Thursday, August 02, 2018

Khazanah - how Maddy financially castrated Guan Eng

Star Online - Khairy slams govt on Khazanah, claims lingerie expose is smear tactic (extracts):

... From what I know, Azman was not even given an appointment to brief the new Prime Minister since the last general election.

For more than two months, the managing director of our nation’s sovereign wealth fund was denied the opportunity to even meet and brief the Prime Minister.

This also resulted in the Khazanah board not being able to convene its meetings.

The message was simple: We want you out but we are not going to get our hands dirty since there are no real grounds for your dismissal.

The Khazanah board understood the message. And being the responsible individuals they are, they offered their resignations en bloc.

A new board was then appointed and subsequently announced by the Prime Minister’s Office. This in itself is odd.

my ministry owns Khazanah - but I don't know why I am NOT on its board? 

Khazanah is almost entirely owned by the Ministry of Finance Inc. Any board appointments must be signed off and announced by the Minister of Finance, not the Prime Minister.

But this was not done, even though the Pakatan Harapan government has promised not to concentrate too much power in the Prime Minister’s Office.

At the same time, the government’s PR strategy has been to focus on the few losses during Azman’s tenure from the investment in UBS to a company selling lingerie on-line.

This is designed to embarrass and deflect from the real numbers that we should be concerned with: Khazanah’s realisable asset value grew from RM65bil in 2004 to RM157bil at the end of 2017.

Its net worth adjusted (which takes out liabilities and dividends paid to the Government) was RM47bil in 2004. At the end of last year it was RM115.6bil.

That is Azman’s legacy. Not the smaller losses that have been highlighted to smear his tenure and reputation.


As I have mentioned previously, Khazanah is now a success story which began with Azman’s appointment in 2004. We must guard against any attempts to break it up and replace it with the crony capitalism of 1990s Malaysia Inc.

dumb as a mute stung by hornets on above matters
but stricken by verbal-diarrhoea when it comes to even irrelevant matters on Najib 

Khazanah has gone from being a mere holding entity to a strategic investor looking at opportunities that can realise greater returns and also promote Malaysia’s economy and corporations. They have built a human resource pool of talented managers and executives.

Sadly, a GLC that grew its realisable asset value from RM65bil in 2004 (after Mahathir left) to RM157bil at the
end of 2017 has been criticised for 'deviating' from its objective.

Maybe "someone" was annoyed Khazanah gained almost RM100bil without him around? Wakakaka.

But what is it that Mahathir had expected of Khazanah.

As Malaysiakini columnist P Gunasegaram said:

... it would not be far wrong to say that Mahathir oversaw the unprecedented transfer of wealth from government to the private sector with plum projects given to those closely associated with Mahathir and his finance minister then Daim Zainuddin, who is now ironically the head of the Council of Eminent Persons, as well as companies related to subsequent finance minister, Anwar Ibrahim.

This period saw the blossoming of the first generation independent power producers - or IPPs - with awards for massive power generation contracts to the YTL group (Francis Yeoh), Segari (MRCB, and subsequently Syed Mokhtar Albukhary, a close Mahathir associate to this day, under Malakoff), Genting Sanyen (the Genting casino group) and to PD Power (Ananda Krishnan) amongst others.

Profits were ensured by ironclad power purchase 
agreements (PPAs) with the sole national power company, Tenaga Nasional Bhd (TNB) which had either “take or pay” contracts (YTL) and/or capacity charge payments where a fixed amount is paid based on fixed asset investment whether the energy is taken up or not.

Well, if you and I had got these contracts, we would have become billionaires too. None of those successful had previous power generation experience.

For more of what Gunasegaram said in Malaysiakini, on what Mahathir did with Khazanah during his 4th Reich, see my post Khazanah the Mahathir way to making billionaires.

A national sovereign fund is not established for the profits of cronies or a few favourites, but for the nation. I fear for Malaysia with Mahathir back in control of Khazanah.

where's Lim Guan Eng's name? Isn't Guan Eng the Finance Minister?

Worse, the Finance Minister has been deliberately marginalised by Mahathir who most likely sees the appointment of of his godson Azmin Ali as Minister of the newly created Economics Ministry as, I suspect, a sinister strategy to minimise Guan Eng's participation in the real financial-economic governance of our nation.

Now, all the huge money making machines, eg. Petronas, PNB, Khazanah, will be in both the PM and Economic Minister's hands rather than the correct rightful hands of the Finance Minister who now has very little role to play.

Even HSR has gone under Azmin Ali's governance. The old fox, the Imperator, has neutralised Guan Eng into a bookkeeper looking after the nation's begging bowl and exposing so-called 'red files'.

I'm actually the Finance Minister but you can call me Lil' Boy Blue

But as Wee Ka Siong said, Guan Eng as Finance Minister will have the responsibilities of answering to parliament all matters on finances but without the participation in those areas he has to account for.

Of course there is also the question of (what KJ said), namely the capati-ing of another Pakatan pledge: the Pakatan Harapan government has promised not to concentrate too much power in the Prime Minister’s Office. 

Well, it already has. The PM has been allowed to possess HUMONGOUS powers in the way he has appointed his ministers (snatching Azmin Ali without consulting PKR to make him Economics Minister and effectively reducing Guan Eng's role) ... and ...

... allocated them duties (exposing 'red files' to Guan Eng BUT sending Daim to China to talk on loans and projects which should be rightfully the duties of a Finance Minister).

Guan Eng has been treated like a mushroom, kept in the dark and fed only bullshit.


  1. Wakakakakaka…

    A 'provocative' rant of zero substance!

    Have u heard of the phrase "those who control the purse string, decide the outcome"?

    Only syiok-sendiri deranged title-collectors WOULD want to act like an all powerful alpha-male as indicated in the numbers of administrative entities he controls!

    What's the use of all the titillating titles when there is NO money allocations to do yr fancy works?

    Typically, don't ever forget those powerful personnel who holds zilch administrative positions & yet decides all the outcomes!

    Eat yr heart out le - bodoh sombong title collector.


  2. Key differences is between those, like Ktemoc and Gunasegaram, who are always putting the worst possible interpretation and expectation of whatever Mahathir says or acts upon.

    Or people who are prepared to see what the evidence is and what the actual outcomes are. In the New Malaysia, people are unafraid to speak up, so Mahathir will not have the free ride to do bad things like when he was last in power, even assuming he intends to do bad things, like practically awarding companies to cronies.

    For example, Ktemoc balik-balik want to Hentam Mahathir on the HSR - Lim Guan Eng issue.
    HSR was always under EPU governing, part of the PMO.
    It never was under the Finance Ministry, so where is the demotion of Lim Guan Eng ? When the EPU was transferred out of the PMO (related to Pakatan ManifestoO , it went to the Economics Ministry. What's the problem ?

    EPU is meant to initiate and implement strategic development projects, and any business owner will tell you its not the best thing to park that under Financial Accounting people.

    Guilty unless proven innocent, or even ignore actual innocence ?
    Hell Hound strikes again ?

  3. Ktemoc even hentam DAP's stand criticising Israel's declaration emphasising it is a Jewish state, as Lim Guan Eng trying to grovel to the local Muslims.

    How low can you get ?

    Now I am unabashedly pro-Israel and have criticized DAP's anti-Israeli stance many times, as out of touch with most of its supporters.

    But anyone who has followed the issue should know DAP has been consistent on opposing Israeli policy. The policy stance was there even before Lim Guan Eng became DAP Leader, so they are not just trying to "curry favour" with local Muslims as Ktemoc puts it.

    Ktemoc Hentam melulu

  4. Is Ktemoc more concerned about the castration to become eunuchs or saving the new FM and DAP, PH from being a target for Ketuanan Melayu's continuous assaults to ensure their own and BN's survival?

    It's called Ceasar's and PH political chess game.

    The rest of ordinary Malaysians are more interested in whether the new PH Govt. Will be able to govern and manage the country by making more reforms and not distracted by who gets what power or what posts.

    All of the parties in PH who agreed to form the coalition to be lead by Ceasar in instituting reforms are surely well aware and are keeping to their part of bargain.

    Why bother with disruptive noises out there who contribute nothing but pure vitriolic spins and self created grandmother stories.


    Wakakka..Khairy Jamaluddin's previous Ministry a hive of Direct Negotiation tenders.

    It's too early to say much Corruption was involved, but the high percentage of non-performing projects does not give any confidence...

  6. This is all about Khazanah

  7. Mushrooms thrive on bullshit because it wanted to, so as LGE too.