Share This

Friday, December 14, 2012

75th anniversary of Nanjing massacre

History of Nanjing Massacre





December the 13th marks the 75th anniversary of the Nanjing Massacre. A series of official memorials have been held in the eastern China city to commemorate the estimated 300 thousand Chinese killed by Japanese troops during World War Two.

An unforgettable part of history for Chinese people.

Sirens wailed in the chilling morning... Nanjing was in grief as people from across the city, and the world, gathered here to mourn the estimated 300,000 lives taken by Japanese troops 75 years ago.

During World War Two, the Japanese army invaded almost half of China, causing tens of millions of casualties and devestating cities and towns. The then Chinese capital, Nanjing, suffered six weeks of murder and rape.

Every year, the siren rings here in front of the memorial museum, reminding the city of the nightmare in 1937.
On December 9th that year, after securing control of Shanghai, Japanese troops launched a massive attack upon Nanjing. Four days later, the city fell.

In the following six weeks, the Japanese forces engaged in an orgy of murder, rape, looting and arson that came to be known as the Nanjing Massacre.

Chinese and Western eyewitness accounts have documented the crimes. On December 19th, Reverend James McCallum wrote in his diary:

"I know not where to end. Never I have heard or read such brutality. Rape! Rape! Rape! We estimate at least one thousand cases a night, and many by day. In case of resistance or anything that seems like disapproval, there is a bayonet stab or a bullet. People are hysterical... The whole Japanese army seems to be free to go and come as it pleases, and to do whatever it pleases."

The International Military Tribunal of the Far East, also known as the Tokyo Trials, estimated more than 200-thousand people had died in the Nanjing Massacre. Most experts put that number at about 300-thousand.

Japanese newspaper covered one of the most notorious atrocities... a killing contest between two Japanese officers. Toshiaki Mukai and Tsuyoshi Noda competed to be the first to kill 100 people with a sword.

Although today the Japanese government has admitted to the killings, some Japanese nationalist groups deny these events ever took place.

There are misunderstandings of this history, we want to tell the world the right facts. He says.

Many Japanese prime ministers have visited the Yasukuni Shrine, a shrine for Japanese soldiers who died during World War 2. These include the criminals of the Nanjing Massacre. To this day, the tragedy of Nanjing continues to be a stumbling block in Japan’s relations with other Asian nations.


The memorial was held at a square in front of the memorial hall for the Chinese victims massacred by Japanese soldiers. The crowd mourned the dead and presented wreaths.

A citizen representative read the Nanjing Peace Declaration.

Citizen representative, Nanjing city, said,"Peace rather than war, development rather than poverty, cooperation rather than confrontation is the eternal theme of human civilization and progress."

The mourners included local school children, college students, survivors of the massacre and international friends.

The Nanjing Massacre Memorial Hall is an important reminder of the past and a place to mourn the dead.

By recalling the past, the memorial also conveys Chinese people’s wishes for peace with all nations in the world.

Related post:
Philippines wants rearmed Japan to contain China
Japan ministers visit Tokyo war shrine amid anger from China, S. Korea.19 Oct 2012

News for 75th anniversary of Nanjing massacre

  1. The Nanjing Massacre: Scenes from a Hideous Slaughter 75 Years Ago

      13, 1937, Japanese troops captured the city of Nanjing, then the capital of ... Then and now, the Nanjing massacre remains one of the darkest ...
 

Thursday, December 13, 2012

End of Pax Americana


The report "Global Trends 2030: Alternative Worlds" forecast that US economic and international influence will decline in the next two decades as a shift of global power moves from the West to the East, and from the North to the South. Photo by gt2030.com

In a new report, the US National Intelligence Council predicts the winding down of "Pax Americana" and China's ascent as the world's top economy by 2030.

On Monday, the report "Global Trends 2030: Alternative Worlds" forecast that US economic and international influence will decline in the next two decades as a shift of global power moves from the West to the East, and from the North to the South.

Meanwhile, rising states such as China, India and other Asian nations will contribute an increasingly large share of global financial growth.

"With the rapid rise of other countries, the 'unipolar moment' is over, and 'Pax Americana' -- the era of American ascendancy in international politics that began in 1945 -- is fast winding down," the report states.

The report is largely optimistic about technological and economic advances in the next two decades. The numbers of people living in poverty is likely to drop sharply in East and South Asia, the Middle East and North Africa, with sub-Saharan Africa lagging behind.

"Under most scenarios -- except the most dire -- significant strides in reducing extreme poverty will be achieved by 2030," the report notes.

The report gives a list of eight "Black Swan" scenarios - a reference to Nassim Nicholas Taleb's book "Black Swan," which posits that history is built on unforeseeable, surprise events.

1. Severe Pandemic

"No one can predict which pathogen will be the next to start spreading to humans, or when or where such a development will occur," the report says. "Such an outbreak could result in millions of people suffering and dying in every corner of the world in less than six months."

2. Much More Rapid Climate Change

"Dramatic and unforeseen changes already are occurring at a faster rate than expected. Most scientists are not confident of being able to predict such events. Rapid changes in precipitation patterns—such as monsoons in India and the rest of Asia -- could sharply disrupt that region's ability to feed its population."

3. Euro/EU collapse

If Greece were to leave the euro zone in an unruly way, it could result in eight times the collateral damage as the Lehman Brothers bankruptcy, which could lead to a broader crisis in the EU in the future, the report says.

4. A Democratic or Collapsed China

"China is slated to pass the threshold of US,000 per capita purchasing power parity (PPP) in the next five years or so—a level that is often a trigger for democratization," the report notes. "Chinese 'soft' power could be dramatically boosted, setting off a wave of democratic movements. Alternatively, many experts believe a democratic China could also become more nationalistic. An economically collapsed China would trigger political unrest and shock the global economy."

5. A Reformed Iran

"A more liberal regime could come under growing public pressure to end the international sanctions and negotiate an end to Iran's isolation. An Iran that dropped its nuclear weapons aspirations and became focused on economic modernization would bolster the chances for a more stable Middle East."

6. Nuclear War or WMD/ Cyber Attack

"Nuclear powers such as Russia and Pakistan and potential aspirants such as Iran and North Korea see nuclear weapons as compensation for other political and security weaknesses, heightening the risk of their use. The chance of nonstate actors conducting a cyber attack—or using WMD (weapon of mass destruction) —also is increasing."

7. Solar Geomagnetic Storms

"Solar geomagnetic storms could knock out satellites, the electric grid, and many sensitive electronic devices. The recurrence intervals of crippling solar geomagnetic storms, which are less than a century, now pose a substantial threat because of the world's dependence on electricity," the report says.

8. U.S. Disengagement

"A collapse or sudden retreat of US power probably would result in an extended period of global anarchy; no leading power would be likely to replace the United States as guarantor of the international order."

Related post:
 Funding a foreign agenda

North Korea confirms successful satellite launch



Official media of the Democratic People's Republic of Korea (DPRK) on Wednesday confirmed that the country successfully launched and orbited an earth observation satellite.

"The successful launch of the satellite is a proud fruition of the Workers' Party of Korea's policy of attaching importance to science and technology," said news agency KCNA.

The success serves "as an event of great turn in developing the country's science, technology and economy by fully exercising its independent right to use space for peaceful purposes," it added.

According to the KCNA, a Unha-3 rocket carrying the second version of the Kwangmyongsong-3 satellite blasted off from the Sohae Space Center in Cholsan County, North Phyongan Province, at 09:49:46 local time (0049 GMT).

The satellite, said the KCNA, entered its preset orbit 9 minutes and 27 seconds after the lift-off, and then started going round the polar orbit at 499.7 km perigee altitude and 584.18 km apogee altitude at the angle of inclination of 97.4 degrees, with a cycle of 95 minutes and 29 seconds.

This year marks the 100th anniversary of the birth of late President Kim Il Sung, and this month marks the first anniversary of the demise of late leader Kim Jong Il.


1

Int'l Reactions
1 China "regrets" DPRK's satellite launch
China regrets the Democratic People's Republic of Korea's (DPRK) satellite launch amid the "universal" concern of the international community, a Foreign Ministry spokesman said on Wednesday.
1 White House reacts to DPRK launch
White House spokesman Tommy Vietor says US condemns the launch as a "highly provocative act" in direct violation of UN resolutions and vows to work with international partners to seek "appropriate action" against Pyongyang.
1 Russia voices regret over DPRK's rocket launch
Russia on Wednesday expressed "deep regret" over the rocket launch by DPRK, saying the move violated a UN Security Council resolution.
1 S.Korea's Lee convene security meeting following DPRK's rocket launch
South Korea strongly condemned North Korea’s rocket launch, saying that it violated a UN resolution and sent Aegis destroyers to trace the rocket.
1 Japan strongly protests against DPRK's satellite launch
Japan on Wednesday strongly protested against a satellite launch by DPRK, saying the launch was "unacceptable" and violates the United Nations' relative resolutions.
1 Philippines "strongly condemns" DPRK rocket launching
The Philippine government on Wednesday "strongly condemns" DPRK's rocket launching, saying that it violated an UN resolution.
1 New Zealand condemns DPRK satellite launch
The New Zealand government Wednesday condemned the launch of a satellite using long-range ballistic missile technology by DPRK.

Latest News
Russia voices regret over DPRK's rocket launch
Russia on Wednesday expressed "deep regret" over the rocket launch by the Democratic People's Republic of Korea (DPRK), saying the move violated a UN Security Council resolution.
DPRK succeeds in satellite launch, draws protests
The Democratic People's Republic of Korea (DPRK) on Wednesday successfully launched and orbited a satellite, the official news agency KCNA reported.
S&P says DPRK rocket launch has no material impact on S. Korea's sovereign ratings
The rocket launch of the Democratic People's Republic of Korea (DPRK) will have no material impact on South Korea's sovereign ratings, global credit rating agency Standard & Poor's said Wednesday.
DPRK's rocket launch has little impact on S. Korean financial market
The planned long-range rocket launch of the Democratic People's Republic of Korea (DPRK) had little impact on the South Korean financial market as the launch was pre- announced, market watchers said Wednesday.
DPRK confirms successful satellite launch
The Democratic People's Republic of Korea (DPRK) on Wednesday successfully launched a Kwangmyongsong-3 satellite, the official news agency KCNA reported. .
No debris fell into Japan's territory: Japan's govt
The Japanese government said Wednesday that no debris fell into Japan's territory after a rocket launch by the Democratic People's Republic of Korea (DPRK).
DPRK launches long-range rocket, first stage falls into Yellow Sea: report
The Democratic People's Republic of Korea (DPRK) fired off a long-range rocket mounted with a satellite Wednesday, defying expectations that technical problems might delay the mission that drew international attention.
By Agencies

Wednesday, December 12, 2012

HSBC Bank fined $1.92 billion for money laundering




British banking giant HSBC agreed to pay a record $1.92 billion settlement Tuesday after a broad investigation by U.S. federal and state authorities found the bank violated federal laws by laundering money from Mexican drug trafficking and processing banned transactions on behalf of Iran, Libya, Sudan and Burma

HSBC has agreed to pay $1.92 billion to settle a US money laundering probe. The British bank is alleged to have allowed clients with links to drug trafficking and terrorism to move money. 

The two sides reached a $1.92 billion (1.48 billion euros) settlement Tuesday, HSBC said.

"HSBC has reached an agreement with the United States authorities in relation to investigations regarding inadequate compliance with anti-money laundering and sanction laws," the bank said in a statement.

The settlement includes a five-year deferred prosecution agreement with the US Justice Department, which allows a subject under investigation to avoid prosecution if it meets conditions, such as paying fines.

Prosecutors had accused HSBC of allowing improper financial transfers from countries including Mexico, Iran and Saudi Arabia by clients linked to international crime, including drug trafficking and terrorism.

The bank apologized soon after, and acknowledged the firm lacked controls to prevent money laundering.

'Profoundly sorry'

"We accept responsibility for our past mistakes. We have said we are profoundly sorry for them, and we do so again," said group chief executive Stuart Gulliver in a statement.

"We are committed to protecting the integrity of the global financial system. To this end we will continue to work closely with governments and regulators around the world," Gulliver said.

HSBC's announcement comes one day after another British bank, Standard Chartered, agreed to pay some $327 million (253 million euros) to settle charges it violated US sanctions by channelling money to clients in Iran and Sudan.

dr/msh (AFP, dpa, AP)

Related:
Citigroup to sack more than 11,000 jobs 

Tuesday, December 11, 2012

Philippines wants rearmed Japan to contain China

The Philippines said Monday that it supports Japan dropping its pacifist constitution and acting as a balance against China, while experts say that Manila and Tokyo will join forces more closely on South China Sea issues.

In an interview with the Financial Times, Foreign Secretary Albert del Rosario said the Philippines would strongly support a rearmed Japan as a counterweight to "Chinese provocation." 

Also on Monday, Chinese foreign ministry spokesman Hong Lei said at a regular press briefing that "China hopes the concerned parties on the South China Sea issue take regional peace and stability as a priority and generate more efforts to increase mutual trust and cooperation."

Hong's remarks came after a Philippines-proposed meeting among four Southeast Asian claimants to the South China Sea for this month in Manila was postponed. 


Manila's support for Tokyo to rearm comes shortly before a general election in Japan, where the front-runner, opposition leader Shinzo Abe, has said he wants to revise the country's pacifist constitution, imposed by the US after the war. 

"Albert del Rosario's view reflects Manila's strategy. The Philippines could not rally support among Southeast Asian countries and is turning to Japan, which shares a common interest with the Philippines on maritime disputes against China," Zhuang Guotu, head of the Center for Southeast Asian Studies at Xiamen University, told the Global Times. 

"No matter who wins the general election in Japan, Tokyo and Manila will cooperate more closely to act against Beijing's territorial claims," Zhuang said, adding that the Philippines needs Japan to upgrade its maritime forces. 

In 2014, the Philippine Coast Guard will receive 12 patrol boats from Japan, the Philippine Daily Inquirer reported on November 25. Both Manila and Tokyo have been involved in severe territorial disputes with Beijing this year. 

By Xu Tianran
AFP contributed to this story

Funding a foreign agenda

IN the midst of all the talk about integrity and democracy in Malaysia, a practice which is of tremendous significance to both has not received the attention it deserves. This is the funding of political parties.

Political parties are not keen on detailed scrutiny of their funding since it does not serve their interests.

Politically inclined NGOs have also not championed this cause partly because many of them are aligned to either the Government or the opposition.

And yet this is one area where there is an imperative need for greater accountability, transparency and honesty.

In this regard, the Malaysian parliament took an important step forward in April 2012 by accepting the proposal from a parliamentary select committee to allocate funds to political parties based on the quantum of seats secured by a party in the general election.

If political parties draw their funds from an independent public institution directly responsible to parliament and the state assemblies, the scope for electoral corruption may be reduced.

Wealthy individuals and corporations may not be in a position to influence elections and politics.

However, public funding of party and electoral politics need not preclude private financing of political party activities provided it is governed by strict rules of accountability and disclosure.

To ensure accountability, it may be necessary to register political parties under a separate law.

At the moment, they are governed by the Societies Act which covers a whole spectrum of civil society entities.

A law that is specific to political parties will also help to define their roles and responsibilities – including how they are funded – in a more transparent manner.

This has become even more urgent today because the forces that shape the role of a political party and its electoral performance are no longer confined to the domestic arena.

There are actors beyond our shores who have no qualms about sticking their noses into our politics.

Sometimes their local clients invite them to interfere in our affairs.

I had a taste of this in 1999 when I was deputy president of an opposition party, Parti Keadilan Nasional, now Parti Keadilan Rakyat.

A few weeks before the 1999 general election an emissary of the currency speculator, George Soros, came to see me in my office in Petaling Jaya about an alleged request from the de facto leader of Keadilan for funding for the party in the elections.

Apparently, the de facto leader’s trusted aide had got in touch with media mogul, Rupert Murdoch, on his boss’ behalf, about financial assistance for the party.

Murdoch in turn had passed on the request to his friend, Soros, who had sent the emissary on his behalf.

I told the emissary that Keadilan will not accept funds from foreign sources and there was no question of Soros or anyone else funding the party’s election campaign.

That evening I informed the party president about what had transpired at my meeting with Soros’s emissary and requested her to find out from the de facto leader, her husband (who was then in prison), whether there was any truth in what the emissary had conveyed to me.

According to the party president, the de facto leader had denied any knowledge of a request to Murdoch for funding and Soros’ involvement. I believed him and let the matter rest.

However, since 1999 a lot of evidence has emerged of funds from Soros’ outfits being channelled to organisations affiliated to, and associated with, the de facto leader and Keadilan.

A former Keadilan Youth leader has even sworn in the National Mosque that the party has received foreign funds.

In July 2011, a leader of Bersih, the coalition for clean and fair elections, admitted that her organisation had received money from Soros’ Open Society Institute (OSI) and the National Democratic Institute (NDI) which is funded by the US National Endowment for Democracy (NED).

There is no need to emphasise here that Soros and the NED have been hyperactive in numerous countries in almost every continent, in the pretext of promoting human rights and democracy when their real goal is the furtherance of the US foreign policy agenda.


 The NED for instance established in 1983 which operates in more than 90 countries has been rightly described by William Blum, a former US State Department official and author of Rogue State and Killing Hope as a “Trojan Horse.”

He observes that the NED does “overtly what the CIA had been doing covertly for decades, and thus, hopefully, eliminate the stigma associated with CIA covert activities.”

The NED “meddles in the internal affairs of foreign countries by supplying funds, technical know-how, training, educational materials, computers, fax machines, copiers, automobiles and so on, to selected political groups, civic organisations, labour unions, dissident movements, student groups, book publishers, newspapers, other media, etc.”

In the last 10 years or so the NED has carried out many of these activities in collaboration with the type of groups mentioned by Blum here in Malaysia.

Why is the NED which is funded entirely by the US government playing this game in Malaysia when the Malaysian Government, especially in the last few years, has gone out of its way to foster closer ties with the US?

In spite of the increasingly warm relations, there are elements in our foreign policy which do not blend with US interests.

On the question of Israel and the struggle of the Palestinian people, Prime Minister Datuk Seri Najib Tun Razak continues to adhere to the principled policy of his predecessors.

He is not prepared to express concern for Israel’s “security,” unlike the leader of the Opposition who knows that “security” is the code-word that the Israeli elite and their supporters in the US and the West look for in assessing a leader’s attitude to Israel.

Neither has Najib shown any inclination to endorse the US agenda of containing China which in the context of East Asia is undoubtedly the US’ central preoccupation.

As the US projects itself as the pivot of the Asia-Pacific and, in the process, attempts to curb Chinese influence in the region, it wants to be absolutely certain that it has allies and not just friends in Asean.

And who can be a better ally than someone who not only sits on panels funded by the NED and Soros outfits but has also, over the years, developed strong ties with powerful personalities and lobbies at the very core of the ‘deep state’ in the US – the deep state that actually determines the direction of US foreign policy, regardless of who lives in the White House?

These are some of the fundamental issues that Malaysians should try to understand as they attempt to make sense of the Malaysian political landscape on the eve of the 13th general election.

For in the ultimate analysis what is at stake is our dignity as an independent and sovereign nation.
Protecting that dignity is part of the mission of Yayasan 1Malaysia.

DR CHANDRA MUZAFFAR Chairman, Board of Trustees
Yayasan 1Malaysia

Related posts/Articles:
Foreign funding for political purposes in Malaysia 22 Sep 2012
Soros link kept under wraps
Malaysiakini admits to receiving foreign funds

Monday, December 10, 2012

Falling foul of the tax law

Many tax offences arise due to failure to correctly discharge filing obligation

MOST of us would not ever think of cheating when we file our tax returns. This does not however mean that one cannot fall foul of the tax law. This is in part due to the fact that tax laws generally are amongst the most complex of a country's set of laws, and our own tax law is no exception.

Often it is not the complexity of the law that catches one out but simple failure to follow procedures, the most common of which involves keeping to set time frames, whether in the filing of returns, paying of one's taxes or providing information to the tax man.

Thus the instances when one can be in breach of the tax law are quite varied and extensive. All such breaches are serious offences, some more serious than others.

Our tax law adopts the declaratory system one is required to declare income via the filing of returns to the tax authority. Many tax offences arise due to failure to correctly discharge this filing obligation.

The most obvious offence is not filing a tax return, or not filing within the stipulated time frame.

An Inland Revenue Board officer helping taxpayers filing their submission
.
In filing the return, an offence is committed if the return filed is incorrect. A return would typically be incorrect if income is omitted or a lesser than actual sum is included. Likewise, more deductions claimed than one is entitled to would result in incorrect filing.

An innocent mistake may not be regarded as cheating but it is still an offence especially when it results in less tax being charged. Generally the severity of penalties varies with the level of the offence's blameworthiness.

An offence involving willful intent to defraud would be amongst the most serious, bringing about the prospect of imprisonment if convicted. Details of the range of penalties for various offences are listed on the official website of the Inland Revenue Board (www.hasil.org.my).

An offence of “not taking reasonable care” was introduced with the implementation of the self-assessment system. This is entirely justifiable as the filing of a tax return is in law the making of an assessment on oneself upon which tax becomes payable.

The aim is to ensure that a “degree of care or conscientiousness” is exercised in connection with the preparation and filing of a tax return. It is intended to prevent the adoption of a reckless or careless approach to the task and to penalise any breach where it results in tax underpaid.

Thus with this standard, claiming a deduction for a capital expense would constitute an offence of not taking reasonable care, even where its capital nature is not quite obvious. The law presumes that a reasonable person would seek to determine the true nature of the expense.

The “reasonable care” requirement was also introduced by Australia when it implemented self-assessment some years before we did. Since the standard is derived from the common law on negligence, features of the “reasonable care” standard adopted in Australia should apply equally to the Malaysian provision.

However, a taxpayer who fails to take “reasonable care” under the Malaysian law is liable to prosecution and, if convicted, is liable to a fine of not less than RM2,000 and not more than RM20,000 or to imprisonment for a term not exceeding three years or to both. This is in fact harsher than an offence of willful intent to evade tax.

There seems to be an obvious anomaly here as the offence of failing to take reasonable care does not involve bad intent, what lawyers would term mens rea. Australia treats the offence as amongst the least culpable of tax offences, certainly less so than intentional disregard of taxation law.

A controversy resulting in considerable bemusement arose in Australia recently where its Appeals Tribunal in a tax appeal ruled that a taxpayer in seeking the advice of an accountant had not taken reasonable care; he should have used the services of a lawyer. Understandably, this resulted in consternation and dismay amongst both tax accountants as well as tax lawyers for quite different reasons; the latter over concerns that their numbers are fewer in this specialism.

A further difference is that the Australian law requires both the taxpayer and his advisor to take “reasonable care”, whereas the “reasonable care” standard under Malaysian law applies only to the “person who advises or assist” the taxpayer but not the taxpayer himself. Why this is so is not clear.

The Australian “reasonable care” standard is coupled with the “reasonably arguable case” standard.

Where the law is unclear and there is room for a real and rational difference of position between two views, and the taxpayer adopts the view, which ultimately is seen to be wrong, he would in strictness have made an incorrect return.

In Australia, no penalty is imposed where a “reasonably arguable case” is made out.
This recognises that the intricacies of tax law often does mean that the taxpayer could be forced to take a contentious position, one where the arguments could go either way. If the weight of arguments is fairly balanced, imposing a penalty for taking an incorrect position would seem manifestly unfair.

Our tax authorities do exercise discretion in considering the question of penalties despite the absence of the equivalent Australian standard.

However, this does not detract from the fact that the taxpayer will always prefer to see his right spelled out in the law. On the basis of balance of rights, there seems to be no cogent reason why the “reasonably arguable case” standard should be left out from the Malaysian tax legislation.

Kang Beng Hoe is an executive director of TAXAND MALAYSIA Sdn Bhd.The views expressed do not necessarily represent those of the firm. Readers should seek specific professional advice before acting on the views.

Related posts:
Reducing income tax 
Breaking the Goods and Services Tax (GST) taboo for a ... 21 Oct 2012
How will the Malaysia's Tax Budget 2013 affect your ... 07 Oct 2012

'Cliff' worries may drive tax selling on Wall Street

By Caroline Valetkevitch

NEW YORK (Reuters) - Investors typically sell stocks to cut their losses at year end. But worries about the "fiscal cliff" - and the possibility of higher taxes in 2013 - may act as the greatest incentive to sell both winners and losers by December 31.

The $600 billion of automatic tax increases and spending cuts scheduled for the beginning of next year includes higher rates for capital gains, making tax-loss selling even more appealing than usual.

Tax-related selling may be behind the weaker trend in the shares of market leader Apple , analysts said. The stock is down 20 percent for the quarter, but it's still up nearly 32 percent for the year.

Apple dropped 8.9 percent in this past week alone. For a stock that gained more than 25 percent a year for four consecutive years, the embedded capital gains suddenly look like a selling opportunity if one's tax bill is going to jump sharply just because the calendar changes.

"Tax-loss selling is always a factor (but) tax-gains selling has been a factor this year," said Paul Mendelsohn, chief investment strategist at Windham Financial Services in Charlotte, Vermont.

"You have a lot of high-net-worth individuals in taxable accounts, and that could be what's affecting stocks like Apple. If you look at the stocks that people have their largest gains in, they seem to be under a little bit more pressure here than usual."

Of this year's top 20 performers in the S&P 1500 index, which includes large, small and mid-cap stocks, all but four have lost ground in the last five trading sessions.

The rush to avoid higher taxes on portfolio gains could cause additional weakness.

The S&P 500 ended the week up just 0.1 percent after another week of trading largely tied to fiscal cliff negotiation news, which has pushed the market in both directions.

A PAIN PILL FROM THE FED?

Next week's Federal Reserve meeting could offer some relief if policymakers announce further plans to help the lackluster U.S. economy. The Federal Open Market Committee will meet on Tuesday and Wednesday. The policy statement is expected at about 12:30 p.m. on Wednesday after the conclusion of the meeting - the Fed's last one for the year.

Friday's jobs report showing non-farm payrolls added 146,000 jobs in November eased worries that Superstorm Sandy had hit the labor market hard.

"After the FOMC meeting, I think it's going to be downhill from there as worries about the fiscal cliff really take center stage and prospects of a deal become less and less likely," said Mohannad Aama, managing director of Beam Capital Management LLC in New York.

"I think we are likely to see an escalation in profit-taking ahead of tax rates going up next year," he said.

MORE VOLUME AND VOLATILITY

Volume could increase as investors try to shift positions before year end, some analysts said.

While most of that would be in stocks, some of the extra trading volume could spill over into options, said J.J. Kinahan, TD Ameritrade's chief derivatives strategist.

Volatility could pick up as well, and some of that is already being seen in Apple's stock.

"The actual volatility in Apple has been very high while the market itself has been calm. I expect Apple's volatility to carry over into the market volatility," said Enis Taner, global macro editor at RiskReversal.com, an options trading firm in New York.

Shares of Apple, the largest U.S. company by market value, registered their worst week since May 2010. In another bearish sign, the stock's 50-day moving average fell to $599.52 - below its 200-day moving average at $601.38.

"There's a lot of tax-related selling happening now, and it will continue to happen. Apple is an example, even (though) there are other factors involved with Apple," Aama said.

While investors may be selling stocks to avoid higher taxes in 2013, companies may continue to announce special and accelerated dividend payments before year end. Among the latest, Expedia announced a special dividend of 52 cents a share to be paid on December 28.

To be sure, the big sell-off in stocks following the November 6 election was likely related to tax selling, making it hard to judge how much more is to come.

Bruce Zaro, chief technical strategist at Delta Global Asset Management in Boston, said there's a decent chance that the market could rally before year end.

"Even with little or spotty news that one would put in the positive bucket regarding the (cliff) negotiations, the market has basically hung in there, and I think it's hung in there in anticipation of something coming," he said. - Reuters

Related posts:
US Fiscal Cliff poses threat to economy worldwide!
21 Nov 2012

Sunday, December 9, 2012

China's prodigy whiz kid wants to quit school and a quiet life

Shaoyi: Is more comfortable expressing his ideas online.
 
Feng Shaoyi, a 10-year-old junior high school student, has become an online sensation for his micro blog posts about re-inventing education in the Internet era. 

FENG Shaoyi has been hounded by the media after his recent online post about his intention to quit school went viral on Sina Weibo, China’s answer to Twitter. It has attracted more than 7,000 comments and was forwarded more than 18,000 times.

The junior high school student has attracted so much attention because he’s too young to drop out. And his harsh yet insightful criticisms of the education system surprised many, especially considering he hasn’t reached his teens.

While many children his age aspire to become scientists like Einstein, Shaoyi argues that people with such “lofty ideals” are destructive to the planet. For example, Einstein’s theory of relativity led to the atomic bomb.

“My dream is to live with the girl I love. It doesn’t matter if I have to cut firewood and pick up rags for a living,” Shaoyi writes.

He claims that he wants to pursue his ideals right away instead of wasting time on “meaningless” homework and exams.

“What is the use of studying? Is it getting high marks and ranks to compete with my buddies for the limited places in top high schools?” the precocious boy writes.

Immediately after his remarks were posted, the media began telephoning Shaoyi’s father day and night. They also converged at the boy’s school in Zhuhai, Guangdong province, to pull him out of an ongoing class for interviews.

“I’m tired of interviews. It’s unscrupulous of some media to defame me,” Shaoyi tells China Daily.

He is referring to a report that quoted him as saying his actions are publicity stunts and that he enjoys seeing so many comments and an increasing number of followers.

“I didn’t say that,” Shaoyi says, grimacing while staring at the floor.

“I said it’s good that my posts have prompted people to reflect on the current school system. I wanted to attract the public’s attention to the contents of my postings, not toward me.”

Shaoyi turned up for the interview with China Daily dressed in colourful clothes, carrying a backpack and wearing a cap bearing the autographs of two of his idols from the aerobatics team of the Zhuhai Air Show.

On his micro blog, he’s outspoken, aggressive and sounds like an adult. For example, he slammed an official’s idea to invest millions to cultivate sorghum to attract tourists to Gaomi, Shandong province – the hometown of Mo Yan, Chinese Nobel Literature Prize winner.

But in person, his chubby cheeks and childish voice give away his age. In contrast to his posts, his demeanour is sombre and pensive.

His answers to many questions are: “I don’t know how to answer the question”, or, “I don’t want to talk about it”.

As he puts it: “I’m more comfortable expressing my ideas online in forums and weibo, and while chatting with my friends on QQ (an instant messaging service popular in China). I’m inspired only when I sit in front of the computer.”

The boy didn’t tell his father in person about his intention to drop out of school but, instead, added his father’s micro blog account in his message to catch his attention.

Shaoyi has impressed many readers with his knowledge. In addition to musing about Einstein and Mo Yan, he also left incisive comments on current affairs, including China’s crisis of confidence in charity and the popularity of dating and job-hunting reality TV shows in the country that reflect the difficulties Chinese face in relationships and employment.

His online postings reveal he’s a military enthusiast who’s well-versed in the different generations of China’s carrier-borne fighter planes. Many were also surprised to read the 10-year-old’s analysis of the differences between Obama and Romney.

“I’ve acquired all the extra knowledge from the Internet. Schoolteachers didn’t teach us that. They’re busy feeding us what’s in the textbooks,” Shaoyi says.

“Teachers think we kids know little about things like the US presidential election. But, in fact, many of my friends and I learned about it online.”

The inquisitive student usually turns to the Internet, rather than to his teachers, for answers to questions that pop up when he reads textbooks.

He once embarrassed his Chinese teacher by asking why some dinosaurs had feathers.

“The teacher didn’t know the answer. I searched for it on the Internet on my own, afterward,” Shaoyi recalls.

“The Web satisfies my curiosity better than school.”

Du Fang, Shaoyi’s favourite Chinese teacher during his primary school years, admits teachers are increasingly pressured to know more than their core subjects because students are exposed to a wide range of online information.

“If I fail to answer a question raised by my student, I will tell him or her that I’m not almighty,” Du says.

“As a teacher, I am here to guide them to distinguish between good and bad, and true from false, so they can make good use of online information.”

Shaoyi’s father, Feng Yingang, agrees the Internet can’t replace scholastic education.

“My son still needs guidance to sift through information on the Internet and build his knowledge base. He is like a kung fu lover, who learns all kinds of martial arts moves but lacks the internal strength to master them,” Feng says.

“It would be great if the schoolteachers can guide my son.”

Shaoyi also admits that he has difficulties digesting the glut of online information.

“I will enjoy school’s lessons better if the teachers can discuss hot issues related to the subject and tell us what materials we can refer to better understand these issues,” the boy says.

“But teachers just regurgitate textbooks’ texts.”

Shaoyi says some textbooks are outdated. For example, he owned his first cell phone at three and is able to download pictures with smartphones. But his computer science textbook covers basics like search engine use.

He also complains about junior high’s heavy study load.

During his primary school days, classes were over at 4.30pm, and he had time for his hobbies. But in junior high, he leaves home at 6am and classes end at 6pm. He goes home and does homework until 10pm.

“School life seems to be all about classes, homework, exams and rankings. Students who score well in exams are called good students, while those who don’t ask teachers questions during the 10-minute break between classes are labelled bad students,” Shaoyi says, crossing his arms and scowling.

Between mumbles, he reveals his aspiration is to become head of state so he can make everyone happy.

He says he doesn’t talk about his dream because everyone seems more concerned about how important it is to get into a top high school, then a top university and, finally, find a good job.

He doesn’t believe this is the ideal route.

Shaoyi writes on Sina Weibo: “Almost everyone in China will say there’s something wrong with you if you tell them your life ambition is to become president, but people in the US would encourage you.”

Whiz kid wants a quiet life

Feng Shaoyi and his father, Feng Yingang, in Zhuhai, Guangdong province.

Feng Shaoyi completed his primary school education within three years, rather than the typical six.

The 10-year-old even had time during those three years to act in TV dramas.

The boy claims that in primary school, he was able to finish reading a textbook in five hours and only needed the same amount of time to memorize a whole chapter, which took his teachers a whole week to teach.

His wish is to be homeschooled and only go to school for exams. Feng says he can ask his dad or surf the "powerful" Internet for answers if he has questions.

His father, Feng Yingang, who works as the sales director of a Shanghai-headquartered chemical company, believes it's unrealistic for him to find the time to tutor his son at home.

"My son wrote the online application asking to quit school to relieve stress, and to seek my attention and comfort. He didn't even know what quitting school really meant until I talked to him," the father says.

"He didn't mean he wanted to drop out. He just wanted a break."

Feng's father believes his son is still adapting to junior high. The boy feels stress about failing his first English examination, he says.

"I can understand why junior high teachers focus so much on grades and rankings," the dad says.

"It's because students need to score high marks to get into high school, which isn't guaranteed by the compulsory nine-year education policy."

He never submitted the leave application that he had completed for his son.

The boy says he still plans to study hard and end up in a good high school and university. "I was just asking for more freedom and a more relaxed studying environment," he says.

"I posted the message online because I believe school education could be improved if more people demand change after reading it."

But the public spotlight's sudden glare has proven too much for the boy.

He says he wants to "study and live a quiet life", and pay no heed to the comments about him - be they praises or criticisms.

"He may end up more stressed out if he really leaves school to study at home: All eyes will be on him, monitoring his performance," says Feng Yingang, who has requested that the teachers at his son's junior high school turn down media requests.

Du Fang, Feng Shaoyi's primary school teacher, was also cautious when talking about the boy.

"(He's) sometimes clever, sometimes mature and sometimes childish," she says.

She made these comments while in Beijing for training. "He's special to me," she says.

"To protect him, I can't say more until I return to Zhuhai and talk to him about his thoughts. After all, he's just a kid."

By Xu Jingxi www.chinadailyapac.com 
xujingxi@chinadaily.com.cn

Saturday, December 8, 2012

Malaysian PR1MA to bring affordable homes to the working class

IT is an initiative that has been long waited for. It's been reported that from today households, that earn between RM2,500 and RM7,500 a month, can register to buy affordable homes under the Perumahan Rakayat 1Malaysia (PR1MA) scheme.

Some 80,000 homes will be built and based on the number of cities PR1MA homes will be constructed, it should be well spread out in the country.

The need for affordable housing shows that having the means to buy a house is no longer the concern of the poor. Young and middle income families are increasingly being squeezed in their ability to buy a home.

A survey conducted in 2009 showed that 850,000 people or 35% of people surveyed within that income bracket were not home-owners. The scary thought is home prices have escalated since 2009 and if the survey was conducted now, the percentage could be higher.

With prices now being fixed at between RM100,000 and RM400,000 for each home, the band gives home buyers some certainty in knowing that the price of homes will be fixed.

The 80,000 homes that are going to be built by PR1MA would cater for less than 10% of the people within the income bracket who do not yet own a house. The number of homes being built I presume will only be the start of a more comprehensive programme that should see PR1MA, other governmant agencies and state agencies take on the role of the supplier of affordable homes.

Based on a previously published question and answer, PR1MA will not provide financing to applicants to buy a home. They will need to arrange for their own financing but there will be a list of panel bankers where a housing loan can be obtained from.

Its important that the interest rate being charged for loans to buy affordable homes be capped at a decent level. Mortgage calculators show that should successful balloters for homes priced at RM400,000 receive a full loan based on the price of the house, and are charged a fixed interest of 4% per annum, then it will cost them about a quarter of their monthly household income if the collective wage of the household is RM7,500 per month.

The monthly repayment for a RM100,000 house for those earning RM2,500 a month and charged the same interest on a full loan will be 19% of the monthly pay packet.

Given that the intrinsic value of the PR1MA homes should be higher if they are built on prime Government land, then the collateral value of the homes should be more than the value of the loan, hence reducing the need for such homebuyers to cough out a 10% downpayment to buy such homes.

In fact, both PR1MA and the state governments should work together to identify further land for future projects as providing a roof over the heads for Malaysians should never be made a political issue. Plus, its important for the PR1MA homes to be more than concrete public housing. There should be amenities and green spaces to make the environment more appealing to future home owners.

Acting business features editor Jagdev Singh Sidhu wonders what the price of those PR1MA homes will be after the moratorium period to sell them has ended.

MAKING A POINT By JAGDEV SINGH SIDHU
The Star

Related post/sites:
Tough issue hits home in Penang?
PR1MA pr1ma.net/

Tough issue hits home in Penang?

Affordable housing in Penang has become the Achilles Heel of the DAP-led government and the Prime Minister will be aiming his arrow for that particular spot when he arrives in Penang Dec 8, 2012.

PENANG people are known to get worked up over unusual things. A well-known NGO in Penang has been going about hugging some trees that have to make way for Penang’s burgeoning traffic.

It was quite sweet to see S.M. Mohamed Idris, the president of the Consumers Association of Penang, with his arms wrapped around a tree trunk.

But the hottest issue for most Penang folk today is affordable housing. It is not a new issue. It has been there since Tan Sri Dr Koh Tsu Koon was the Chief Minister and it was probably one of the reasons that pushed Penang voters to change the government.

The temperature is rising because the shortage of affordable housing remains a major headache for Pen­ang people.

Affordable housing has become the Achilles Heel of the DAP-led government in the state.

Datuk Seri Najib Tun Razak’s visit to Penang today is seen as an arrow aimed at this Achilles Heel.

The Prime Minister’s visit is preceded by Perumahan Rakyat 1Malaysia (PR1MA), announcing that some 80,000 affordable homes are to be built in 50 cities and towns over the next three years. The fact that Najib is launching the initiative in Penang is a sign that his coalition wants to respond to the needs of the Penang people and that he has not given up on winning their support. Penangites will get the first shot at registering for the units.

It looks like affordable housing is set to become a big election issue in Penang. Pakatan Rakyat politicians claimed they have built thousands of low-cost houses while their Barisan Nasional opponents think the claims are more fictitious than real.

“I’m a Penangite and in the last four years, I have not come across any state low-cost housing scheme. Honestly, if there are any, I would know because I keep a lookout for such things and I am sure it would have appeared in the media. But it is only talked about at DAP ceramah and everyone has a different figure,” said Penang Gerakan vice-chairman Wong Mun Hoe.

The figures bandied about by various personalities in the state government have ranged from 300 units of low-cost houses to an astonishing 14,702 units built since 2008.

According to Mun Hoe, the 300 units mentioned was probably right because the project in the Bayan Lepas area had begun under the Barisan Nasional administration and was completed two years ago.

But Mun Hoe is quite mystified about claims that more than 14,000 of affordable housing have been built in the state.

The figure came from state Housing, Urban and Town Planning Committee chairman Wong Hon Wai who cited the issuance of 14,702 CFs or certificates of fitness for low-cost and low medium-cost houses since 2008 as proof that the state had provided ample affordable housing.

Hon Wai’s remarks were the latest addition to what has been a trail of confusing statements about the state government’s record on low-cost housing. Different people from the state government have come up with different figures.

It all began when the Auditor-General’s Report of 2011 stated that the Penang Government had not built a single low-cost house from 2008 to 2010.

The report also praised the state for its good financial situation which sort of put the state government in a fix because they could not deny the reprimand while accepting the pat on the back.

But the Auditor-General’s Report started a flurry of reactions from the Penang Government and that was when all sorts of figures started rolling out.

Shortly after that report, Chief Minister Lim Guan Eng said that a total 11,000 low-cost homes had been built in the state.

His political secretary Zairil Khir Johari followed up with a different but equally impressive figure.

The Barisan side were looking at each other in askance.

These people used to be the government and they know what is involved in building low-cost houses.

The figures thrown out were simply too incredible.

Earlier this week, MCA president Datuk Seri Dr Chua Soi Lek asked where all these thousands of state low-cost houses were located.

Like many others, he is beginning to think it is all hot air.

The figures are getting bigger but the houses seem to be invisible.

“If all these houses had really been built, do you think we would be here asking questions?” Mun Hoe asked.

It was against this backdrop that the Taman Manggis issue, where land meant for low-cost housing was sold to a company to build a hotel and private hospital, became so controversial. Taman Manggis is a tiny plot of land and using it for another purpose would not have raised eyebrows if the state had been doing its part in providing low-cost homes.

“First, they have not been building low-cost houses. Then, they sell land meant for the poor to the private sector.

“After we made noise, they said land had been set aside in Jalan S.P. Chelliah for low-cost housing. It sounded like a knee-jerk reaction,” said Wong.

There have also been announcements that thousands of units of affordable housing will be built in Batu Kawan on the Seberang Prai side.

But that had also raised questions about whether all the rich folk will be living on the island while the poor end up on the mainland.

The Penang Government has been put on the defensive over the issue of affordable housing and PR1MA’s big launch today will only add to the pressure.

ANALYSIS
By JOCELINE TAN

Related post:
 Penang's economy growth declines to 1.8% in 9 months 2012

Friday, December 7, 2012

Citigroup to sack more than 11,000 jobs


NEW YORK — Citigroup's move to sack more than 11,000 workers may foreshadow bigger cuts as its newly installed chief executive shakes up the lumbering Wall Street behemoth.

The New York bank's restructuring — coupled with a $1-billion write-down in the fourth quarter — came as Citi, like other financial giants, suffers through a hangover from the housing meltdown and struggles to adjust to the resulting regulations.


 "This is simply just the beginning," said Todd Hagerman, an analyst at Sterne Agee. Restructuring on Wall Street, as firms prune non-core businesses, is "going to be fairly painful over the next several years."

A $1-billion charge might otherwise throw cold water on a company's stock. But investors clearly approved of Citi's restructuring, which came sooner than analysts expected — only seven weeks into Michael Corbat's tenure as CEO. Citi stock jumped $2.17, or 6.3%, closing Wednesday at $36.46.

Corbat took Citi's helm after Vikram Pandit's abrupt departure from the CEO suite in October, following a long-simmering dispute with the bank's board of directors. Analysts saw Citi's layoffs as a much-needed first step, though not enough to satisfy restive investors.

"We view this move as an initial 'tremor,' and that an 'earthquake' or more radical restructuring is needed before the April 16th annual meeting to satisfy activists," Mike Mayo, a banking analyst with CLSA, wrote in a note. "While clearly a portion of these moves must have already been in the works, the moves today create a tone that the new CEO will not take half-measures."

Big Wall Street banks have been shrinking their payrolls to maintain profits in the wake of the financial crisis and sweeping new regulations aimed at reducing risk.

As of Sept. 30, Bank of America's head count had fallen 6% from the previous year to 272,600, regulatory filings show. Morgan Stanley's payroll was down 7% to 57,726, and Goldman Sachs' payroll had fallen 5% to 32,600 over the same period.

Citi's more than 11,000 job cuts account for 4% of its global workforce of 261,000.

About 6,200 of the layoffs will come from Citi's consumer banking operations in the U.S. and around the world as the company focuses on 150 cities with the "highest growth potential," the bank said. Other cuts include 1,900 jobs in its group serving institutional clients.

The cuts include closures of 44 U.S. consumer banking branches.

Four California branches will close Dec. 14. Affected customers have been notified of the closures in North Hollywood, Santa Rosa, Fresno and at John Wayne Airport, a spokeswoman said. FDIC records show 382 of Citibank's 1,060 U.S. offices are in California, the most of any state.

"These actions are logical next steps in Citi's transformation," Corbat said in a statement. "While we are committed to — and our strategy continues to leverage — our unparalleled global network and footprint, we have identified areas and products where our scale does not provide for meaningful returns."

In addition to the U.S. branches, Citigroup will close 14 in Brazil, seven in Hong Kong, 15 in South Korea and four in Hungary. The company also said it expected to "sell or significantly scale back" its consumer banking operations in Pakistan, Paraguay, Romania, Turkey and Uruguay.

Citi said the cuts would save $900 million in 2013 and produce $1.1 billion in annual savings in 2014 and beyond.

Although the bank said it would book a $1-billion pre-tax charge in the fourth quarter, along with $100 million in related charges in the first half of 2013, Citi said the restructuring would reduce annual revenue by less than $300 million.

"That just tells you how poorly this company has been under-performing in a number of different areas over the last several years," Hagerman said. - AP/LA Times/Reuters/USA Today

Related post:
US Fiscal Cliff poses threat to economy worldwide! 21 Nov 2012

Thursday, December 6, 2012

Smartphone users exposed to threats from cyber hackers

KUALA LUMPUR: About seven million smartphone users nationwide are exposed to threats from cyber hackers who make use of their gadgets to steal their money.


Bukit Aman Commercial Crime Investigation Department director Datuk Syed Ismail Syed Azizan said lack of awareness on the risks of smartphone security made users easy victims.

“The modus operandi is to send short messaging service known as Trojans to users who unknowingly will be charged when replying to the SMS,” he said. “Consumers only realise this when they are slapped with high phone bills although they did not use the service.”

The scam was detected via applications such as “Type-On” which, when downloaded, would cause smartphone users to bear the cost although they had uninstalled the application.

Lookout Mobile Security was quoted by AFP as saying that worldwide, users lost millions of dollars last year via malware and toll fraud that attacked smartphone users for accessing applications from unofficial sources rather than trusted ones such as Apple or Google online shops.

Syed Ismail said police statistics recorded from January to September this year showed that losses incurred via SMS or phone calls totalled RM21.8mil.

The hackers target users of Internet banking or phone banking by hacking and abusing the network, including the online purchases of goods.

Online purchases recorded the highest losses of RM14.5mil (1,298 cases) followed by SMS or phone call with RM3.4mil (412 cases), hacking (RM3.3mil via 24 cases) and Internet banking and phone banking with RM590,000 (74 cases). - Bernama

Wednesday, December 5, 2012

Pretty woman picture all it takes for Netizens to reveal all; ‘Lovers’ make Net profit

PETALING JAYA: A profile with a picture of an attractive woman is all it takes to get some Netizens to reveal personal details.

The Star, in wanting to see how easy it is to be “friends” on Facebook, showed that some Netizens were more than willing to give information like their handphone number, car registration number and house address when messaging someone that they think is single and an attractive stranger.

It was also to create awareness, as advised by the police, that people should be cautious about speaking to strangers online and should refrain from giving any personal information.

A dummy profile was set up, with a blank profile page but with a photo of a young woman.

Within the first two hours, 11 users sent a friend request.

“I've to say girl, you look beautiful!” a 20-year-old user wrote in to the dummy profile's inbox.

The person, who claimed to be a student, said he was looking for friendship and spoke at length about his ambitions, likes and dislikes during the one-hour conversation.

He willingly gave information, such as his handphone number and his address, without much hesitation.
“I'm going but maybe we can chat again tonight?” he said before ending the conversation.

Another Netizen, who identified himself as Asrul, told the dummy profile that he was a 27-year-old married man from Bandar Baru Salak Tinggi.

“Would you like to meet at a club later tonight? I can pick you up,” said the man, who also offered to pay for dinner and drinks.

When asked about his spouse, the man said his wife wouldn't find out and made a date.

He gave his handphone number and his car's registration number.

It was reported that over three people fall victim to online scams daily and that as many as 613 victims have collectively lost RM25.89mil to syndicates between January and September this year.

Federal Cyber Security and Multimedia Investigation Division director Asst Comm Mohd Kamaruddin said syndicates posing as singles online were able to persuade some Malaysians into giving compromising photos, details and even large sums of money with the promise of companionship.

He said syndicates would target and flirt with lonely individuals over several months before conning them.

“We are not saying that it is wrong to find your lover online, but people should be wary of who they fall in love with on the Net,” said Mohd Kamaruddin.

The police recently uploaded a Universiti Malaya study on the persuasive languages used by scam-mers to cheat victims online, on their Facebook page at http://www.facebook.com/PolisDirajaMalaysia.

‘Lovers’ make Net profit


KUALA LUMPUR: Every day, three Malaysians fall prey to Internet love scams syndicates and the police fear the number of cases that go unreported could be three times higher.

Federal Cyber Security and Multimedia Investigation Division director Asst Comm Mohd Kamaruddin Din said 613 victims 375 women and 238 men lost RM25.89mil to the syndicates between January and September this year.

“Last year, we recorded 876 cases amounting to losses of RM34.17mil,” he said.

He said the syndicates used several modus operandi to con their victims into falling in love and parting with huge sums of cash.

Full story in your copy of The Star  Nov 4, 2012

By AUSTIN CAMOENS and EILEEN NG

Related Stories:
RM1mil gift for a loved one she never met - and never will
Syndicates teach recruits the art of seduction first
Undergrad wants to stop those who exploit the gullible