Wednesday, September 30, 2015

Rules of Prudence– Lee Hsien Loong

Rules of Prudence

This is from the Malaysian Insider here.

http://www.themalaysianinsider.com/mobile/sideviews/article/letter-to-pap-mps-on-rules-of-prudence-lee-hsien-loong


Letter to PAP MPs on Rules of Prudence – Lee Hsien Loong

September 29, 2015

It is a tradition for the prime minister to send a letter on “Rules of Prudence” to all the PAP MPs after an election. The context each time may be different but the subject remains constant, because integrity, honesty and incorruptibility are fundamental to our party. We must never tire of reminding ourselves of their importance.

2. Our party has won 83 out of 89 seats in the just concluded general election, with all seats contested. Overall, the PAP won 69.9% of the votes.

3. The people have endorsed what we have done in the previous term, and given us a clear mandate to take Singapore forward beyond SG50. Now we must fulfil what we have promised to do in our manifesto. We must never break faith with the people, but must always carry out our duties to them responsibly, address their worries and advance their interests.

4. Be humble in victory. As MPs, always remember we are servants of the people, not masters. Do not mistake the strong election result to mean that our efforts have succeeded, and that we can afford to slacken.

Much work remains to be done tackling issues which concern Singaporeans, and finding new ways to improve people’s lives. Listen hard to voter concerns, help them to tackle pressing needs, and convey their worries and aspirations to the government.

Persuade them to support policies which are in their own long term benefit, while helping the government to formulate good policies and stay in close touch with the people.

Upholding our reputation and integrity

5. One vital factor that has enabled the PAP to retain the trust of Singaporeans all these years is honesty and integrity.

The PAP’s reputation for clean, incorruptible government is one of our most precious assets. As PAP MPs, your personal standing reflects this high standing of the Party as a whole.

I cannot stress strongly enough that every MP must uphold the rigorous standards that we have set for ourselves, and do nothing to compromise them. Never give cause for allegations that you are misusing your position, especially your access to ministers. That would discredit both you and the Party.

6. As MPs, you will come across many different sorts of people. Many altruistic, public spirited individuals will help you without wanting anything in return, spending time and money to get community projects going and to serve residents. But a few will cultivate you to obtain benefits for themselves or their companies, to gain respectability by association with you, or to get you to influence ministries and statutory boards to make decisions in their favour.

Gift hampers on festive occasions, entertainment, and personal favours big and small are just a few of countless social lubricants which such people use to ingratiate themselves to MPs and make you obligated to them.

7. You must distinguish between these two groups of people, and be shrewd in assessing the motives of those who seek to get close to you. At all times be seen to be beyond the influence of gifts or favours.

8. Be scrupulously proper in your contacts with government departments or public officers. Do not lobby any ministry or statutory board on behalf of anyone who is not your constituent or grassroots activist. Do not raise matters with public officers on behalf of friends, clients, contractors, employers, or financiers to advance their business interests.

Conduct business with government agencies in writing and avoid making telephone requests. If you have to speak, follow up in writing to put your requests on record.

9. MPs are often approached by friends, grassroots leaders or proprietors and businessmen to officiate at the openings of their new shops or other business events. They usually offer a gesture, such as a donation to a charity or constituency welfare fund.

Though it may be awkward to refuse such requests, once you accept one, you will be hard-pressed to draw a line. As a rule, you should decline invitations to such business events. If you feel you should attend, please obtain prior approval from the Whip.

Separating business and politics

10. Separate your public political position from your private, professional or business interests. MPs who are in business, who occupy senior management positions in companies, or who sit on company boards should be especially vigilant.

You must not exploit your public position as Government MPs, your close contacts with the Ministers, or your access to government departments and civil servants, for your personal interest or the benefit of your employers. Your conduct must always be above board.

11. MPs who are employed by companies or industry associations may at times have to make public statements on behalf of their company or industry association. If you have to do so, make it clear that you are not speaking as an MP, but in your private, professional or business capacity.

12. Do not use parliamentary questions as a means to lobby the government on behalf of your businesses or clients. When you raise questions in Parliament related to your own businesses or your clients, be careful to first declare your pecuniary interest in the issue.

13. You may, however, speak freely to Cabinet ministers, who are your parliamentary colleagues. Ministers will listen carefully to arguments on principles, especially when they relate to the general policy of their ministries.

But ministers will not exercise their discretion to change individual decisions without very good reasons which they can justify publicly. Parliamentary secretaries and ministers of state who intervene in their ministries to reverse or alter decisions should promptly report the matter to their ministers to protect themselves against possible accusations of misconduct.

The government must always base decisions on the merits of the issues, and cannot yield to pressure from interested parties.

Directorships

14. MPs are often invited to serve on the Boards of private and publicly listed companies. This is a sign that the private sector values PAP MPs’ integrity and experience, and reflects the high standing of the party and of PAP MPs in general.
The party permits MPs to serve as directors, provided you keep your private and public responsibilities rigorously separate, and your private appointments do not compromise your duties and performance as an MP.

15. The public will closely scrutinise your involvement in companies, because you are a PAP MP. Conduct your business activities so as to bring credit to yourself and to the party.

Adverse publicity on your performance as a director, or lapses in the companies you are associated with, will tarnish your reputation as an MP and lower the public’s regard for the party.

16. You should not solicit for directorships in any companies, lest you appear to be exploiting your political position to benefit yourself.

17. You should not accept directorships where your role is just to dress up the board with a PAP MP or two, in order to make the company look more respectable.

18.   Some grassroots leaders are businessmen who own or manage companies. You should not sit on any boards of companies owned or chaired by grassroots leaders appointed by you, so as to avoid the perception that you are obligated to them or advancing their business interests.

19. If you are offered a directorship, you have to decide for yourself whether to accept. The Party is not in a position to vet or approve such decisions.

20. Before accepting, consider the possible impact of the directorship on your political life. Ensure that the company understands that you are doing so strictly in your private capacity, and will not use your public position to champion the interests of the company, or lobby the government on its behalf.

21. Make every effort to familiarise yourself with the business, track record and background of the key promoters of the company. Satisfy yourself that the company is reputable, and that you are able to make a meaningful contribution. Specifically, just like anyone else contemplating a directorship, you should ask yourself:

a. How well do you know the company, its business strategy, financial status, shareholding structure and the underlying industry?

b. Do you know your fellow directors, the way the board and its committees fulfil their responsibilities, the reporting structure between board and management and the relationship between shareholders and the company?

c. Do you have sufficient industry, financial or professional expertise to fulfil your expected role and responsibilities as a Director? Do you understand your obligations under the law and the Code of Corporate Governance? Will you be able to discharge your fiduciary duties properly and without fear or favour?

d. Will you face any conflicts of interest, and if so can you manage them? If in any doubt, you should decline.

22. Once you have decided to take up a Directorship, please inform the Whip. Detailed reporting requirements are listed in the Annex.

Parliament

23. MPs are expected to attend all sittings of Parliament. If you have to be absent from any sitting, seek permission from the Government Whip. Please inform the Whip if you have to leave the Parliament premises while a sitting is on.

24.  If you travel abroad, or need to be absent from Parliament for any reason, you must apply to the Speaker for leave, with copies to the Leader of the House and the Government Whip. You should also inform the Whip where you can be reached while abroad.

25. I have asked the Speaker to give all MPs, particularly new MPs, ample opportunity and latitude to speak in Parliament. Your first opportunity will be during the debate on the President’s Address at the opening of Parliament in January 2016.

Following that, at the Budget Debate, all MPs should speak up. Script your speeches or put your key points in note form to structure your presentation and help the media.

26. The public expects PAP MPs to express their views frankly, whether for or against government policies. During debates, speak freely and with conviction. Press your points vigorously, and do not shy away from robust debate.

However, please exercise judgement when putting your points across, and do not get carried away playing to the gallery.

27. Bring out questions and issues that Singaporeans and your constituents have concerns about, and grapevine talk for the government to rebut, but avoid unwittingly lending credence to baseless gossip. This will show that you and the party are in touch with the ground, and speaking up for Singaporeans.

Bringing up pertinent issues and questions in a timely manner helps ministers to put across the facts, explain the reasons for policies and decisions, and maintain public confidence in the openness and integrity of our actions.

28. Your honest, informed views are an important political input to ministers when they formulate and review policies. Ministers will accept valid, constructive suggestions, but they have to challenge inaccurate or mistaken views.

Over time, the public will see that PAP backbenchers are as effective as opposition MPs, if not better, at holding ministers to account, getting issues fully debated, and influencing policies for the better.

Important public occasions

29. On certain occasions, like the National Day Parade and the Investiture Ceremony for National Day Awards, the whole establishment, i.e. the Executive, the Legislature and the Judiciary, will be there. Those who cannot attend must have very good reasons. Those who have accepted the invitation must attend, otherwise they leave empty seats, which does no credit to them or to the party.

30. At all public functions and constituency events, punctuality is of paramount importance.

Gifts

31. You should not accept gifts which might place you under obligations which conflict with your public duties. If you receive any gifts other than from close personal friends or relatives, you must declare them to the Clerk of Parliament who will have the gifts valued. If you wish to keep the gifts, you must pay the government for them at the valuation price.

Fund-raising

32. Party branches should not raise funds on their own without permission, for example by soliciting advertisements for a souvenir magazine or a carnival.

If you intend to raise funds, please clear it beforehand with the organising secretary. When your branch embarks on a collective fund-raising activity, eg. a Family Day or Walk-A-Jog, you must follow the rules strictly.

Financial prudence

33. As MPs, you should manage your personal financial affairs prudently. Do not over-extend yourself or become financially embarrassed. This would be not only a potential source of personal embarrassment, but also a weakness which may expose you to pressure or blackmail.

34. In particular, be careful about making major financial commitments assuming that you will continue to receive your MP’s allowance. While MPs typically serve several terms, you cannot assume that you will automatically be fielded in future general elections, or that if fielded you will definitely be re-elected. There is neither tenure nor job security in politics.

Declaration of income

35. For your own protection, every MP should disclose to me, in confidence, your business and professional interests, your present employment and monthly pay, all retainers and fees that you are receiving, and whether your job requires you to get in touch with officers of government ministries or statutory boards on behalf of employers or clients.

Office holders need not do so because you will be subject to the reporting requirements of the Code of Conduct for ministers. This should be done by 31 October 2015.

General misbehaviour

36. The PAP has held our position in successive elections because our integrity has never been in doubt, and because we are sensitive to the views and attitudes of the people we represent.

MPs must always uphold the high standards of the party and not have lifestyles or personal conduct which will embarrass themselves and the party. Any slackening of standards, or show of arrogance or indifference by any MP, will erode confidence in him, and ultimately in the party and government.

New MPs can pick up the dos and don’ts from older MPs. You should conduct yourselves always with modesty, decorum and dignity, particularly in the media. You must win respect, not popularity, to stay the course.

Media publicity

37.  I am releasing a copy of this letter to the media so that the public knows the high standards we demand of our MPs. – September 29, 2015.

* Lee Hsien Loong, the Singapore prime minister, is secretary-general of the People's Action Party (PAP).

Monday, September 21, 2015

IEcM Bank Negara Seminar & Annual General Meeting 2015


========================================

Call to IEcM Members for Annual General Meeting:

Indian Entrepreneurs chambers Melaka Annual General Meeting 2015.

With respect, please be informed that our chambers AGM will be held on:
Date: 19th Sept.2015

Time: 3.00pm

Location: Hotel Melaka Straits, Jln.Chan Koon Cheng.Melaka.

Items for AGM conduct:
Members Registration @ 
2.45 pm - 3.00pm

Agenda:
As this will be a non election year, AGM conduct will be as noted:
Presidents Discourse.

Secretary Update on official IEcM events held- Calendar of events 2015.

Treasurer's Financial & Membership Report.

All other Matters.
( If members have any agenda to be raised, please note it down in writing and have the agenda noted  and received by our committee latest by the 17th September 2015)
Balmic Mgmt & Services

----------------------------------------------------------

Vision and Mission:
Vision
“To assist Malacca Indian Entrepreneurs through the process of networking to further their business agenda”
Mission
“To provide the networking platform and inspire to act as a conduit to the transformation of the role of local Indian Business owners in business into a dynamic force”


I.E.c.M Secretary report for 2015:
Our meetings and focus groups was streamlined this year to be more structured  with regular systemic communication between  committee, members & supporters  set up through which both the  members, our Exco and our affiliated networks realised a closer working relationship.
At the moment, the whatsapp as a social media has provided us with a simple and easy access to the members attention and we to all their activities.  Our connection via the whatsapp have certainly been doing very remarkable contributions of late.
To further expand these activities and fellowships and in keeping with our wish to have more solidarity and communication amongst the Exco and members; the IEcM brand and communication with the outside world received more attention and planning.
We believe  a better informed and updated social interaction platform between IEcM with the business world would be useful to all our benefit.
A quick look on the internet would find our chambers website (www.iecm.my), providing readers with many events pictures and  members gathering, seminar and business familiarization trips we enabled to further our member’s causes.
Many Thanks to Mr. Gandhi & Team  from Abby’s IT Services in helping us achieve this line of interaction  .
.................................................................................................................................................................

Current suggestions to streamline our Chambers activities incudes’ us having discussions on:

1.     Highlighting and maintaining our recent achievements.
2.     An official database to be set up.
3.      Discussions on Up & coming 2016 activities
4.      Required changes to Staffing and timeline as to when we can achieve them,
5.      Office and Building Maintenance Costs and Budget to be drawn up for up keeping or expansion (advertising, promotion, e.t.c) that need  committee deliberation
6.      All other areas where the Committee may be able to pinpoint attention needed.
7.     We understand IEcM has a large pool of business owners who are experts in various professions and this is the time we need their expertise and support.
8.     We  also received a quick feedback from past committees that our Mission and Vision Statement needs to be prepared and provided to all new Exco members for their benefit in learning our corporate culture.    
9.     It is suggested that we re-visit and follow up the various Priorities that we set up during the last few meetings in 2014. 
10.   All members to be given new copies of all our Mission /Vision statements and other priorities  information regarding IEcM .


2014 MEMBERS INCOME
No. Name Date Receipt  Entrance Sub.2014 Total  Donation
No. Fee (RM) Office RM
1 BHARAT a/l KANTILAL JAMNADAS 18.10.14 11267 50 50 11258 150
2 SIVADASAN ACHYUTHAN NAIR 10.5.14 11251 50 50
3 GOPALA KRISHNAN a/l MUNIANDY 18.10.14 11268 50 50 11264 150
4 PUVANENDRAN a/l M.CHINNIAH 29.4.15 11220 50 50
5 NARENDRANKUMAR REDDY a/l LACHIMPADI
6 HARSHAD KUMAR JAYANTILAL 29.11.14 11273 50 50 11261 150
7 GUNABALAN a/l VC BALA SUBRAMANIAN 18.10.14 11266 50 50
8 RASSU a/l KARUPIAH 29.11.14 11202 50 50
9 DEVAN MENON
10 MALAYANDI a/l PERUMAL 29.11.14 11274 50 50
11 PALANIAPPA CHETYAR a/l SUCKALINGGAM CHETYAR
12 SHANTI a/p VEERASAMY
13 MANOKARAN VALLIAPPAN 29.11.14 11275 50 50
14 JAYA KUMAR MICHAEL
15 THAYALAN a/l VISVANATHAN
16 GANABATHY a/l SUBRAMANIAM
17 S.MANIMARAN a/l S.SUNDRAM
18 JESUTHASAN a/l SUPRAMANIAM
19 KANTHEEBAN a/l ANNAMALAI
20 RAJAN RAJOO
21 BALUSUBRAMANIAM
22 VIJAYA MALA a/p P.BALAYAH
23 JAYATHI
24 KUMAR KRISHNASAMY 15.5.14 8949 25 50 75 11260 150
25 AP MOIDU BIN HJ T ABUBAKAR 19.5.14 11252 25 50 75
26 MOHAMED THAMIMUL ANSARI 19.5.14 11253 25 50 75
27 ASRAFF BIN MOHAMAD 19.5.14 11254 25 50 75
28 ABU BAKAR BIN MOHAMAD 19.5.14 11255 25 50 75
29 PM ABDULLAKUTTY BIN ABDULRAHMAN 19.5.14 11256 25 50 75
30 MOIDEEN BIN ABU BAKAR 19.5.14 11257 25 50 75
31` MUTHUSAMY a/l Subayah 18.10.14 11269 25 50 75 11259 150
32 HARIDAS 15.5.14 8950 25 50 75 11262 150
33 SELVAKUMAR a/l URUMAYAH 18.10.14 11271 25 50 75 11263 150
34 MOHAMMAD ASHRAF NATHAN 6.8.14 11265 25 50 75
35 KARTHIKEYAN a/l KARAPAN 18.10.14 11270 25 50 75
36 KRISHNAN a/l KALIAPPAN 18.10.14 11272 25 50 75 1050
37 DATO SERI GOBI  KUNJI KUTTAN 29.11.14 11201 25 50 75
38 RAJENDRAN a/l SINGGARAJA 29.11.14 11203 25 50 75
39 PUNNIAKUMAR a/l SUPPIAH 29.11.14 11204 25 50 75
40 RAJA KUMAR a/l SUBRAMANIAM 29.11.14 11205 25 50 75
41 S MACHAP a/l SUBRAMANIAM 29.11.14 11206 25 50 75

Tuesday, September 15, 2015

A new global recession has begun- Sept 2015

Yes, it seems to be coming — the collapse of the whole world economy!
Our friend and longtime Bonner & Partners Family Office member Hense Ellis summarizes:
"A new global recession has begun. The collapse in commodity prices and the slump in the emerging market economies will inevitably lead to a sharp drop in global investment and a new surge in unemployment.Moreover, the recent stock market selloff is making matters much worse by creating a negative wealth effect that will cause consumption to fall."
China’s economy is slowing rapidly.Another friend, economist and author Richard Duncan, adds detail via his advisory, Macro Watch:
India’s economy is more fragile than generally understood.
The plunge in commodity prices is taking a heavy toll.
The sharp drop in emerging market currencies is destabilizing.
The slump in global trade is a blow to corporate profits.
Excess industrial capacity is worsening.
Credit quality is deteriorating rapidly.
Credit availability has begun to dry up and will become much tighter.
Duncan has a theory about why these things are happening – a lack of “excess liquidity.”
As he puts it, “It’s liquidity that moves the markets. When liquidity is plentiful, asset prices tend to rise, and when it is scarce, asset prices tend to fall.”
What investors need, therefore, is some way of measuring and forecasting liquidity.
Duncan’s answer is something he calls a “liquidity gauge.”
When the Fed creates dollars through QE, it injects liquidity into the financial markets. Also, when foreign central banks invest their dollar foreign exchange reserves back into the U.S., it adds to liquidity.
On the other side of the equation, when the government borrows dollars to fund its budget deficit, it absorbs liquidity. Duncan:
"When total liquidity (i.e., QE combined with the amount of dollars accumulated as foreign exchange reserves) is larger than the budget deficit, there is excess liquidity and asset prices tend to rise. But when total liquidity is less than the budget deficit, there is a liquidity drain and asset prices tend to fall."
Right now, according to Duncan’s model, liquidity will turn negative in 2015 and stay negative for every year until 2019.
This is why Duncan is warning his subscribers that this is a “very dangerous moment” for asset prices.
foreclosed home large

Getty Images/David McNew
Broken Pumps
Yesterday, we showed how excess liquidity bubbled up in the mortgage finance market.
As money was easier to come by – thanks to low rates and rampant securitization of mortgage debt – people bought more houses at higher and higher prices.
This pushed up the value of the collateral – houses – which enabled people to borrow even more… and it drove the industry to build more houses and sell them to increasingly marginal (subprime) buyers.
Debt and equity raced each other higher and higher until both collapsed in 2007-08. Home prices plunged. And the value of mortgage debt plunged along with them.
Today, thanks largely to the Fed’s bubble, homeownership levels are back to where they were nearly half a century ago.
Now, we see the same phenomenon happening in other sectors. As we reported yesterday, student debt, auto debt, and corporate debt are all headed for trouble.
And the bigger picture is that the pumps just aren’t working the way they used to. The growth of the last 20 or 30 years came largely – maybe entirely – from expanding credit.
Banks lent. Consumers, businesses, and government borrowed.
Many of the factory orders went to developing markets, where costs were lower. This left these economies and their central banks with lots of dollar foreign exchange reserves, which they reinvested in U.S. assets.
Mike Dolan at Reuters:
"According to the International Monetary Fund, the dollar value of foreign currency reserves held by all developing nations ballooned by almost $7 trillion in just one decade to a peak of some $8.05 trillion by the middle of last year.While China was the main driver, accounting for about half of that increase, its economic boom created a commodity supercycle that flooded the coffers of resource-rich nations from across Asia to Russia, Brazil and the Gulf.As the vast bulk of this hard cash was banked in U.S. Treasury and other low risk, rich-country bonds, they were at least one critical factor in the halving of U.S. Treasury and other Group of Seven government borrowing costs over the same period."
You see?
An Ominous Peak
Dollars borrowed out of thin air in the U.S. ended up as foreign currency reserves in the hands of foreign central banks – mainly China’s.
What could they do with them?
Buy more U.S. government debt. Drive down U.S. borrowing costs. And make it even cheaper for Americans to borrow dollars and send them overseas!

Here’s a graphic our research team created to help you get a clearer picture of what’s been going on…
Screen Shot 2015 09 14 at 9.49.33 AMBonner and Partners
So you could track much of the global growth binge by looking at China’s foreign exchange reserves. As they went up, more and more money flowed back into U.S. financial assets… and Americans borrowed and spent more and more.
But whoa, whoa, whoa! Those foreign exchange reserves have now peaked. Dolan:
"Emerging market forex reserves fell by about half a trillion dollars between mid-2014 and the end of the first quarter of 2015, IMF data shows, and this is likely far from the end.Deutsche Bank estimated on Tuesday the high water-mark of almost two decades of reserve accumulation had now been reached and central banks will by the end of next year dump as much as $1.5 trillion to counter capital outflows."
Of course, as we told you yesterday, we don’t know anything. And even as to that we have our doubts.
But it appears that the end of this cycle is in sight. - BI

What is a 'HINDU' ?

In 1995, Chief Justice P. B. Gajendragadkarwas quoted in anIndian Supreme Court ruling:

When we think of the Hindu religion, unlike other religions in the world, the Hindu religion does not claim any one prophet; it does not worship any one god; it does not subscribe to any one dogma; it does not believe in any one philosophic concept; it does not follow any one set of religious rites or performances; in fact, it does not appear to satisfy the narrow traditional features of any religion orcreed. It may broadly be described as away of life and nothing more.

Common Misunderstandings on Hinduism

Vedanta (and all Hinduism) is entirely monistic, believing only in the all-pervading world-soul, Brahman, rather than a personal God

This advaita philosophy is certainly popular, and offers a simple explanation of the many deities. Nonetheless, many theologians have considered God to be a person. He is not merely an anthropomorphic representation, nor are the various deities and murtis simply incarnations or representations of an impersonal Supreme.

Thus Hinduism includes both monism and monotheism. It is misleading to call the Abrahamic religions,"the monotheistic traditions," implying that monotheism is absent from the Eastern traditions. Vedanta includes many monotheistic schools. They may accept the existence of many gods and goddesses, but strongly emphasizes the pre-eminence of the Supreme Deity.



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