscription are expected to increase the net earnings of the OSK group by A$38.2mil (RM129mil) and a foreign-exchange gain on the total investment in YPC of RM49.2mil, which was previously recorded as foreign-exchange reserve; or a total increase of 12.86 sen per share for the financial year ending Dec 31, 2017,” said OSK.

In essence OSK;s PJD makes a profit of AUD 38.2 million ((RM129mil)  upfront, enjoys a forex gain of RM 49.2 million, and gets the EPF to pay for the entire purchase cost, while still controlling the development company.

As for the AUD 2.8 Billion Gross Development Value (GDV)?Recall that it does not mean anything to the EPF until and unless the project makes a profit, and that profit is paid over to the EPF in dividends. 

To make matters worse, unlike 2014 when Ong Leong Huat bought the property, the market today is fragile.
END 

See also
Aussie Banks: Property Bubble Fears Raise Alarm
Barron's-4 Apr. 2017




Thursday, 6 April 2017
EPF buys stake in OSK’s Aussie project



BY EUGENE MAHALINGAM

  • Updated Feb 23 2017 at 12:15 AM

  • Malaysia's OSK gets OK for massive 

    Melbourne project

    The first stage of Malaysian developer OSK's Melbourne Square project.
    The first stage of Malaysian developer OSK's Melbourne Square project. FloodSlicer Pty Ltd
    Malaysia's OSK Property has won approval for the first stage of a $2.8 billion mixed-use project in Melbourne's Southbank, one of the largest single development proposals ever put to the state's planning authorities. 
    To be known as Melbourne Square, the project will transform a city-fringe block into a vertical village with six towers linked by a network of elevated gardens.
    Designed by Cox Architecture, almost a fifth of the huge site will be devoted to public realm with a park, a shopping centre, childcare facility, and specialty stores.
    The overall proposal is to build the six towers, ranging in height from 30 levels to 65 levels with the tallest 226 metres, on a two-hectare car-park site at 93-119 Kavanagh Street.

    It includes 60,000 square metres of office space, a hotel and serviced apartment tower with 687 rooms and four apartment towers with 2610 apartments, and a childcare centre.

    The first stage now approved will comprise the park as well as two upmarket towers with more than 1000 apartments. Pre-sales for the apartments are due to get under way this year.

    Key destination

    "It is our hope that Melbourne Square will be an important destination within the world's most liveable city," said OSK's chairman, Tan Sri Ong Leong Huat, in a statement.
    Cox Architecture worked with landscape architects Rush Wright Associates for the masterplan and Taylor Cullity Lethlean for the first stage. 
    "A deliberate decision was made to significantly exceed the open space area requirements," said Cox director Ian Sutter.
    Then known as PJ Development, the Malaysian developer paid a record $145 million to acquire the city fringe site in June 2014 from interests associated with the Mario LoGiudice's Banco Group.
    The company is controlled by one of Malaysia's richest men, Ong Leong Huat. In December 2015, PJ Development paid $27.8 million to Quintessential Equity for a suburban Sydney office building.
    Melbourne is popular with Malaysian developers, such as SP Setia which has five Australian sites and last year lodged plans for a $640 million twin tower project in central Melbourne.

    Giant Malaysian sovereign developer UEM Sunrise has a substantial pipeline as well, including the $770 million, 92-storey Aurora Melbourne Central residential tower.

    Tuesday, April 4, 2017

    ANZ's same sex marriage campaign on a collision course with its Islamic credentials, and with its biggest private banking client Najib Razak's 1MDB theft

    by Ganesh Sahathevan






    From the ANZ website

    Islamic Finance

    ANZ has been involved in Islamic finance since the early 1980s. When banking in Pakistan was converted to a non-interest based Islamic system, ANZ played a leading role in the transition and was heavily involved in the development of the Islamic finance documentation utilised by all the banks. In 1987, ANZ successfully launched "First Grindlays Modaraba", an Islamic leasing company in Pakistan. This listed entity attracted substantial investments from the Middle East and Europe, and quickly established itself as one of the most successful lessors in Pakistan. ANZ was the first large conventional bank to establish a wholly Islamic entity within its group.

    ANZ's Global Islamic Finance unit was established in London in 1989 to undertake cross-border Islamic financing. Since its inception, the team has arranged and structured transactions well in excess of US$2 billion. We have an established reputation in arranging and structuring Islamic financing and has developed an expertise in structuring transactions according to Islamic financier's Sharia (Islamic law) requirements.



    From a 2011 newspaper report:

    Malaysian Islamic connection for ANZ bank
    MALAYSIA'S rapidly growing AmBank Group, almost 24 per cent owned by ANZ, plans to exploit the global connections of its major investor for its next phase of growth.
    ANZ has invested almost $900 million in the mid-tier Malaysian bank, its single largest investment in Asia.
    Ashok Ramamurthy, AmBank's deputy group managing director and chief financial officer, said the first six months were "tough" but the relationship was now going well. "We've demonstrated we can deliver," he said.
    Mr Ramamurthy said AmBank was being positioned to be "Malaysia's preferred banking group with international connectivity", as it linked into the ANZ global network to tap into cross-border financing.
    He said AmBank was one of the most active in Islamic banking, which had been growing at around 20 per cent annually in recent years. It was one of the top three issuers of Islam Shariah bonds, and also operated a 20bn ringgit Islamic fund. Islamic banking, albeit from a low base, had grown four times faster than conventional banking.
    AmBank was well positioned to provide a bridge for ANZ into the fast-growing Islamic banking world, Mr Ramamurthy said.




    From a more recent report, where AMBank/ANZ's Islamic banking services gained prominence:

    Malaysians now know that Prime Minister Datuk Seri Najib Razak had two bank accounts at AmIslamic Bank, confirmed by the special government task force probing into The Wall Street Journal’s allegations that some US$700 million (RM2.67 billion) was channelled into these personal accounts.




    Recalling that Najib has consequently claimed that the money was really a donation from King Abdullah to further the Islamic faith, it is hard to see how ANZ is going to explain this to someone who is probably its largest  private 
    Islamic banking client,,who also happens to be the Minister for Finance Malaysia,who oversees their operations in that country:


    The hypocrisy of the marriage equality “acceptance” ring is unbelievable. (Pic: Supplied)

    Sixteen companies, including Qantas, Google, ANZ, Fairfax Media, Foxtel, eBay, and ARN, have signed on to the Airbnb “Until We All belong” campaign, designed to build pressure on Federal MPs to push a vote through parliament, rather than keeping an election promise to hold a plebiscite.


    END

    Tan Sri has in fact become tandas-What Tunku tried to avoid has come to pass .......

    by Ganesh Sahathevan

    I am sure others are aware of this story:

    HOW THE TAN SRI TITLE WAS CREATED




    From the last paragraph above:

    Tan Sri Khir used to narrate a few of his favourite stories, among which is one relating to the Cabinet decision to introduce new honorific titles at the Federal level. “During those early days of independence, Dato’ was the highest title awarded by both the Federal and state governments. Tunku thought that the awards by the Federal government should be styled differently. I intimated to my Cabinet colleagues that in ancient Malacca and Perak, the highest title accorded to citizens was the title “Tun” followed by the title “Tan”. Every one of my colleagues was supportive of my suggestion to use these as Federal titles, until Tunku said, “Now supposing the government had to confer the title of Tan to an Indian and his name is Das. What will happen? Can you imagine? Tan Das similar in pronunciation to “tandas” which in Malay means toilet] would become a laughing stock wherever he goes.” Hence it was Tunku who proposed that the title “Tan” which I had suggested be changed to “Tan Sri” instead.”




    ........, Sultan Ibrahim Ibni Almarhum Sultan Iskandar ( has written) on his official Facebook page that he was offered RM2mil to suggest the person's name to the Chief Secretary to the Government for a "Tan Sri" title. Sources said the Sultan of Johor was “offended and insulted” by the individual.
    The sources said the individual himself was obsessed with titles as “he calls himself Tan Sri Datuk Dr”.
    It is understood that the MACC will investigate accusations that the individual was a “broker” for royal titles and also probe the source of his income.




    The royals have only themselves to blame. See celebrity photographer Kee Tuan Chee again performing sterling service in capturing  the liefestyles of Malaysia's rich and famous,as reported by Malaysia Chronicle.




    TAN SRI JASON GOH HOSTED HISTORIC CHINESE NEW YEAR DINNER FOR REIGNING KING, FORMER KING, REIGNING QUEEN AND 2 FORMER QUEENS – KEE@FSWMAG.COM
    ON 29 JANUARY 2012 WHICH ALSO HAPPENED TO BE ‘EVERYBODY’S BIRTHDAY’ AS IT WAS THE 7TH DAY OF CHINESE NEW YEAR, TYCOON TAN SRI DATUK WIRA DR JASON GOH TECK CHAI HOSTED A HISTORIC CHINESE NEW YEAR THAT HAS ENTERED HISTORY.NEVER BEFORE HAD A CHINESE NEW YEAR PARTY HOSTED BY A PRIVATE INDIVIDUAL BEEN GRACED BY BOTH REIGNING KING AND FORMER KING OF MALAYSIA!

    END 

    Sunday, April 2, 2017

    Three separate studies confirm 1MDB loss is aprroximately USD 20 Billion -Evidence of Najib ,Rosmah managing 1MDB also grows

    by Ganesh Sahathevan

    This writer recently showed that the  1MDB loss may be closer to USD 20 billion.

    Consequently blogger Donplaypuks has reported, using a different method and data, that 1MDB borrowed and lost some RM 85 to RM 95 Billion, or approximately USD 19 to 21 Billion (see  full story below).

    In addition the C4 group and journalist-analyst P.Gunasegaram have estimated ,again using a method different to and independent of this writer and the blogger Donplaypuks, that 1MDB's accumulated losses totalled RM  39 Billion , and had as well RM 39.8 Billion in outstanding debt. Given that 1MDb and the Malaysian Government have effectively defaulted on that outstanding debt,the total loss is approximately RM 80 Billion.

    We have therefore a classic case of triangulation , where three separate sources of data and methods of investigation yield essentially the same result. We have now very strong evidence that the amount lost,essentially stolen, from the various 1MDB schemes is somewhere near USD 20 Billion , or RM 8-90 Billion.This conformation also adds to the evidence that PM Najib and wife Rosmah managed 1MDB on their own, as some kind of family and friends fund.
    END










    31/03/2017


    RM95 BILLION 1MDB DEBTS! WTF IS NAJIB LYING ABOUT DEBTS SETTLED?

    NB.
    1. 1MDB'S accounts for the years ended 31st March 2015 and 2016 have yet to be prepared and audited. The MoF has not commented on having the 2013 and 2014 accounts re-audited. No action has been taken by CCM (Companies Commission of Malaysia) to fine 1MDB or its top officers for the pathetic  failure to comply with the law!

    2. Of the funds raised in the US, RM15 billion disappeared into Najib, Jho Low and their cronies pockets! More is missing too from funds raised in Malaysia! CLICK HERE.


    Based on 1MDB's 31st March 2014 Detoilette audited accounts, it had a total of RM46 billion in borrowings and creditors. (Detoilette because auditors Deloitte announced in 2016 that their 2013 AND 2014 audited accounts could not be relied upon, and then resigned! The details are as follows:

    Bank Loans, Bonds, Sukuk, overdraft etc. - RM42billion
    Derivative Debt, Trade and Other Creditors - RM4 billion.

    Yesterday, Najib "cleverly" announced that about RM10 billion of 1MDB's short tem debts had been repaid. He deliberately failed to say how much more was outstanding. Or, how these were going to be repaid, given it had sold its IPPs and Bandar Malaysia land. He also did not produce an unaudited 1MDB balance sheet to show us its current financial position.

    Also, part of the RM10 billion was used to pay debts incurred by 1MDB AFTER 2014 e.g. RM950 million MoF standby credit!

    Since 2014, 1MDB has had to service interest on its $42 billion borrowings at an average of say, about 5% per year. It had also defaulted on some loan interest as well as capital repayments. Tycoon Ananada Krishnan was instrumental in re-financing some RM4 billion of 1MDB's loans in 2015!

    More than that, the US$ has ballooned to about 4.40 against the ringgit, adding some RM10 billion to 1MDB's debts, due to exchange rate losses.

    Another headache is the US$6.5 billion that IPIC of Abu Dhabi has sued 1MDB for interest and loan repayment guarantees. This is the subject of an arbitration case being heard in London.

    Based on the above table, 1MDB had about RM95 billion in debts, which after yesterdays announcement, is reduced to RM85 billion.

    So, over to Najib:

    1. How is this RM85 billion going to be repaid?
    2. Which are the projects Najib is going to inflate to illegally cover-up 1MDB's losses? ECRL? Pan Borneo Expressway? KL-Singapore HSL? Rapid JB?
    3. Who should go to jail for it all? Surely, Najib first?
    4. Why has the IGP/AG failed after 1 year to charge ex-1MDB CEO Sharol Halimi for fraud, theft etc., despite a PAC report demanding it? What about Ismee, Chairman Lodin Wok, Arul Kanda, Mof Chief Secretary Dr. Irwan Serigar Abdullah and Chief Secretary to the Government Dr.Ali Hamsa?

    Bamboo River Resort is soon going to be very, very over-crowded!

    Saturday, April 1, 2017

    Sultan of Johor's assertions about Forest City adds to confusion about status of strata tiles, confirms LKY's warning that investment in Iskandar is risky business



    Johor's Sultan Ibrahim Iskandar has likened Johoreans who
    believe "lies" peddled on the Forest City development in
    Pasir Gudang, to individuals who committed treason.
    (Source:Malaysiakini)

    by Ganesh Sahathevan

    In 2013 the late Lee Kuan Yew of Singapore warned:

    "This is an economic field of co-operation in which, you must remember, we are putting investments on Malaysian soil," Lee said. "And at the stroke of a pen they can take it over."

    That warning is hard to dismiss , especially now when the Sultan Of Johor himself ,technically the sovereign in perpetuity of all of Johor, makes statements such as this:

    “The freehold is actually the strata, not for the land. The company owns the freehold land, not the buyers,” he said.

    And that after Sekijang MP Anuar Manap said this:
    "Yes it is a freehold title but it's not for the land, but for the strata. Not an inch of of Johor land is given out as freehold in this case,"



    And the developer Forest City said this:

    Asset Protection
    freehold property for generations
    commonwealth legal system, property rights with high level of privacy protection
    no economic environment constraints, preserve the value of the asset.


    END