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Sunday, October 7, 2018

Umno is swimming against the tide


Empires are built, destroyed and rebuilt. If Umno wishes to witness the final part of that life cycle, it must navigate out of choppy waters by making right calls.


IF there’s one thing the Umno leadership needs to accept – no matter how painful – is that it’s now in the opposition. They got kicked out, and that’s life.

So, for God’s sake, please start acting and thinking like an opposition party. It may be hard after 60 years being at the helm, since the party has enjoyed the privileges of power, which can be intoxicating.

Suddenly, the motorcades are gone, invitations to events have trickled, telephones are not going off the hook, and the formal suits have stayed in the closet.

Umno leaders should forget about “doing deals”. That was precisely what got the party into trouble – those dubious deals.

Some Umno leaders find it hard to be “out of power”. They need to be in power – even if it means playing second fiddle, or even placing third or fourth in the pecking order. But here’s the bad news – Pakatan Harapan doesn’t need Umno.

They need to stop leveraging on the spin that Tun Dr Mahathir Mohamad needs them to keep Datuk Seri Anwar Ibrahim at bay. It sounds good for them, but the danger is that Umno MPs may start believing in their inflated sense of self-worth.

The PH government has the numbers. They have formed government and are running the country.

Governments in other countries, such as the Kuomintang party, which founded Taiwan, is now in the opposition but was the ruling party for decades, amassing huge assets. And like Umno, it also got embroiled in corruption.

The KMT maybe be broken now, but it still has plenty of assets. When the party fled to Taiwan after losing the civil war to the communists in 1949, it took millions in gold, bonds and antiques, all of which became part of the foundations of the party’s fortunes.

It also inherited assets left by the Japanese during their 50 years ruling Taiwan, but the KMT has come under investigation for public and private assets it seized after arriving in the country.

With its assets recently frozen, it had to cut staff from 800 to under 400 personnel because of insufficient funds. Sounds familiar, doesn’t it?

Then, there is the Indian National Congress, founded in 1885, and which ruled India for 60 years, yet today, is in the opposition and struggling to remain relevant.

In Britain, the Conservative and Labour parties have been voted in and out of government. Amazingly, in all circumstances, even when alliances were made with smaller parties, the loser ended up accepting the people’s verdict and simply worked towards getting re-elected.

So, it is terribly embarrassing to see how Umno leaders crawled to Dr Mahathir, seeking advice on how to keep his former party alive. I mean, why would he even want to see Umno remain intact?

If that’s not enough, Umno had to use its usual trump cards of race and religion as reasons for the formation of a unity government, comprising mainly Malays and Muslims, to safeguard the interests of the community – after billions of ringgit vanished!

It’s also incomprehensible to be telling Umno leaders in Kelantan and Terengganu, who have fought against PAS since Umno’s formation, that they now must work with the Islamist party.

And in the same breath, try to persuade what’s left of the Barisan Nasional component parties that it is merely trying to reach an understanding with the fellow opposition party.

Umno and PAS are supposed to represent different things. Umno is Malay and Muslim, but is supposed to be moderate, inclusive and has shared power with the MCA and MIC, even in Malay-dominated constituencies.

Of course, these Barisan component parties don’t understand what’s going on because Umno members themselves are clueless about this purported deal with PAS.

And why should PAS want to share power with Umno? It has control of two states. It has exuberantly introduced whipping and gender segregation at public events again, making the two states look like some extremist Middle East country.

The party is happy to equate liberalism with open sex, hedonism, LGBT and everything else it deems sins. And can we be blamed if we feel that Umno is happily singing the same tune and sharing the same ignorance of what liberalism means? And now, we even have a new term – super liberalism. Go figure.

And why shouldn’t non-Muslims feel resentment for PAS when its president questioned Datuk Seri Anwar Ibrahim for attending gatherings involving other faiths, or for the PKR president-elect to contest in a multi-racial constituency?

If Umno chooses to work with a party like PAS, then it’s heading down a slippery slope, if it’s purely about retaining or winning the Malay votes, because the party is bound to be grilled for what it stands for. Surely, it can’t be the same as PAS.

The DAP and PKR had been in the opposition for years, even decades, with their leaders paying a heavy price for their political convictions, but they continued with their struggles. We don’t have to agree with their politics and what they stand for, but credit where it’s due for their convictions.

And here we are – Umno suffers one defeat, and it’s running around like a headless chicken, which is how the party is being described now.

If it wants to get its house back in order, Umno first needs to reform itself. It is a flawed product, but not entirely a rejected or expired item.

It must appear an alternative. The voters are testing the PH government to see if it’s any good. Why not? After all, they gave the Alliance and Barisan a good 60 years, and they became arrogant and corrupt.

The voters are basically the customers, but Umno forgot that detail and expected the customers to be grateful, which is ironic. But that was exactly how Umno treated its customers.

Malaysians would like to see Umno leaders stop acting like big shots (which they no longer are), admit their mistakes and excesses of the past and, step down from their pedestal and be ordinary Malaysians.

Surely, we want leaders who can speak the languages of the people, understand their needs and sentiments, and just be one of us.

They ought to know that we are tired of having to address them by their titles and being expected to line up to kiss their hands. And for some bizarre reason, we wonder, too, why their identity cards need to carry their fathers’ titles!

So, we now have Tan Sri Awang Ibrahim bin Tan Sri Osman Tengah. If you don’t believe me, check the Mykads of most Umno members.

That’s how ridiculously far we have allowed this scheme of grandiosity to go with our obsession with titles. Now, it’s refreshing to see Cabinet ministers with no fancy titles.

We are watching all these newbies, so, don’t try to con us with pictures of them flying economy class, especially during the first year, and then subsequently, and quietly, enjoying the perks of power.

It’s obvious that the corrupt show their greedy selves in the second term of office.

But all is not lost for Umno. It has 49 MPs and that’s a substantial number. It must come across as an opposition worthy of being voted back into power, or it can continue to use the faces of political minnows, with their aggressive and irrational behaviour that is incongruous with the New Malaysia. It looks like Umno hasn’t learnt yet.

If the leaders can’t think well, then, it has to set up a really good think-tank capable of drafting the best papers and sound bites for Barisan leaders, and even produce policy papers that will put the party in good light.

Unlike the other component parties, Umno is still able to retain some very good youth leaders who can articulate their thoughts well, and with good command of Bahasa Malaysia and English. These fresh faces must surely be in the forefront.

If the warlords who run the divisions continue to have their way – now that the easily available funds are drying up quickly – then the demise of Umno will be near, and if they are still looking for deals, then it will be even closer.

Wong Chun Wai
On the beat by Wong Chun Wai

Wong Chun Wai began his career as a journalist in Penang, and has served The Star for over 27 years in various capacities and roles. He is now the group's managing director/chief executive officer and formerly the group chief editor.




Saturday, October 6, 2018

China battles US for AI and robotic space: Who’s ahead?

Robot dominates: Ford F150 trucks go through robots on the assembly line at the Ford Dearborn Truck Plant in Dearborn, Michigan. Robots are also entering areas such as logistics warehousing, chemicals and plastics factories and F&B industries. — AFP
Edit
Humans vs. Robots


NO doubt, the FAANGs – Facebook, Apple, Amazon, Netflix and Google – are making the world a better place.

Still, they are being accused of being BAADD – big, anti-competitive, addictive and destructive to democracy.

Regulators fine them, politicians take them to task, and even their backers warn of their power to cause harm. Much of the techlash is undeserved. There’s fake news everywhere.

Nevertheless, there is justified fear that the tech titans will use their power to protect and extend their dominance, often to the detriment of consumers. Indeed, the big tech platforms do raise worries about fair competition in particular.

In Singapore, the merger of Grab and Uber brings on legitimate concerns in the taxi space. The tricky task for regulators is how to restrain them without unduly stifling innovation.

Today, trust busters have granted tech giants the benefit of the doubt in the fight for artificial intelligence (AI) and robotic space. At some point, who takes the moral and legal responsibility for their mechanical creations?

Like it or not, AI-enabled bots and machines are already here, in the form of drones, driverless cars and medical, educational and domestic robots. To muddle the picture still further, AI is now embodied in physical, sometimes humanoid, form in machines designed to engage directly with people.

Talk is rife about the outright banning of killer robots, which cross the moral red line (only humans are permitted to kill humans!). Already, there is a proposal to create a Robotics Commission in US and Europe to be responsible for moral and legal issues surrounding the use of robotics and AI enabled smart machines. High time too.

Robots and cobots

Armies of robots and collaborative robots (cobots) are spreading throughout factories and warehouses around the world, as the accelerating pace of automation transforms a widening range of industries.

And it is not just in advanced countries but in emerging economies as well where machines are a growing force, with global sales of industrial robots increasing by 18% to a record US$13.1bil in 2016.

These groups are benefiting from mounting demand for sophisticated machines that no longer just weld car bodies and lift heavy loads, but also perform complex functions from electronic component production to arranging chocolates neatly into boxes.

Another trend is the increasing range and type of robot, as they vary from flexible mechanical limbs to smart machines that can work alongside humans. Cobots are specifically designed to interact with people.

The robotics market has been growing strongly and will continue to grow. The spread of robots has piqued the debate over the suitability of humans versus robots as workers, with warning that more machines will take jobs. Consultants McKinsey found that about 30% of tasks in 60% of occupations could be automated.

Advanced automation is partly a response to a shortage of skilled manual labour, with robots often filling “dull, dirty, dangerous and delicate” roles that people simply do not want. Also, the falling cost of robotics systems, and breakthroughs in robotics technology – combining with the rising level of electronic communication between equipment and computers in factories, sometimes called the industrial Internet of Things.

Then there is the shift in some industries from producing a small variety of goods in large batches, to a greater mix of products in smaller batches. All these are basically driven by consumers. Although the largest user remains the car industry (mainly for welding and painting), the main driver of growth is the electronics and electrical sector, chiefly located in Asia and mainly for batteries, chips and display.

But robots are also entering other areas, such as logistics warehouses, chemicals and plastics factories and the food and beverage industries. In total, almost 300,000 units were sold worldwide last year, with three-quarters bound for just five countries: China, South Korea, Japan, US and Germany. Three in every 10 went to China alone.

Once the manual labour “workshop of the world”, it has been the largest buyer of industrial robots since 2013, and its purchases jumped by 27% in 2017. There were increased investments in many developing countries as well, such as Taiwan, Thailand, India and Mexico, as well as in Italy and France.

While there have been improvements in hardware capabilities, such as hydraulics and mobility, perhaps the most important developments are in sensors and software that are making robots more sensitive, flexible, precise and autonomous. The software side of industrial robotics is becoming more and more important.

However, despite the growth, robots still have many limitations when it comes to dexterity, judgment and the ability to improvise. Today, machines are beginning to learn new tasks from humans by imitation. This has opened up big possibilities, especially for cobots, which are smaller, lighter, more flexible and mobile. And, even more critically cheaper, making it more affordable for small and medium-sized enterprises to invest. While usually slower, they have greater adaptability, because they can be assigned to different tasks.

US dominance

True, US roads, airports, seaports and schools are on the slide. But US retains dominance in the most sophisticated fields – defence, elite universities and technology. Sure, US ceded the top spot to China in exports in 2007, in manufacturing in 2011, and absolute GDP by 2030. But Silicon Valley is still where the best ideas, smartest money and the most savvy entrepreneurs reside.

But China is catching up fast: its BAT (Baidu, Alibaba and Tencent) are in the same league as the FAANGs and new stars are coming on fast (Didi Chuxing, Ant Financial and Lufax). China’s e-commerce sales are 2x US’ and China remits 11x more money by mobile phones than US (still scribbling cheques). China plans to lead globally in AI by 2030.

Its VC industry is booming – the entrepreneurial work-ethic in Beijing, Hangzhou and Shenzhen are a sight for sore eyes. Despite the huge progress, China remains far behind. Studies show that China’s tech industry is only about 42% as powerful as US (only 15% in 2012).

But Chinese tech has weak spots: (i) its total market value is only 32% of US; (ii) has two to three huge companies and lots of small ones; (iii) China is puny in semiconductors and business-facing software; (iv) its tech products has not as yet permeated the industrial economy; (v) Chinese non-techs are primitive – only 2.6% as digitalised as US; (vi) Chinese tech investment budget is only 30% as big as US, with foreign sales 18% of what US makes.

However, the gap narrows in the more dynamic parts of tech industry: (a) in e-commerce and internet, Chinese firms are 53% the size of US (in market value); (b) China’s unicorns are now worth 69% of US; (c) its VC activity, 85% of US in 2016; and (d) in “breakthrough” AI innovations, China’s population of AI experts is only 6% the size of US – with their best minds still working in large US techs; while cited AI papers by Chinese scientists are at 89% of US.

At the present pace, China will need a further 10-15 years to catch up. Viewed from China, US giant techs remain as “comfy monopolists”, while Chinese techs are plain “hungry”. Beijing’s blueprint: to create a US$150bil AI-industry by 2030 underlines its desire to beat US.

China’s advantage: sheer numbers of people, data, talent and superior lines of codes being written! At 730 million, China’s online population alone is more than 2x US size, and more tech-savvy. While US faces cut-backs in research money, China is committing ample money and also political capital into its relentless drive to reign supreme in AI.

However, the quality of fundamental research in China remains a problem. It lags behind EU in terms of the number of AI papers in the top 5% of most cited.

Where’s EU?

Few in US and China seriously regard Europe becoming a force in machine learning – the area AI has made the most progress in recent years. The process involves feeding reams of data through algorithms as AI learns to interpret other data.

Europe simply lacks scale; unlike US and China where tech giants have a surfeit of the most vital resource for AI – data; also attracted the best talent & boost the biggest computer clouds. Here, Europe is way behind.

Since US and China have centralised data systems (controlled by very few large firms), Europe can create a more decentralised option. China is expected to hold 30% of world data by 2030; US with just as much. Europe has data too, but needs to pool its diversified resources in research and data. But, Europe has institutional inertia, with much of its funding centered in academic institutions – not the best place for it. To be relevant, Europe has to do much more. Still, no match for US and China.

Silicon Valley: where next?

The stretch of land in the US Bay Area running from San Jose to San Francisco is home to three (Apple, Facebook, Google) of the world’s five most valuable tech giants. All claim Silicon Valley (SV) as their birthplace and home, as do trailblazers such as Airbnb, Tesla and Uber.

The Bay Area has the 19th largest economy in the world, ranking above Switzerland and Saudi Arabia. SV has become a byword for innovation and ingenuity. It has also been at the centre of several cycles of Schumpeterian destruction and regeneration, in silicon chips, personal computers, software and internet services. Its combination of engineering expertise, thriving business networks, deep pools of capital, strong universities and a risk-taking culture have made SV almost impossible to clone.

There is no credible rival for its position as the world’s pre-eminent innovation hub. But there are signs that SV’s influence is peaking. Yes, something is changing. According to a recent survey, 46% of residents surveyed plans to leave the Bay Area in the next few years, up from 34% in 2016. So, many startups are branching out: “Off Silicon Valleying.”

In 2013, SV investors put half their money into startups outside the Bay Area; now it is closer to two-thirds. Reasons: SV has just become too expensive; among the world’s costliest. Young startups pay at least 4x more to operate here. New technologies, from quantum computing to synthetic biology, make lower margins than internet services. There is also the nastier features of Bay-Area life: clogged traffic, discarded syringes and shocking inequality. The Miami-Fort Lauderdale area is now ranked first for startup activity, based on the density of startups and new entrepreneurs.

There are others: Los Angeles (which has a vibrant tech scene), Phoenix and Pittsburgh (have become hubs for autonomous vehicles); New York (for media startups); London (for fintech); Shenzhen (for hardware). None of these places can match the SV on its own; between them, they point to a world in which innovation can be better distributed. The problem is that the wider playing field for innovation is being levelled down, away from the dominant effects of tech giants.

Second, the increasingly unfriendly policies in the West. Rising anti-immigrant sentiment and tighter visa regimes have economy-wide effects: foreign entrepreneurs create around 25% of new companies in America. Unfortunately, SV’s peak looks more like a warning that innovation everywhere is becoming harder. SV is fast becoming more an idea instead of a place. Wall Street went through a similar transformation; its name becoming shorthand for a whole industry.

As tech firms set their sights on disrupting old-fashioned industries, like healthcare and logistics, they may find that it helps to be based in cities that claim deep expertise in these areas – and where garages housing startups are just the stuff of museums and memory.

What then are we to do

The time has come to love robots. Asians do. But not in the West where robots receive terrible press. They worry about robots killing jobs. In Asia, robots are today commonly used in Japan, South Korea, Taiwan and China. ADB’s June 2018 report analysing 12 developing Asian economies in 2005-15 concluded that rising demand had more than compensated for jobs lost to automation. The adoption of new technologies, such as modern machine tools and computer systems in factories and offices, had stimulated higher productivity and economic growth. That transformation, it estimated, had created 124 million new jobs, compared with the 101 million jobs lost to technology.

It is worth noting that there are two types of robots: those that do the work of humans and those that enhance their performance. We hear too much about the first type and too little of the second. Sure, their creations help humans deal with the “3 Ds”: dirty, dull and dangerous tasks. But countries that have the highest adoption of robots also have the lowest unemployment rates. Also, they help address the acute demographic squeeze as societies rapidly age. Some Asian societies prefer robots to immigrants to supplement their shrinking workforces. Robots are increasingly moving out of the factory into homes and hospitals, where they will need new capabilities.

I believe that technologies are always a net job creator over the long run, but, as Keynes put it, in the long run we are all dead. As these technologies make their way into every industry, they will benefit those at the very top with the skills and education to leverage the productivity advantages that AI affords.

Medical specialists, for example, could dramatically increase their income by using AI’s productive analytics to better diagnose and treat patients. But workers doing highly repetitive tasks that can easily be done by machines will not fare so well. This has massive consequences.

A McKinsey report shows that, while digitalisation has the potential to boost productivity and growth, it may also hold back demand if it compresses labour’s share of income and increases inequality. We badly need a kind of digital New Deal. For as many jobs as will be replaced by automation, there are other areas – customer service, big data analysis, etc. – that desperately need talent. Companies that pledge to retain workers and retrain them to develop skills to get stable jobs, should be offered tax incentives to do so. And spend the cash on factory upgrades, technical improvements, and re-training costs.

There are plenty of such projects that workers could be deployed now – including helping to expand rural broadband. It is a way for companies and government to turn a potential difficult employment situation into an opportunity by using this disruption to prepare & train a 21st-century digital workforce, and build public infrastructure to support it.

Credit: What are we to do? by Lin See-yan - Former banker, Harvard educated economist and British Chartered Scientist, Tan Sri Lin See-Yan is the author of The Global Economy in Turbulent Times (Wiley, 2015) & Turbulence in Trying Times (Pearson, 2017).


Friday, October 5, 2018

Najib & his strong wife Rosmah with 17 charges in Court over money laundering

> https://youtu.be/tMl-fpyH388

https://youtu.be/rh39urccnYw


PUTRAJAYA: In an unprecedented turn of events, former prime minister Datuk Seri Najib Tun Razak and his wife Datin Seri Rosmah Mansor will both be in court today.

After spending a night in the MACC lockup, investigators are bringing Rosmah to the Sessions Court in Kuala Lumpur to face a slew of money laundering charges while the case management for one of Najib’s cases will take place at the same time.

Najib is facing some 32 charges including criminal breach of trust, abuse of power and money laundering of funds linked to 1Malaysia Development Bhd and its offshoot, SRC International Sdn Bhd.

So far, Najib has been brought to court three times to face charges since July 4.

As for Rosmah, today will be the first time she will be formally charged in relation to money laundering activities.

It is believed that Rosmah could be slapped with up to 20 charges.

Rosmah, 67, will go down in Malaysian history as the first wife of a prime minister to be indicted.

The arrest came after she was questioned for more than four hours yesterday morning at the Malaysian Anti-Corruption Commission (MACC) headquarters here.

The Star, followed by other media, broke the news of her arrest after the lunch break yesterday.

At 3.20pm, MACC confirmed her arrest.

The MACC made the arrest after being given the go-ahead by the Attorney General’s Chambers.

The commission also said that Rosmah would be charged under Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act.

However, Rosmah’s lawyers said they were unaware of the charges that would be brought on their client.

“We were only informed by the MACC of her arrest and that she would be brought to the Kuala Lumpur Sessions Court to be charged tomorrow.

“They did not tell us the nature of the charges,” said Datuk Geethan Ram Vincent.

The media who were stationed outside the MACC building from 9am waited for Rosmah who was called in for questioning for the third time since June 5.

The investigations are related to the trail of funds from 1MDB and SRC International.

She arrived at the MACC headquarters at 10.42am, dressed in a light green baju kurung and a matching selendang.

As she walked past the crowd of reporters, she appeared calm and even stopped to shake hands.

Sources said that Najib was informed of his wife’s arrest.

“He appeared calm,” said a source when asked on Najib’s reaction to the news of Rosmah’s arrest.

Asked about Rosmah’s condition, Geethan said: “She’s ok.”

Rosmah was first called to the MACC on June 5 to answer questions on SRC International Sdn Bhd.

On Sept 26 and yesterday, she was interrogated over the 1MDB scandal and money laundering.

The first inkling of Rosmah being charged was on Sept 24 after MACC chief commissioner Datuk Seri Shukri Abdull was quoted as saying that the investigations on her had been completed and the report had been submitted to the Attorney General.

He said then that it was up to the AG to prosecute Rosmah.

Yesterday, Najib was also detained for questioning on matters related to 1MDB but in another location and by a different law enforcement agency.

While Rosmah was in MACC, Najib was giving his statement at the Anti-Money Laundering and Anti-Terrorism Financing Prevention Unit (Amla) headquarters at Menara KPJ in Jalan Tun Razak.

Pemantau Malaysia Baru president Datuk Lokman Noor Adam, who is also an Umno supreme council member, announced the day before on Facebook that Najib would be called in by the police at 10am yesterday.

Najib was taken into the building through a side entrance after he arrived at Menara KPJ at about 11am, giving the media the slip.

He managed to evade the press when he left the building from the elevated car park at 1.05pm, nearly three hours after he came to the Amla headquarters.

Yesterday morning, a white luxury MPV was seen leaving the couple’s house in Jalan Langgak Duta earlier in the morning.

However, it was not known whether it was transporting the couple or either one of them.

Prior to his questioning at Menara KPJ yesterday, Najib, who is Pekan Member of Parliament, was called up on Aug 27 and 30 and then on Sept 30 to have his statement recorded on the case.

In both instances, it was with the MACC.

Exactly a week ago on Sept 26, Rosmah was called in for a second round of questioning – this time on 1MDB – which lasted 13 hours, also at the MACC.

Credit: mazwin nik anis, joseph kaos jr, royce tan, vincent tan, chu mei fong The Star

 The 17 charges on Rosmah - MalaysiaGazette

Datin Seri Rosmah Mansor, wife of former Malaysian Prime Minister Datuk Seri Najib Tun Razak was being charged under the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act (AMLATFPUAA) 2001 at the Kuala Lumpur Sessions Court. PIC: AFIQ RAZALI / Malaysia Gazette / 4 OCTOBER 2018
Datin Seri Rosmah Mansor, wife of former Malaysian Prime Minister Datuk Seri Najib Tun Razak was being charged under the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act (AMLATFPUAA) 2001 at the Kuala Lumpur Sessions Court. PIC: AFIQ RAZALI / Malaysia Gazette / 4 OCTOBER 2018 

By Mohd Zaini Samsu Hadi
KUALA LUMPUR – Datin Seri Rosmah Mansor, wife of former Prime Minister Datuk Seri Najib Razak was slapped with 17 charges on money-laundering involving a total of RM7 million.

Following are the list of charges on Rosmah:

  • Depositing RM200,000 from illegal activities into personal account on 4 December 2013
  • Depositing RM100,000 from illegal activities into personal account on 15 December 2013
  • Depositing RM200,000 from illegal activities into personal account on 23 December 2013
  • Depositing RM100,000 from illegal activities into personal account on 28 January 2014
  • Depositing RM100,000 from illegal activities into personal account on 29 January 2014
  • Depositing RM200,000 from illegal activities into personal account on 28 February 2014
  • Depositing RM100,000 from illegal activities into personal account on 14 March 2014
  • Depositing RM100,000 from illegal activities into personal account on 8 April 2014
  • Depositing RM1.6 million from illegal activities into personal account through 8 transactions between 4 September 2014 and 22 December 2014
  • Depositing RM3.85 million from illegal activities into personal account through 127 transactions between 21 January 2015 to 12 December 2015.
  • Depositing RM510,000 from illegal activities into personal account through 87 transactions between 28 January 2016 and 7 November 2016
  • Depositing RM30,000 from illegal activities into personal account through 5 transactions between 28 March 2017 and 8 June 2017
  • Failure to declare RM500,000 deposited into her personal account between 4 December 2013 and 23 December 2013 as required by the Income Tax Act
  • Failure to declare RM2.2 million deposited into her personal account between 28 January 2014 and 22 December 2014 as required by the Income Tax Act
  • Failure to declare RM3.85 million deposited into her personal account between 21 January 2015 and 12 December 2015 as required by the Income Tax Act
  • Failure to declare RM510,000 deposited into her personal account between 28 January 2016 and 7 November 2016 as required by the Income Tax Act
  • Failure to declare RM30,000 deposited into her personal account between 29 March 2017 and 8 June 2017 as required by the Income Tax Act
Rosmah was charged according to Section 4(1) of the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act (AMLATFPUAA) 2001,
She shall be liable to imprisonment for a term not exceeding fifteen years and shall also be liable to a fine of not less than five times the sum or value of the proceeds of an unlawful activity or instrumentalities of an offence at the time the offence was committed or five million ringgit, whichever is the higher upon conviction. – MalaysiaGazette


Wednesday, October 3, 2018

Chinese bishops to join Vatican synod for first time


 
https://youtu.be/THnnleNxE24

Latest updates: Baldisseri (centre) speaking at a press conference on the synod of bishops at the Vatican.

Move comes after earlier deal where Pope recognized seven clergy ordained by Beijing


VATICAN CITY: Two Chinese Catholic bishops are to take part for the first time from today in a synod, or advisory body meeting, with peers at the Vatican, the Holy See said.

“The Holy Father had invited Chinese bishops in the past but they were never able to come,” said Cardinal Lorenzo Baldisseri, who is to preside the synod of bishops on “Young People, the Faith, and Vocational Discernment” from Oct 3-28.

The meeting of more than 300 church officials, outside experts and youth delegates will take place in the shadow of an existential crisis faced by the church owing to cases of widespread sexual abuse of minors by clergy and lay officials in several countries.

On Sept 22, the Vatican and China reached a provisional agreement under which Pope Francis recognised seven clergy initially ordained by Beijing without the Vatican’s approval.

The accord could pave the way for the normalisation of ties between the Catholic Church and the world’s most populous country.

One of those recognised, Bishop Joseph Guo Jincai, is to attend the synod along with Bishop John Baptist Yang Xiaotin, another member of the Patriotic Catholic Association (PCA), a body created by the Chinese government to administer the church.

They will join discussions on how to encourage young people to make the church their vocation, an official theme that could take a back seat to issues raised last March during a pre-synodal meeting of more than 300 youths in Rome along with 15,000 others online that were presented to church leaders.

“We want to say, especially to the hierarchy of the Church, that they should be a transparent, welcoming, honest, inviting, communicative, accessible, joyful and interactive community,” a statement issued at the end of their meeting said.

“The Church should be sincere in admitting its past and present wrongs,” they added.

Pope Francis acknowledged those concerns last week when he told young Christians in Estonia that many “are outraged by sexual and economic scandals that are not met with clear condemnation”.

The pontiff conceded that many also find the Church’s presence “bothersome or even irritating”.

He has called a meeting next February of senior Church leaders from around the world to take up the question of child protection.

Scandals in Australia, Europe, and North and South America have involved widespread claims of abuse – and cover-ups – by clergymen and lay members with one Vatican archbishop describing it as the church’s “own 9/11”.

Germany’s Catholic Church released last month a damning report showing that in Germany alone, almost 3,700 minors were assaulted between 1946 and 2014.

During their pre-synodal meeting, the Catholic youths also urged Church leaders to “speak in practical terms about controversial subjects such as homosexuality and gender issues”, which they were “already freely discussing without taboo”.

They noted in addition that young women regretted “a lack of leading female role models within the Church”.

A handful of women were to take part in the synod of bishops as official observers. - AFP


Related:

China top paper warns officials against 'spiritual anaesthesia', the root of corruptions

 

Don't let developers take control, councils told

Do not let developers take control, deputy minister tells councils

KUALA LUMPUR: Property developers are behaving more and more like local councils, Deputy Housing and Local Government Minister Datuk Raja Kamarul Bahrin Shah said, noting that this has given rise to the current form of townships that are not centralised and are dominated and led by private developers.

There are developers who are acting like local councils as the latter have not been taking the lead, and this is a cause for concern, he said.

Raja Kamarul noted that traditionally, the local governments were the decision makers but this fact has changed of late.

“Long ago, it was the local government that determines what developers should build, creating markets, shopping malls, commercial, industrial, agricultural and entertainment areas, and of course, knowing how many homes need to be built because they know the population in the area,” he said in his keynote address at the opening of the one-day Housing and Property Development Colloquium on “Reimagining the Housing and Property Industry in the New Malaysia” here yesterday.

“But now, the role has shifted to the developers, giving rise to the current form of townships that are not centralised and are dominated and led by private developers,” he said.

“Most concerning is the recent trend that developers are behaving more and more like the local council themselves, in having their own private security for substantial portions of residential and commercial areas as an example, and other provisions of services and infrastructure.

“Although the local governments retain power and control where their approval is needed to build, they have often failed to take a more proactive role,” said Raja Kamarul.

He also highlighted that some local governments have failed in providing basic services to the people, causing developers to step in to fill the void.

“Local governments must find the will and desire to see their own town, cities and districts develop into comfortable townships and not allow developers to take entire pieces of land and create their own defacto privatised local government,” he said.

He also said this is why the government is looking to bring back local government elections, in order to bring back a sense of accountability by local governments.

“Once constituted, citizens can take leaders of the local government to task when services and facilities are not up to par. This should lead to more tangible and improved living conditions for the rakyat,” added Raja Kamarul.

Credit: Ahmad Naqib Idris The Edge Financial Daily

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Tuesday, October 2, 2018

Buy and sell stocks online


Rakuten Trade: Fully Online Trading Platforms

 

Rakuten Trade is Malaysia’s first digital equities broker


FOR the first time, trading on Bursa Malaysia can be done completely online. No more having to go through a dealer or making a trip the bank to open an account.

Investors can now open an account within two hours, top up available funds via bank transfer, trade instantly and have access to real time market price feeds – all the functions of a traditional broker except it is completely online.

If you are ready to start investing, it’s pretty simple to get going. Ordinarily, you would need to engage a licensed broker to buy and sell stocks. But not with Rakuten Trade, which has been operating in Malaysia for more than a year as the country’s first fully digital equities broker.

Rakuten Trade Sdn Bhd, a joint venture company of Kenanga Investment Bank Bhd and Japan’s Rakuten Securities Inc, was named fintech company of the year at the Malaysia FinTech Awards 2018 in March.

Rakuten Trade has already activated more than 18,000 accounts on its platform of which more than 70% of the account holders are below the age of 40.

“Rakuten Trade has become popular with investors especially first-timers to the equity broking market, which make up 46% of the total client base,” says Rakuten Trade managing director Kaoru Arai.

“Our all-in-one seamless trading platform makes it appealing to this new breed of investors who are more digitally inclined and prefer to execute their trading ideas end-to-end on their own.”

How Rakuten Trade works


The Rakuten Trade business model is premised on six value propositions that are complemented by aggressive marketing efforts that combine local insights with Japan’s best practices.

Its value propositions are as follows:

Online account opening and approval within two hours

> No hardcopy paperwork required.
> No physical visit to the branch.
> Credit/debit card part of the verification process.
> Mobile-friendly account opening page.

Japanese cutting edge mobile trading platform

> Unique platform compared to existing brokers’ mobile trading sites.
> Indices and stock prices are available for free and are not exclusive only to Rakuten Trade customers.
> Additional features available exclusively for Rakuten Trade customers.

Competitive brokerage rates

> The lowest brokerage rates in town.

Financial information

> Research reports derived from the Rakuten Trade research team.
> Hot picks for the week presented in easy to understand formats.
> Short and to the point in the form of a one-page report or 30-second YouTube video.
> Market information available to all (delayed) and live market feeds for Rakuten Trade customers (powered by Thomson Reuter).

Investor awareness and knowledge resource platform

> Knowledge and trading ideas are shared through our seminars, webinars, social influencers.

Rewards ecosystem

> Rakuten Trade customers will be rewarded with RT points that can be converted into points from Malaysia’s top three leading loyalty providers.
> First of its kind in Malaysia to successfully combine AirAsia BIG, B Infinite by Berjaya Group and BonusLink under one umbrella.

Choice of account


Rakuten Trade currently offers investors the choice of two accounts – Cash Upfront and/or Contra Account.

Cash account

> Allows you to trade based on available cash now.
> You will always know your actual cash/portfolio position.
> Available cash balance will earn 2.5% interest per annum.

Contra account

> Allows you to trade more than the money you have in your account.
> Maximises your trading exposure by offering shares as collateral.
> Available cash balance will earn 2.5% interest per annum.
> Settlement of transaction within three days after the transaction (T+3).

If you already purchase airline tickets, electronic gadgets, clothes or even groceries online without any physical intervention, why not trade online?

To learn more about trading online, go to www.rakutentrade.my

Source: TheStaronline

Monday, October 1, 2018

Trump's tariffs won't restore U.S. jobs

The sewing lines at Bernhard Furniture Company which where skilled craft jobs are growing without the help of tariffs, and company officials

 Related image https://youtu.be/OCk4VkAKKFc

Trump's tariffs won't restore U.S. furniture jobs : https://www.reuters.tv/v/PvWi/2018/09/27/trump-s-tariffs-won-t-restore-u-s-furniture-jobs

In a town where a 30-feet tall chair is the chief landmark, and which is synonymous with a U.S. furniture industry decimated over the years by imports from China, many greet the possibility of tariffs on Chinese goods with a shrug.

No wonder. Of three once bustling Thomasville furniture plants in the city limits, one is being demolished and cleared for parkland, another may become the site of a new police station, and a third is being converted into apartments.

President Donald Trump is threatening to levy tariffs of up to 25 percent on $500 billion of goods imported from China each year, including roughly $20 billion of furniture, as a way to bring back hundreds of thousands of manufacturing jobs lost to China and other low-cost competitors.

Yet, the transformation of U.S. industries since China’s emergence as the world’s low-cost producer almost two decades ago means many no longer directly compete with Chinese imports, so tariffs may not translate so easily into more U.S. jobs.

At family-owned Bernhardt Furniture in Lenoir, some 90 miles west of Thomasville, executives say it would take about $30 million in capital investment - some 10 percent of annual sales - to resurrect standard wood furniture lines now mainly made in countries like China and Vietnam.

That is too much to commit based on a policy that a future administration could reverse.

"The theory is you turn (imports) off, the jobs come back. That's not really true... The buildings don't exist. The people don't exist. The machinery does not exist," to make the sorts of furniture that now gets imported, said Alex Bernhardt Jr., chief executive and the company founder's great grandson.

What the company needs now, executives say, is the open markets and steady economy that have allowed it to grow its workforce from below 800 at the end of the 2007-2009 recession to almost 1,500 today - partly on the basis of exports to China.

DIFFERENT COMPANY

That growth has been largely driven by demand for more customized, higher end furniture. In expanding, the 129-year-old company has been hiring not only factory workers, but also designers, marketing experts and other professionals.

In all, it is a different firm from what it was three decades ago when it first began dividing product lines between the United States and Asia.

Economists say the same is true across much of U.S. manufacturing. To invest and hire more workers, executives would need certainty, for example, that consumers would prefer U.S.-made products at a potentially higher price. They would need confidence that tariffs would last beyond the Trump administration and that production could not be shifted to other more cost-competitive countries.

Even then, there may be little incentive to go back to old product lines for industries that have changed dramatically because of globalization.

Across the Rust Belt and the former factory towns of the south, the transformation is apparent. In Buffalo, an old steel mill is now a solar panel factory, and a retail goods manufacturer now houses an office and restaurant park. Near Dayton, Ohio, a shuttered GM plant has reopened as a Chinese-owned auto glass company. Abandoned factories throughout North Carolina have landed on the Environmental Protection Agency's list of "brownfield" sites that need cleanup.

Some companies are considering moving production from China as a result of the tariffs, but the jobs are unlikely to head home.

Illinois-based CCTY Bearing, for example, said it planned to move U.S.-bound production from Zhenjiang, China, to a new plant near Mumbai in India to keep labor costs down.

JLab Audio's China-made Bluetooth products are not being taxed yet, but its chief executive Win Cramer had been scouting for suppliers in Vietnam and Mexico.

"I would love to build products onshore, but consumers have proven time and time again that "Made in America" isn't as valuable a statement as it once was," Cramer said. "They make decisions based on the cost."

The price of, say, its Bluetooth earbud would jump from $20 to as much as $50 if it was made in the United States, Cramer said, far more than what tariffs would add to the cost of imports.

To be sure, early reactions suggest that foreign companies that make U.S.-bound goods in China may move some of that production to the United States. Still, countries such as Vietnam may ultimately benefit the most from Trump's tariffs.

Japanese construction and mining equipment maker Komatsu Ltd < 6301.T > has said it has already shifted some of its production of parts for U.S.-built excavators from China. Part of that production moved to the United States, but some also went to Mexico and Japan.

In South Korea, LG Electronics <066570 .ks=""> and its rival Samsung Electronics <005930 .ks=""> are considering moving parts of U.S.-bound refrigerator and air conditioner production to Mexico, Vietnam or back home, but not to the United States, according to company sources and local media.

STEADY RECOVERY

The responses to Trump's tariffs on steel and aluminum show how such steps create both winners and losers.

Producers such as U.S. Steel and Century Aluminum have said they will add at least several hundred jobs as a result of the higher prices they can charge.

Mid-Continental Nail, however, laid off 130 workers because of those higher steel prices, and furniture parts maker Leggett & Platt has warned that rising metal prices would prompt it to shift production abroad.

So far, Washington has imposed duties on $250 billion of Chinese imports and Trump has threatened to slap tariffs on all Chinese goods.

Many economists project new tariffs would on balance either slow down hiring or cause job losses in a manufacturing sector where employment has grown by 10 percent over the past eight years without special protection.

(Graphic: https://tmsnrt.rs/2Q1AFUW)

The furniture industry, among the hardest hit by Chinese imports, has added 43,000 jobs since its employment hit a low of 350,000 in 2011, helped by the recovering housing market and strong consumer demand.

Industry officials say skilled upholsterers and other workers are hard to find, echoing the Federal Reserve's concern about the impact of worker shortages on the U.S. economy.

In Thomasville, few expect that tariffs will bring furniture manufacturing back to its heyday, nor does the community need it, says city manager Kelly Craver, whose parents worked in the furniture and textile industries.

Since the recession, Thomasville has become a residential hub for growing nearby cities such as Greensboro and Charlotte. It also has its own mix of manufacturing and white collar jobs.

Mohawk Industries recently expanded its Thomasville laminate flooring facility while the Old Dominion Freight Line transportation firm and the fast-growing Cook Out burger chain have corporate headquarters there.

"We, for the very first time in this city's existence, are going to have a diversified economy," Craver said.

By Howard Schneider, Reuters

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Saturday, September 29, 2018

Open society and closed minds, Trump bragging as UN Laughs at him

 'Leadership has always been about generosity to those who are less well endowed and fortunate than you are. Often, it is not generosity of kind, because that would be buying of votes, but generosity of spirit.' - Tan Sri Andrew Sheng


WHY is it that in the last days of September, 10 years after the failure of Lehman Brothers, the world feels as if it is a dangerous place?


Bankruptcy of Lehman Brothers - Wikipedia

The filing for Chapter 11 bankruptcy protection by financial services firm Lehman Brothers on September 15, 2008, remains the largest bankruptcy filing in U.S. history, with Lehman holding over US$600,000,000,000 in assets. Wikipedia

President Trump’s remarkable speech to the United Nations this week was supposed to re-state the New Order that America has envisioned for the world. And all he got was a laugh.

https://youtu.be/Dqao0PqMgnE

But it was an important speech, because it spelt out more clearly what everyone knew since January 2017 – his Administration is dismantling what America has stood for since the Second World War.

Out goes the vision of a liberal rule-based stable world under US leadership. What replaces it is a “no holds barred” reality show of bilateral “Art of the Deal” negotiations supposedly to solve what is paining America. Never mind the collateral damage on everyone else, even if they are ultimately American consumers. What everyone heard is that the White House does not care too much about allies or enemies, only what is good for America First, trumped by the speaker’s ego.

Speeches to the United Nations has never been about foreign policy. Speaking in front of 193 member countries, the national leader is actually addressing his home audience, a photo-opportunity to show that as a member of the United Nations, your voice is heard by the whole wide world. Accordingly, other than the famous 1960 case of Soviet Leader Khruschev making his point by banging his shoe at the podium, most national leader speeches to the United Nations are boring homilies. They tend to praise themselves, pay due respect to the UN, and expound what Miss Congeniality says in all beauty contests, “world peace!”

What we got instead from President Trump was raw and edged, “America’s policy of principled realism means we will not be held hostage to old dogmas, discredited ideologies, and so-called experts who have been proven wrong over the years, time and time again.” That statement made a powerful indictment of “experts”, because his supporters feel that it is the elite experts that have run the country for 70 years who have let them down.

If America is doing so well economically, militarily and technologically, why should her middle class feel so insecure? And it is lashing out at everyone else.

The answer lies in not what the speech said, but what it omitted. Everywhere in the world, not least in America, the greatest existential concerns are inequality and climate change. Almost nothing was said about both issues, which are stressing societies and pushing immigration from poorer neighbours across borders to richer nations with cooler climates.

Instead, what was decided was non-participation in the Global Compact on Migration, withdrawal from the Human Rights Council and non-recognition of the International Criminal Court. There was also a barrage against Opec, which contains some of the US’s strongest allies. If other bodies like the World Trade Organisation or even the United Nations do not do America’s bidding, then the cutting of funds or withdrawal is a matter of time. Does that imply that the US will now veto every World Bank or IMF loan to members that she does not like?

In short, it is all about anti-globalisation. In the same breath that “We reject the ideology of globalism, and we embrace the doctrine of patriotism,” Trump appeals to the passion and pride of nationalism. “The passion that burns in the hearts of patriots and the souls of nations has inspired reform and revolution, sacrifice and selflessness, scientific breakthroughs, and magnificent works of art.”

Never mind if a lot of that sacrifice and selflessness was by immigrants and new arrivals.

Outsiders who used to admire America as an open society founded by immigrants with new ideas on how to build a more just society and free economy find instead one that has an increasingly closed mind to global issues. It does seem strange that American innovation, entrepreneurship and dynamism which drew continuously on new talent initially from Europe and then the rest of the world is now walling up its borders, physically, legally and mentally.

There are 40 million immigrants in the US today, representing 13% of the US population. Immigrants founded nearly one-fifth of the Fortune 500 companies, such as Google, Procter & Gamble, Kraft, Colgate Palmolive, Pfizer, and eBay. Today, much of Silicon Valley talent feel like working in the United Nations, diverse, noisy and creative.

The irony of America drawing on global talent and resources is that she has no need to pay for it from exports, but can easily print more dollars. In other words, the Grand Bargain of global trade was the ability of the US to pay for real goods and services with something that can be printed at near zero marginal cost. Even the Europeans are now creating a separate payment system outside the US dollar dominated SWIFT system to avoid being punished for “trading with the enemy”.

When contracts of trust are being renegotiated, no one can feel at ease. One can never solve global problems unilaterally or even bilaterally, let alone calls for more national patriotism. And as the English writer Samuel Johnson scribbled in 1775, a year before US independence from Britain, “patriotism is the last refuge of a scoundrel.”

Leadership has always been about generosity to those who are less well endowed and fortunate than you are. Often, it is not generosity of kind, because that would be buying of votes, but generosity of spirit.

This side of the Pacific, there is awareness that the tensions will not go away with Trump or a change in the November elections. What has happened is that the US establishment has put political interests ahead of economic interests, which means that any settlement will have to go beyond economic considerations.

If trade and political tensions are in for the long haul, can the current US market enthusiasm have sufficient strategic patience?

Now we understand why no one is laughing.

Credit; Think Asian Andrew Sheng

Tan Sri Andrew Sheng writes on global issues from an Asian perspective.

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