Saturday, August 18, 2007

The System of Ones and Zeroes

In a decision process system whereby the choice are simply yes or no in order to proceed into the next path of decision making process....visualize a branch of tree.....of how it grows and spread......in a system of ones and zeroes.....sometimes when 2 potential functions clashes with one another and either cancels the function of the other ..the decision process system fails.........the level of authority of each function will then be questioned......next the question of where it should resides arises ......worst still when the function is in the control of a single entity.......

Now imagine the functions of Official Secrets Act and the Anti Corruption Agency and its supporting acts and the function of the government decision making process.......
Individually OSA and ACA should function with its own objective......but when there's a mexican stand off between the two ......i must say who ever is at the seat to decide at that moment ..will have to do some serious thinking...........

Imagine someone who is seeing it with his or her own eyes a blatant corruption process in the making with people whom he knows or probably report to .....and depending on the level of authority the boss has.....one could probably have fears to even go to sleep......sometimes one suddenly becomes a part of the value chain of corruption....maybe by choice ...and maybe by convenience....for some extra financial support....simply because one feels that one is so underpaid and unappreciated.......

The ACA should be completely independent of the Government and made up of an Independent Commission from the People of Malaysia depending on the skill set required to evaluate the charge......it should be armed with proper information surveillance technology, advanced data mining and have access to all financial transaction records held by the banking system and capital market systems and corporate information, financial accounts information, genealogy data .......and of course i cant help but mention the primal function of being able to undertake an effective witness protection system........people should be safe to be able to divulge how messed up the system without fear of being prosecuted under the OSA for these information.......

My Fellow Malaysians wherever you are.............. its happening right in front of our eyes folks.........how the two function collides and the impact to the system of government.....

ACA should use the power of information technology to the maximum in providing transparency in its decision making process, proper documentation of successful prosecution should be made public in a simple layman terms....and if a case goes to a hearing it should be made "public" for more people who in the corruption value chain to come forward and be able to testify backed by solid documentary evidence with full identity protection.....and they should be at the top of the food chain in order to be able to snatch to biggest fish in town...but they must be accountable and proper system of check and balance should be introduced......this is where the system of Agung and the rulers could come in to support.....stand and protect the people interests.......

OSA should have the function to protect our National Interest but wielding such an ability to say that you cannot talk about it or you risk being put away ...........treason on the other hand is just gutless...i'm still 50:50 on the OSA.......

It needs to be fixed urgently......people want to have a proper and stable working system of decision making process in governing the country , in building the nation, in building the bangsa malaysia which we all belong to .........corruption just sucks no two ways about it.

Selamat Menyambut Hari Kemerdekaan ke 50 Malaysia Ku.........

Thursday, August 16, 2007

Brain Drain......

Tun M mentions of compensation payments for our investment on human capital for students who never bothered to come back.......Dearest Tun ...they are already paying......most of our best of breed BNM scholars who leave for greener pastures pays in Cash......this has been happening for years....other scholars too

Who are we to blame now...in the new world of Global Capitalism and high mobility of resources...the best should be compensated fairly.....can help but think that a Malaysian Investment Banker working in NY can pull a minimum 200K US a year ......and he or she is only in his mid 20's .........

Did our government bothered to run programs to overseas students in their final year .......What is the root cause ? Its easy to point out fingers at foreign multinationals but is the problem not here........the complete lack of merit driven system......

I think now it has reach a critical level especially at the highest level of leadership.....not long ago the whole country does not even bother to even think about royals in our system......and now look at what is happening.....people actually are rallying behind royals who thinks for the people cause others in the position of authority and leaderships seem to have their brain completely drained out...and walking around as if they are on Acid or something......

Urgh.......Whats that smell?

"There is something rotten in the state of Malaysia".....Tun M 15th Aug 2007

Does rotten even begin to describe it ..

Our biggest problem is complete lack of "Information Transparency" which lead to poor accountability of the decision making process in the Government or in public companies.....

We the man on the street need to understand our rights as citizens or stakeholders.... i personally don't know the level of access to information which we are suppose to get especially with regards to govt decisions or policies or contracts with private sectors etc....our elected representative in the parliament who is supposed to provide some element of check n balance are the same people in the government decision making process...this is a critical flaw in the process.....the whole whip voting system in the parliament is another defunct function which should go ASAP....Opposition voice power in the parliament in rather minuscule in comparison to the ruling power..hence complete failure of the process....

So where do we go from here....perhaps we need to find disgruntled government officers who dares to pass on all the critical piece of information for us out here to decipher, use and put them on OUR OWN Public Court of the Internet....

The power to govern lies in the control of information flow...in the new world of information technology....to balance of power have shifted....the time is now folks for the future of our young ones.....do not let Malaysia becomes a failed nation state

I don't want us to one day be like people who lives next to a dump site.......completely immune to the smell... as it is already a part of our daily life

Bail Out ............Time Bomb

Guarantees by Govt are ticking time bombs . Suggest someone do an analysis of how big this mess is should the Guarantees come into effect. How will it hit the gov budget.

You can start with the Term Sheet or offering documents in the SC website ...but must read the fine print on specific covenants especially potential "put" option against the government.

This is a problem which have been brewing for a long time... BNM should know about this and have been studying the potential impact to the system.......breeding too big too fail institutions into our systems

What is the criteria for the gov to provide guarantees to private sector. How is the economic benefit considered for the gov to extend the so called guarantee...?

One thing i dont understand is how in the world does a default by one company can create systematic risk to the banking system? Does not make any sense at all ...4.5 Billion is small compared to the outstanding loan in the banking system...unless one particular bank is overexposed ..then again they should have single customer limit to begin with...

next question is it a direct loan or a bond? if direct loan what is the collateral ? if bond what is the right of bondholders in the event of default.....


So folks put on ur thinking cap...why does the government need to bail out this company? Does it pose any systematic risk to the financial system? Is the project so strategic that it tantamount to failure of the Selangor Economic System.....i dont think so....

In the market economy....companies are bound to fail and financial intermediary should understand the risk involved in financing such a venture....and government should not get involved apart from taxation incentive.....

This is a classic case of good money chasing after bad money

And for FM2 Nor Yaakop to give out a vague statement like that is unacceptable......

BNM on the hand are prudential regulators i.e. if the shit hits the fan in the banking system ...everything must be done in a hush hush manner in order to stop any potential bank run which will affect public confidence......so expect no statement from Zety

We need answers soon on how the initial project was financed, the terms, the institutions involved....if an idiot made a mistake along the value chain to "think" that it is a Gov Guaranteed Bond....look again...study from the beginning ...just follow the money.......if it was gov guarantee it should have been traded at a quasi government levels.....market seldoms misprice a "govt" risk.....so was the market unaware.....last i heard the whole issue is messed up from the initial placement up to its secondary market activity which lead to clear cut securities fraud involving some of our bankers......SC n BNM prodded into the case but never went on to further...this is what happen when u sleep at the switch....

My rough guess is that there is a potential of at least 1% of our GDP in Government guarantees outstanding........and that is a lot of zeroes.....

The Begining of A Long Journey

At last ...i finally did it.....years now i've been an observer of the ongoings in our country...it now looks like we are on a path towards a bottomless pit of self-destruction....cant help but think how did we get here......

To understand how we are today one must be able to understand history..... history on the other hand has always been written with some elements of bias depending on the point of view of the writer...of how he feels ....on whether he actually experience it first hand ..or of his readings of available information ...or his interview with subjects .....

We are here today actually experiencing this initial wave of discontent .....armed with the greatest tool of all .......high speed and low cost information dessimination mechanism....blogs.....

This blog shall be dedicated to constructive thinking on how to get our beloved country back on track and to eradicate the rot as Tun M mentions today....I will try my best to utilize the one thing that made us the top of the food chain....the power of thinking and communication.....

We as human beings are born with only 20% of our adult brain size .......unlike the "MONKEYS or APES" who are born with 75% brain size...hence no matter how much effort u try to teach a monkey...the unfortunate creature will only be able to learn a fraction of what a human child can.....this is due to the fact that we as upright walking creatures have smaller waist than crawling animals and if our brain are to grow any bigger than it is at birth.....our women would have serious difficulty prior to the discovery to the C-Section procedure.....

So for a human to call another human .....apes or monkey ...bcos the other thinks and utilize the gift of communication in an unrestrained manner and is able to sound more logical than the other is just lame..............try better next time.....

satd
Minds are like parachutes; they work best when open. -Lord Thomas Dewer