MALAYSIA Tanah Tumpah Darahku


Friday, August 18, 2017

KTM: Komuter, ETS alami gangguan perjalanan hari ini

Semua perkhidmatan tren KTM Komuter akan mengalami gangguan waktu perjalanan antara 20 hingga 30 minit dari jadual asal disebabkan insiden kegelinciran tren kargo di KM386.800, antara laluan Stesen Kuala Lumpur dan Stesen Bank Negara, pada 4.30 pagi tadi.
KUALA LUMPUR: Semua perkhidmatan tren Keretapi Tanah Melayu (KTM) Komuter akan mengalami gangguan waktu perjalanan antara 20 hingga 30 minit dari jadual asal disebabkan insiden kegelinciran tren kargo yang berlaku di KM386.800, antara laluan Stesen Kuala Lumpur dan Stesen Bank Negara, pada 4.30 pagi tadi.
Perkhidmatan Tren Elektrik (ETS) pula akan mengalami gangguan perjalanan antara 15 hingga 20 minit.
KTM Berhad berkata pihaknya sedang giat menjalankan kerja-kerja baik pulih dan menjangkakan perkhidmatan tren akan beroperasi seperti biasa pada 4 petang ini.
“Kami memohon maaf atas kesulitan yang berlaku. Sebarang perkembangan terkini berkaitan perkhidmatan tren akan dimaklumkan dari semasa ke semasa,” katanya.
Orang ramai yang ingin mendapatkan maklumat lanjut boleh menghubungi Pusat Panggilan KTM Berhad di talian 03-2267 1200 atau layari laman web www.ktmb.com.my serta Facebook KTM Berhad dan Twitter @ktm_berhad. - FMT

Motorists can file for compensation over highway jams

However, former Consumer tribunal chairman Pretam Singh says claims are only sustainable if motorists experience traffic jams almost every day on a selected stretch of highway.
PETALING JAYA: Motorists who feel shortchanged due to massive traffic jams along highways and expressways despite having paid a toll to use the roads, can turn to the Tribunal For Consumer Claims for remedy.
Former consumer tribunal chairman Pretam Singh said highway concessionaires were service providers and as such any service must be fit for the purpose.
“It is an implied guarantee to consumers, in this case motorists, that when they use the highway, a fit and proper service must be given in exchange for collecting toll,” he said.
Pretam said in legislating the Consumer Protection Act 1999, Parliament gave the public protection from “business giants.”
“This is because the consumer, who is also a motorist does not have better bargaining power when compared with a supplier,” he said.
Pretam was responding to a letter from FMT reader TK Chua (see below) who wrote about the experience of being caught in a jam near Seremban last Saturday while heading south along the PLUS highway.
Chua said since the traffic jam was not easing up, many, including him, decided to exit the highway but were subsequently caught in yet another traffic crawl.
He said it was later discovered that the traffic jam on the highway was due to an accident near the Senawang toll earlier in the morning.
Chua wanted PLUS, as the highway concessionaire, to refund the toll collected, and suggested some form of compensation to motorists when a traffic jam lasts for more than two hours.
“PLUS just completely ruined my day today. I wasted time and paid toll but failed to get to my destination,” Chua said.
Lawyer Harpal Singh Grewal said a highway concessionaire would have entered into a contract the very moment a ticket was issued to the motorist.
“The contract only expires when the motorist settles the toll charges,” he said, adding that a toll operator must therefore fullfil his side of the deal in exchange for collecting the fee.
Pretam, who is now an active consumer rights activist, said generally highway service providers have to comply with the minimum level of service (LOS), a qualitative measure used to relate the quality of traffic service.
“LOS is used to analyse highways by categorising traffic flow and assigning quality levels of traffic based on performance measures, such as speed and density,” he said.
He said level “A” is free flow, which means low traffic density, “B” is minimum delay and stable traffic flow, “C” is stable condition and movement is somewhat restricted due to higher volumes but not objectionable for motorists.
He added that level “D” is where movements were more restricted and travel speeds begin to decline, while “E” where traffic fills capacity of the roadway and vehicles are closely spaced and incidents can cause serious breakdown.
Finally, Pretam noted that level “F” means there is a forced flow with demand volumes exceeding capacity, resulting in a total breakdown in traffic flow.
“It is a generally accepted norm on highways that the service provider should allow traffic at a minimum of level ‘C’,” he said.
However, Pretam said highway operators should be allowed an exception when traffic was slow during festive periods as an unusual number of motorists would be using the highway to reach their destinations.
“A claim is sustainable only if motorists go through a jam practically every day on a selected stretch of a highway,” he said.
The Tribunal for Consumer Claims was set up in 1999 and the primary objective was to provide an alternative forum for the public to seek legal remedy in a simple, inexpensive and speedy manner.
The Consumer Protection Act also defines a consumer as a person who buys goods and services for his personal use or for domestic purposes.
All claims must be filed within three years from the date the cause of action occurred. -FMT

I’m willing to work if opposition wins GE14, says Mahathir

Dr Mahathir Mohamad says he does not mind working for the people to lead the country to its former glory when he was at the helm as prime minister.
BUTTERWORTH: Former prime minister Dr Mahathir Mohamad has said he is “willing to work” for the people to return Malaysia to its former glory days.
He said many Malaysians today had become ashamed of admitting to outsiders that they were Malaysians as the country had gained a reputation for corruption and having “thieves and pirates”.
“I am sure people are asking what has happened to your country … there is no more democracy.
“If you want to get rid of them, please vote for Pakatan Harapan in the next general election (GE14), he adding in reference to the country’s current leaders.
“I am 92 now, I don’t know how many years I will be around but I promise, so long as I am here, when we form a new government, we will return Malaysia to its former glory.
“That is the former glory before Najib Razak and Abdullah Ahmad Badawi,” he told a ceramah before some 3,000 people at the Padang MPSP in Kepala Batas, the former stronghold of Abdullah for 35 years. As the country’s fifth prime minister, Abdullah served eight terms as Kepala Batas MP. He gave up the seat in the 2013 general election.
Mahathir was speaking at a ceramah titled Jelajah Semarak organised by PPBM, which also featured PPBM president Muhyiddin Yassin, PPBM deputy president Mukhriz Mahathir and Penang Chief Minister Lim Guan Eng.
During a short pause in Mahathir’s speech, a spectator shouted “Hidup Tun!”, which translates to “Long Live Mahathir”.
“Ah, yes hidup Tun. I am already 92. Struggling to talk and stand. But if you want me to do work, I can do work, insyaAllah,” the PPBM chairman said in response.
Earlier, Mahathir also took a dig at Prime Minister Najib Razak, saying the laws that applied to all people in the country did not apply to him.
He said Najib and Attorney-General Mohamed Apandi Ali had created their own version of justice, where a person accused of crimes can absolve himself by simply saying, “I did not do it.”
“Apandi is smart, he has become a judge, he has declared Najib did not do anything wrong.
“All he did was ask Najib, ‘did you do anything wrong?’ Najib then replied ‘I did not do anything wrong.’ And ‘judge’ Apandi tells the people, ‘Najib did not do any wrong.’ It is as simple as that.
“So I told Anwar Ibrahim that he has a good chance of getting out of jail. Just answer ‘I am not guilty’ and you are let go. These are the new laws under Najib,” Mahathir said referring to the sodomy conviction that saw his former deputy jailed for five years from February 2015. - FMT

Ayer Molek lockup ‘unfit for humans’, decries Suhakam man

    The first thing that struck Human Rights Commission (Suhakam) commissioner Jerald Joseph during a visit to the Ayer Molek police lockup was the overpowering stench.
    "When you go in, the first thing that hits you is the smell... There was a strong 'old' smell and an overpowering human-body stench.
    "Detainees were wearing lockup clothes that hadn't been washed regularly. They are supposed to have three sets of clothes each but we were told there wasn't enough (clothes)," he told Malaysiakini in a phone interview.
    Joseph was part of the Suhakam delegation that visited the Ayer Molek lockup on July 31 and later demanded that it be shut down because it was unfit for use.
    In a strongly-worded statement on Wednesday, Suhakam said that they witness 120 detainees being held in "inhumane" conditions as they were denied medical treatment and proper food and water.
    Joseph said that the team discovered that the lockup was housed in the former Ayer Molek prison building which is said to be at least 100 years old.
    While the prison was closed and moved to Simpang Renggam, Johor, last year, a portion of the facility has been used as a police lockup since 2009.
    Torturous conditions
    Aside from the stench, Joseph said the commissioners were shocked to find that detainees had very limited access to clean drinking water.
    "There was no tap. No clean drinking water was available in any of the cells.
    "Inmates only got a packet of water, three times a day, when the food supplier came to drop off their food packets," he explained.
    Suhakam had noted that the daily budget for all three meals for each detainee was RM8.
    Joseph said he witnessed up to 10 detainees were held in each cell, the largest of which was roughly 7m by 4m, with decaying wooden flooring.
    Each cell had an open toilet and a lot of detainees looked sickly, said Joseph.
    Detainees are typically those under remand, which means they are usually held up to five days.
    However, Joseph said foreigners detained for immigration offences could end up staying at Ayer Molek for up to two weeks.
    "Just being in those conditions is torture, even the police don't want to be there. It is unfit for humans to live in," he said.
    'No budget'
    According to Suhakam, police officers stationed at the lockup resorted to buying their own masks and gloves to prevent contracting tuberculosis from infected detainees.
    Suhakam said there were no medical officers present despite this being a requirement under the Lock Up Rules in the Prison Act 1995.
    Police officers told Joseph they had highlighted these issues to their superiors but were told there was "no budget" to remedy the situation.
    Deputy Home Minister Nur Jazlan Mohamed was previously firmly and swiftly rebuked when he described Suhakam's report on Ayer Molek as "outdated".

    Nur Jazlan, who is the Pulai MP, had said that the prison had long been closed after his ministry learned about the poor conditions there.
    "I think he needs to be updated. We are talking about the lockup here, not the prison," said Joseph.
    Nevertheless, he called for the entire facility to be shut down.
    "The prison has already been closed, thus it should not be used for anything else." -Mkini

    Judicial officers pass motion rejecting dispute over Raus' appointment

    The Judicial and Legal Service Officers Association (Jalsoa) has unanimously, through the extraordinary general meeting (EGM), passed a motion to reject interference and dispute by any quarters, including the Malaysian Bar, in the appointment of highest court judges by the Yang di-Pertuan Agong in exercising his power and discretion as enshrined in the federal constitution.
    According to a statement by the Jalsoa executive committee, the association also opined that any quarters, including the Malaysian Bar, did not have the right to make the motion “urging the chief justice Md Raus Sharif to reject the appointment and the resolution of no confidence on the appointment of the chief justice and the president of the Court of Appeal” approved at the EGM of the Bar Council on Aug 3.
    The statement said the Bar Council was not supposed to make such a demand and dispute against the chief justice and the president of the Court of Appeal.
    “Jalsoa is of the opinion that all parties should respect the status of judiciary as an independent institution, and its roles in upholding the constitution, justice and the laws, as well as protecting the interests of the nation,” it said.


    THE Barisan Nasional lost four states and the Federal Territory of Kuala Lumpur in the 2008 general election but it was the loss of Selangor that was the most bitter pill for everyone in the BN camp to swallow.
    That, besides the fact that the ruling coalition that has been in power since the country’s independence 60 years ago also lost for the first time its “taken for granted” two-thirds majority in Parliament.
    The loss of Selangor was shocking to say the least because the then loose opposition front of Pakatan Rakyat comprising Parti Keadilan Rakyat (PKR), PAS and the DAP did virtually nothing in terms of service to the people before the 2008 polls to capture the state.
    In other words, Selangor, Malaysia’s economic and industrial hub that accounts for some 25% of the gross domestic product (GDP), was handed over to the opposition on a golden platter.
    There has not been much public blame game among the BN, but leaders in the state have not taken responsibility for the loss and this continued even after the 2013 general election when the BN lost the state by an even bigger margin.
    When the usually outspoken Umno secretary-general Datuk Seri Tengku Adnan Tengku Mansor opened the delegates meeting of the Petaling Jaya Utara Umno division in the heart of Selangor over the weekend, many had expected him to dwell on this issue.
    And he did not disappoint the audience. Tengku Adnan pointedly blamed the then Selangor mentri besar, Dr Mohamad Khir Toyo, for the defeat.
    Among other things, he attributed the loss to the demolition of a Hindu temple just a few months before the election and Khir further incurring the people’s wrath when he presented a broom each to three top bosses of local councils at a public ceremony apparently for their poor performance.
    Even without the benefit of hindsight, both actions were not only plain stupid but political suicide.
    Giving a broom is taken as an insult and if you insult the civil servants, it goes without saying that you are not going to get their votes as well as that of their family members.
    As a journalist, it would have been a bigger news story to me then if at that broom-presentation ceremony, the three local council bosses had rejected the brooms!
    I remember meeting Khir at one event just before the 2008 election and told him that he should as the mentri besar stop the demolition of the temple with the polls just around the corner because Selangor has a big Indian population.
    I suggested that any temple built on land that didn’t belong to the temple authority should be relocated with the state government providing a site and not be simply demolished. But he told me that he was only following the court order.
    Well, the rest is history as the BN, especially its Indian component the MIC, suffered a heavy defeat with their image battered in the state till this day. Both the then MIC president, Datuk Seri S. Samy Vellu and his deputy Datuk G. Palanivel lost their parliamentary seats.
    In a rare admission of responsibility, Khir owned up to what happened and responded to Tengku Adnan’s remarks.
    “During the 2008 general election, okay (it was) my fault.
    “But in the 2013 election, BN suffered a bigger defeat in Selangor. Ask Tengku Adnan why that happened. Was that my fault as well?” he told a news portal.
    And in a Facebook posting later, Khir said that to date, the BN was still unable to figure out why it lost by a bigger margin, adding that “the problem with BN and Umno is that they do not have the courage to make genuine evaluations and live in denial about the people’s perception.”
    With the general election expected in a few months, is the prized state of Selangor within the BN’s reach to recapture?
    This of course, is one of the most dynamic issues for the voters to decide on D-Day.
    Selangor being Selangor, and for that I mean its status as Malaysia’s most developed state – and many would regard it as over-developed – by and large the residents are living in comfort.
    Unlike in most other states, residents in Selangor have little to complain about in terms of public facilities and utilities as it’s almost totally urbanised and easily accessible from one corner to the next.
    The state government has since introduced a spate of people-friendly policies, the key of which is free water to households, the only such policy in the world that the then mentri besar, Tan Sri Abdul Khalid Ibrahim implemented soon after Pakatan Rakyat toppled the BN in 2008.
    Never mind the fact that I have been one of the most vocal critics of this policy via this column over the years.
    This is simply because I strongly believe that if you give a commodity as precious as water free, it leads to wastage.
    It’s an uphill battle for the BN to wrest control of the state but with PAS out of the Pakatan Rakyat pact, the BN can capitalise on the seeming disarray in the opposition camp.
    To begin with, the BN in Selangor needs a new and younger set of leaders to fight the next election.
    Its chances will continue to dim if the same leaders who failed to win the state in previous elections are recycled.
    Selangor has many Generation Y voters who are clamouring to see someone from among their peers to spearhead the BN challenge.
    This is one critical issue the BN in Selangor has been unable to tackle.
    Winning Selangor is BN’s priority so they have to walk the talk.
    – http://www.thesundaily.my/news


    Sarawak Report has received more leaked documents relating to 1MDB.  They give details of receipts and payments made by 1MDB and related companies between 2009 and 2015.
    The first outstanding feature of 1MDB’s bank transactions during this period is the relative inactivity of what was presented to the nation as a busy public fund, investing billions raised on behalf of the state.  Certain payments and receipts stick out, however, and Malaysians would doubtless be grateful if the parties involved could provide an explanation.
    College Fees Abroad
    For reasons that are not entirely clear, the foreign college fees of two students were covered directly by 1MDB, according to the data.  One was for the daughter of a Sabah BN politician, Edmund Chong Ket Wah, who had tragically died in a road accident. Persuading his wife to run for the seat, which she won on a sympathy vote for the BN-allied PBS party in Batu Sapi, was seen as a coup for Najib in 2010.  But, why was 1MDB apparently paying for her elder daughter’s Australian education in 2012?
    1MDB paid for MP's daughter's 'Education' in Australia
    1MDB paid for MP’s daughter’s ‘Education’ in Australia
    According to the statement obtained by Sarawak Report 1MDB paid Charlene Tze Yi ChongAUS$107,605/ RM345,41205 for ‘Education’ expenses on 13th March 2013.
    Sarawak Report asks why was 1MDB directly paying for the education of a government-friendly politician’s daughter, since, inevitably people will ask whether this was part of the inducement to encourage a widow to run for her husband’s former office on a public sympathy vote in what was considered at the time to be a crucial by-election for Najib?
    If so, 1MDB’s established reputation as a giant slush fund for the Prime Minister gains another example.
    There was another even larger ‘Education’ pay out by 1MDB over the same period, consisting of several payments over many years to a titled student in the United States named Tengku Ahmad S Tengku Omar.  Under the auspices of ‘Education’ Tengku Ahmad received similar payments for what appear to be extraordinarily high fees, even for the United States. On top of these payments the Tengku also received further payments under the auspices of ‘Grants & Gifts’. On 5th November 2012 he received US$68,571 (RM210,000) and on 22nd January 2013 another US$68,284 for these grants and gifts:
    Grants and Gifts to a young Tengku by 1MDB?The Tengku also received further regular payments that appear to be for fees, under the title of ‘Education’, for example on 23rd December 2011 US$75,100 was paid for his ‘Education’:
    Regular payments for the Tengku's education as well as gifts
    Regular payments for the Tengku’s education as well as gifts
    Altogether Sarawak Report has identified ten payments to the Tengku either for ‘Education’ or ‘Grants & Gifts’ between 2011-2014, the majority being paid in current dollar equivalents to a regular sum of RM210,000 totalling US$673,000 (RM2.2m).
    1MDB has advertised its support of various education grants, but perhaps a little more could be heard or known about these special 1MDB proteges and why these particular students were receiving so much direct support from the development fund for their foreign educations?
    Is this young piano player the recipient of the enormous level of US finance? In which case, why direct from the development fund 1MDB ?
    Is this young piano player (as featured in Tatler) the recipient of the enormous level of US finance? If so, why direct from the development fund 1MDB ?
    Payments from Ananda Krishnan’s Marlestone Investments
    Considerable mystery still surrounds the so-called Power Purchase acquisitions made by 1MDB in 2012, which were guaranteed by Abu Dhabi’s IPIC fund.
    The US$6.5 billion raised in two separate bond issues managed by the bank Goldman Sachs are, of course, the subject of considerable scandal, now that the Dept of Justice in the United States has confirmed Sarawak Report’s original reporting of corrupt payments.
    Most of that money was stolen by Jho Low and his collaborators and much of it ended up in accounts controlled by Najib and his step-son Riza Aziz, say FBI investigators, who have announced they are pursuing criminal investigation into this and other aspects of 1MDB’s missing billions.
    However, the latest leaked material from 1MDB’s accounts focuses on issues that have long  been central to questions about the power purchase bonds, because they reveal three very large payments that were made 22nd May 2012 by a BN business crony, tycoon Ananda Krishnan, to 1MDB, which ought to be explained:
    Marlstone Investments Hong Kong made three payments in May 2012 totalling RM2.2 billion
    Marlstone Investments Hong Kong made three payments in May 2012 totalling RM2.03 billion
    The close-up
    The three payments were made from the Hong Kong based Marlestone Investments, which Sarawak Report has ascertained is owned by Ananda Krishnan through a highly elaborate web of Malaysian and Curacao companies (see below).
    We traced Marlestone's complex web of Malaysian company ownerships back to just one tycoon and an off-shore Bemuda company. Why the subterguge?
    We traced Marlestone’s complex web of Malaysian company ownerships back to just one tycoon and an off-shore Curacao company. Why the subterguge?
    The payments total RM2.031 billion and were made on 22nd May, just four days after the bond was raised by 1MDB to pay Ananda for his Tanjong Energy Group, through the first Power Purchase bond dated May 18th 2012.
    Mysterious Power Purchase Bonds of 2012
    Goldman Sachs had tried to keep the two 2012 record-breaking Power-Purchase bonds (of which this was the first) out of the public eye, market commentators noted. However details had emerged, showing that the rate of interest was remarkably high for investors.
    Financial professionals were equally baffled as to why the bond was being unnecessarily guaranteed by IPIC?  It has been later established that the unusual structure was primarily a ruse to enable Jho Low and his collaborators Khadem Al Qubaisi, the CEO of IPIC and Mohamed Al Husseiny, the CEO of Aabar, to siphon out most of the cash.
    At the centre of this first bond issue was the tycoon Ananda Krishnan, who sold his energy group Tanjong Energy to 1MDB in May 2012, for a price that most experts considered was around RM2 billion more than it was actually worth!

    Commentators wondered about 1MDB's strange $1.75bn Power Purchase Bonds in May and then October 2012
    Commentators wondered about 1MDB’s strange $1.75bn Power Purchase Bonds in May and then October 2012
    The RM2 billion ‘Excess’ Is Discovered At Last?
    Observers have noted that Ananda Krishnan had privatised the Tanjong Group in 2010 for RM8.8 billion.  The price at which he sold teh energy section on to 1MDB in March 2012 was RM8.5 billion. However, this was crucially after he had hived off the lucrative gambling side of the original business, which he had sold for RM2.1 billion in 2011, plus other non-power sides of the group.
    Moreover, over two years the power-generators would also have depreciated in value:


    In theory, therefore, 1MDB appear to have over-paid by some RM2 billion for the Tanjong Energy assets – or as Kini Biz has calculated:
    “Simple arithmetic meant the power assets under Tanjong must have been less than RM6.7 billion in value and closer to RM6 billion as Tanjong had other assets besides gaming and power, compared to what 1MDB paid.
    In other words, for its first acquisition 1MDB would have overpaid by at least RM1.8 billion and by as much as RM2.5 billion.” [Kinibiz]
    This discrepancy has remained a mystery.  So, now that the new data has been revealed from 1MDB’s accounts showing that Ananda apparently paid back a virtually identical sum to the alleged excess paid for his company, Sarawak Report feels entitled to ask if the two transactions are connected?
    Why did 1MDB appear to pay over RM2 billion over the going rate for Tanjong Energy, only to have the money appear to be serreptitiously returned in these below radar payments from a Hong Kong owned company controlled by Krishan, just days after making him that excess payment?
    In the bank data the “purpose of the payments” from Marlestone were all categorised as being “issued by residents in international markets”, which can only be described as vague:

    Purpose of payments
    ‘Purpose of RM payments’
    Given these somewhat baffling circumstances Sarawak Report thinks it only fair to enquire whether there might be a connection with other mystery activities linked to 1MDB’s balance sheets?
    For example, it is now established, thanks to the money trails detailed by the Department of Justice Court filings in the United States, that Sarawak Report was correct in calculating that at least US$1.83 billion was stolen from 1MDB’s original ‘joint venture’ with PetroSaudi between 2009-11 and that the claim by the Malaysian development fund to have cashed in its stake in 2012 for US$2.03 billion was a sham.
    That supposed profit was supposedly all invested in a Cayman Island ‘Segregated Portfolio’, then soon cashed in again and allegedly banked in 1MDB’s ‘Brazen Sky’ account in BSI Bank in Singapore, late 2012.
    However, the various global investigations and court cases in Singapore over recent months have confirmed the suspicion that this entire story was bogus. That there was very little actual cash left over from the PetroSaudi joint venture deal for any kind of investment anywhere is now accepted to be the case by all credible and independent observers the world over and is only contested by cornered executives at 1MDB, Najib himself and a handful of his more die-hard loyalist political allies.
    So, was Ananda Krishnan’s RM2.03 billion ‘post-deal return payment’ to 1MDB merely a way of quietly injecting some much-needed cash back into the company to help pay off its various mounting debts and interest repayments?
    If so, was this payment from Marlestone then perhaps misleadingly ascribed to sources other than Ananda Krishnan and attributed, for example, to the cashing in of PetroSaudi ‘notes’ from the Caymans?
    If so, it will not be the first time that 1MDB has been caught bamboozling its accountants with complex ’round-tripping’ exercises to cover yawning gaps in its balance sheets, for which a number of banks including UBS have now been fined for facilitating over the years.  If there is another reason, Sarawak Report and many others will be pleased to hear it.
    Shunting on the Money?
    Meanwhile, it is worth noting that following Ananda’s big payments into the 1MDB account, various payments were made on to other entities within the 1MDB group in 2013 an 2014:
    US$90million / RM
    US$90million / RM296million to 1MDB Global
    $250 million/ RM
    $250million/ RM828million to 1MDB Global
    Payments to 1MDB Energy
    $154m in payments to 1MDB Global and 1MDB Energy in Labuan during 2014
    The shifting of finances recorded between the different branches of 1MDB, as traced through this account, are complex between 2012-14. However, if Mr Krishnan (who remains in Malaysia at PM Najib’s behest as a fugitive from an Indian extradition warrant over the Maxis fraud case) were able to explain his mystery RM2.03 billion payment in May 2012 back to 1MDB, then much of the puzzle might be clarified.
    See the full Financial Times article on the Tanjong Bond from 2012 below:
    1MDB of Malaysia’s $1.75bn bond: one puzzle wrapped up in another

    The ingredients were always going to be interesting…
    • Ananda Krishnan, or AK, one of Malaysia’s richest tycoons: check.
    • 1MDB, a Malaysian sovereign wealth fund: check.
    • Goldman Sachs: check.
    • Sheikh Mansour-led Ipic of Abu Dhabi: check.
    When 1MDB issued what has been touted as Asia’s biggest sole-led dollar-bond sale ex-Japan in May, it almost slipped under the radar. The issue was never meant to be made public but somehow it flicked up on bankers’ screens, sparking caustic commentary. Part of that, no doubt, was sour grapes. But some intriguing questions remain unanswered.
    The $1.75bn 10-year bond was essentially a private placement. It was used to finance 1MDB’s purchase from AK of Tanjong Energy, a power group with assets in Malaysia, Abu Dhabi and elsewhere.
    According to Reuters’ IFR calculations at the time, the bond priced at 425 basis points over 10-year Treasuries, at a yield just short of 6 per cent. Yet Malaysian oil company Petronas, in a similar business and with a higher rating, was trading at just 185 basis points over comparable Treasuries.
    When the pricing was leaked, rival bankers huffed and puffed, berating Goldman for selling 1MDB an expensive, overly-complex structure. If the deal got counted, Goldman would soar up the league tables, waving cheerily at its rivals floundering below.
    Well, it did. The league tables paint a pretty picture: according to Dealogic data for DCM dollar-deals ex-Japan, as of Monday Goldman is ranked 4th, compared to 6th for the same period last year.
    Goldman declined to comment given that the rival bankers doing the huffing were doing it  anonymously.
    Yet the pricing of the deal is not its biggest mystery. Bankers are wondering why an Abu Dhabi government investment fund would guarantee what is essentially Malaysian sovereign debt. After all, 1MDB has secured a Malaysian state guarantee in the past. Why is a Gulf emirate, many miles away, guaranteeing this bond?
    Sure, guarantees usually command a fee but that would hardly interest Ipic, which is more into multi-billion dollar acquisitions and stakes in global companies. In any event, beyondbrics understands it didn’t get one.
    So what did Ipic get? Surely, it has to be related to the underlying assets: the power plants that AK was selling to 1MDB as Tanjong Energy. Tanjong operates nine power plants in Malaysia, Egypt, Bangladesh, Pakistan, Sri Lanka and the United Arab Emirates.
    At the time of the deal, 1MDB said:
    The acquisition signals the first step towards fulfilling 1MDB’s strategic intent towards fulfilling the country’s long-term energy security… Energy is one of the core focus areas for 1MDB, and [Tanjong Energy] is a prized acquisition.
    With elections approaching in Malaysia, Ipic’s positioning in this deal is definitely one to watch. What exactly it is up to, only Ipic can say. Sadly, it didn’t respond to requests for comment.