Wednesday, January 9, 2013

He Blinked

Maybe not.

The Prime Minister has asked the Ministry of National Development (MND) to review the controversial sale of a publicly funded software to a private politically linked entity "in the interest of transparency". It would be awkward to call in the Corrupt Practices Investigation Bureau (CPIB) as a blogger has already been threatened with a law suit for alleging corruption. The Auditor General is probably too busy with the passing of batons from outgoing Mr Lim Soo Ping, 62, to incoming Mr Willie Tan Yoke Meng, 57.

MND was involved when parliament was told in 2008 that 8 Town Councils (TC) had used $16 million of their sinking funds to buy toxic financial products from Lehman Brothers. MND then was tasked to come up  with a report to assess TCs' management of estates and funds. The stupid report ended up as a whipping boy to make the opposition wards look bad. Well, maybe not so stupid, it also opened up the Pandora's box that is the AIM scandal. It remains to be seen if MND's deputy secretary Tay and permanent secretary Lim will come up with something better.

The Prime Minister pointed out that none of the external auditors raised the sale as an issue. Well,  Arthur Andersen also never raised their hands ("keechiu!") either when they were auditing Enron Corporation. Still, CEO Kenneth Lay was convicted of all 6 counts of securities and wire fraud. Enron had used special purpose entities (SPE) - limited partnerships or companies created to fulfill a temporary or specific purpose - which are found in Generally Accepted Accounting Principles (GAAP), the accounting industry's standards. According to McLean and Elkind in their book The Smartest Guys in the Room, "The Enron scandal grew out of a steady accumulation of habits and values and actions that began years before and finally spiraled out of control."

Enron's complex business model and unethical practices brought about its own downfall. A $2 company is a  perfectly legitimate business model, it's the moral hazard that is the critical issue at hand. Moral hazard occurs whenever a party with more information about its actions or intentions demonstrates a tendency or incentive to behave inappropriately from the perspective of the party with less information.

41 comments:

  1. Kekekeke! What a title to this post! Aptly described! Getting your own ppl to investigate into your own ppl? Will it be conclusive? The wayang just cont'd..... Really langgar!

    ReplyDelete
  2. "In the interest of transparency and maintaining trust in the system...and satisfy itself that public funds were safeguarded and residents' interests were not compromised."

    That sounds like transferring the whitewashing from Teo Ho Pin to the Deputy Perm Sec of MND. But based on the reports of what Baey Yam Keng had said about TCs being political organisations, the review seems a superfluous waste of time to stall further questions.

    ReplyDelete
  3. Pm Lee Hsien Loong, as the PAP Member of Parliament for AMK GRC andone of the 14 town council involved in the sale of the town council software to Action Information Management Pte Ltd a company fully owned by the PAP, you are a participant and potential defendant in the agreement to the sale of the town council software to a PAP company, of which you are a high ranking party member.

    As you are a party to the sale, directly or indirectly involved, and the fact the relevant authorities are withholding information in their
    possession not accessible to the public and by refusing to release this information, as if in a coverup, there is a conflict of interest on yr part, you cannot be seen to be impartial and may be abusing yr power of office.

    As you are involved, you have forfeited the mandate of the Prime Minister's Office which you hold, thereby you cannot exercise yr authority legally to dictate the course of action and direction of any investigation.
    Likewise, the MND Minister Khaw Boon Wan, a PAP Member of Parliament and Chairman of the PAP cannot exercise his Ministerial authority as he is also involved and has a conflict of interest to protect, as in self-interest or any wrongdoing.
    Any course of action should rightfully be left to a corrupt investigation bureau or the AGC.

    It is enshrine in our Constitution and almost universal in Commonwealth countries, a person shall not be qualified to be a Member of Parliament who holds an office of profit.
    If this is the case, Mr Lee, anytime when a Member of Parliament, his/her membership of Parliament are disqualified if they are paid and collecting apension and a salary while holding the office of a member of Parliament. The mandate he /she holds is therefore fraudulent and illegal.

    Joshua Chiang

    ReplyDelete
    Replies
    1. The Prime Minister is also incharge of the CPIB.

      So how?

      Delete
    2. Too far-fetched, the Sale happened during that "HDB flats are affordable" MBT watch as Minister.Any vote of no confidence will not survive in the PAP parliament. At most THP will be the fall guy to appease the public.

      Delete
    3. They are all part if the eco-system. If one falls, all will follow suit like a domino effect! Hence, they need to safeguard and protect each other to ensure all is perfect. No one shld fall. As simple as that.

      Delete
    4. Yes, the investigator and the subject of investigation cannot be one and the same person/party. Otherwise any conclusion of the investigation will be suspect. Judges regularly recuse themselves sua sponte (on their own motion) when there is an appearance of conflict of interest.

      Any serious investigation will raise RED flags in this transaction. It appears that LHL is not serious about the investigation with his latest action. This is unfortunate.

      Delete
    5. Where to find the indepedent head of the review commitee? Over table and uder table also PAP linked or civil servants. Same as the last PE where all 4 candidates were PAP-linked.

      Delete
  4. Maybe it is the $2 company that will be down PAP

    ReplyDelete
    Replies
    1. Any more $2 or $3 company other AIM sharing the care-of address as PCF?

      Delete
  5. In the interest of transparency, can our PM also explain what is preventing our PAP govt from naming the no. of companies that is owned/setup by PAP to do business with our GLCs, TCs, PA, etc ?

    Does PAP has anything to hide from the public ?

    ReplyDelete
  6. Also in the interest of transparency, can our PM also explain how come some of our strategic investment holdings like in the case of that Shin Corp can be held in the names of foreign Thai nationals which Singapore public has no clue as to who they are ?

    How prevalent is this kind of Temasick investment shareholdings being held in foreign proxy names ? What kind of checks & balance are there to prevent those kind of "Chen Shui Bian" family tricks from happening to our foreign investment holdings ?

    ReplyDelete
  7. Michael Palmer has given PAP lots of Christmas gifts. They are still unwrapping weeks after Christmas! Wow..

    ReplyDelete
  8. Er, in yesterday's post and comments many claimed there was nothing that could be done by keeping the focus on conflict of interest and corruption. This shows that harping on the petty quarrel of what WP said and what Teo said is bullshit small talk. Hit it where it hurts the PAP in the eyes of the world, focus on big issues that affect the nation like accountability and corruption and human rights. Alex Au and Lucky Tan did the brave thing so bloggers can piggy back, now show some backbone and support the fight on big issues and away from petty talk.

    ReplyDelete
  9. My vote is secret1/09/2013 7:27 PM

    It is messy.

    Caused mostly by misguided principles that opposition parties must not be allowed fair wind in their sails.

    No laws were broken

    Yet because of this singular belief that the enemy must never be able to use any component that was developed,earned or built, its messy.

    It just goes to show how narrow minded these people are. This is not attributes of greatness or even leadership. Its school yard bitching by little girls and boys less than 10 years old.

    If I were a party member, I would resign, or remain very quiet and stay in the shadows.

    ReplyDelete
    Replies
    1. Oh I wouldn't say these pple are Narrow-minded. Small-minded - yes, short-sighted - for sure, petty - you bet, selfish, self-centred and vicious - absolutely!

      Whatever it is, so much for all those claims about the welfare of the country and its people coming first.

      Delete
  10. Very strange for the PM, to blink twice in two days consecutively. Today, 9th Jan : By-Election within the month!

    For the the MND to review the so & so, maybe it was to pre-empt WP Sylvia Lim's move in Parliament which was another interesting news item.

    Maybe, it was the perceived backlash from serving that Letter-of-Demand on Alex Au.

    Three EP 2011 candidates put up statements in quick succession. The notable, glaring silence from the Elected President, is expected.

    Protocol, whatever.

    This AIM -AHTC saga will also define the WP's credibilty and capability in Parliamentary procedures and debating skills. WP's MPs must not be the first to blink.

    There is this Parliamentary Privilege thing. Use it.

    ReplyDelete
  11. PAP-MIW Joke
    ++++++++++++

    Daddy, daddy.
    The Catholic church has a wonderful system for choosing the Pope.
    The Pope appoints the cardinals.
    And the cardinals appoints the Pope.

    Daddy, daddy.
    Why not I appoint ????? to investigate the Town Councils.
    One hand washes the other.

    ReplyDelete
    Replies
    1. Daddy to stupid son:
      "Don't be stupid. Are you biting the hand that feed you ?"

      Delete
  12. PAP-MIW Joke
    ++++++++++++
    Daddy, daddy.
    You are a lawyer.
    What do these phrases mean;
    "related party transaction"
    "arm's length dealings"
    "independent judicial review"
    "checks and balances"

    Why you never teach me about these things?
    Is it because you think they are not important?

    ReplyDelete
    Replies
    1. Daddy to stupid son:
      "Don't be stupid. If I tell you what they are, you are not fit to be my son. Only lesser mortals need to know, we are extraordinary so these does not apply to us."

      Delete
  13. PAP-MIW Joke :

    Daddy, daddy.

    You were appointed & paid to mentor us. How come you never teach us a single thing about conflict of interest in appointing one's family members to high official positions.

    Look at how people are now talking behind our backs.

    ReplyDelete
    Replies
    1. Daddy to stupid son:
      "Don't be stupid. If I tell you about conflict of interest, will you be born with silver spoon with mandate of heaven ?"

      Delete
  14. I and my pals were actually viewing the great pointers located on the website and
    then quickly came up with a horrible suspicion I
    never thanked the blog owner for

    those tips. Those young men

    ended up for this reason very interested to read all of them and have very much been loving
    those things. Many thanks for indeed being well accommodating and then for

    choosing this kind of essential themes millions

    of individuals are really wanting to understand about.
    My very own honest apologies for

    not expressing appreciation to you earlier.

    Also visit my site ... weather in spain by september
    Feel free to surf my web page : spain speak with lisp

    ReplyDelete
  15. Hello. Great job. I did not imagine

    this. This is a great story. Thanks!

    Feel free to visit my web-site :: http://latenitelover.pixnet.net
    Visit my web blog ; alicante departures tomorrow

    ReplyDelete
  16. I really appreciate this post. I’ve been looking all over for this!

    Thank goodness I found it

    on Bing. You've made my day! Thx again

    Here is my web-site ... bookmarktheinternet.com
    My web page :: 5 star luxury hotel canary islands

    ReplyDelete
  17. Hey, you used to write wonderful, but the last few posts
    have

    been kinda boring… I miss your tremendous writings.
    Past several posts are just a bit out of track! come on!

    Have a look at my homepage: david spangler quotes lucifer
    Have a look at my page ; spain flag and meaning for colors

    ReplyDelete
  18. I do agree with all the ideas you have presented in your post.
    They're really

    convincing and will certainly work. Still, the posts are very short for novices. Could you please extend them a little from next time? Thanks for the post.

    Also visit my web site :: http://www.southedmontoncommon.com/
    Review my web blog : working in spain forums Madrid

    ReplyDelete
  19. Hmm it appears like your site ate my first comment (it was super
    long) so I guess

    I'll just sum it up what I submitted and say, I'm thoroughly enjoying your blog.
    I as well am an

    aspiring blog blogger but I'm still new to everything. Do you have any helpful hints for novice blog

    writers? I'd definitely appreciate it.

    Look into my web blog; www.checkpointusa.org
    Also visit my web blog ... coleman peak 1 stove

    ReplyDelete
  20. Nice weblog here! Also your website so

    much up fast! What host are you the usage of? Can


    I am getting your associate hyperlink in your host?
    I desire my website loaded up as quickly as yours lol

    Also visit my webpage ... stalkernova.blogspot.fr
    Also visit my web site 5 star hotels in javea spain

    ReplyDelete
  21. This is very interesting, You are a very skilled blogger.

    I have joined your feed and

    look forward to seeking more of your great post.
    Also, I have shared

    your website in my social networks!

    My web-site; info.org.do
    Feel free to visit my website :: car hire in spain forums Mataro

    ReplyDelete
  22. Youre so cool! I dont suppose Ive read anything like this before.
    So good

    to search out any person with some original ideas


    on this subject. realy thanks for beginning this up.
    this web site is something that is needed on the web, somebody
    with a bit of originality. useful job for bringing something
    new to the web!

    Also visit my web-site - ukinsulationgrants.com
    Also visit my homepage ; British expat

    ReplyDelete
  23. I'm not sure why but this web site is loading incredibly slow for

    me. Is anyone else having this issue or is it a problem on my end? I'll
    check back later on and

    see if the problem still exists.

    Take a look at my site - 2011 super bowl Stats
    Look at my page ... 4 letter words ending with z in it

    ReplyDelete
  24. There are some interesting deadlines on this article however I don’t
    know if I see all of them center to heart. There may be some validity but I will take maintain opinion till I
    look into it

    further. Good article , thanks and we wish extra! Added to FeedBurner as effectively

    my web blog: 4 Star hotels torremolinos spain
    Visit my webpage ... 4 letter words with j and q

    ReplyDelete
  25. Do you mind if I quote a few of your articles as long as I provide credit and
    sources back to your

    site? My website is in the very same area of interest

    as yours and my visitors would definitely benefit from some of

    the information you present here. Please let
    me know if this alright with you. Thank you!

    my site :: www.soapoperadigest.com
    My website Used car Spain

    ReplyDelete
  26. Howdy! This is my first comment here so I just

    wanted to give a quick shout out and say I truly enjoy reading your posts.
    Can you suggest any other blogs/websites/forums that go over the same

    subjects? Thanks a lot!

    My web-site http://edinoborstva.bosa.org.ua/story.php?title=simmernetwork
    Feel free to visit my blog post ... soy intolerance

    ReplyDelete
  27. You made some respectable factors there. I appeared on the

    internet for the problem and located most people will

    associate with with your website.

    My website - news-asahi.com
    Also see my web page > Alicante Spain villas

    ReplyDelete
  28. Great items from you, man. I've

    remember your stuff

    previous to and you are simply extremely wonderful. I actually like what you have received here,

    certainly like what you're stating and the way in which during which you are saying it.
    You're making

    it entertaining and you still care for to stay it sensible. I can't wait to read far more from
    you. That is actually a

    wonderful web site.

    Here is my page - http://housesbyshannon.blogspot.com/
    Also see my site :: news article spain news Mazarron

    ReplyDelete
  29. Can I just say what a relief to search out somebody who


    really is aware of what theyre talking about on the internet.
    You

    undoubtedly know the best way to carry an issue to

    gentle and make it important. More people must read this

    and perceive this side of the story. I cant believe
    youre not more

    widespread because you definitely have the gift.

    Here is my web-site ... www.dickersonowners.org
    Here is my page - properties in Murcia

    ReplyDelete
  30. An fascinating discussion is price comment. I

    believe that it's best to write extra on this

    subject, it may not be a taboo topic however typically people are not enough to talk on such topics. To the next. Cheers

    My web-site - http://www.youthempowerment.us/member/18447
    My blog ... logitech g51 5.1 surround sound speakers

    ReplyDelete
  31. Hmm it seems like your blog ate my first comment
    (it was super long) so I guess

    I'll just sum it up what I had written and say, I'm
    thoroughly enjoying your blog. I too am an

    aspiring blog blogger but I'm still new to the whole thing. Do you have any points for inexperienced blog

    writers? I'd really appreciate it.
    Here is my web site : com.es

    ReplyDelete