EY Global must explain hiring Pyne: EY is DCNS/Naval Group's auditor

by Ganesh Sahathevan


Mr Pyne and the boss of DCNS, Herve Guillou, visit the 

shipyards in Cherbourg.

See first 

Is l'affaire Adelaide a repeat of DCNS's l'affaire Karachi-Australian taxpayers have not been told why French subs will cost 5 times more

And then: 

Christopher Pyne called out for taking defence job within 18 months of leaving Parliamenth

And for the EY connection

https://www.naval-group.com/wp-content/uploads/2018/04/rapport-financier-2017-en-1.pdf - 

https://www.naval-group.com/wp-content/uploads/2017/04/dcns-rapport-financier-2016-en.pdf  

The Global Executive

Mark Weinberger


EY Global Chairman and CEO

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Carmine Di Sibio

EY Global Chairman and CEO-elect and Global Managing Partner – Client Service

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Lou Pagnutti



EY Global Managing Partner – Business Enablement

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Functions

Beth Brooke-Marciniak


EY Global Vice Chair – Public Policy


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Trent Henry


EY Global Vice Chair – Talent


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Dave Holtze



EY Global Vice Chair – Finance and CFO

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Jay Nibbe


EY Global Vice Chair – Markets


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Felice Persico

EY Global Assurance Vice Chair


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Norman Lonergan



EY Global Vice Chair – Advisory

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Kate Barton


EY Global Vice Chair – Tax


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Steve Krouskos



EY Global Vice Chair – Transaction Advisory Services


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Geographies

Kelly Grier




US Chairman and Managing Partner and Americas Managing Partner


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Patrick Winter


EY Asia-Pacific Area Managing Partner

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Andy Baldwin


EY EMEIA Area Managing Partner and EY Global Managing Partner – Client Service-elect

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Scott Halliday


EY Japan Chairman and Area Managing Partner

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Alison Kay


EY Global Accounts Committee Chair

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Rajiv Memani


Chair of the EY Global Emerging Markets Committee, Chairman and Regional Managing Partner – India

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Albert Ng


EY Global Emerging Markets Committee Member, Chairman – China, Regional Managing Partner – Greater China

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Partner on rotation

Jessie Qin

EY EMEIA Advisory Center Solution Lead, Ernst & Young – Switzerland Partner

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END

Is the Malaysian Government hiding liabilities -Is the toll road SPV one of many?

by Ganesh Sahathevan

This statement by the Minister For Finance Lim Guan Eng is nonsense: 

“The collection of congestion charge (for use of the toll roads) will be sufficient to service the debt, as well as to finance the operation and maintenance costs of the highways without requiring additional budget allocation by MOF.

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“In other words, the acquisition cost will be self-financing through the collection of congestion charge and will not require any government expenditure,” Lim said.

The acquisition will be  financed by debt,and via a SPV wholly-owned by the MOF Inc (see story below). Its debts are debts of the Malaysian Government.It is hard to tell if it is the only SPV that is being used by the Malaysian Government to keep liabilities and outflows off the books.

END 

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1. HOME
2. MALAYSIA
   
   Finance Ministry says RM5.3b saved with acquisition
   of four highways
   
   
   Published 1 week ago on 22 June 2019
   
   BY DEBRA CHONG
   
   
   
   
   
   
   KUALA LUMPUR, June 22 ― Putrajaya will not have to pay concessionaires more than RM5.3 billion in compensation by acquiring four tolled roads in the Klang Valley in which Gamuda Berhad (Gamuda) is the majority shareholder, Lim Guan Eng said today.
   
   The finance minister confirmed Gamuda’s announcement yesterday that the government wants to acquire Lebuhraya Damansara Puchong (LDP), Sistem Penyuraian Trafik KL Barat (SPRINT), Lebuhraya Shah Alam (KESAS) and SMART Tunnel (SMART) and has issued offer letters to the four concessionaires for a total of RM6.2 billion.
   
   
   
   “If the acquisition process of these highways is successful, the Government will acquire the highway concessionaires on 31 December 2019 through a special purpose vehicle (SPV) wholly-owned by the Minister of Finance (Incorporated),” Lim said in a statement.
   
   He explained that the SPV will finance the offer of RM6.2 billion by way of bond issuance.
   
   “The collection of congestion charge will be sufficient to service the debt, as well as to finance the operation and maintenance costs of the highways without requiring additional budget allocation by MOF.
   
   
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   “In other words, the acquisition cost will be self-financing through the collection of congestion charge and will not require any government expenditure,” Lim said.
   
   He added that the acquisition of the four highways represents the Pakatan Harapan (PH) government’s first step in fulfilling its election promise to cut toll fares, which he said will not only benefit motorists and commuters using those roads but Malaysians nationwide who stand to gain from the savings.
   
   Lim said that with the proposed offer, the government should not have to spend more than RM3.5 billion of taxpayers’ money to compensate the concessionaires in order to maintain the current toll rates until the expiry of the respective concession contract.
   
   “The Government will no longer require to pay such compensations after acquiring these four highways.
   
   “This means that the Government will be able to allocate additional spending of more than RM5.3 billion in the coming years for the benefit of Malaysian citizens across the country.”
   
   He broke down the offer price of each of the four highways as follows: RM2.47 billion for the LDP, RM1.98 billion for SPRINT, RM1.38 billion for KESAS, and RM369 million for SMART.
   
   He said the offer is not final, subject to due diligence and approval from shareholders, the creditors for each concessionaire and lastly, the Cabinet.
   
   However, if the acquisition goes ahead as planned, it will mean the collective savings of RM180 million a year for commuters using the four Klang Valley highways.
   
   He sought to explain the savings structure, saying commuters would get discounts up to 30 per cent if they travelled on those roads outside the morning and evening rush hours and that it would even be toll-free during off peak periods.
   
   He also said there would be a cap to a proposed congestion charge that is scheduled to kick off on January 1, 2020, which would remain at the current toll rate.
   
   But as with the earlier caveat, the finance minister said the structure of the congestion charge is not final.
   
   He also said any surplus collection will be spent on upgrading and maintenance of public transport system.
   
   Lim promised that the RM180 million saved “will go straight into the disposable income of Malaysian households”.
   
   He added that if the proposed acquisition of these four highways is successful, then the government will apply the same model to acquire the concessions of other tolled highways, including inter-city highways, in future.

Malaysia Building Hong Kong Request For Proposal raises very many accounting questions

by Ganesh Sahathevan

The Honourable
Mr. Lim Guan Eng

Minister of Finance, Malaysia

Born in December 1960, Mr. Lim holds 

a Bachelor’s degree in Economics from 

Monash University, Australia and is a 

qualified accountant

In March this year The Edge reported:

The disposal of a tower building in Hong Kong that houses the Consulate-General of Malaysia’s office was actually proposed during the previous administration, Finance Minister Lim Guan Eng told the Dewan Rakyat yesterday.

The sale was initially proposed to be undertaken via direct negotiations at the price of RM1.1 billion, he said, a lower price compared with the RM1.6 billion price tag that has now been achieved via open tender under the Pakatan Harapan government.

So, this Request For Proposal with regards the sale of the same building makes no sense:

REQUEST FOR PROPOSAL (PERB/T/1/2019)APPOINTMENT OF AGENT TO DISPOSE MALAYSIA BUILDING IN HONG KONG

 This Request for Proposal (RFP)  is offered to Estate Agents (hereinafter referred to as "Agent") who have sufficient knowledge of the law relating to property and conveyancing in Hong Kong (registered with the Hong Kong Estate Agents Authority) and comply with one of the requirements specified below:

 i. Malaysian registered Agent that has an office (subsidiary / associate / affiliate) registered in Hong Kong; or 

ii. Agent registered in Hong Kong and has office (subsidiary / associate / affiliate) registered in Malaysia; or

 iii. Malaysian registered Agent with Co-Agent registered in Hong Kong; or 

iv. Agent registered in Hong Kong with Co-Agent registered in Malaysia. Request For Proposal

https://www.treasury.gov.my/pdf/tender/Iklan_HK_Agent.pdf

If the deal has fallen through, Minister Guan Eng needs to say why.Lim's  March announcement means the sale,or at least the receipt of a deposit, needs to be reflected in Government accounts. If the deal fell through the entries need to be reversed, with an explanation in the notes to the accounts.

Further, the highly restrictive terms as to who can tender are ridiculous. Sales of this type can be easily advertised internationally by the Ministry Of Finance, and an offer accepted from the highest bidder.

Answers are required from all involved, 

END 

NSW Liberal donor Minshen Zhu's Top Group, the LPAB,the AG,and Sharon Austen Ltd

This summary is not available. Please click here to view the post.

On Governor Bank Negara Nor Shamsiah's never again an 1MDB: Nice sentiment, but what about EPF,OSK and RHB in Melbourne?

by Ganesh Sahathevan


The new  Governor of Bank Negera, Nor Shamsiah, has been quoted saying:




“We cannot allow another 1MDB event to recur. This 1MDB affair has put a spotlight not just on Malaysia but also on banks in a number of other countries. And that is why we have the Financial Action Task Force (FATF) recommendations.

“In countries that are assessed against that raft of recommendations, FATF wants to see the areas of improvement a country needs to undertake in order to strengthen controls against money laundering. You should read the report on Malaysia and the report of other countries. Most authorities have taken action against their regulatees.

“It was a useful exercise for us because we did recognise that while we have a good preventive framework, there are areas that we need to strengthen. These include controls and governance in the banks as well as the prosecution system in Malaysia that needs to target more high-risk crimes.”

Meanwhile, this issue remains outstanding, even as the Australian property market declines: 

Saturday, April 15, 2017

EPF's Melbourne project: RHB extended a loan for the benefit of its director Ong Leong Huat-Bank Negara ought not have approved this transaction, MACC cannot pretend this elephant does not matter

by Ganesh Sahathevan

Previously reported on this blog:
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

As reported yesterday the EPF's AUD 175 million contribution has been provided by three Malaysian banks, including RHB Bank: 

Further research has shown that the EPF probably sought Australian dollar funding from Malaysian banks CIMB Bank Berhad, OCBC Bank (Malaysia) Berhad and RHB Bank Berhad ,very likely because Australian banks would not fund the project


Ong Leong Huat is also a director of RHB Bank and RHB Investment Bank.The details are provided on the RHB Group website, extracted and copied below:

Tan Sri Ong Leong Huat @ Wong Joo Hwa (“Tan Sri Ong”) was appointed as a Non-Independent Non-Executive Director of RHB Investment Bank on 20 November 2012 and was subsequently appointed as the Chairman of RHB Investment Bank on 23 January 2013. On 27 June 2016, Tan Sri Ong was re-designated as a Non-Independent Non-Executive Director of RHB Investment Bank. He also serves as the member of Board Nominating & Remuneration Committee.

Tan Sri Ong’s other directorships in public companies include RHB Bank Berhad, OSK Holdings Berhad, PJ Development Holdings Berhad (Chairman), OSK Property Holdings Berhad, OSK Ventures International Berhad, KE-ZAN (Holdings) Berhad. He is also a trustee of OSK Foundation.

RHB Bank has extended a loan for the ultimate benefit of a director.MACC and Bank Negara investigation and prosecution ought to follow.

END 

Wednesday, April 12, 2017

OSK's fast profit of AUD 40m will not turn into a long term gain for EPF:Sharil is not providing any guidance on potential returns from its Melbourne investment,instead promises all will be well......

by Ganesh Sahathevan






Shahril: ‘We have a fair number of assets in Australia.’




Shahril of the EPF was quoted by The Star, justifying its recent investment in Melbourne:

The Employees Provident Fund (EPF) is optimistic that its latest venture into the Australian property market will yield long-term returns, despite speculations (sic) that the housing sector is headed for a glut. 

EPF chief executive officer Datuk Shahril Ridza Ridzuan said the project would span over 15 years.

“Australia is a market that we’re comfortable with and we’ve been there for a while already,” he told reporters on the sidelines of the IFN Forum Asia 2017, yesterday.

“For a fund like ourselves, given the long-term liabilities that we manage, the key focus for us over the past few years is to build a solid infrastructure and property assets, and in the property space we’ve very much focused on long-term assets with 10 to 20 years of yield.”

These are very nice sentiments, but EPF has already handed Ong Leong Huat and family a profit of about AUD 40 Million (not bad for about 3 years work) , As previously reported on this blog:

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

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

That AUD 175 Million loan that the EPF has so generously taken out in favour of Ong Leong Huat and family , helping them finance the project which they still control (they own 51%) will lead to an immediate CASH outflow at the EPF in interest payments.

The income stream, can only be in dividends, which the 51% decides, and only if there is a profit. Keep in mind that those in charge of a project can get money out of it so many, many , may different ways ; management fees are just the start. And remember, the Ong's have already made AUD 40 million, or about RM 120 Million.

This statement is meant to fool contributors, and seems not very likely in the case of this project:
“For a fund like ourselves, given the long-term liabilities that we manage, the key focus for us over the past few years is to build a solid infrastructure and property assets, and in the property space we’ve very much focused on long-term assets with 10 to 20 years of yield.”

END 

Rajah and Tann lawyers claim to have uncovered the 1MDB theft, recovered 1MDB assets, and also represented Singaporean Kelvin Ang Wee Keng who was charged for his part in the theft, as well as 1MDB in the scandal plagued TRX development

by Ganesh Sahathevan
EDITED

REPOSTED ON 11 JUNE 2023



Danny Ong | Rajah & Tann Asia
Ong left in April 2023 to to start law firm focused

 on crypto disputes

Rajah Tann's Danny Ong states that he has been involved in the recovery of "misappropriated assets globally, most recently arising from the 1MDB debacle." ( Ong left Rajah to start his own from, Setia Law, in April 2023).

His work must now surely be redundant given the formation of the MACC 1MDB asset recovery task force. As reported previously:

1MDB: A MACC asset recovery task force has been formed,almost a year late:PwC and all others should now be sacked

In any case Rajah Tann are potentially conflicted, given the fact that the firm represented Kelvin Ang Wee Keng ,the second Singaporean charged in connection with the investigation 

Further it acted for 1MDB in its joint venture with Lend Lease on the development of the Lifestyle Quarter. The advise included matters pertaining to the procurement contracts. 

Rajah And Tann now  also claim to have uncovered at least part of the 1MDB theft:

(Thong Chee Kun)  was one of the lead lawyers in cases involving the 1MDB scandal that exposed the embezzlement of the Malaysian sovereign wealth fund and the insolvent German payment processor Wirecard.

END 

END 

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Rajah & Tann refreshes fraud and asset recovery heads

8 December 2022

From left to right: Jansen Chow and Thong Chee Kun

Rajah & Tann Singapore appointed Thong Chee Kun and Jansen Chow as new co-heads of its fraud, asset recovery and investigations practice, with Kun overseeing civil aspects and Chow criminal ones.

“This appointment is part of our policy of grooming the next generation of lawyers and giving them a longer runway to nurture those below them,” said Patrick Ang, managing partner of Rajah & Tann. “We are confident they will be able to build on the strong foundation already established by their senior mentors.”

Thong specialises in financial and regulatory crimes and offences. He is experienced in corporate and compliance breaches, criminal breach of trust, corruption, cybercrimes, market manipulation and securities fraud, and enforcement proceedings.

He was one of the lead lawyers in cases involving the 1MDB scandal that exposed the embezzlement of the Malaysian sovereign wealth fund and the insolvent German payment processor Wirecard.

Chow has a wealth of experience in anti-corruption investigations and international fraud disputes, with a growing focus on cryptocurrencies.

He was recently involved in the world’s first freezing order case related to stolen crypto assets, which was reported for its novel legal and jurisdictional issues in March this year.

The plaintiff, an American entrepreneur, commenced an action to trace and recover his cryptocurrency assets, worth about USD7.08 million at the time, that were misappropriated from him by unknown individuals.