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Monday, November 30, 2015

The ringgit crash – Low Jin Wu

Image result for ringgit malaysia

Ringgit has fallen at a rate of about 20% of its value one year ago, and it has since become the focal point of widespread criticism towards policymakers.
This is an attempt to project my views of the reasons behind the weakness of our currency.
I believe that although 1Malaysia Development Berhad (1MDB) has a part to play in this instance, its role is much more insignificant than what most people perceive it to be.

The oil price plunge
Malaysia relies largely on oil revenues and the fall in oil prices has impacted our economy significantly.
According to historical data, the plunge in oil prices is very much negatively correlated to the strength of the ringgit and positively correlated to that of the USD.
Hence, it corroborates to the fact that the ringgit will definitely take a dip if oil prices go down.
Take the graph below for instance, we can see that the trend of the ringgit goes down in tandem with that of crude oil Brent futures.
Line chart between MYR/USD and Crude Oil Brent Futures (CO1). – Source from Bloomberg, November 30, 2015.Line chart between MYR/USD and Crude Oil Brent Futures (CO1). – Source from Bloomberg, November 30, 2015.Also, the plunge in oil prices is another huge factor that is affecting commodity prices worldwide.
Malaysia being one of the most commodity-orientated economy, is very susceptible and vulnerable to commodity shocks.
It took the biggest hit in Asean when oil prices fell unlike its other Asean counterparts, which saw their current account positions improving as oil prices went down.
The devaluation of the yuan
Another huge factor affecting the strength of the ringgit is the devaluation of the Yuan and the decrease in trade with China due to their faltering economic growth, which is predicted to be less than 7% this quarter.
The devaluation of the yuan will put downward pressures on the currency of countries that are big exporters to China like Malaysia, as China is Malaysia’s largest trade partner and the biggest consumer of commodities in the world.
There has to be an adjustment mechanism since exporting to China would be more expensive when the exporting country’s currency appreciates against the yuan.

Fed rate hike
The underlying uncertainty of a fed rate hike has caused enough turmoil already in financial markets.
It is nevertheless a key driver in the weakening of the ringgit as people will see the USD as a stable and strong currency and will therefore stock up on it to reduce the downside risks of their local currencies.
Currency speculators will also buy USD to hold in hopes of selling it at a higher value when it appreciates.
Contrary to the uncovered interest rate parity theory where a currency of a country is supposed to appreciate in value when its interest rate rises, the USD has a good tendency to depreciate right after a fed rate hike happens.
This could be explained by the rise in the sale of bonds when there is a rise in interest rates, as people/institutions will try to liquidate their bonds when bond prices fall.

The most common misconception
Through the endless political propagandas and social media ramblings, it is no surprise that most people will have the perception that the corruption scandal surrounding 1MDB is the main cause of the fall in the ringgit.
Although it might have an exacerbating effect on our capital flows, it is not the biggest driver of our currency’s weakness.
Take commodity driven economies as an example, if you were to compare Malaysia with that of very commodity driven economies like Australia or Canada, you will notice a same trend where all these currencies have been steadily depreciating in value against the USD. 
The line chart below further fortifies my point that countries that are very export orientated or oil reliant are the countries that are taking the biggest hit in terms of the strength of their currencies.
Although 1MDB is not the biggest driver in our currency’s weakness, it might be able to explain the larger magnitude of the depreciation in our currency when compared to other currencies of commodity trade centric economies like Australia and Canada.Line chart between MYR, Australian Dollar, Canadian Dollar (CAD), USD. – Source from Bloomberg, November 30, 2015.Line chart between MYR, Australian Dollar, Canadian Dollar (CAD), USD. – Source from Bloomberg, November 30, 2015.
Conclusion
On a brighter note, the weaker ringgit does increase our competitiveness of exports.
Our economy is also expected to do better if the strength of the USD declines with a fed rate hike.
Most importantly, people need to know that the decline in the strength of currencies against the USD right now is a global phenomenon that is affecting most commodity trade orientated economies.
I concede to the fact that it might look as if I am trying to defend the wrongdoings of 1MDB, but it is totally untrue as I opine that justice has to be served for those who have a part to play in the scandal that caused so much political unrest.
However, in terms of the effect that it has on our currency, there is so much more than meets the eye than 1MDB. – lowjinwu.blogspot.com,

How Najib could win the next election – Murray Hunter

Image result for Najib - GE14

With the 1Malaysia Development Berhad (1MDB) and RM2.6 billion ‘political donation’ crises looming and anti-Najib (Datuk Seri Najib Razak) forces aiming to remove him from office, there is one strategy open to the prime minister – a snap election, should he feel cornered.
This is a remote scenario, but one that is currently being drawn up now as a contingency in the Prime Minister's Office.
The forces of Tun Dr Mahathir Mohamad and Tan Sri Muhyiddin Yassin – who Najib fired as deputy prime minister – have largely been neutralized, as well as the opposition, primarily through botched votes of no confidence and the attempt to block a second budget reading.
Dr Mahathir’s attempts to get BN members of Parliament to cross the floor on the budget were disappointing.
This shows how little influence the 90-year-old former prime minister really has within Umno today.
Consequently, it appears resistance to Najib has almost been destroyed before the Umno General Assembly, due to be held next month.
What made it worse was that PAS' votes may have drifted over to BN's side, through abstaining on these make-or-break votes as far as the opposition was concerned.
Only 77 of the 88 opposition votes were cast against the budget, showing complete loss of discipline and strategy.
The opposition has fallen into disarray ever since the jailing of former opposition leader Datuk Seri Anwar Ibrahim earlier this year.
His jailing didn’t make him a martyr or garner any massive groundswell of support for the Pakatan Rakyat, as Anwar had hoped, rather, it sowed seeds of destruction for the coalition, which doesn’t even exist today.
Furthermore, the death of former Kelantan chief minister Datuk Nik Abdul Aziz Nik Mat has been very damaging.
With the destruction of progressive faction of PAS at party elections last July, and the Shura Council directive to cut ties with the Chinese-dominated DAP has destroyed the Pakatan Rakyat.
With PAS now split into two, the animosity with breakaway party Parti Amanah led by Mohamad Sabu (Mat Sabu), is leading to more hate than there is between PAS and Umno.
The death of Karpal Singh, long-time DAP secretary-general, is allowing some of the younger generation to voice out more.
However, the performance of Tony Pua has been an embarrassment to say the least. Lim Kit Siang has been neutralized with his six month suspension from Parliament.
The opposition has zero strategy and the Dr Mahathir forces appear lame. A man supposedly implicated in the murder of the Mongolian translator, Altantuya Shaariibuu, massive financial scandals and gross unpopularity actually appears stronger now than he did three months ago.
Voters are almost just as much disillusioned with the Pakatan Rakyat as they are with BN. The only thing that the opposition has going for them is their good governance in Penang and Selangor.
However, the effects of the PAS/Amanah split in Kelantan and the “Kajang Move” on voting intentions is yet to be seen.
What's more, it looks like PAS is quickly distancing itself away from the opposition, and how Datuk Seri Abdul Hadi Awang will play the next election is still a big question, but three-cornered electoral fights, which will hurt the opposition, are a possibility.
How quickly PAS is losing ground to Amanah is not really known yet. 
The only advantage of the PAS/Amanah split for the opposition is that they can leave behind the hudud bogey. PAS' efforts to implement harsh Islamic law in Kelantan has caused so much damage to the opposition coalition.
Although few political pundits foresee an early election, there are some definite signs that this option is on the table due to the way the 2016 budget was framed, and some of the rhetoric the prime minister has been making at both the Gerakan and MIC AGMs recently.
It is the writer's belief that if an election were held in the near future, it is possible the prime minister could pull off a victory for Umno and BN.
There are great advantages for Najib should he call and win an election.
  • He would be able to finally eliminate the anti-Najib forces from Parliamentary positions within Umno through his power to select candidates, and/or place candidates in unwinnable contests. There is no effective opposition leader at present.
  • He would be able to put in a final blow to crush the opposition (except DAP) and weaken them electorally.
  • Upon winning an election, he would have five years in office until 2021.
  • 1MDB and the RM2.6 Billion ‘political donation’ issue would sink into the background of a new Parliamentary term.
  • An election would be a good method to ‘unify’ Umno behind him.
  • The timing of an election, sooner rather than later, would put it out of the way before ‘harder’ economic times are upon us.
However, there are also a number of risks in the electoral strategy:
  • Anything can happen in politics, especially an election:
  • There is great likely of sabotage within Umno in many quarters, all across the country.
  • Najib is going through a period of intense low popularity (although this does not necessary mean it will be reflected in voting patterns).
  • The goods and services tax (GST) and devaluation of the ringgit are already causing great suffering in the electorate.
Having an early election is a major effort that would require great financial resources, organization, and effort. It’s also high risk, but the rewards would be great should Najib pull off a victory.
Certainly some signs of an election exist, the recent budget could be framed as an election budget, a national election could be coordinated with the Sarawak election due next year, the recent rhetoric coming from Najib concerning Chinese are not ‘pendatang’ to Malaysia, a divided opposition at present, the arrests of opposition members, and even the visit of US President Barak Obama to Malaysia has put out a positive signal for Najib.
Najib doesn’t need an election to defeat any external opposition. An election is the best method for him to eliminate opposition within his own party Umno.
Najib cannot win GE14, but the opposition can lose it, as we can see state by state.
Perlis: The BN looks set to retain the state of Perlis and hold three Parliamentary seats.
Parti Amanah Negeri will probably have difficulty organizing themselves in time for the next election, leaving the Arau Parliamentary seat open for the cashed up Umno warlord Shahidan Kassim to hold.
The only surprise in Perlis could be in the Kangar Parliamentary seat if locally popular PKR state member Chan Ming Kai opts to run in the seat.
Najib will most probably select a new chief minister candidate to replace the unpopular and lacklustre performer Azlan Man, who has put the local Chinese community offside.
Kedah: The Prime Ministers Department put in massive resources before the last election to win-over Kedah from a weak PAS Chief Minister Azizan Abdul Razak.
Kedah people have been very reluctant to accept ‘outsiders’ as chief ministers and Datuk Seri Mukhriz Mahathir is sharing the same affliction.
There is even some probability that Najib may select another candidate as chief minister this time round as well, especially as Mukhriz is the son of Mahathir.
Umno holds 10 Parliamentary seats in Kedah which should stand firm. PKR holds four and PAS one. With poor organization on the ground, PKR and PAS seats could be vulnerable. The Alor Seter seat may best be defended by a DAP candidate to hold on this time round. The DAP may be able to pick up three state seats, not enough to wrest government from the BN.
Penang: With a good showing Pakatan could pick up three BN seats in Penang, thereby wiping out all BN seats within that state. 
Perak: Perak will be an interesting state with a number of seats in for possible change.
Bagan Serai will probably change hands to the opposition. Last election Kuala Kangsar didn’t turn over to the opposition because there was a three way contest.
This election the result may be different. Expect Bukit Gantang to see a three way contest with PAS and Amanah involved. Two other seats that have a remote chance of changing hands are Bagan Datok and Tanjong Malim.
Selangor: The Selangor Chief Minister Mohamed Azmin Ali is still holding the Pakatan Rakyat coalition together in running the government.
Due to the delicate balance of seats, it is necessary for him to do so. How Azmin faces the next election is something that even he hasn’t thought through at this point.
Although the effects of the ‘Kajang move’ are yet to be felt electorally, there is a high probability that the Pakatan coalition will hold Selangor and that not many seats will change between Pakatan and BN.
The complexity of the situation for Azmin is that PAS won state seats in constituencies with a high proportion of Chinese voters.
PAS cannot rely on this support this time around and it would be assumed that Amanah would take them over. PAS discussions with Perkasa and Umno, along with their unpopular hudud policy among Selangor voters will probably make the party irrelevant.
DAP could also pick up another two state seats, Semenyih and Kota Damasara which would make them the dominant party in the state chamber. Federally, BN stands to lose three seats, Hulu Selangor, Sungei Besar, and Kuala Selangor if there is even a slight swing away from them.
Hulu Selangor is particularly susceptible, held by the MIC where two independents spoiled the opposition vote last time around.
Negri Sembilan: Although there has been some reported discontent at branch level within Umno, there are unlikely to be any major seat changes within Negri Sembilan, unless massive sabotage occurs.
Melaka: There are unlikely to be any seat changes in Melaka.
Johor: Johor is a potential Achilles heel for the BN. Any swing against the BN could easily lead to a loss of up to 7 seats. The Muyhiddin factor will be crucial here, and it is unlikely that he would be running for Parliament under the BN banner.
The winners here would be the DAP.
Pahang: Najib’s home state of Pahang will be another battlefield with the possibility of five seats changing hands. At risk for the BN are the seats of Bentong, Bera, Cameron Highlands, and Lipis.
PAS holds Temerloh by a very small margin and a three way contest could bring this seat back to the BN.
Terengganu: The vote in Terengganu will be more interesting to see what happens to PAS. Most PAS seats, except for Kuala Terengganu were won by slender margins.
Three way contests in Teregganu could be a disaster for PAS/Amanah. Being PAS leader Hadi's home state, it will be interesting what voters think about his political positioning over the last few months. Umno could even gain seats in Terengganu.
Kelantan: The nightmare scenario for Pakatan would be where PAS and Amanah contest each seat and the BN wins by default.
That could wrest the state and allow to BN to pick up nine extra seats in the most optimistic scenario for them. This is an Achilles heel for the Pakatan Harapan.
In a straight fight scenario, PAS/Amanah could pick up to three BN seats, Machang, Ketereh, and Kuala Krai. With the retirement of Tengku Razaleigh Hamzah, the seat would also be up for grabs by Pas/Amanah. 
Sabah: The division of the opposition in Sabah is Chief Minister Musa Aman’s biggest asset. STAR, SAPP, and the Pakatan parties are running against each other ensuring a BN win.
If three and four cornered contests could be avoided seats like Kota Maruda held by federal minister Maximus Ongkili could fall.
Chief Minister Musa Aman has done a fair job governing Sabah and without any agreement within the opposition parties, there should be no upsets. 
Sarawak: According to Medeka Centre research, the approval rating for the new Sarawak Chief Minister Tan Sri Adenan Satem is 75%, while 68% are satisfied with the state government’s performance.
Approval rates of the CM are 68% within the Chinese community, and if these figures are any indication, it will be difficult for the opposition to make many inroads in Sarawak.
Federal Territories: It would be hard to see Putrajaya changing hands. However within the Klang Valley both Setiawangsa and Titiwangsa are two possible opposition gains.
Labuan should remain BN.
The current parliament comprises 133 BN seats (88 Umno, PBB 14, MCA 7, PRS 6, PBS 4, MIC 3, SPDP 3, UPKO 3, Gerakan2, PBRS 1, and SUPP1),  opposition Pakatan Harapan, comprising (DAP 37, PKR 29, PAN 60, with other opposition parties including (PAS 14, PSM 1, TERAS 1, and independent 2).
A new Parliament after an election will probably look something like 124 seats for the BN and 98 seats for the opposition.
However this doesn’t factor in the current troubles for Pas/Amanah in Kelantan and Terengganu, where BN could make massive gains, if three way contests occur.
If the three corner fight scenario occurs, PAS could deliver the BN a landslide victory.

One must remember that in Malaysia there is very little polling done, and the few public polls that come out are biased towards urban voters.
So, unlike other ‘democracies’ in Malaysia most political pundits and strategists are almost blind to public voter intentions, which makes any predictions difficult.
The only hope for both the opposition and anti-Najib forces to bring down the Prime Minister is through an election.
However the above analysis shows that this would not be an easy task.
An opposition win would require a new leader to appear out of nowhere, a rapid deployment of a branch network for Parti Amanah Negara, trust in the DAP with more seats allocated to them this time round, a high level of sabotage within Umno itself, and a minimum of three corner electoral fights with PAS.
Najib has complete control of the government, judiciary, and police.
All checks and balances have been broken down, which makes him secure. Short of a revolt emanating from branch level, nothing can remove Najib. Any hints of a revolt are being suppressed as I write.
This is his only Achilles heel.
This election, Najib will have to carefully select his candidates and pay people to undertake the electioneering, rather than rely upon party workers.
He has a number of dirty tricks up his shelve like potentially prosecuting Nurul Izzah Anwar for her fopar over her meeting with Sulu Sultan Jamalul Kiram III’s daughter Jacel H. Kiram.
An election will be necessary for Najib at some time in the future to safeguard the business interests of his family and cronies, which is extensive.
This is so with nobody to trust in handing the reins of power to, and no possibility of immunity from prosecution.
An election is more a Dr Mahathir strategy than Najib’s style. He ran a full term after taking over from former prime minister Tun Abdullah Ahmad Badawi back in 2009.
The option is ready in case it becomes a necessity, and Najib is ready.
- TMI

Duo nabbed for posing as Jais officers to rob couple



Police arrested two men for posing as Selangor Islamic Religious Department (JAIS) officers and robbing a couple in Section 18 yesterday.
Shah Alam Police chief ACP Shafien Mamat said the suspects, aged 32 and 33 year, were arrested after forcing the couple to pay money to avoid being arrested for 'khalwat' (close proximity).
"The couple, aged 30 and 21 years, were in a car at 5.30am when two men on two motorcycles arrived at the scene, claiming to be JAIS officers and demanded money to avoid arrest.
"They were taken to a bank in Section 18 where the woman gave RM5,000 while the man gave only RM1,500.
“Unhappy with the RM1,500, the suspects quarrelled with the man causing the woman to panic and shout for help."
Shafien said the woman's shout caught the attention of policemen on patrol nearby who rushed to offer help and then arrested the two suspects.
"Upon checking a bag, the policemen found tools used for burglary," he said.
Investigations revealed that the suspects were construction workers and have no previous criminal record.
Bernama

Jakoa vows to improve after ticked off in audit report



The Third Series of the 2013 Auditor-General's Report relating to the Department of Orang Asli Development (Jakoa) did not reveal any misconduct from personal interest, except for a few drawbacks involving aspects of management, understanding of procedures and financial policies.
Jakoa in a statement said they would make the necessary improvement to ensure similar errors would not recur.
"Jakoa has also reviewed all issues raised under the audit on Financial Management based on Accountability Index (IA) and Performance Audit by the Internal Audit Unit (UAD) from 2013 to 2015," the statement said.
On the audit report, Jakoa said the house-to-house installation of water metres under the Treated Water Supply Project worth RM315,860, weakness found was due to poor planning and was not a wastage issue.
"The installation of metres was to determine the number of individual water consumption apart from encouraging the Orang Asli community to conserve and use water wisely and the charges imposed were meant to cover the cost of the BAT system's maintenance," according to the statement.
Bernama

RON95 price down 10 sen to RM1.95/litre at midnight



Pump price of RON95 petrol will go down by 10 sen to RM1.95 per litre at midnight, while RON97 and diesel prices remain the same.
Diesel costs RM1.90 per litre while RON97 is RM2.45 per litre.
Euro 5 diesel prices also remain at RM2.00 per litre.
Petrol prices have been on managed float since Dec last year, when subsidies were removed.
[More to follow]

Teo: Does 1MDB’s Arul think Malaysians are idiots?

Arul, Lodin and Najib
COMMENT: Politicians in power and those they employ in the civil service, statutory bodies, government-linked corporations are arrogant. They always assume that we are stupid. May be they can fool some Malaysians all the time, but not all of us all the time. Arul Kanda Kandasamy does not seem to get the message and that is why he continues to spin and even lie.
The first thing  I learned Economics 101 (Theory of the Firm) is that if total revenue minus total cost equals zero, the firm is said to have broken even. Graphically, it is the point of intersection between the total revenue curve and the total cost curve.  I stand to be corrected,  and if I am wrong, then I must have learned nothing from my microeconomics course at the University of Malaya under the late Professor Dr. Yip Yat Hoong in my First Year in 1960. I also knew concepts like opportunity cost, transaction cost,  and “holding cost”, inter alia.
Dino
In the case of the sale of assets, one disposes them at book value, or on revaluation,  or at discount to book value depending on circumstances. I do not know what Arul and his finance team did during negotiations. We are expected to accept his word that 1MDB broke even when Edra Global  Energy  Berhad was sold to China’s  CGN Group.
The Chinese certainly did not pay a premium for those power assets. Probably, being hard-nosed businessmen, they bought them at discount by way of direct negotiations with some sweeteners including extension of the concessionary period, power offtake price to Tenaga Nasional,  and tariffs with respect to some of the IPPs. Again, we are kept in the dark about the Sales & Purchase Agreement between 1MDB and the new Edra owners from China. That is Malaysia. We love to operate in the dark.
All I can say at this stage 1MDB did not make a profit from the sale of its power assets.  However, it has been able to use the proceeds to reduce its debt. That was why  bond markets reacted favourably to the news of the sale. Can someone else in the know educate me?   I cannot trust Arul to tell the truth.–Din Merican

Teo: Does 1MDB’s Arul think Malaysians are idiots?

by FMT Reporters
Teo-Nie-Chingarul-kanda
Kulai MP Teo Nie Ching has charged in a statement that 1MDB Chief Arul Kanda Kandasamy “doesn’t know how to count” if he claims that the trouble-stricken government-owned company has “broken even”. “How is the sale of Edra Global Energy Bhd and its subsidiaries a ‘break even’ in 1MDB’s books? Can Arul Kanda please enlighten us?”
“Do they think Malaysians are idiots who failed their elementary mathematics in school?” The break-even in economics, business, and specifically cost accounting, is the point at which total cost and total revenue are equal, meaning there is no net loss or gain, she pointed out.
Teo was commenting on 1MDB claiming, in responding to former Prime Minister Mahathir Mohamad, that it has broken even on its investment with the help of the sale of its power assets.The MP noted that 1MDB bought the power companies for RM12.1 billion. “The energy assets have now been sold for RM9.83 billion. How is that breaking even?”
“If Arul Kanda regards that as breaking even, no wonder he can claim 1MDB to be profitable. The RM2.27 billion is nearly a 20 per cent loss for 1MDB.” In terms of debt, she added, it was even worse. “Yes, the sale of Edra to CGN Group represents a reduction in 1MDB debt by RM17 billion.”
However, she continued, the total debts incurred and assumed by 1MDB when acquiring these power companies was approximately RM30 billion. “The RM30 billion comprises USD3.5 billion (RM15 billion) bonds, RM7.4 billion short-term loans and RM8 billion inherited debts. Hence, even after reducing the debt pile by RM17 billion, there is still another RM13 billion outstanding without any asset-backing in 1MDB.”
Even if the state investor has received RM2 billion cash dividends over time throughout its ownership of the power assets, said Teo, there was still a debt of RM11 billon.

Something ain't right


Ketua Wanita for UMNO Gopeng Division, Dato Hamidah Osman was sacked by the UMNO Supreme Council last Tuesday. Irrespective of the arguments - pro or con - for or against Hamidah, this is but a typical rough and tumble in party politics.

Today sacked, tomorrow reinstated, and day after back as buddy again. After decades of observing, following and limited participation in politics, a lesson learned is not to interfere and involve in internal party jostling for positions.

As far as Hamidah, her political career had gone downhill after her spectacular manouvre to wrestle back Perak from DAP. So she "could" be seeking for a new lease of political life after losing her positions in the last general election, Wanita UMNO party election, and government appointed chairmanship in Tekun.

The lifeline she chose was to support Tun Dr Mahathir's fight against Dato Najib. As Tun M picks up pace and visibly seen as collaborating with opposition and their satellite NGOs, yet again Hamidah suffered another setback in her political career.

Rightly or wrongly, it is all political rhetorics and the ensuing exchange of political rhetorics is still on going. Though some sympathy for this protelariat struggle up the feudel power ladder, still not a concern. Only notice the strange coincident as published in Utusan Malaysia's last Friday issue.

Blaming Hamidah

Some blamed Hamidah's predicament on her political competitor/(s).

The one often mentioned by Hamidah side has always been MB Dato Dr Zambery Abdul Kadir. Hamidah was instrumental in the coup in Perak but Zambery was appointed by then PM, Pak Lah as MB. Some say there had been rivalry between them since.

If Zambery were to be behind the plot to fix her downfall, that would have been the dumbest move. It is like giving one's alleged rival a new lease of life.
  
There are those that said the rivalry was third-party instigated.   

Seldom mentioned is the Gopeng UMNO Division Chief, Dato Hamzah. It was said that he pit an ex-Puteri UMNO division leader against her to almost topple her off from the Ketua Wanita UMNO Gopeng Division position in the last party election.

During the last party election, Dato Hishamuddin Hussein was blamed for her withdrawal from the Deputy Wanita UMNO Chief candidacy.

Nevertheless, for the right or wrong reasons, she has many political enemies too.

Some blamed her for endless habit of picking one fight after another and being trouble maker. As a result, she could not give her attention. DAP could easily by passed her attention to load Sungai Rapat with Chinese voters to get even and beat her.   

Some blamed her for not being quite clean herself; she was investigated by MACC for 9 corruption issues by then PAS friendly state MACC chief but so far no charges. Her sister, Hamizura Osman was subjected to 9 hours of abusive questioning.

There have been murmurs in Perak of Hamidah having her own set of Chinese taukehs, in the plural. The rumour was she had been on the taking for business favours. Hamidah comes from a large family and her siblings was said to be instantly wealthy, driving luxury cars like Porshe Cayenne and Vellfire, and holidaying abroad with the whole family entourage.

But that is all talk and yet to be verified.

Some pity her for being misled to pick those fight. She was criticised for going back on an arrangement she was involved to put Sabah's ADUN Dato Azizah Md Dun as Deputy Ketua Wanita UMNO candidate but she end up putting herself as candidate.

But it is said she is seldom instigated and provoked to get into fight.

And finally, some take it on her sister, political confidante and seldom blamed as shit stirrer. Hamizura is seldom blamed as the hand behind foolish stunt like the picking fight on nomination day that got viraled as video in the last general election.

In the last party election, Hamizura made herself candidate against the Division Chief.

TEKUN Chairman 

After the general election and party election, Hamidah was then nominated as TEKUN Chairman. Immediately upon realising something ain't right about TEKUN, she compile information and documents and arranged for MACC to investigate on the CEO.

Subsequently, there was a power play between the CEO and Hamidah that eventually led to the then Minister for KPDNKK, Dato Ismail Sabri, to not renew her appointment. 

Just days after her Tuesday sacking as UMNO member and Ketua Wanita UMNO Gopeng, Utusan gave frontpage attention to the following news last Friday: 


Bekas CEO TEKUN mengaku tidak bersalah

SUWARNI MOKHTAR | 26 November 2015 11:32 AM

KUALA LUMPUR 26 Nov. - Bekas Pengarah Urusan dan Ketua Pegawai Eksekutif Tabung Ekonomi Kumpulan Usaha Niaga (TEKUN) Nasional, Datuk Abdul Rahim Hassan dihadapkan ke Mahkamah Sesyen di sini hari ini atas dua pertuduhan menggunakan jawatannya bagi mendapatkan rasuah.

Abdul Rahim mengaku tidak bersalah atas kedua-dua pertuduhan itu.

Dia didakwa telah menggunakan jawatannya untuk meluluskan dua permohonan pinjaman program perintis TEKUN Nasional bernilai RM100,000 setiap satu kepada Dynamind Enterprise yang menantunya, Khairul Fadly Mahammad adalah pemilik dan anak saudaranya, Khairiyah Khalid merupakan rakan kongsi syarikat itu.

Mahkamah menetapkan ikat jamin sebanyak RM50,000 dengan seorang penjamin dan kes akan disebut semula pada 16 Disember ini. - UTUSAN ONLINE
Expulsion   

Something is strange about Hamidah's expulsion.

Tan Sri Mahyuddin expressed concern on the reason/s for her sacking. Some may say that it is expected of Muhyiddin to defend anyone supporting him or Tun M's cause.

But, seriously it cannot be for Hamidah or her sister for gathering people to receive Muhyiddin at the airport upon returning from an Australian golf weekend. Or for Hamidah or her sister involvement in organising a talk for Tun M in Ipoh.

Muhyiddin was then a Deputy PM and not sacked yet as Deputy UMNO President. Tun M is still UMNO member. Thus for Hamidah's emotional PC on Friday to ask why not sack them both. She was so emotional that she was uttering an incomprehensible words about "bakar negara".

In his defense of UMNO, Khairy claimed that UMNO is still the most democratic party. He said Hamidah went too far. Fine, what did she actually do?
  
It is said that Hamidah had attended an opposition event. Unlike Dato Saifuddin Abdullah whose presence was published in the media, Hamidah's case was not known.

Procedure-wise, any disciplinary issues should be taken to the Disciplinary Board first. The final say was to be Supreme Council. It happened to Tan Sri Isa Samad. And Saifuddin was supposed to present himself to the Board but quit the party to join PKR.

The Supreme Council has the final say but in Hamidah's case, there was no clear offenses, specifics on the accusation and due process but it was taken straight by Secretary General, Tengku Dato Adnan Mansor to Supreme Council. 

Zambery, the UMNO Perak Liaison Chief was said to not been consulted at all.   

Some say God has determined it on Hamidah for her past actions. Oh gawd, who are they to know or predict God's intention and plan? 

Some say Hamidah has benefit enough for her contribution to topple the DAP government. That is still heresay. All these plus the blames levelled at her is of no relevance to the simple issue of something is not right here.

Of no relevance too is the insinuation that she is being fixed for going after the TEKUN CEO.

That would indirectly making an unfair accusation that there is a collusion by Ku Nan and Ismail Sabri. While Ku Nan maybe in the habit of destabilising UMNO from inside to serve his personal purpose, however accusing him of collusion need to be firmed up.

Always be cautious of stories being spread. Politicians are good at buat cerita and in the blame game to get out of trouble. - Another Brick in the Wall