A Question For Bank Negara (Dont Sleep On The Job Ok?), For Maybank & RHB (Dont Burn Depositors Money ok?)

1MDb's Arul Kanda has said it plainly that 1MDb has not brought back those billions of Ringgit from the Cayman Islands. He says those funds are being kept elsewhere to service 1MDb's US Dollar debts.

How do we know this for sure? Because 1MDB has shown no evidence how much money they had put in the Cayman Islands. Where in the Caymans they put it. For how long. How much they have redeemed? Where is the redeemed money now? As Dr Mahathir asked, 'show me in which bank it is parked?'

Do we have a right to know? Yes of course we do. 1MDB is a 100% taxpayer owned company. 

What does this mean? This means the taxpayers are obliged to the amount of the billions of Ringgit of taxpayer guarantees that have been issued on behalf of 1MDB. 

This means the taxpayers are also obliged to the amounts "supported" by the letters of support  issued by the gomen in favour of 1MDB. The taxpayer is obliged and responsible for all these amounts.

The Prime Minister will not understand this concept too well.

Now 1MDB says they have not brought back those funds from the Cayman's. Because they want to keep those funds to pay off their US Dollar debts.

OK what about their Ringgit debts to Maybank, RHB Bank and other banks. 

It is rumoured that Maybank alone has about RM6.0 billion exposure to 1MDB. Is this all in Ringgit?

Maybank is majority controlled by PNB - which if I am not mistaken  belongs to the bumiputra unitholders. It is answerable to the public as well.

It has also been reported that 1MDB is overdue on its debts to Maybank, RHB etc. Dates like 31st January have been mentioned.

If they have missed these due dates, who gave 1MDB another extension? 

Under what banking practise can a 'late' loan be extended and extended?

Where is Bank Negara's supervision as regulator? Sleeping on the job? Or "close one eye"?

Can a Malaysian bank just keep on extending a 'late' loan?

And on what banking principles can Bank Negara, Maybank, RHB Bank allow a 'late' loan borrower to keep their money overseas to pay US Dollar debts first and tell the Malaysian banks they will only get paid later.

Another case of bergayut dengan kera di hutan tapi  anak di rumah biar kebuluran. 

 

This need not concern Bank Negara as much as Regulator IF 1MDB had not made this information known to the public. But 1MDB has already made the information known to the public. 

Yes we have redeemed our billions of US Dollars in the Cayman's but we are not bringing it back to Malaysia because we want to use the funds to settle our US Dollar obligations first. The Ringgit banks can just wait.

And if Maybank and RHB etc agree with this, Bank Negara will also close one eye? What do you tell the Malaysian depositors and shareholders? Remove their CEOs and cancel their banking licenses baru tahu. 

So is Bank Negara sleeping on the job as well?