6/11 Sime Darby pulls out, announces it will not pursue plan to acquire stake in National Heart Institute. 18:26:07Continued from Part 1 and Part 2
Barbarian InvasionThe Barbarian is not at the gates any more, they are inside the compound. In fact, there is the possibility that they have been inside for quite sometime.
Firstly, Sime Darby (SD) would not have been brave to commit to a 16x Price Earning ratio offer, off the cuff. Secondly, they would have snooped heartlessly to find out to know the assets of IJN and known already about IJN’s more than RM400 million reserves. Thirdly, why would EPU repeat verbatim SD’s rationale to offer doctors a better pay package if there had not been many doctors grumbling in private or to patience that they could have made more elsewhere?
If you have read the talk on the grapevines here, it was predicted that EPU would be adamant for the privatisation to go through. Yesterday’s news breaker confirmed most of the rumours circulating.
It is said that SD CEO Dato Zubir Mursyid is at loggerhead with SD Chairman, Tun Musa Hitam over the proposed takeover. If it happened, it only affirms a suspicion that someone inside Government had advised or tipped-off Musa to go for IJN. King Abdullah can hereby ordain Musa as Knight of the Blackheart.
But this is what transpired in EPU-IJN meeting yesterday.
What Transpired Yesterday?
After yesterday’s news breaker, more information surfaced. The information hereinafter is from my source and I do not have to keep repeating my source said this and my source sad that.
The IJN management was represented by the CEO Datuk Mohd Radzif bin Mohd Yunus , Medical Director, Dato’ Seri Dr. Robaayah bte Zambahari, and Representative of IJN’s Professional Advisory Committee Dato' Dr. Mohd Azhari Yakub. EPU was represented by its Director General, Dato Dr Sulaiman Mahboob and accompanied by two quiet chorus “girls”. The Ministry of Finance had two representatives and Minister of Health had one representative.
The IJN people enquired as to why IJN had to be taken over by SD. Why was the announcement made prematurely without proper study done? Usually in a privatisation exercise say IJN, the Ministry of Health would undertake a study and determine if privatisation is the option to serve the nation’s future healthcare needs. Subsequently EPU would evaluate the proposal by MoH and the privatisation approach determined jointly with MoH.
Private sectors are subsequently invited and at this juncture, EPU and MOH would have the figures and details of IJN operation at the tip of their finger. By then they already know what they want and can determine evaluate and negotiate for the best private sector proposal.
What happened yesterday was staggering. More so coming from the DG, who is a respectable economist and his last post is as head of Institiut Integriti Malaysia.
Dr Sulaiman answer was SD wrote a letter and Government agreed with their rationale about rising Doctors pay and raising funding capacity. Its that simple. No study, no research, no due dilligence, and no discussion, but just accept! And we thought Dato Seri Najib said decision was deferred.
He said further that the Minister of Health had agreed. The DG for MOH was not protesting but was keeping quiet in 'agreement".
The two present doctors explained all the doctors had signed a signed press statement on December 19th, 2009 that denied they are seeking for a higher pay package and disagree there is high turnover. They explained the few doctors that weren’t signatory, returned from abroad to endorse. The doctors have unanimously opposed to the takeover.
The IJN CEO explained that IJN had more than RM400 million reserves and funding any expansion is not a problem. The current new wing cost about RM250 million. Through leveraging, IJN can put few more Cardiac Centre. Its current plan can be self funded.
EPU, A Mere Postman
EPU was quiet on this and requested to see the account. They said a due diligence will be made. Shouldn’t all this be done before evaluating any proposal from any party? This looks like a trademark Abdullah Badawi and it usually comewith a flipflop and is not articulated and expalined well. On this one, Dr Sulaiman willingly allowed himself to be a clown.
Subsequently, EPU was asked what SD plan to do with IJN. The answer qualify entry into the Hall of Fame for Stupidity. EPU wants SD’s Healthcare Division to expand and this will enable SD to survive. Who is EPU working for? Is it for SD or for the peoples' well being? Is this to cover for EPU’s monstrous blunder to conform to the wishes of Khazanah to merge of Sime Darby, Guthrie and Golden Hope?
The issue was further pursued. What does SD actually want?
Then, it was revealed that EPU merely act as a go-between and they would refer to the higher authority. Who would be a higher authority than the DG of EPU? That would be the Minister-in-Charge, Tan Sri Amirsham Aziz. The Maybank CEO ended his career in Maybank by donating to Temasek almost a billion Ringgit by allowing his bank to get sucked in to buy Bank Indonesia Internasional from them. The boss to Amirsham would be Abdullah Ahmad Badawi.
EPU’s job is to prepare cabinet paper and they have no idea what SD plan to do. Who plan for it? Is it still the ideas of the boys of Tingkat 4 then? Or another Tingkat 4 wannabee, Omar Ong? But Minister of Finance disagree with the takeover.
When asked who would hold the 49%, they said it will be held by MOF. But is there a guarantee?
EPU acknowledged there could be a serious political backlash on the Government. As civil servants, foremost in their psyche is to serve their elected political masters. By the look of it, they have made up their mind.
Blackheart
Dato Abdul Kadir Jasin commented in Rocky Bru’s blog that “many people and parties stand to make money” in a merger and takeover (M&A) exercise. “So these people love mergers and takeovers. They don't care about welfare and sensitivity.”
Initially, “they will make all kinds of promises. But once a merger or takeover is completed, the first thing they do is rationalisation i.e. cost savings. There's nothing to stop Sime Darby from combining IJN with its existing SJMC and other healthcare units and reduce staff of common user units and departments.”
Sime Darby have no qualms about making profits at the expanse of their own staff. Can we trust Musa Blackheart’s promise that the poor, Government servants, pensioner and most importantly the sick will get treatment?
Something need to be done to ward away this barbarian. The enemy is clear – Abdullah Badawi, Amirsham, Minister of Health, Liow, Musa Hitam and Sime Darby Board of Directors. They are barbaric raiders insensitive with the plight of the common people
Good work. Tahniah atas usaha bersungguh2 anda an semua bloggers + umum dalam mematahkan niat mereka yang hanya pentingkan diri sendiri. Shame on you, most of all our own's PM. Go fuck yrslf!!!
ReplyDeleteKak Jayn
http://koleksiblog.blogspot.com/
Saya harap kejadian ini akan menjadi pengajaran kepada para pembesar di atas sana dan para konglomerat yang hanya asyik mahukan keuntungan. Rakyat bukan bodoh!
ReplyDeleteVoice,
ReplyDeleteThank you for all you have done in exposing this hostile take-over.
We hope this matter is dead and buried for good although I personally feels it's not really over yet.
As for IJN, the only way now is forward. The MoF as the owner of IJN, I believe, have full faith and trust in the currently management team.
I hope and pray that whatever IJN's plan for the future will not be "held back" by "unseen" hands just to get even at you people.
All eyes are on IJN now. So, just carry on with what you do best. We wish you all the very best.
To Voice especially, and other bloggers too in general, again, hanya Allah sahaja yang dapat membalas apa yang telah kamu buat untuk menyelamatkan IJN.
Jazakallah khair
OMG, OMG!
ReplyDeleteDon't know whether to laugh or to cry.
When asked what SD would do with IJN:
"EPU wants SD Healthcare Division to expand and this will enable SD to survive."
ROTFL!
Even we humble people, even at the humble level of running a resident's association, exhibit more wisdom and prudence and care.
I shudder. The Almighty alone protects our country.
Saya Bimbang
Gone are the days of professionalism in the elite MCS or PTD service. Now they are all just mere postmen masquerading as economists and rakyat servers. And Sulaiman. Yes , I had expected more from you.
ReplyDeleteI remember a water privatization deal I was involved in in one of the states some time back. As usual the businessmen big guns came treating their opposite side in the government service as though they were all dumb, simple, kampung folk to whom NPV's, discount rates, Benefit/cost analysis, etc, etc was all Greek. The approach was so condescending to the extent of trying to teach the government side how to calculate basic economic factor that go into such deals.
They behaved that way also because they had some important people behind them.
But when the shoe fell it fell on the other foot. During the project discussions the Pengarah of the Jabatan, so fluent and accomplished in his job having gone through the theories and decades of accumulated experience, gave them consultants and tokoh korporats a full blown lecture on why they were doing all the technical aspects of the project all wrong and how in the final analysis, the burdens to the people would be higher. He even showed them how they should have approached the whole exercise.There was dumbfounded silence from the private sector guys although plenty of head-nodding went on during the lecture. These greenhorns with their slide rules and cash flow statements and computer generated printouts had been outgunned by a simple government servant.
To cut a long story short, the deal still went through and not on its merits definitely.
But at least the government side put up a spirited fight and showed that all the pinstripes in their necktied suits are not all that hot after all.
Unfortunately, those days are long gone. Not because the pinstripes are more savvy or smarter now but that scheming, connivance, and sidelining of the conscience amongst decision makers and custodians of the public's interests seems to be the way.
"The Barbarian is not at the gates any more, they are inside the compound. In fact, there is the possibility that they have been inside for quite sometime."
ReplyDeleteSapa dia orang dalam IJN ni bro??
Expose kan pengkhianat-pengkhianat ni!!
Azad
Dgn bos2 yg tiga suku gini kat EPU, padanlah pegawai2 kerajaan sendiri tak undi BN!
ReplyDeleteCakap dgn org bwh mcm pandai, mulut mcm takda insurance, lagak ngalah kan pilem star, tapi...hehehe...
Malu den eh bos den bodoh piang!!
Labu Labi
Saya pun ada dengar berkenaan pembatalan penswastaan atau pembelian IJN oleh Sime Darby. Ini adalah satu berita baik dan gembira buat semua rakyat Malaysia. Sekurang-kurangnya bantahan rakyat Malaysia didengar oleh pihak yang terbabit. Apapun diharap perkara ini benar dan bukan retorik semata-mata...
ReplyDeleteMr. Bojangles,
ReplyDeleteLegalized piracy? The people don't matter, they never did.
We should compare ourselves with yet another tin pot African nation becomes the similarities do illustrate a deep point.
Good job, Voicey - the power of the blogs rule again