Tuesday, December 29, 2009

PARLIAMENTARY DEBATE ON JUDGES ETHICS COMMITTEE ACT 2008

Dato Seri Speaker,


The Bill’s Objective: another Futile Exercise

I thank Dato Seri Speaker for giving me the opportunity to debate the Judges Ethics Committee Bill 2008.This Bill, like the Judicial Appointment Commission Act, the Malaysian Anti-Corruption Commission Act and the Enforcement Agencies Integrity Commission Act, will not achieve its purpose of regaining public trust and confidence in the nation’s institutions. This is because the Bill does not address the real causes of the problems. The Judiciary’s decline is due to executive interference and corruption. We do not need more laws to improve the judiciary. We have sufficient laws to punish corrupt and errant judges. We only do not have sufficient political will to do so. Without the courage and conviction to do the right thing this Bill will be another exercise in futility.


The Real Cause of Judical Decline: Executive Interference

The Malaysian judiciary had long enjoyed the highest respect and esteem in the common law countries and the world. However, after the infamous sacking of the Lord President, Tun Salleh Abbas in 1988, the judiciary became an adjunct of the executive. The Courts instead of guarding the citizen’s liberties from the executive’s abuses became the hand maiden of the executive. Instead of acting as a check against the Prime Minister’s excesses, the Courts became the Prime Minister’s hatchet man. The Rule Law was replaced by the Rule of Man. The Courts became an instrument to perpetuate the Rule of One Man.

The list of examples of political interference in the judiciary is long and well documented. The judiciary crisis is often said to have started with the sacking of Tun Salleh Abbas and the suspension of the 5 Federal Court Judges culminating in the sacking of Tan Sri Wan Suleiman and Datuk George Edward Seah. The Government has recently given them an ex-gratia payment. This may be fair compensation for their personal suffering. It corrected the wrong done to these judges personally, but it did nothing to correct the wrong done to the judicial institution.

The real reason for sacking the Lord President was not due to how government cases were to be decided, the real reason was how the UMNO Election case was to be decided. The Court ordered the original UMNO dissolved even though the members did not ask for this. The members wanted a fresh election because the earlier election was tainted by phantom voters. The sacking of the judges was to enable a party president without majority support to retain power;
This was repeated in the disqualification case of YB Wee Choo Keong, now MP for Wangsa Maju. The BN candidate became the member of parliament for Bukit Bintang without majority support of the Bukit Bintang voters. The Court and not the voters appointed the BN candidate as the MP;

The most disgraceful and wicked misuse of the Courts was in the trial and conviction of Dato Seri Anwar Ibrahim, YB Permatang Pau, on the trumped up charges of sodomy. It was a conspiracy to assassinate the political career of YB Permatang Pauh. It was to retain the UMNO President in power and this time he did not want to wait for party elections. It was a desperate plot by a desperate president to cling to power at all costs. Dato Seri Anwar Ibrahim was incarcerated for 6 years based on a confession extracted through beatings and torture. A confession extracted for committing sodomy in an apartment that was not even in existence at the time of the incident. It was so important to blow up Dato Seri Anwar’s political career for the audacity to challenge the incumbent that it did not matter the independence of the judiciary, justice and the rule of law were blown up with it. Everything else was as put by the then High Court Judge repeatedly during the trial; “Irrelevant, irrelevant, irrelevant”. In the process those that defended the rule of law, Dato Seri Anwar Ibrahim’s lawyers, Zainur Zakaria, Tommy Thomas and Manjit Singh were charged with contempt of court.

Although Tun Dr Mahathir has retired, the misuse of the Courts has not. The same cast of characters using the same old script are re-enacting the plot in the new sodomy charges against YB Permatang Pauh. The same old plot is being used against all who challenge the ruling party. Raja Petra and Karpal Singh, YB Tasik Gelugor, are charged for sedition. YB Batu have been convicted for biting a policeman. We have the court decisions in the Perak Power Grab, that are so blatantly wrong that retired Court of Appeal judge, NH Chan, denounced the judges for bringing the courts into disrepute. NH Chan said those judges deserved to be sacked under the 1994 Code of Conduct for Judges. Nothing, however, has happened to these judges. We already have existing laws to deal with the problem, but they have not been used. Therefore it is not the lack of laws but the lack of will that is the cause of the problem.

It is for these reasons that the people and the world have lost trust and confidence in the Malaysian judiciary. Judges are accused of being biased. Judges have delayed or did not deliver their decisions long after the trial. In 2000, The International Bar Association (“IBA”), the Center for the Independence of Judges and Lawyers of the International Commission of Jurists (CIJL”), the Commonwealth Lawyers Association (“CLA”), The Union of Internationale des Avocates (“UIA’) sent a joint mission to Malaysia to investigate the state of the country’s judiciary. Their findings are published in a report entitled “Justice in Jeopardy: Malaysia 2000” They reported that the executive in Malaysia had wide powers and have acted without regard to the fundamental principles expected in a free and democratic society complying with the rule of law.

The situation has gone from bad to worse until His Royal Highness the Sultan of Perak, Sultan Azlan Shah has this to say:

“Concerns have been expressed that some judges were not writing judgments or that there were long delays in obtaining decisions or hearing dates in certain instances. Further, the conduct of certain judges was being questioned in public… Whether these allegations are true, is not for me to say. However, having been a member of the judiciary for many years, it grieves me when I hear of such allegations. Since independence, the early judges have always cherished the notion of an independent judiciary and had built the judiciary as a strong and independent organ of government. The public had full confidence in the judiciary and accepted any decision then made without question. Unfortunately, the same does not appear to be the case in recent years.”


Boot Camp for Judges

The Sultan of Perak’s concerns of the lack of judicial independence are not without cause, High Court Judge, Ian Chin, during the trial of an Election Petition, revealed that the Prime Minister had sent the judges to a “Boot Camp” run by the Biro Tata Negara. It was a course designed to ensure the Judges become more sensitive to the Executive’s position. Those who refused were threatened with dismissal or transfer to remote locations. We have recently been informed that the BTN courses are nothing more than UMNO propaganda designed to further UMNO’s interest. Therefore I ask the Honourable Minister to answer whether judges have been sent to BTN courses and if so, whether this will stop.


Constitutional Amendments to Article 121

The Executive’s clipping of the judicial wings began with the amendment to Article 121 of the Federal Constitution. Prior to the amendment in 1988, Article 121 vested the judicial power in the Courts. After the amendments in 1988 and 1994, the words “judicial powers “ were deleted and the article merely provides for the setting up of the High Courts, the Court of Appeal and the Federal Court. The amendments removed the exclusive vesting of the judicial powers in the Courts and prevented the Courts from striking down legislation or executive decisions on the basis of judicial power and justice. After the amendment the Courts ceased to be the fountain of justice. The Courts have to apply the statutes according to demands of the legislature and the executive and not the demand of justice. Hence the Federal Court has changed its name from Istana Keadilan to Istana Kehakiman.

I request the Honourable Minister to answer why Article 121 should not be re-amended to return the judicial powers to the Courts and return the Courts to the position before the 1988 and 1994 amendments. I also request the Honourable Minister to remove the Prime Minister’s powers to appoint the judges under Article 122B and also to remove the Prime Minister’s powers to sack the judges under Article 125. It is this power of hiring and firing that allows the Prime Minister to influence and threaten the judges. The hiring and firing should be made by an independent panel. Only by having such amendments can we hope to revive the Judiciary. Only by re-amending Article 121 to re-vest “judicial power” in the Courts can we restore the Judiciary to its rightful place as the third pillar of government. We must revive and return the Courts to its rightful role as a check and balance on the other two pillars of government, the executive and legislature. Only then can we truly say that there is a Separation of Powers. Only by such an amendment can we give substance to the principle of “Separation of Powers”.


Corruption

The judicial system deteriorated from executive influence to influence by the rich and famous. Businessmen found out that our judges were the best that money can buy.
In Ayer Molek Rubber Co vs Insas Bhd, the businessman obtained an ex-parte injunction order to compel the company to transfer and register certain shares without complying with the company’s procedure thereby allowing the businessman to gain control of the company. “Ex-parte” means one side. The judge granted the order on hearing only one side. In such a case the order is only made to preserve the status quo but this order, on the contrary, altered the status quo. It required the company to transfer the shares within 48 hours. It is also the established practice that the other side, in this case the company, is entitled to apply to set aside the ex-parte order. However, the judge declined to hear the setting aside application until after the time for the company to register the transfer had passed. The effect of the judge’s conduct was to deprive the company of its right to defend the case. It was a misuse of judicial power. The politicians in the political cases were able to gain control of the government without complying with the procedure for elections. Now, businessmen were able to gain control of companies without complying with the company’s procedures. Both were due to the misuse of the courts. This prompted NH Chan to begin his judgment in the Court of Appeal by saying that “Something is rotten in the House of Denmark” [the Courts were in Denmark House at that time]

The courts thereafter descended down the slippery slope. The Courts awarded Tan Sri Vincent Tan multi-million ringgit damages for defamation. Lawyers who opposed were slapped for contempt of court. These judges issued injunctions to stop the Bar Council from holding EGMs to discuss the situation. The lawyer that could not lose was none other than VK Lingam. How all this was achieved were exposed in the video tape in the fixing of the appointment of the nation’s highest judicial positions by VK Lingam. The Royal Commission of Inquiry Report on the VK Lingam Video in paragraph 20.2 stated that:-

“ The misbehavior uncovered in the Enquiry ranges from acts and omissions which were merely morally objectionable, to acts which fell outside the norms of professional ethical standards as well as to acts which constitute crimes punishable under the laws of Malaysia.”

However, despite these clear findings by the Royal Commission, the Attorney General has announced that the persons mentioned in the Royal Commission’s Report will not be charged. There is no political will to act.

However, the most outrageous and shameful case is that of Adorna Properties vs Boonsom Boonyanit. The Federal Court held that a transfer of a property by a forged instrument of transfer was valid and the registered owner loss her property. This decision was clearly wrong. It is against the established principle of laws under the Torrens system. The decision means that in Malaysia, the highest court of our land has held that crime does pay. A thief can obtain a valid transfer even though it was obtained by forgery or fraud. The decision has been derided by professors of law and legal practitioners from all countries. It is the most shameful episode of our legal history.

I ask the Honourable Minister to amend the National Land Code to reverse the decision of Adorna Property. It is urgent. We should not allow such an unjust decision to remain. Such an unjust decision should not be allowed to remain as a binding precedent on the court of appeal and high courts.


High Judicial Office

The problems faced by the judiciary since 1988 concerns the highest judicial office in the land. The problem is not concerning the misbehavior of one or two high court judges. It is about systemic corruption and abuse caused by the office of the chief executive interfering in the office of the chief judge. It is about lawyers, businessmen and ministers fixing the appointment and promotion of judges. It is about their influence to determine court decisions not according to law or justice but according to the dictates of money and influence. The lower ranked judges are forced to make decisions other than on the basis of law and justice.

The root of the evil is the power of the office of the Chief Judge. It is the misuse and abuse of the powers of this office that has led to the decline of the judiciary. The powers have been in the hands of the wrong person. Despite knowing these root causes, this Bill seeks to provide greater power to the office of the Chief Judge. There is no provision for taking action against an errant Chief Judge if he commits misconduct. There is no provision in this Bill to address this fundamental defect.

I ask the Honorable Minister to answer why the power to determine cases of misconduct is not given to a panel of independent persons. The independent persons must be persons who have no interest in the appointment and promotion of judges. They may be retired judges and eminent persons well versed in the administration of justice. The Bill should be amended to provide for this.


Correcting Weaknesses

There are many weaknesses in the judiciary but those set out below must be corrected immediately.

The first is that the judiciary must have its own budget. When the judiciary does not have power over its own finances and where as present it is dependent on the executive through a Minister, there can be no independent judiciary.

The appointment of judges must be based on merits and the character of the person must be beyond reproach. One who will decide without fear or favour and will dispense justice even if the heavens should fall on him.

The salary and emoluments must be increased so that only the best and the most able will accept the posts. Poor pay and poor working conditions will only cause judges and the court staff to fall prey to bribery and corruption.

There must be accountability and discipline. An opaque system of appointment, promotion and the lack of disciplinary action against those who breach the conduct expected of judges will lead to low morale and ultimately only those less than qualify will want to be judges and those who qualify will not want to sully their reputation in becoming part of a weak judiciary.

There must be a transparent system. The court procedure must be simplified to enable the public and litigants to understand the process. This will prevent judges from making decisions based on technical procedural requirements that do not accord with common sense and the general notions of fair play.

The above matters have been missing from the judicial process. It is no use in spending millions of ringgit on hardware, in constructing new court houses, providing for computerization and buying equipment when scant attention is paid to the software, the people and the skills and values of the judges and court staff.


Conclusion

In summary, I regret that this Bill will fail to meet its objectives. What is needed is to re-plant seeds of credibility in the judicial system. It is only by appointing judges that have the strength of character, integrity and honesty to act as the guardian of our constitutional liberties, the courage to act as the equalizer in the uneven contest between the government machinery and the ordinary citizen and the wisdom to be the fountain of justice, can we ever hope to revive the judiciary. Until we have the political will to take the errant judges to trial and on conviction punish them with a penalty that they deserve, having additional laws will not solve the problem.
For all these reasons I vote against the Bill.

Thank you.

The Minister in the Prime Minister’s Department gave the following answers in reply to the points raised in this speech.


Boot Camp

The Biro Tatanegara Course is not compulsory for judges. There was only one course conducted for judges in 1997 and did not involve all the judges. Since then until the present no judges have been directed to attend the Biro Tata Negara course.


Amendment to the Constitution

The government does not have any proposal at this time to amend Article 121, 122B and 125. Of the Federal Constitution.


The case of Adorna Properties

The case of Adorna Properties Sdn v Boonsoon Boonyanit has been revisited by the Federal Court in Tan Yin Hong v Tan Sian San where the same issue as in Adorna Properties v Boonsoon Boonyanit have arisen. The Federal Court Judges have not delivered their decision on this case.


Bill passed


The Judges Ethics Commission Bill 2008 was approved by a majority vote in the House of Representatives on 16 December 2009 despite strong objections from the opposition.

公正报推介礼

Wednesday, December 23, 2009

PRESS STATEMENT BY YB WILLIAM LEONG MP SELAYANG ON THE COMPULSORY ACQUISITION OF SETTLERS’ LANDS IN BUKIT BOTAK

Request to State and PKNS

I call on the State Government and PKNS to withdraw the compulsory acquisition of the lands belonging to the 1,367 settlers in Bukit Botak. I urge the State and PKNS to do so on humanitarian grounds, in the name of justice and good conscience.

The Background Facts

The Selangor Government had on 6th November 2009, issued a notice for the compulsory acquisition of 1,367 lots owned by the settlers in Bukit Botak. The lands were alienated to the settlers pursuant to the Squatters Resettlement Scheme in 1986. The settlers are to pay RM6,500 as premium and fees. They have to pay RM45,000, RM69,000 or RM79,000 depending on the design for the construction of the houses to be built on their lots. The State imposed a condition that the settlers were to appoint a contractor nominated by the State to build the houses on their land. The first contractor appointed by the State was Shah Alam Properties Sdn Bhd. When SAP did not commence work, the State in 1999 appointed Delpuri Corporation Sdn Bhd. Delpuri built 82 units and delayed completing the rest. The State in 2005 appointed PKNS to take over the project. PKNS built another 88 units, 237 units cannot be built because the lots are on hill slopes or under TNB reserve (“the affected lots”), leaving 1,029 units not completed. According to a White Paper released by the State, PKNS had spent RM48 million, the total cost of the project amounts to RM300 million and PKNS will suffer a loss of RM136 million if it is to complete the project. The State instructed PKNS not to proceed with the project. The State issued the compulsory acquisition notice for the lots on 6th November, 2009.

Committee’s Proposal to MTES

The committee and I held an emergency meeting with the Menteri Besar and the Majlis Tindakan Khas on 12 November to discuss the problem. The Menteri Besar agreed to the committee’s proposal for the state to deliver vacant possession of the lots to the settlers and the settlers will complete the construction of the houses by appointing a contractor of their own. In this way PKNS will not suffer the RM136 million losses. The Menteri Besar agreed that if the settlers agree to this proposal then he will cancel the compulsory acquisition notice. The settlers held a meeting on 21 November 2009 and more than 900 signed the letter, the others who did not sign were those who were living too far away or were working that day. They contacted the committee to inform they agreed to the proposal. The committee informed the 237 owners of the affected lots that due to their situation, the committee will discuss with the State separately to resolve their issue and allow the 1,029 unaffected lots to be completed. I had written to the Menteri Besar of the settlers’ agreement and had delivered the 900 over letters to him on 8 December 2009.

State Decision to Proceed with Acquisition

The State issued a media statement on Saturday, 19 December 2009, that it is proceeding with the compulsory acquisition, on the grounds that the State wants to provide a holistic solution for the 237 affected lots, that another 52 lots have been charged by Delpuri to the bank and the settlers have given a power attorney to Delpuri.

Settlers’ Appeal

The settlers appeal to the State and PKNS to reconsider the decision. I believe that if the Menteri Besar and Exco have been given the full facts and have been properly advised, they will not proceed.

Firstly, the State must respect the sanctity of right to property. The settlers are owners of the lands. The lands are no longer state land. Borang A has been issued to all 1,367 settlers. 1,002 have paid the premium of RM6,500 and the document of title to the land have been issued to them, 153 paid to Delpuri and 153 are ready to pay once the project is resumed. The settlers have been able to endure the anguish of waiting 23 years for their houses to be constructed because they were holding the land titles. The State must not increase their torment and put greater stress on them by taking away the title through compulsory acquisition. Many of the settlers are now between 50 to 60 years old. The title to the land is their life. You take away their title, you take away their life. The State must respect the certainty, security and sanctity of the citizen’s right to property. I urge the State to reconsider using the power of compulsory acquisition because acquiring the lands without respect to the constitutional right to property is wrong no matter how good the intention may be.

Secondly, State has a separate and distinct contractual obligation with each of the 1,367 settlers. The State cannot hope to provide a holistic solution to the 237 affected lots, by compulsorily acquiring the other 1,029 unaffected lots and redrawing the 1,367 lots and consequently reducing the size of the holdings to accommodate the missing 237 lots. The State cannot penalize the 1,029 owners and their families of the unaffected lots because of a mistake by the previous administration or contractor by reducing the size of the unaffected lots from 2,200 sq feet to a smaller size. There are alternative solutions without penalizing the owners of the 1,029 unaffected lots.

Thirdly, there is no charge or valid power of attorney given to Delpuri. The 52 land charges were created by the settlers themselves as security for the settlers’ loans to pay for the costs of the houses. They are part of the 82 units completed by Delpuri. They are the settlers’ loans and not Delpuri’s loans. The State will cause greater hardship and injustice to compulsorily acquire their lands for RM 12,500 and expose them to a claim from the banks for the balance of their loans of RM45,000 to RM79,000. The power of attorney given by the settlers to Delpuri are no longer valid. The construction contracts for the houses are no longer valid because Delpuri failed to complete the houses and the contracts have been terminated. In any event, they are not registered in the courts and therefore invalid.

Fourthly, it is wrong to recover the PKNS losses from the settlers. PKNS had given a proposal to the State to change the design from low cost houses to low cost flats to recover the losses of RM136 million and the RM48 million already incurred. With the settlers appointing their own contractor, PKNS will not suffer further losses. With regard to the RM48 million alleged to have been spent by PKNS, there is ground to believe that there is some irregularity in respect of these payments. PKNS have only built 88 units and have not carried out any works on the other units besides earthworks. At RM48 million, the costs per acre amounts to RM450,000. The average costs according to industry standards is RM250,000 to RM300,000 at most. PKNS gave the contract to their own companies PKNS Infra Berhad, Selangor Industrial Corporation and Delpuri. Of the RM48 million, RM23,330,000 is contract payments, RM1,348,427 is for professional fees, RM5,663,500 for subsidies and compensation, RM16,206,938.00 is compensation for terminating the contracts and RM1,451,045 for other costs and charges. These RM16 million is compensation within PKNS own group and Delpuri. These payments are much higher than the normal rates. These payments must be investigated by the police and the Malaysian Anti-Corruption Agency.

Settlers’ Actions

Since the state has decided to proceed with the compulsory acquisition the settlers have no choice but to defend their interests. The settlers hope that the State and PKNS will withdraw the compulsory acquisition before this Thursday otherwise the settlers shall apply to court for an injunction to stop the compulsory acquisition, a suit to claim damages from the State and PKNS and to lodge reports with the police and MACC.


William Leong Jee Keen
Member of Parliament Selayang
21 December 2009
Bukit Botak

Thursday, November 26, 2009

Walk About at Kuang

http://www.ourlearninghub.com/webpages/CommunityMPSelayang.htm


The Member of Parliament of Selayang, YB William Leong exemplifies what a good people's representative should be.



On weekends, he spends time visiting his constituency to understand the nature of the complaints. Often, the complaints are because of the local council's failure to act.


With the help of his assistants, some of these complaints are being attended to with greater urgency. It is shameful that after 52 years of Independence, living conditions of Malaysians have not improved.



While the Government spends millions of Ringgit on some mega projects, the village folks are still not enjoying modern facilities.


On this visit to Kundang and Kuang, the honorable MP met up with residents who were delighted at his presence.


If you wish to follow YB William on his rounds, you may contact his assistant, Chan Foo Chuen (Mobile 016-247 6182). Visit his blog to find out what makes him tick: http://wileong.org/

Tuesday, November 17, 2009

士拉央木屋区安顿计划三度搁置 前朝政府明知亏大钱仍指示复工

王德齐
11月16日
下午 4点50分
http://www.malaysiakini.com/news/117555

配合明年即将提呈的资讯自由法令,雪州民联政府今日展开第三波也是最后一波的解密前朝国阵政府文件行动,揭露了士拉央武吉波打(Bukit Botak)木屋区重新安置计划在20年内三度搁置的内情。

azlan最令人震惊的是,前任雪州大臣莫哈末基尔领导的州政府在上述计划第二度搁置后,虽然知道恢复工程必须承受巨额亏损,却仍然一意孤行的指示旗下子公司雪州发展机构(PKNS)接手。

结果,新任民联州政府在去年308大选上台后决定终止该项工程。根据估计,如果继续进行这项计划,州政府最终必须承担1亿3640万令吉的亏损。

承包商没受对付反重新受委

不过导致计划第二度搁置的罪魁祸首——Delpuri机构私人有限公司,不但没有受到当局对付,竟又获得雪州发展机构重新委任为承包商,以负责部分屋子的工程。

因此,民联州政府也提出4大疑问,包括:
(一)挑选Delpuri机构的基础;
(二)分配土地给不合格者;
(三)在预先告知有关计划将导致巨额亏损的情况下,州政府为何仍然指示雪州发展机构接手,并且没有对付Delpuri机构;
(四)现有记录中有许多互相抵触的资料,因此州政府将会继续作出整理。

这项木屋区重新安置计划是在1986年由前朝国阵政府开始策划和执行,以建造新屋子安顿武吉波打木屋区的2300户家庭,不过却在1992年及2005年两度搁置和恢复动工,并在2008年由民联政府决定终止。它总共历经4任国阵大臣阿末拉查里(Ahmad Razali Mohd Ali)、莫哈末泰益、阿布哈山,以及基尔。

承包商仅成立两个月就受委

根据解密资料,当首任承包商沙亚南地产私人有限公司在1992年因为技术问题和阻碍而搁置这项计划时,由时任大臣阿布哈山所领导的雪州政府,随即在1996年11月决定委任Delpuri机构为承包商接手。

不过,现任民联州政府无法确定当时的州政府是基于什么因素,来委任这家刚成立两个月的公司担任承包商。同时,相关的董事也被发现没有屋业发展的经验,其中一名董事是前任乌鲁雪兰莪县长,即沙比新(Sabihin Radiman)。

为了显示相关木屋区居民是认真参与恢复计划,Delpuri机构在2001年也规定他们必须缴付1000令吉的承诺费。结果,总共有1367名参与者获得分配32.99英亩的土地。其中1002名人士已经拿到土地;剩余365人则因为缴清地价和土地位置等问题,还处在注册程序之中。

Delpuri 机构也将在这块土地上建造1367间半独立式房屋给所有参与者。同时,它更会发展另外168.069英亩的土地,因此总共是201.059英亩。这涉及 2775间屋子和商店,包括1444间半独立式房屋、5间独立式房屋、80间商店和办公室,以及1246间组屋。

将近60万土地补价占为己有

尽管独立和半独立式房屋的蓝图在2004年已经获得批准,Delpuri机构也与参与者业签署了兴建协议,但是这项计划最终在2005年还是无法完成,第二度遭到废置。

州政府发现Delpuri机构出现以下管理问题:
(一)Delpuri机构没有缴付政府,他们从计划参与者收取的土地补价。根据2007年6月16日为止的调查,200名参与者已经缴付59万7193令吉50仙给Delpuri机构,但是却没有交给鹅唛土地局;
(二)没有根据协议完成临时房屋;
(三)没有定期缴付300令吉租金补贴;
(四)只是完成82间半独立式房屋,52块土地也被抵押给银行;
(五)无法在32英亩土地上另一项廉价木屋区重新安置计划,来安顿864户家庭。有关廉价屋计划只是进行到第4层而已,就被搁置。

复工预料面对1亿3千万损失

随着这项计划第二度遭到搁置,当时由基尔领导的雪州政府就下令,雪州发展机构接手1367间半独立房屋的兴建工程,并中止Delpuri机构的合约。

虽然如此,Delpuri机构却没有受到任何对付。相反的,令人惊讶的是,它还获得雪州发展机构委任,与另外2家承包商PKNS Infra有限公司和雪州工业机构一起负责兴建工程。该公司所负责承包地工程最多,即兴建592间房屋。

根据资料,雪州发展机构当初也曾告知州政府,接手计划将会带来巨额亏损,不过该机构最终却在没有选择的情况之下,不得不接受州政府的指示。

根据估计,如果这项计划复工,那么雪州发展机构必须面对1亿3640万令吉的亏损。这是因为建筑材料已经起价,并且需要进行一些附加工程。

停工仍需要承担4800万开销

民联大臣卡立在上台后,基于该州所有纳税人可能承担重担的理由,于2008年9月24日决定下令雪州发展机构终止武吉波打的兴建工程。

尽管如此,雪州发展机构已经承担4800万令吉的开销,来恢复有关发展工程。这包括付给3家承包商合约费用2333万令吉、终止合约费用1621万令吉、专业费用135万令吉,以及租金津贴和搬迁费566万令吉。

此外,州政府也必须承受地价的损失。如果这块土地继续是由政府拥有,其市价将达到3970万令吉。

不过,州政府只是从1166名计划参与者收取326万令吉的土地补价,并且耗费1760万令吉来进行发展和津贴参与者。

参与者损失土地补价和垫款

此外,雪州发展机构也建议以8万令吉的价格,售卖即将兴建的房屋给木屋区重新安置计划的参与者,并获得600名回复者中82.2%的同意。有关房屋的发展成本是16万8218令吉,市价也同样高于8万令吉。

尽管如此,同意者当中有55.6%要求进一步减低售价。因此,州政府目前还在为所有涉及者寻找最好的方案。

此外,这些计划参与者也还必须承受其他损失。当中有1166名人士已经缴付每人2800令吉的土地补价,另外还有一些参与者则已缴付787万令吉的垫款费。

这些亏损也尚未包括其他普通购屋者,因为州政府无法从Delpuri机构那里获得购屋者的数目。

一些获得土地者当年才8岁

另一方面,民联州政府也揭露,他们接获投诉,指一些没有定居在木屋区的人士,也获得分配土地。根据调查,一些获得分配土地的人士在1985年进行户口调查时少过18岁,其中一些更只有8岁。

因此,他们已经成立一个以行政议员依斯甘达为首的房屋、建筑物管理和木屋区委员会,来特别调查武吉波打计划的土地分配是否有任何舞弊,并确定所有参与者都符合资格。

卡立此前已经运用1972年官方机密法令所赋予的权力,展开两波的解密行动,来展现公开资讯自由的重要性。这两波的解密行动,分别涉及雪州武吉泽拉卡惨遭搁置的Bandar Alam Perdana房屋发展计划,以及雪州农业发展机构(PKPS)再造林计划。

Bandar Alam Perdana计划是由已故巫统行政议员兼而榄州议员米斯肯苏特罗(Miskon Sutero)的公司所负责,导致383名地主和3436名购屋者面对惨重的损失。其中地主更是赔了土地,又拿不到屋子。

再造林计划,则被指仅是一项图利朋党的计划,不但导致雪州痛失绿色园地,也根本无法达到所预测的收入。民联州政府揭露,基尔曾经夸耀这4项再造林计划在20年内可赚8亿令吉,但在进行10年后,实际上仅赚不到100万令吉。

OSA: Kerajaan BN Gagal Atasi Masalah Setinggan di Bukit Botak

Isnin, 16 November 2009 | Ruangan: Berita
http://www.selangorkini.com.my/my/berita/7362

SHAH ALAM, 16 Nov - Menteri Besar, Tan Sri Abdul Khalid hari ini mendedahkan satu lagi dokumen di bawah Akta Rahsia Rasmi 1972, membongkar kegagalan Kerajaan Barisan Nasional menyelesaikan masalah setinggan di Bukit Botak, Selayang sejak 1986 lagi.

Matlamat utama mengatasi masalah limpahan penduduk setinggan yang mendiami Bukit Botak tersasar apabila projek penempatan semula ini gagal menyiapkan kediaman kepada 2,300 keluarga terbabit.

Seluas 201 ekar tanah dikenal pasti terlibat dalam perancangan penyusunan dan penempatan semula setinggan Bukit Botak yang ketika itu, Datuk Ahmad Razali Mohd Ali selaku Menteri Besar Selangor.

Rancangan ini bertukar tangan dan diteruskan apabila Menteri Besar yang baharu, Tan Sri Muhammad Taib meluluskan pelantikan Shah Alam Properties (SAP) sebagai Pengurus Pembangunan Projek malah mereka juga diberi wang pendahuluan sebanyak 17 juta ringgit bagi kerja-kerja pembangunan dan rancangan perbekalan air, elektrik dan lampu jalan.

Bagaimanapun akibat masalah teknikal SAP gagal meneruskan projek tersebut malah terbengkalai pada 1992.

Setelah beberapa tahun kemudian, Delpuri Corporation Sdn Bhd (DCSB) pula diberi kepercayaan untuk meneruskan projek tersebut pada 1996, membabitkan 1,367 rumah berkembar seluas 32.99 ekar.

Pada ketika itu, Datuk Abu Hassan Omar merupakan Menteri Besar Selangor.

Bagaimanapun, tidak lama selepas itu DCSB juga gagal menyiapkan rancangan penempatan tersebut, antaranya gagal membuat bayaran premium tanah, tidak menyiapkan rumah transit setinggan terbabit, tidak memperuntukkan wang subsidi sewa sebanyak 300 ringgit, menyiapkan hanya 82 lot rumah berkembar, 52 hak milik digadaikan bank dan gagal menyiapkan projek pemindahan setinggan kos rendah seluas 32 ekar diberi milik.

Umno-BN mengulangi kesilapannya pada pemerintahan Datuk Seri Khir Toyo apabila mengarahkan Perbadanan Kemajuan Negeri Selangor (PKNS) mengambil alih pembinaan 1,367 unit rumah berkembar.

Kemusykilan timbul apabila PKNS melantik DCSB semula sebagai kontraktornya untuk membangunkan 592 unit walhal mereka ternyata gagal pada projek lalu.

Akibatnya PKNS sudah menanggung kos projek sebanyak 48 juta ringgit bagi bayaran kontrak, yuran professional, subsidi sewa, saguhati pemindahan dan kos penamatan kontrak malah jika projek ini diteruskan, PKNS bakal menanggung kerugian 136.4 juta ringgit.

Setelah Pakatan Rakyat memerintah Selangor di bawah pentadbiran Tan Sri Abdul Khalid Ibrahim, satu jawatankuasa khas ditubuhkan untuk menyiasat seberang penyelewengan atau penipuan berlaku dalam pemberian tanah kepada bekas penduduk setinggan Bukit Botak.

Malah PKNS juga diarahkan menamatkan semua kontrak pembinaan di Bukit Botak bagi mengelakkan kerugian bertambah lagi. - MOHD SAHRULNIZAM MOHD ZAIN

Thursday, November 12, 2009

[Berita] Mohon RM400,000 siapkan surau

http://www.sinarharian.com.my/selangor/content/story5981454.asp

RAWANG – Pembangunan Surau al Firdaus di Jalan GU 3/9, Taman Garing Utama yang merangkumi tiga fasa pembinaannya memerlukan kos sekitar RM700,000.

Bagaimanapun, sehing ga berakhir 13 Oktober lalu, sumbangan orang ramai berjaya dikumpulkan untuk pembangunan surau berkeluasan 0.24 hektar itu sebanyak kira-kira RM300,000.

Pengerusi surau berkenaan yang juga Nazir Masjid Nurul Iman, Ilham Akhbar Harun berkata, untuk itu Jawatankuasa Pembangunan Surau terba bit masih lagi berusaha mengumpulkan dana sekitar RM400,000 bagi melengkapkan pembinaan keseluruhan fasa.

“Dengan kos yang ada buat masa ini, kita akan memulakan fasa I iaitu kerja tambakan tanah sekitar Disember ini dan fasa II membina Blok A iaitu bangunan utama dijangka bermula Januari 2010.

“Bagi fasa III iaitu pembinaan Blok B dan Menara, ia adalah perancangan akan datang tertakluk kepada kemampuan kewangan. Jadi, kepada mereka yang ikhlas menyumbang melengkapkan keseluruhan fasa amat digalakkan,” katanya.

Beliau berkata demikian selepas Majlis Perasmian Gotong-royong Permulaan Awal Pembinaan Surau al-Firdaus dirasmikan Timba lan Pengarah Jabatan Agama Islam Selangor (Jais), Rasni Ali Ahmad.

Hadir sama, Ahli Parlimen Selayang, William Leong Jee Keen, Ahli Dewan Undangan Negeri (ADUN) Rawang, Gan Pei Nei dan Ahli Majlis Perbandaran Selayang (MPS) Zon 16, Tengku Zulpuri Shah Raja Puji serta wakil Lembaga Zakat Selangor (LZS).

Dalam pada itu, Ilham berkata, penderma sumbangan boleh membayar terus ke dalam akaun nama surau atas nama Tabung Pembangunan Surau al-Firdaus dengan nombor akaun Maybank al-Wadiah, 5620 1200 2735.

Mengulas kepentingan mendirikan surau itu menurutnya, selain bagi menampung keperluan pendu duk pada masa sekarang dan akan datang, kemudahan itu juga akan dimohon kebenaran mendirikan solat Jumaat.

Ilham berkata, ini memandangkan masjid terde kat berada sejauh kira-kira tujuh kilometer dari surau itu yang satu-satunya institusi mengadakan aktiviti keagamaan dan sosial bagi masyarakat Islam setempat.

“Pada masa ini, surau beroperasi sementara melalui sewaan rumah teres setingkat ‘corner lot’ yang hanya mampu menampung 100 jemaah. Manakala purata kos sewaan kira-kira RM500 sumbangan ditampung dengan sumba ngan orang ramai,” katanya.

Difahamkan, surau baru di blok A nanti akan menem patkan dewan solat utama dan ruang legar yang boleh menampung 380 jemaah, manakala blok B mempunyai bilik kuliah, bilik mesyuarat, pejabat, bilik jenazah dan utiliti asas.

Terdahulu, William yang sempat melawat isu infrastruktur setempat di perumahan terbabit dan bertemu penduduk selepas majlis itu selain turut menyumbang RM1,000 untuk pembinaan surau terbabit.


Thursday, November 5, 2009

Pelupusan dan Pengutipan Sisa Pepejal

Kementerian Perumahan dan Kerajaan Tempatan menyatakan bahawa jumlah sisa pepejal yang dihasilkan di seluruh Negara bagi tahun 2005 adalah 19,100 tan sehari dan adalah dijangka akan meningkat ke 30,000 menjelang 2020. Pada saat ini, pihak berkuasa tempatan menghabiskan 50% hingga 100% daripada pendapatan mereka dalam pengurusan sampah dan pembersihan. Ini adalah salah satu alasan bahawa pihak berkuasa temptan di Negara ini tidak dapat memberikan tahap perkhidmatan yang diharapkan oleh masyarakat sebagai lebih daripada setengah dan dalam beberapa kes, keseluruhan pendapatan digunakan untuk pembuangan sisa.


Kementerian menyatakan bahawa ia masih menggunakan teknologi lama 'tipping' dan 'terbakar' serta membuang sampah di ‘landfill’. Terdapat jumlah 178 tapak pelupusan sampah di negara ini. Kerajaan bercadang untuk membina 9 buah lagi dan untuk mempertingkatkan 42 ‘landfill’ yang lain. Kerajaan telah membina 5 insinerator, tidak satu pun yang masa ini beroperasi. Ia mencadangkan untuk membina 5 i nsinerator mini lain di Labuan, Langkawi, Pangkor, Tioman dan Cameron Highlands.

Jumlah kos untuk pembuangan sisa adalah RM1.7 bilion setahun, daripada RM1 bilion adalah kini di bawah anggaran bajet Persekutuan dan RM700 juta oleh pihak-pihak berkuasa tempatan. Dianggarkan bahawa usulan privatisasi Persekutuan berkenaan pembuangan sisa akan berjumlah RM3.8 bilion setahun. Hal ini adalah berdasarkan 'tipping' dan 'terbakar' teknologi masa kini. Kos ini tidak termasuk pembangunan, penyelenggaraan dan penutupan bagi setiap ‘landfill’ dan persekitaran serta kerosakan alam sekitar yang timbul daripada ‘landfill’ seperti bahaya atau pencemaran kepada sumber air dan emisi gas rumah hijau.


Kementerian telah menyatakan bahawa ada teknologi alternatif seperti, bahan kemudahan pemulihan (MRF) dan menolak proses ‘refuse-derived fuel’ (RDF). Saya menyeru kepada Kementerian untuk meninjau sistem sekarang yang tidak mesra alam dan mahal serta untuk mempertimbangkan kegunaan teknologi alternatif yang sedia ada. Di Semenyih, Kerajaan Selangor telah mula mengendalikan sebuah kilang RDF dan pada tahun pertama operasi, ia sudah menjimatkan Pihak-pihak Berkuasa Tempatan Kajang sebanyak RM16 juta dan RM20 juta pada tahun kedua.


Tidak ada apa-apa alasan bagi Kerajaan Persekutuan untuk mengambil alih pengurusan pembuangan dan pembersihan sisa pepejal daripada pihak berkuasa tempatan dan Kerajaan-kerajaan Negeri dengan membayar sebanyak RM3.8 bilion dan menggunakan teknologi yang sudah ketinggalan zaman berbandingkan teknologi yang lebih murah dan lebih cekap yang sedia ada serta boleh dikendalikan oleh pihak berkuasa tempatan dan Negeri sendiri.



William Leong Jee Keen

Ahli Parlimen Selayang



Khamis, 5 November 2009

Waste Collection and Disposal

The Ministry of Housing and Local Government states that the total volume of waste generated in the country for 2005 was 19,100 tons a day and is expected to increase to 30,000 by 2020. Presently, the local authorities spend 50% to 100% of their revenues in waste management and cleaning. This is one of the reasons that the local authorities in the country are not able to provide the level of service expected by the public as more than half and in some cases, the entire revenue is spent on the disposal of waste.

The Ministry states that it is still using the old technology of ‘tipping’ and ‘burning’ and dumping the waste in landfills. There are a total of 178 landfills in the country. The Government plans to build another 9 and to upgrade 42 other landfills. The Government has built 5 incinerators, none of which are presently operating. It proposes to build another 5 mini incinerators in Labuan, Langkawi, Pangkor, Tioman and Cameron Highlands.

The total fees for waste disposal is RM1.7 billion per year of which RM1 billion is under the current Federal budget and RM700 million by the local authorities. It is estimated that the proposed Federal privatization of waste disposal would be RM3.8 billion a year. This is based on the present ‘tipping’ and ‘burning’ technology. This cost does not include the construction, maintenance and closure of each of the landfills and the environmental and ecological damage arising from the landfill such as the danger or pollution to the water resources and the emission of greenhouse gas.

The Ministry has stated that there are alternative technologies such as, material recovery facilities (MRF) and refuse derive fuel process (RDF). I call on the Ministry to review the present system which is environmental unfriendly and costly and to consider using the available alternative technologies. In Semenyih, the Selangor Government has started to operate an RDF plant and in the first year of operation, it has saved the Kajang Local Authority, RM16 million and RM20 million in the second year.

There is no reason for the Federal Government to take over the management of waste disposal and cleaning from the local authorities and the State Governments only to pay RM3.8 billion using outdated technologies where cheaper and more efficient technologies are available and which can be operated by the local authorities and the State.

William Leong Jee Keen

Member of Parliament Selayang

Thu, 5 November 2009

固体废料处理和管理

我在国会下议院提出有关固体废料处理和管理的提问,日前得到房屋及地方部的书面答案。在2005年,我国每天所产生的固体废料总量为19, 100吨,预计在2020年将会增加到每天3万吨的固体废料。目前,地方政府花费在公共清洁和固体废料管理占了其总收入50%至100%。这也是其中一个理由为何地方政府无法达到人民所预期的服务和效率,因为地方政府的收入都花费在固体废料管理。

根据房屋及地方部的书面答案,我国的垃圾处理法是以“倒”(tipping)和“烧”(burning)以及把垃圾埋在垃圾土埋场。我国一共有178个垃圾土埋场,政府计划增建5个垃圾土埋场和提升42个垃圾土埋场。政府也已经建造了5个焚化炉,但是没有一个在操作,并且政府还计划建造5个小型的焚化炉在纳闽、浮罗交怡、邦咯岛、刁曼岛和金马伦高原。

固体废料处理的费用总额为每年马币17亿,其中10亿令吉是在联邦政府的预算案和马币7亿是在地方政府的预算案。据估计,联邦政府所建议的固体废料管理私营化计划将会每年花费38亿令吉以现在的“倒”(tipping)和“烧”(burning)的技术处理固体废料,而且这一笔费用不包括建造费、维修费和关闭垃圾土埋场费。此外,垃圾土埋场会造成生态和环境严重影响,如污染地下水源和排放温室的气体

房屋及地方部也表示,固体废料的处理还有许多替代技术如可循环垃圾分类设施(MRF)和垃圾衍生燃料(RDF)。在士毛月,雪州政府已经开始操作以垃圾衍生燃料(RDF)的技术来处理固体废料。在操作的第一年,加影市议会节省了1千6百万令吉以及第二年可节省高达马币2千万。

我呼吁房屋及地方部重新检讨现有处理固体废料的系统和昂贵的替代技术,并且房屋及地方部和中央政府应该放弃公共清洁和固体废料统一管理,因为州政府和地方政府需要花费每年38亿令吉用在已经过时的固体废料处理技术。雪州民联政府在加影士毛月实行的垃圾衍生燃料是最好的例子,因为这已经证明了州政府和地方政府以先进的固体废料处理技术来管理其地方的卫生环境,并且可以为地方政府节省千万令吉。


梁自坚律师
士拉央区国会议员

出示密函质疑内阁早知高价买地 公正党:勿只指责陈广才冯惠珠

国会公共账目委员会的巴生港口自贸区调查报告出炉后,在野党继续抖出更多的内幕。人民公正党今日出示一份交通部机密公函,质疑当时的内阁其实早已被告之,巴生港务局会以每平方尺25令吉的价格,向Kuala Dimensi有限公司(KDSB)购买土地。

pkr weekly pc 221107 william leong公正党总财政梁自坚(左图)今日在该党峇都国会议员蔡添强的陪同下,于国会走廊召开记者会,出示该份密函,质疑内阁早已知情,港务局没有依据每平方尺10令吉的市价,购买自贸区的土地。

该份密函志期2002年11月20日,函末署名是交通部海事局秘书查卡利亚(Zakaria Bahari),但他却表明是代表交通部秘书长,致函给时任港务局总经理冯惠珠。

陈广才向阿都拉建议自行购地

该份密函指出,时任交通部长陈广才曾经在2002年6月29日致函时任首相阿都拉,建议政府应该自己购买土地,来发展自贸区计划。

据该份密函,首相的特别顾问同意陈广才的看法,即政府应该自己购地发展自贸区计划。接着,交通部即于2002年11月6日,向内阁提呈一份报告,以讨论此事。

密函续说,内阁会议过后通过这项建议,惟规定该笔买地交易,必须依照陈广才所提,港务局与KDSB达成的条件进行。

以每平方尺25令吉向KDSB购地

port klang free zone pkfz audit令人惊讶的是,在这3项条件中,竟然也包括同意以每平方尺25令吉的价格,向KDSB购地。

另外两项条件是:(一)必须是自愿交易;及(二)付款期限15年。

针对内阁为何会同意以高出市价每平方尺15令吉的价格购地,也是士拉央国会议员的梁自坚,曾在10月21日在国会提问交通部,惟这项提问已经被国会当局驳回。

而国会当局的理由是,这是一项内阁的机密决定。

解密内阁自贸区文件厘清真相

有鉴于此,梁自坚与蔡添强一同呼吁中央政府,解密有关自贸区课题的内阁文件,以进一步厘清事情的真相。

梁自坚说,既然陈广才曾向内阁提呈报告,证明内阁肯定知晓,港务局会以每平方尺25令吉的价格购地。

“我们现在要知道的是,到底是谁,以及为何会做这项决定。”

蔡添强:焦点不应该集中两人

蔡添强也补充,虽然公账会报告出炉后,陈广才与冯惠珠成为千夫所指,不过若只把焦点放在这两人身上,却又不太正确。

他认为,内阁不可能会对涉及庞大巨款的自贸区计划,毫不知情。

“我们现在还不知道,到底谁应负上真正的责任。我们应该根据公账会的调查结果,更进一步地调查下去。”

巴生港自贸区真相尚未大白 梁自坚促解密内阁会议文件

作者/本刊黄书琪 Nov 05, 2009 04:59:49 pm

【本刊黄书琪撰述】尽管国会公共帐目委员会已经公布巴生港口自由贸易区弊案调查报告,并指前交通部长陈广才、前港务局总经理冯惠珠有犯下失信罪之虞。可是,在野党国会议员显然不满这个结果,纷纷要求追根究底。

人民公正党籍的峇都区国会议员蔡添强与士拉央国会议员梁自坚(右图)也在今午召开记者会,他们认为,唯有把公听会里提到的官方文件一律解密,才能说真相大白。

也是公账会委员的梁自坚一开始就强调,如果无法将内阁会议文件解密,那么就算是成立特别工作小组调查自贸区弊案,也无济于事,根本无法把事情真相暴露出来。

他举例一封志期2002年11月20日,由交通部发给冯惠珠的公函,内容提及内阁曾经在2002年11月6日接获一份交通部长函件,并因此决定购买土地案。

但是,当梁自坚于今年10月要求内阁公开这份文件时,交通部秘书长却以事关内阁决策机密为由,拒绝公开。因此,梁自坚提问:“文件里到底写了什么让内阁下此决定?”

内阁该集体负责

蔡添强也说:“如果我们只把焦点放在冯惠珠与陈广才身上,这是不正确的,这封信里面已经说得很清楚,内阁已经获得通知,而且,这个决定是根据内阁指示。”

另一方面,民主行动党籍的泗岩末国会议员林立迎揭露,根据公帐会报告附录,自贸区内多栋建筑物只有一栋的入伙纸获批,其馀14栋建筑物基础建设并不完善,连接各区至港口的道路未完工、水电设施从缺、没有路灯、排污设备亦缺,建筑安全大有问题。

根据普华永道今年五月公布的报告,唯一通过安全检测的建筑物是在2008年1月8日获得入伙纸,其馀建设至今年2月3日为止,都还没获准入伙。

Wednesday, November 4, 2009

梁自堅:取消服務稅 信用卡為日常必需品

(吉隆坡2日訊)人民公正黨士拉央國會議員梁自堅促政府取消信用卡服務稅,因為信用卡已是大馬人民的日常必需品。

他指出,過去政府也發現徵收信卡服務稅並無法協助減少國人濫用信用卡的情況,所以才決定取消徵收服務稅。

他今早在國會辯論2010年度財政預算案時表示,政府如今卻突然宣佈重新徵收服務稅,如同在開倒車。「如果政府堅持他們是對的,那我建議部長們先以身作則,取消他們信用卡,僅剩一張在身就好。」

梁自堅認為,信用卡已成為人民生活上不可或缺的必需品,而每個人民也不可能僅有一張信用卡。

他繼指,我國人民的信用卡壞賬問題並不嚴重,政府沒有必要採取上述政策,因為這只會加劇人民的負擔。

他說,人民不可能帶著巨額的款項出門,正如某位前部長在多年前因攜帶數百萬令吉現金到澳洲而遭到逮捕。

http://www2.orientaldaily.com.my/read//2W040QmJ093r91Wz1p6E1Qx40lRM3o8d

Monday, November 2, 2009

PERBAHASAN Budget 2010 (02-11-09)

Dato Seri’/Dato Yang Di-pertua,

Mukadimah

1 Saya mengucapkan terima kasih diberi peluang untuk membahas Bajet 2010.

Cadangan Bercanggah

2 Terdapat beberapa cadangan dalam bajet ini yang bercanggah dan menyebabkan bajet ini menjadi tanpa haluan (dengan izinnya ‘directionless’).

3 Contoh :

3.1 Cadangan mengenakan cukai perkhidmatan lima puluh ringgit ke atas setiap kad kredit dan dua puluh lima ringgit ke atas setiap kad tambahan akan menggalakkan rakyat membatalkan kad kredit mereka dan dengan itu, mengurangkan perbelanjaan mereka. Ini bercanggah dengan tujuan pakej ransangan ekonomi yang berjumlah enam puluh tujuh billion ringgit kerana dengan pengurangan perbelanjaan, ekonomi tidak akan dapat dipulih.

3.2 Cadangan untuk mengenakan cukai atas keuntungan pelupusan hartanah akan mengurangkan keazaman rakyat untuk menjual rumah yang sediada dan membeli rumah baru. Ini bercanggah dengan tujuan untuk meningkatkan sektor perumahan dan pembinaan.

4 Saya berharap Kerajaan mengkaji semula cadangan-cadangan dalam Bajet ini supaya tidak ada percanggahan dan Kerajaan dapat mengikut satu haluan yang ketara.

Kad Kredit

5 Cadangan untuk mengenakan cukai perkhidmatan ke atas kad kredit harus dikaji semula dengan tujuan untuk dibatalkan.

5.1 Cukai ini telah dicuba pada 1997 dan dimansuhkan pada tahun 2001 kerana tidak dapat mencapai matlamatnya untuk mengurangkan kegunaan kad kredit. Pada 1997, cukai telah diadakan. Pada 1998, jumlah kad turun sebanyak 90,000 tetapi kembali sebanyak 296,000 untuk tahun 1999 dan terus naik selepas itu. Saya bertanya Yang Berhormat Menteri mengapa dengan pengalaman di mana dasar ini telah gagal Kerajaan mencadangkan untuk mengadakan cukai ini.

5.2 Cadangan ini akan membebankan pemegang kad kredit sebab kebanyakan mereka hanya membayar jumlah minima setiap bulan dan tidak dapat membatalkan kad kredit kerana tidak akan mampu menjelaskan jumlah tertunggak sekaligus. Jikalau Kerajaan hendak mengawal pinjaman melalui kad kredit, Kerajaan seharusnya membuat peraturan ke atas bank-bank dan syarikat kad kredit tentang jumlah yang boleh dipinjam atau kelayakan kegunaan dan bukan membebankan pengguna dengan caj RM50 ini.

5.3 Cadangan ini tidak mengambilkira bahawa seseorang memerlukan lebih daripada satu kad kredit kerana kad kredit telah menjadi satu keperluan dalam zaman moden dengan masyarakat ‘tanpa menggunakan wang tunai’ dengan izinnya, ‘cashless society’. Pembayaran dengan cara elektronik sudah menjadi medium pembayaran biasa.

5.3.1 Tanpa kad kredit seseorang tidak akan mendapat menempah hotel di negara seperti Amerika Syarikat dan Europa kerana mereka beramalkan sistem tanpa wang tunai.

5.3.2 Pembayaran di laman web adalah dengan kad kredit.

5.3.3 Kegunaan kad kredit telah lama dianggap sebagai cara kehidupan moden. Ini telah dimaklumkan oleh Time Magazine sejak September 22, 1958. Jikalau negara kami tidak menggalakkan kegunaan kad kredit, ini bermakna masyarakat kami berundur ke zaman dahulu:

5.3.3.1 Di mana penduduk kami hendak berulang alik dengan beg penuh berisi wang tunai seperti seorang bekas Menteri Besar dahulu yang mengangkut beg penuh dengan wang tunai ke Australia; dan

5.3.3.2 Baru-baru ini seorang wakil dari Sabah telah ditahan oleh ICAC Hong Kong dengan beg berisi wang tunai sebanyak enambelas juta ringgit.

Pembayaran dengan kad kredit lebih selamat berbanding dengan kewajipan membawa wang tunai, orang biasa mungkin tidak akan ditahan oleh polis Australia seperti bekas Menteri Besar atau ditahan oleh ICAC Hong Kong seperti wakil Sabah, tetapi orang biasa akan ditahan dan dirompak oleh penyamun memandangkan keadaan yang kurang selamat di dalam Negara kita ini.

5.3.4 Mengikut laporan Bank Negara Malaysia bertajuk “Financial Stability and Payment Systems Report 2008”, pinjaman bermasalah (NPL) untuk pinjaman rumah, kereta dan kad kredit hanya meningkat dari 0.1% kepada 4.2% dan tidak merupakan sesuatu perkara yang merunsingkan. Kadar ini dibawah kadar NPL untuk sektor bank komersil berjumlah 4.4%.

Mengikut dasar Bank Negara Malaysia, semenjak tahun 2006, transaksi kegunaan kad kredit lebih daripada jumlah kegunaan cek sebagai medium pembayaran. Mengapa kita hendak undur kepada pembayaran secara lama?

5.4 Saya meminta Kerajaan memberikan statistiks untuk menunjukkan bahawa kegunaan kad kredit telah menjadi satu masalah yang begitu besar yang mewajibkan satu pemulihan dengan mengenakan caj cukai perkhidmatan.

5.5 Saya juga meminta Yang Berhormat Menteri-menteri menunjukkan kepimpinan melalui teladan dan memberi deklarasi bahawa mereka akan membatalkan kad-kad kredit mereka.

RPGT

6 Cadangan cukai 5% ke atas keuntungan pelupusan hartanah hendaklah dibatalkan.

6.1 Cadangan ini tidak wajar diadakan dalam keadaan kemelesatan ekonomi yang masih dialami di Negara ini.

6.2 Cukai ke atas keuntungan pelupusan hartanah diadakan untuk tujuan mengawal harga spekulasi perumahan semasa ekonomi berkembang pesat.

6.3 Cukai ini telah dimansuhkan sejak 1 April 2007 dan tidak harus dikuatkuasakan semula kerana keadaan ekonomi masih belum pulih.

6.3 Cadangan cukai ini akan menyukarkan rakyat kerana cukai ini dikenakan tanpa masa terhad. Kadar cukai RPGT dahulu mengurangkan secara berperingkat mengikut tempoh jualan dan tiada cukai dikenakan selepas tahun kelima. Cadangan baru adalah lebih menyusahkan rakyat dan tidak adil.

MENINGKATKAN PELABURAN SWASTA

7 Cadangan dan strategi untuk meningkatkan pelaburan swasta tidak begitu menyakinkan kerana kelemahan-kelemahan Negara kita yang dibentangkan dalam Laporan Daya Saing Global Forum Ekonomi Dunia (WEF) bagi 2009-2010 tidak diutarakan dalam Bajet ini.

7.1 Rangking daya saing global Malaysia jatuh tiga takuk ke kedudukan ke-24;

7.2 Kerajaan seharusnya meneliti dengan serius syor-syor yang dicadangkan oleh World Economic Forum untuk meningkatkan daya persaingan negara kita dengan memperkukuhkan dua belas jenis penilaian dimensi persaingan tersebut.

7.3 Saya meminta Yang Berhormat Menteri memberi penjelasan tentang tindakan yang dirancangkan untuk membetulkan kelemahan setiap dua belas penilaian dimensi atau dengan izinnya, “The Twelve Pillars of Competitiveness”.

INSTITUSI KEHAKIMAN

8 Salah satu kelemahan penting yang menjejaskan daya persaingan negara kita ialah kelemahan institusi kehakiman dan kedaulatan undang-undang.

8.1 Peristiwa kes politik seperti perintah membubarkan UMNO sehingga mewujudkan UMNO Baru dan Semangat 46 mengakibatkan orang awam semakin hilang keyakinan terhadap kehakiman.

8.2 Peristiwa kes pemecatan Ketua Hakim Tun Salleh Abbas dan lima hakim yang lain juga adalah satu punca kekurangan keyakinan terhadap institusi kehakiman. Pembayaran ex-gratia kepada hakim-hakim baru ini hanya membetulkan kes peribadi hakim-hakim tersebut. Sehingga hari ini, kerosakan kepada institusi kehakiman belum dipulihkan.

8.3 Keputusan kes Dewan Undangan Perak yang mana hakim tidak mengikut Perkara 72 Perlembagaan Persekutuan yang begitu ketara juga menimbulkan satu persepsi kepada orang awam bahawa kegagalan kehakiman untuk memberi penghakiman mengikut kedaulatan undang-undang.

8.4 Keputusan Peguam Negara dalam enggan mendakwa mereka yang telah didapati melanggar undang-undang dan melakukan jenayah oleh Suruhanjaya Diraja dalam video V K Lingam juga telah memusnahkan keyakinan rakyat terhadap institusi undang-undang.

9 Cadangan untuk membina lebih bangunan Mahkamah tidak akan dapat menangani masalah. Ini adalah seperti seorang yang tidak tahu menari menyalahkan lantai. Masalah kekurangan keyakinan terhadap institusi kehakiman bukan kerana bangunan Mahkamah rosak tetapi hakim-hakim tertentu yang rosak.

10 Untuk memulihkan keadaan, mereka yang didapati membuat penghakiman dengan tidak mengikut prinsip undang-undang yang ketara hendaklah dipecat dan mereka yang telah melakukan kesalahan hendaklah disiasat, diheret ke Mahkamah dan diberikan hukuman sewajarnya.

11 Akhirnya, saya mencadang bajet ditambah kepada pihak Kehakiman supaya gaji-gaji dinaikkan sehingga taraf yang dapat mempelawa peguam-peguam yang berpengalaman tinggi, berwibawa, yang bijaksana dan berpegang teguh pada keadilan dan kebebasan fikiran untuk menjadi hakim.

MALAYSIAN RESOURCE CURSE / KUTUKAN SUMBER DAYA ALAM MALAYSIA

12 Salah satu lagi kelemahan daya persaingan Negara kita adalah kerana negara kita dijangkiti Penyakit Belanda atau dengan izinnya, “Dutch Resource Disease”.

13 Pertumbuhan ekonomi Malaysia adalah disebabkan perbelanjaan sektor awam yang besar sehingga 27% KDNK. Ini adalah terbesar di rantau Asia. Ini adalah sebab Kerajaan mendapatkan pendapatan besar sejumlah 40% daripada minyak Petronas.

14 Kemudahan sumber minyak ini mewujudkan sikap pembaziran dan leka (complacent) sehingga kebanyakan projek kerajaan mengalami kerugian yang besar dan tidak mencapai matlamat untuk memberi manfaat kepada sasaran, terutamanya, matlamat untuk membasmi kemiskinan dan meningkatkan taraf hidup kaum bumiputra.

15 Kesan buruk kutukan sumber daya alam juga mewujudkan masalah rasuah dan dengan izinnya, “rent-seeking behavior” di mana hanya individu-individu tertentu dapat menikmati keuntungan besar manakala golongan miskin bertambah miskin.

16 Cara yang terbaik untuk menyelesaikan masalah ini adalah mewujudkan satu dana Petroleum supaya hasil keuntungan daripada Petronas dilaburkan semula untuk memberi satu pulangan kekal/berlanjutan seperti “Government Pension Fund” di Norway, “Stabilization Fund of the Russian Federation” atau “State Oil Fund of Azerbaijan” atau “the Future Generations Fund” di Kuwait yang diperbadankan sejak 1976.

17 Saya meminta Menteri memberikan penjelasan mengapa Malaysia tidak mewujudkan dana seperti ini yang telah dinasihatkan antaranya, oleh IMF dan WorldBank dan diamalkan oleh Kerajaan negara yang berperihatin kepada kehidupan masa hadapan rakyat.

PENGAJIAN TINGGI

18 Pada masa ini, Malaysia mempunyai kadar pengangguran graduan yang tertinggi daripada 15.2% di tahun 2000 kepada 25.1% di tahun 2007. 42% pengusaha Malaysia menyatakan bahawa kekurangan tenaga kerja berkemahiran adalah sekatan perniagaan yang paling utama, berbanding dengan kadar 37% di Asia Timur dan 35% di dunia. Ini bermakna negara kita mengalami dua kelemahan iaitu, kekurangan pekerja yang berkemahiran dan kemahiran yang tidak seimbang dengan keperluan industri.

19 Saya merujuk kepada laporan yang telah disediakan oleh World Bank bersama dengan Kerajaan Malaysia bertajuk “Malaysia and the Knowledge Economy Building a World Class Higher Education System” yang diterbitkan dalam bulan Mac 2007.

20 Mengikut laporan ini, IPTA ada beberapa factor kelemahan dalam prospek pembangunan dan beberapa syor-syor telah diberikan seperti berikut:

(a) IPTA seharusnya diberi keupayaan untuk memilih pelajar yang terbaik dan bukan dipilih oleh pusat;

(b) Kuasa untuk menawarkan gaji dan pakej yang menarik kepada pensyarah-pensyarah yang terbaik di dunia berbanding pakej yang sedia ada yang kurang memuaskan;

(c) Kuasa untuk memilih para pemimpin universiti yang berkualiti berdasarkan proses carian terbuka yang dipimpin oleh Majlis Universiti, iaitu, rektor dan dekan dan bukannnya dilantik oleh Kerajaan.

21 Saya meminta penjelasan daripada kerajaan mengapa selepas dua tahun daripada tarikh laporan World Bank ini, Kerajaan belum mengambil tindakan untuk melaksanakan syor-syor yang telah dicadangkan.

LAPORAN KETUA AUDIT

22 Saya merujuk kepada laporan Ketua Audit di mana beliau telah membentangkan peristiwa pembaziran wang dan kemungkinan kes penyelewengan yang melibatkan beribu-ribu juta wang rakyat.

23 Di antara kes-kes yang dibentangkan adalah projek landasan berkembar elektrik antara Rawang dan Ipoh. Sejumlah RM4.34 bilion diperuntukkan untuk projek ini dan dilaksanakan melalui dua pakej, iaitu, pakej infrastruktur oleh DRB-Hicom dan pakej sistem oleh Mitsui-MTS Konsortium. Selain daripada kerugian tinggi yang hendak ditanggung oleh Kerajaan sebanyak RM1.14 bilion, objektif projek ini untuk mengadakan keretapi kelajuan 160 km sejam dengan mengadakan 16 trip sehari kemudiannya ditambahkan ke 32 trip sehari tidak dapat dicapai.

24 Objektif projek yang membelanjakan wang yang banyak untuk membina landasan elektrik ini tidak dapat dicapai kerana KTMB masih menggunakan tren disel dan bukan tren elektrik.

25 Saya meminta Yang Berhormat Menteri memberikan jawapan mengapa Kerajaan tidak membeli tren elektrik walaupun membelanjakan wang yang banyak untuk mengadakan landasan elektrik.

KEBUDAYAAN PEMBAZIRAN

26 Tiap-tiap Tahun, Jabatan Audit Negara membentangkan pembaziran yang bukan sahaja mengecewakan tetapi menyakitkan hati semua rakyat.

27 Walaupun kesalahan-kesalahan ini didedahkan setiap tahun, masalah ini masih berlanjutan dan jumlah pembaziran wang semakin meningkat.

28 Saya meminta penjelasan daripada setiap Menteri di mana pembaziran telah dilaporkan dan tindakan yang akan diambil terhadap mereka yang terlibat.

29 Saya mendapati perkara ini berlanjutan kerana tidak adanya sikap bertanggungjawab atau dengan izinnya, ‘accountability’.

30 Di Australia, baru-baru ini Menteri Pertahanan, Joel Fitzgibbon meletakkan jawatan apabila berita didedahkan bahawa beliau menggunakan pengaruh untuk memihak adiknya. Perdana Menteri Australia, Kevin Rudd memaklumkan ia adalah penting untuk kerajaannya mengekalkan standard akauntabiliti yang tinggi dan kesalahan dalam perihal akauntabiliti yang tinggi dan oleh itu, Menteri tersebut terpaksa meletak jawatan.

31 Di Korea Selatan pula, bekas Presiden Roh Moh-hyun membunuh diri selepas tuduhan rasuah telah dikemukakan. Beliau mempaparkan perasaan malu kerana merasa tidak boleh bersemuka dengan rakyat kerana telah mengecewakan rakyat dengan tindakan rasuahnya. Tindakan ini seperti tindakan Menteri Australia menunjukkan para pemimpin-pemimpin negara berpegang teguh kepada standard akauntabiliti yang tinggi.

32 Sekiranya kita serius untuk menangani rasuah dan kebudayaan pembaziran oleh kakitangan Kerajaan, kita harus mengikut contoh standard yang diamalkan di negara-negara seperti yang dikatakan. Sebenarnya, kebudayaan kita adalah sama seperti yang ditunjukkan oleh Kevin Rudd dan bekas Presiden Korea kerana kita bah kata pepatah “kalau kepala ikan sudah busuk, ekor pun jadi ikut membusuk”.

33 Jangan kita mengadakan hidung seperti tukang ikan di pasar sehingga bau busuk menjadi kebiasaan. Kita tahu bau busuknya tetapi kita tidak melakukan apa-apa terhadap hal itu sehingga kita sudah mengganggap hal tersebut telah menjadi hal yang biasa.

KESIMPULAN

34 Kita harap pemimpin-pemimpin Kerajaan menunjukkan mereka tidak berhidung seperti tukang ikan di pasar dan mengambil tindakan dengan segera untuk membetulkan keadaan yang rumit ini dan membersihkan bau busuk yang mencemari Negara kita.



Sekian terima kasih.



William Leong Jee Keen
Ahli Parlimen Selayang

Tarikh: 2 November 2009

http://williamleongjeekeen.blogspot.com/

Sunday, November 1, 2009

NAJIB’S Budget: Directionless

Budget: Directionless

How can we describe Dato’ Seri Najib Tun Razak’s maiden budget?

This budget reminds me of the song “Me and You and a Dog name Boo”. Those of my generation will recall that it’s a song by a band called “Middle of the Road”. It is a ‘middle of the road kind of budget’. It is like the story in Aesop’s fables of the man, his son and his donkey. In trying to please everyone he ended up pleasing no one.

The budget contains contradictions and incongruity. We will just look at 2 of the proposals, the RM50 credit card charge and the 5% real property gains tax and the contradictions in this Budget will be obvious.

Consumption/Credit card charge

The people are suffering from the global financial crisis. RM67 billion is to be spent as a financial stimulus to get the economy going. This is by stimulating local demand and consumption. In order to stimulate demand, there must be consumption. In order for there to be consumption, the people must have the means to spend. The government is trying to get the people to spend and buy things so that it stimulates the manufacturers to produce. By imposing the RM50 charge, its immediate effect is to force the people to cancel their credit cards and therefore their only available credit lines.

It penalizes the people who do not cancel their extra credit cards by imposing a RM50 charge on each credit card and RM25 for a supplementary. Without the extra credit from the credit cards how are the people to buy and spend? This contradicts the aim to stimulate the economy. The other effect is that if the cardholders are to cancel their credit cards, they must repay the outstanding loans. Many of the cardholders survive by repaying the monthly minimum. We have a workforce on low wages. This is one of negative effects of the Barisan Nasional flawed policy of keeping the costs of doing business low. It is almost impossible for many to settle the outstanding amount in one lump sum. Therefore, the real practical effect is that the RM50 charge creates a heavy and unnecessary burden on the people during an already difficult economic time.

Property Industry/ RPGT

The government wants the property industry to be an engine of growth. It should be because it provides business to 155 other trades and industries that are linked to the property development industry, the building construction and building material manufacturing industry. However, Dato’ Seri Najib has decided to bring back a 5% real property gains tax. The RPGT was imposed in the days of the housing boom to discourage property price speculation. It has no place in a situation where there is a slump when the developers are having problems in selling. The government in the proposed budget says, it wants to stimulate property sales and to revive the property, building and construction industry. This cannot be done when in the very same budget, it imposes a penalty to discourage the buying and selling of property. This is why I say it is directionless. Does Dato’ Seri Najib wants to stimulate the building and construction sector or to curb it? I think this is where Najib’s donkey fell into the river.

Economic Recovery

The 2010 Budget has many facets. As I said, it tries to be everything to everyone and ends up pleasing no one. I wish to focus on only one issue, that is, economic recovery. This is the foremost concern of all Malaysians because it is a rice bowl issue.

Dato’ Seri Najib has now finally confirmed on 23 October 2009 what the people on the ground already knew long ago because they are actually suffering and paying the price of the Barisan Nasional’s earlier denial syndrome.

· Exports fell by 23.4% in first half of 2009 compared with a gain of 15.5% in 2008.

· Industrial Productivity Index fell 12.7% from a positive 3.3% 2008.

· The net foreign direct investment fell to RM3.6 billion compared to RM19.7 billion in 2008.

· The private sector that used to contribute 30% of the GDP prior to the Asian Financial Crisis in 1997/98 is now reduced to 10% of the GDP. The domestic direct investment fell from RM72 billion in 1997 to RM56 Billion in 2008.

Falling FDI

The Opposition has raised the concern of falling FDI since 2007 but each time the Barisan Nasional government has denied that there was any need to be concerned and that FDI was healthy. There was a consistent denial and refusal to acknowledge the problem. The Barisan Nasional was in denial mode. Now, the Prime Minister finally admits that there is a problem and that the countries in the region have attracted foreign investments away from us. He has proposed several measures but I fear that they fail to hit the target. I agree with the comments given by many of my Pakatan colleagues that Dato’ Seri Najib has correctly diagnosed the problems but has failed to prescribe the correct medicine. This is because as we all know the good medicine is always a bitter pill to swallow. It takes political will and courage to take the medicine which sadly have not been shown to exist.

I will only refer to two points to show how the 2010 budget has missed the targets to revive our economy.

The first is the failure of this Budget to address and remedy the deficiencies pointed out in The Global Competiveness Report 2009-2010: World Economic Report.

The second is the fact that Malaysia has been infected by the ‘Dutch Resource Curse’.

Malaysia: 24th

Malaysia is ranked 24th in the Global Competitive Report 2009-2010. It is prepared by the World Economic Forum. Malaysia has dropped three positions. According to the report, Malaysia’s drop is due essentially as a result of a much poorer assessment of its institutional framework. In this area, every indicator has been exhibiting a downward trend since 2007, causing Malaysia to tumble from 17th to 43rd position in this area in just two years.

The report quoted that security is of particular concern, 85th down 25 ranks. According to the business community, the potential of terrorism (97th) and crime (95th) both impose significant business costs.

Also of concern is the business deficit, which increased in 2008, amounting to almost 5% of Malaysia’s GDP. Yet in most other dimensions, it scores high, particularly, in those factors at the top end of the value chain, namely, impressive 7% growth per year between 1990 and 2000 and a healthy 5% since then. Mirroring this economic success, Malaysia has featured prominently in the competiveness rankings ever since its first inclusion in the 1994. Indeed, it remains the most competitive Stage 2 (efficiency-driven) country.

The report recommended that to maintain its competitive edge, Malaysia now needs to prepare its conversion into a knowledge-based innovation driven economy. Improving both the quantity and quality of higher education (41st), boosting technological readiness (37th) particularly ICT penetration would be required.

It would have been expected that the Barisan Nasional Government under Najib Tun Razak will address the deficiencies leading to the drop in the competitiveness ranking in our countries pointed out by the World Economic Forum. Unfortunately, we do not see this being done in this Budget. If this is not done, then is improbable that we can achieve the announced target of moving up to a higher competitive level.

Another way of putting it is whether Najib has the political will and the political capital to force the warlords to change where Badawi and even Mahathir had failed. In order to appreciate the findings of the World Economic Forum, let us look at the Global Competitiveness Report.

The 12 Pillars of Competitiveness

The World Economic Forum looks at 12 areas in measuring competitiveness.

The determinants of competiveness are many and complex. Economists have longed tried to understand what determines the wealth of nations. This attempt has ranged from Adam Smith’s focus on specialization and the division of labor to neoclassical economists’ emphasis on investment in physical capital and infra-structure and more recently, to interest in other mechanism such as education and training, the rule of law, transparent and well functioning institutions, firm sophistication, demand conditions, market size and many others. There are 12th Pillars of competitiveness, they are:

· First Pillar : Institutions

· Second Pillar : Infrastructure

· Third Pillar : Macroeconomic stability

· Fourth Pillar : Health and primary education

· Fifth Pillar : Higher education and training

· Sixth Pillar : Goods and market efficiency

· Seven Pillar : Labour market efficiency

· Eighth Pillar : Financial market sophistication

· Ninth Pillar : Technological readiness

· Tenth Pillar : Market size

· Eleventh Pillar : Business sophistication

· Twelfth Pillar : Innovation.

I will only refer to two major pillars and a short commentary on four others.

1st Pillar: Institutions

The institutional environment is determined by legal and administrative framework within which individuals, firms and governments interact to generate income and wealth in the economy. The importance of a solid institutional environment has become even more apparent during the present current global financial crisis, given the increasing role played by the state in the economy of many countries.

The quality of institution has a strong bearing on competiveness and growth. It influences investment decision and the organization of production and plays a central role in the ways in which societies distribute benefits and bear the costs of development strategies and policies. For example; the owners of land, corporate shares, or intellectual property are unwilling to invest in the improvement and upkeep of their property if their rights as owners are insecure.

The role of institutions goes beyond the legal framework. The Government attitudes toward markets and freedoms, and the efficiency of its operations, are also important: excessive bureaucracy and red tape, over regulation, corruption, dishonesty in dealing with public contracts, lack of transparency and trustworthiness, and the political dependence of judicial system impose significant economic costs to businesses and slow the process of economic development. Proper management of the public finances is also critical to ensuring trusts in the national business environment. The quality of government management of the public finances to complement the measures of macroeconomic stability is an important element and is captured by pillar 3.

Although the economic literature has mainly focused on public institutions, private institutions are also an important element in the process of wealth creation. The recent global financial crisis, along with numerous corporate scandals, has highlighted the relevance of accounting and reporting standards and transparency for preventing fraud and mismanagement, ensuring good governance. An economy is well served by businesses that are run honestly, where managers abide by strong ethical practices in their dealings with the government, other firms, and the public. The private sector transparency is indispensable to business, and can be brought about through the use of standards, as well as auditing and accounting practices that ensure access to information in a timely manner.

Our institutions are in a terrible state of disrepair.

Judiciary:

In the 1980s, Malaysia attracted FDI because our workforce was conversant in the English language. English is the international language of business. The second attraction is the legacy of our system of law applying the British common law tradition where there is certainty of law and justice and the confidence of those that have to appear before the Courts that decisions will be made without fear or favour. The importance of the application of the common law is that litigants from England, Australia and from the Commonwealth and those who are familiar with the common law knows with certainty how to conduct their business and how their disputes would be decided if they should bring their disputes to the Malaysian Courts.

All these were demolished in the past 26 years.

It started with the Court ordered dissolution of UMNO because of phantom voters. This order was not the one sought by Tengku Razaleigh. He wanted the phantom votes to be cancelled and only the valid votes counted. If this was done, he would have won and be the President of UMNO and Prime Minister of Malaysia. Instead of making an order not to count the phantom votes, the Court made the surprising decision to declare UMNO illegal thereby allowing Mahathir to continue to be the President of a newly formed UMNO Baru and casting Tengku Razaleigh into the wilderness called Semangat 46.

The sacking of the Lord President and 5 Supreme Court Judges saw the rot setting in. The recent ex-gratia payment to the sacked Judges is a compensation to remedy the wrong done to them personally but no action has been taken to remedy the wrong done to the institution and to restore public confidence.

The recent Attorney General’s decision not to prosecute the perpetrators in the judge fixing scandal according to the findings of the Royal Commission on the VK Lingam Video on the basis that the Attorney General was satisfied no offences had been committed, shows that the institution of the Rule of Law has been replaced by the Rule of Man and Malaysia to lawlessness.

The Perak power grab and the failure by the judges to give effect to the clear wordings of Article 72 of the Federal Constitution that the proceedings in the State Assembly cannot be questioned by the Courts confirms what NH Chan had said that ‘All is not well in the House of Denmark’ in referring to our Courts. This judicial rot continues to haunt our nation. The question in Hamlet where NH Chan took the quote “to be or not to be” for Malaysia must be “not to be”.

The disqualification of Wee Choo Keong as the Member of Parliament in Bukit Bintang and the Court appointing the Barisan Nasional candidate as the Member of Parliament for Bukit Bintang when he did not obtained the majority support of the voters in that constituency was another example of the perception by the people of political interference in the judiciary. As quoted in the Global Competitiveness Report, one of the problems that erodes competitiveness is where these problems are political dependence by the ruling party on the judiciary to maintain its rule. This decision eroded public confidence.

We now see history repeating itself in the sentence of six months imprisonment and RM3,000.00 fine of Tian Chua the Keadilan MP for Batu. The newspaper reports that the Magistrate found Tian Chua guilty because he preferred the evidence of the constable to that of the member of parliament flies in the face of established legal principles that it is for the prosecution to prove beyond reasonable doubt that the accused committed the crime and it is never the burden for the accused to prove he is innocent. Further, no one can be called to prove a negative. How can Tian Chua be expected to prove that he did not bite the constable especially when the constable admitted to punching the MP? There is no law in the world that allows the police to assault persons when effecting arrest?

The erosion in the judiciary in cases relating to the government and political cases spread to commercial cases. The cases of Ayer Molek, Adorna, Asean Paper Pulp are well known. How do you expect the businessmen whether local or foreign to expect justice in our courts? What has been shown by the recent decisions is that if you have a legal problem, it is not necessary to find a lawyer who knows the law but it is more important to find a lawyer who knows how to say “correct, correct, correct”.

The budget proposed to address the problem of our institutions by building more courts. The problem cannot be resolved by building more court houses. The rot is not in the building but in the persons sitting as judges and the interference by the executive in the judiciary to prolong the political rule of the Barisan Nasional. There is no proposal to address the real problems in our institutions.

2nd Pillar: Infrastructure

Extensive and efficient infrastructure is an essential driver. It is critical for ensuring the effective functioning of the economy, as it is an important factor in determining the location of economic activity and the kinds of activities or sectors that can develop in a particular economy. Well developed infrastructure reduces the effect of distance between regions, with the result of truly integrating the national market and connecting it at low costs to markets in other countries and regions. The quality and extensiveness of infrastructure networks significantly impact economic growth and reduce income inequalities and poverty in a variety of ways. These include telecommunications, broadband and internet penetration. The Prime Minister has confirmed in his speech that Malaysia has a 25% internet penetration compared with 95% in Republic of Korea, 88% in Singapore, 64% in Japan and 60% in USA.

It is now announced in the Budget that RM11.3 billion high speed broadband 10 megabytes per second in Kuala Lumpur and Selangor will be installed by end March 2010 and then to other parts 2012.

We cannot expect to be competitive when our competitors are in the process sof upgrading to the 2nd or 3rd generation capabilities while we have not even installed the 1st generation capability.

There is much to be done in this area.

3rd Pillar: Macroeconomics stability

The stability of the macroeconomic environment is important for business and therefore is important for the overall competitiveness of a country. The government cannot provide services efficiently if it has to make high interest payments on its past debts. Running fiscal deficits limits the government future ability to react to business cycles. Firms cannot operate efficiently when inflation rates are out of hand.

We see a start in this Budget to reduce the deficit. In 60 years we have only a surplus budget between 1993 and 1997. It will be noted that these were the years when Dato’ Seri Anwar Ibrahim was the Finance Minister. Before and after him, the Government ran a budget deficit even during the good times.

5th Pillar: Higher education and training

Quality higher education and training is crucial for economies that want to move up the value chain beyond the simple production processes and products. In particular today’s globalizing economy requires economies to nurture pools of well educated workers who are able to adapt rapidly to their changing environment. This pillar measures secondary and tertiary enrollment rates as well as the quality of education as assesses by the business community. The extent of staff training is also taken into consideration because of vocational and continuous on the job training which is neglected in many economies, for ensuring a constant upgrading of workers skills to the changing needs of the evolving economy.

In 2008, Malaysian universities have fallen out of the radar screen of the top 200 universities in the World. The QS World University Ranking for 2009 has shown that there is an improvement the ranking to 180 but it is still outside the top 100. University of Tokyo ranks 22, University of Hong Kong ranks 24 and National University of Singapore is 30 in the world.

There has been an underperformance in our education standards. At 28.6% gross tertiary enrolment ratio and 15% completion ratio, Malaysia is 7% and 6% respectively lower than the average economies with similar level of GDP per capital. This means Malaysia is having a tertiary skills shortage. This point to Malaysia lacking the necessary skills and knowledge in our human capital that is necessary to move the Malaysian economy up the value chain.

We have an increasing proportion of unemployed graduates. This group has risen from 15.2% in 2000 to 25.1% in 2007. This means that there is a skills mismatch. It means our universities are churning out graduates with skills that are not needed in our modern industries. Every 10 years, with modern technology, new jobs requiring new skills are created. Our universities are still following old syllabuses teaching old skills. Unless our universities change the mismatch in skills, this will hamper our competitiveness.

UNEMPLOYED GRADUATES*

  • In 2004, there were 4,594 unemployed graduates of which 163 were Chinese, 207 were Indians and 4,060 were Malays;
  • In 2005, there were 2,413 unemployed graduates of which 31 were Chinese, 70 were Indians and 2,186 were Malays;
  • In 2006, there were 56,750 unemployed graduates of which 1,110 were Chinese, 1,346 were Indians and 50,594 were Malays.
  • In 2007, there were 56,322 unemployed graduates of which 1,348 were Chinese, 1,401 were Indians and 49,075 were Malays.
  • In 2008 (as of June) there were 47,910 unemployed graduates of which 1,403 Chinese, 1,569 Indians and 49,075 were Malays.

*Government response to Question by me in Parliament recently

6th Pillar: Goods market efficiency

Countries with efficient goods markets are well positioned to produce the right mix of products and services given supply and demand conditions, as well as to ensure that these goods can be most effectively traded in the economy. Healthy market competition, both domestic and foreign, is important in driving market efficiency and thus business productivity, by ensuring that the most efficient firms, are producing goods demanded by the market are those that thrive. For example competitiveness is hindered by distortionary or burdensome taxes and by restrictive and discriminatory rules on foreign direct investment (FDI)-limiting foreign ownership-as well as on international trade.

The NEP and its ill effects have been stated so often, I do not need to repeat it. The liberalization of the 27 sub-sectors in the service industry is a step in the right direction but it is too little too late. Much has to be done in this area but until racial politics is removed there is no possibility of Malaysia becoming competitive.

7th Pillar: Labor market efficiency

The efficiency and flexibility of the labour market is critical for ensuring that workers are allocated to their most efficient use in the economy and provided with incentives to give their best effort in their job. Labour market must therefore have the flexibility to shift workers from one economic activity to another rapidly and at low costs and to allow for wage fluctuation without much social disruption.

The present policies have imposed glass ceilings and driven away our best and brightest.

Efficient labour markets must also ensure a clear relationship between worker incentives and their efforts as well as the best use of available talent.

42% of Malaysian businessmen have rated the unavailability of skilled labour as the most severe business constraint compared to 37% in East Asia and 35% globally.

In the past decades, Malaysia has shown its efficiency in the labour market by shifting from Filipinos to Indonesians and then to Bangladeshis and now to see those from Myanmar. The low wages and poor working conditions have driven away our Malaysian workers. There is no upward movement for the labour force. It is only a lateral shift. Malaysians workforce does not feature in this.

The Barisan Nasional Government has deliberately sacrificed our local skilled workforce on the altar of their racial politics.

The Dutch Disease

Malaysia has exhibited the classical symptom of the Dutch Disease or the Resource Curse. Global investors are not going to put money into the country if the Government does not address the Malaysian Resource Curse. The Dutch Disease is the phenomenal of the resource rich economies performing worse than those without such natural resources.

Malaysia three legged growth model

· Manufacturing Trade

· Commodity Trade

· Public sector economy

Petrol and natural resources provide 40% of Malaysian Government revenues. This supports the largest public sector economy in Asia with 27% of the GDP.

Natural resource sector revenues allowed Government to sustain economic growth through government spending and unprofitable and unsuccessful affirmative action projects.

Political corruption

One of the negative effects of the Dutch Disease is that it is often easier for a natural resource rich government to maintain authority through allocating resources to favour constituents than through growth-oriented economic policies and a level, well regulated playing field. This is the rise of the political corruption.

Rent seeking behavior

Another negative effect is the creation of rent-seeking behavior. Rent-seeking behavior is distinguished from profit-seeking behavior in that the profit-seeking behavior, entities seek to extract values by engaging in mutually beneficial transactions.

On the other hand, in rent-seeking behavior, entities seek to extract uncompensated value from others without making any contribution to productivity through manipulation and exploitation, such as by gaining control of land and other pre-existing natural resource or by imposing burdensome regulations or other governmental decisions that may affect consumers or businesses.

The clear examples are the regulations and issuance of licences and concessions to selected individuals: APs, the creation of monopolies such as highway concessions, water concessions, independent power producers and electricity generation concessions, even rubbish and waste have been privatized. The Malaysian public are paying to rent seekers.

Prescription

Malaysia no doubt is affected by the global financial crisis but its problems have a deeper underlying cause. It is this underlying cause that has to be addressed. The Malaysia Resource Curse must be exorcised. There are many resource rich countries that have escaped and avoided the disease.

The key is governance. Well governed countries find ways to insulate their economies from the down side of commodities and natural resources trade. Resource rich countries such as Norway has shown that this can be done by adopting straight forward economic fundamentals, sound monetary policies, and having open trading and investment regimes. The enforcement of laws against corruption is a basic requirement. The strengthening of political and economic institutions by giving effect to the democratic institutions and constitutional guaranteed fundamental liberties is another. Investing in education and infrastructure will increase competitiveness of the manufacturing sector. Sadly these have been ignored by the Prime Minister in the 2010 Budget.

A global investor said that if Najib and Barisan Nasional do not recognize the Malaysian Resource Curse and do not have the political will to address it, neither he nor any other investor is going to put money into Malaysia. Without the structural reforms, pouring RM1 billion a month into the rent seeking economy is just pouring good money down the drain. How long can the Malaysian public continue to suffer in silence?

Conclusion

I wish to end by quoting not from the speeches by the Opposition Pakatan MPs but from someone in the Barisan establishment.

“There are lots of things to be fixed. The roof is not leaking; we do not need a plumber. It is the foundation of the house and probably the whole house that needs to be rebuilt. The transformation requires concerted efforts.”

Datuk Zainal Aznan Yusof
National Economic Action
Council Member

It does not appear to me that the Prime Minister, Dato’ Seri Najib Tun Razak will be able to gather the concerted effort required to re-build the whole house. Since Barisan Nasional cannot, there is only one other alternative. This alternative has been shown to be able to change as seen by the 4 star ranking given by Auditor General on the audit of the Pakatan Selangor and Penang Government.

William Leong Jee Keen
Member of Parliament Selayang

30th October 2009