Taxpayers terribly worried that KWAP's not worried

YOURSAY | 'Don't you care that rakyat may have to foot the RM4b bill?’

KWAP not worried about SRC's ability to repay RM4b loan

Flyingeagle: “SRC had told Retirement Fund Inc (KWAP) that it was using the loan for energy-related investments globally when it first applied for the loan,” said KWAP chief executive officer Wan Kamaruzaman Wan Ahmad.

And he further said: “It's like I give you a personal loan and you said you wanted to buy a car, but if you don't buy the car, we cannot have a say, because the loan is based on your credit, that's all.”

Wan Kamaruzaman, the loan given out was for a specific purpose and since it was misused, KWAP has the right to recall the loan. Do you dare to do so?

Roguekiller: Wan Kamaruzaman, you should be worried. It might be a government-guaranteed loan, but you are the approving authority and you are responsible. If the said loaned amount is irrecoverable, you should face the music.

Just because it was not your money, you don’t have to worry, right? Wrong, you should bear full responsibility for RM4 billion loan. You are appointed to be the custodian of the fund and to ensure retirees will benefit from it.

If you let the RM4 billion slip away, if you are that irresponsible, you should resign and let a more capable person take over.

Existential Turd: Yes, the government guarantees the loan. Where does the government get the money to repay the loan? The taxpayers.

We are rightfully worried. And we are doubly worried that the head of KWAP is not worried.

Clearwater: A lender should be very careful about a borrower's integrity. The security in the form of a government guarantee is but a backup in case of default.

The sheer quantum of borrowed funds not used for its stated purpose, or misused, should be grounds for an immediate loan recall.

Wan Kamaruzaman's inane comments about cars and creditworthiness speak volumes about a man obviously not fit to be CEO of KWAP. He is not looking after depositors' interest but possibly his job.

Anonymous 2305141436452229: Most banks, when issuing loans and realising that their clients have been using the loans for a different purpose than specified, would take action to restructure the loans or demand repayment as soon as possible.

It is sad that the KWAP CEO doesn't understand the basics of credit.

Fairplayer: No wonder the poor retirees are not getting the due increase to their government pension to combat GST and the falling ringgit.

All retirees who receive less than RM1,000 are barely surviving. Those who receive betwee, RM1,000 and RM1,500 are struggling. Even those who receive more than RM2,000 are complaining. Go figure.

Patriot1: Wan Kamaruzaman, the government underwriting repayment of the loan is one matter. Whether the loan had been prudently granted is an entirely different matter.

Prudent: But what are the terms of that government guarantee? Is it an absolute or conditional guarantee? If conditional, what are the conditions?

And if the government is unable to pay at the due date (as it seems increasingly possible), is there any recourse?

Alex Raj: What a profound thought from Wan Kamaruzaman. A government-guaranteed loan is the highest guarantee in the country, and therefore we are not concerned about the repayment of the loan.

So the government will pay... but who pays the government?

Anonymous_1382244186: Does that mean you will still give a loan if I initially say I want to buy a car and then change to buying morphine or heroin since you have approved my loan in the first place?

If this is not a criminal act, then I don't know what to say.

GE14Now!: The trouble with a government guarantee (read that as a taxpayers' guarantee as the government does not have any money - apart from ‘donations’, of course) is that it creates a moral hazard.

These clowns who run these entities have no qualms about managing, or rather mismanaging the money, as the government (but in reality it will be the taxpayers) will come running to prop them up.

Anonymous_3e93: In the first place, you should institute recovery first from SRC before turning your recourse to the guarantor. So far, what has KWAP done to recover the RM4 billion?

Headhunter: You may not be concerned but we, the contributors, are. It's our lifetime savings from our sweat and tears. Please show some sense of responsibility or quit your position.

Jibtuya C4: For a CEO that's in charge of such a big fund made up of the people's money, to say such moronic things, you can really imagine how much a failed state we are.

Firstly, he's not worried because it's government guaranteed. Well, if additional rakyat money is needed to bail him out, it's our money.

Secondly, his car loan analogy really shows his total stupidity. In any loan, there should be clearly defined 'use of proceeds'.

Anonymous_1431347091: This is another educated response from a government-linked agency CEO.

In any other country, he would be pulled up by the leader, reprimanded and forced to quit. Some 'leader' we have.

Wira: KWAP is not worried. Rightly so because the government is guaranteeing their loan to 1MDB.

Civil servants are not worried because even if KWAP goes bankrupt, their pension is guaranteed by the government.

It makes me wonder for what dubious intention is KWAP created? Why not make every civil servant contribute to the Employees Provident Fund (EPF)?

Now the whole country is worried whether the guarantor will go bankrupt. -Mkini