Dismayed over the exorbitant consultancy fees, 4 times higher !


GEORGE TOWN: Barisan Nasional leaders have criticised the Penang Government for allegedly over-paying, by four times, the detailed design fees of three road projects.

“Construction is not a new industry. Many people are puzzled by the exorbitant consultancy fees,” said Penang MCA secretary Tang Heap Seng in a press statement yesterday.

He said the Board of Engineers Malaysia (BEM) devised a standardised gazetted scale of fees for professional engineering consultancy in accordance with Section 4(1)(d) of the Registration of Engineers Act 1967 (Act 138), and it was highly irregular to deviate from it.

Yesterday, it was reported that Barisan’s strategic communication team sought the professional opinion of BEM on the costing of the three paired roads.

The board was said to have replied that the RM177mil in detailed design costs was four times higher than the maximum allowed under the gazetted scale of fees, which the board calculated to be RM41mil.

The three roads are from Teluk Bahang to Tanjung Bungah, Air Itam to Tun Dr Lim Chong Eu Expressway and Gurney Drive to the expressway. They are meant to be a traffic dispersal system for the proposed Penang Undersea Tunnel.

Penang MCA Youth chief Datuk Michael Lee Beng Seng also issued a statement, pointing out that the alleged overpaid amount of RM136mil was more than the reported RM100mil the state spent on flood mitigation in the last eight years.

“We are shocked that the Penang government has put the well-being and safety of the rakyat behind the interests of consultants and contractors.”

Gerakan vice-president Datuk Dr Dominic Lau highlighted that affordable housing, flash floods and landslides were issues that concerned Penangites.

On Tuesday, Barisan strategic communications director Datuk Seri Abdul Rahman Dahlan announced that he was giving the Penang Government a week to explain BEM’s findings, failing which the matter would be referred to the Malaysian Anti-Corruption Commission.

When asked to comment, Penang Chief Minister Lim Guan Eng replied: “Another day.” – The Star
Related Links

Penang has one week to explain tunnel consultancy fee: Rahman …

Penang govt overpaid undersea tunnel consultation fees by 400 pct …

‘Did Penang govt overpay tunnel consultants by 400%?’ | Berita Daily

Disputes spill into the open

Disputes spill into the open

Our permanent forest reserves left untouched, says Guan Eng – Nation
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Malaysian authorities crack down on virtual money operator, MBI Group International


Smooth operation: Domestic Trade, Co-operatives and Consumerism Ministry enforcement director Datuk Mohd Roslan Mahayudin (centre) giving a press conference on the raids which yielded luxury vehicles and cash. Despite the crackdown by the authorities, investors continue to patronise M Mall, which is operated by MBI.

 

Dawn raids on MBI

 

Key member of MBI Group International remanded 98 bank accounts containing RM209mil frozen to date Three luxury cars and cash seized

The virtual money scheme operator was hit by three early morning raids in Penang and Kedah as a multi-agency task force acted on intelligence gathered in its ongoing anti-pyramid scheme probe. Investors say they regard this development as a temporary matter, while the public has been urged to come forward and help in the investigation. GEORGE TOWN: After watching the premises closely for a month, the authorities sprang into action and arrested a key person in virtual money scheme operator MBI Group International.

Four bank accounts of a newly- established company that belonged to the suspect’s relative, with deposits totalling RM30mil, were also frozen, while luxury cars and cash were seized in raids on three premises in Penang and Kedah carried out early on Monday morning.

Domestic Trade, Co-operatives and Consumerism Ministry enforcement chief Datuk Mohd Roslan Mahayudin said the suspect, in his 50s, is believed to be the founder of the group.

“He has been remanded for four days since Monday for investigation under the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act 2001,” he said.

Speaking to reporters at the Bank Negara Malaysia office here, Mohd Roslan said the operation, codenamed Ops Token II, was staged because the premises were believed to be involved in a pyramid scheme.

“They were believed to be the cash storage transit before the money is transferred to other accounts for the purpose of the scheme’s activities,” he said.

Two of the premises were in Taman MBI Desaku in Kulim, Kedah, and one in Sungai Dua on mainland Penang.

Ops Token II was a follow-up to Ops Token I, which was carried out against Mface Club in Klang Valley and M Mall, Penang, on May 29.

Ops Token II was conducted by the National Revenue Recovery Enforcement Team, which comprises the ministry, the Attorney-General’s Chambers, police, Customs, Malaysian Anti-Corruption Commission, Inland Revenue Board, Bank Negara, Companies Commission of Malaysia and the Immigration Department.

Mohd Roslan said the team had been monitoring the premises with the assistance of police for a month prior to the operation.

Three luxury vehicles – a Jaguar, a Range Rover and a Toyota Vellfire – and cash totalling RM2.235mil were seized during the raids, Mohd Roslan said.

The team confiscated RM280,000 from the site in Sungai Dua, and RM187,612 cash and RM218,000 worth of foreign notes from one of the Kedah locations. Nothing was seized from the third location.

The foreign currencies seized were Singapore dollars, US dollars, Thai baht, Australian dollars, Chinese yuan, New Zealand dollars, Indonesian rupiah, Korean won, Japanese yen, Hong Kong dollars, Taiwan dollars, Laotian kip and Cambodian riel, he added.

Mohd Roslan said with the latest series of raids, the number of local bank accounts frozen over the investigation into the group totalled 98, with combined funds of RM209mil.

The bank accounts included 49 company accounts and 49 individual accounts.

Mohd Roslan stressed that the authorities would continue investigating the group and all its subsidiary companies.

While no investors have lodged reports against the group so far, Mohd Roslan urged investors to step forward to assist in the investigation.

The authorities have not estimated the amount of losses suffered by the investors or the public, he added.

Under the Act, the suspect faces a jail term of up to 15 years and a fine of five times the amount or RM5mil, whichever is higher, upon conviction.

The bank accounts, meanwhile, could be frozen for up to 90 days, while the authorities could investigate the matter for a year, Mohd Roslan added.

Authorities crack down on MBI

Key person held, luxury cars seized and accounts frozen

 

GEORGE TOWN: After watching the premises closely for a month, the authorities sprang into action and arrested a key person in virtual money scheme operator MBI Group International.

Four bank accounts of a newly-established company that belonged to the suspect’s relative, with deposits totalling RM30mil, were also frozen, while luxury cars and cash were seized in raids on three premises in Penang and Kedah carried out early on Monday morning.

Domestic Trade, Co-operatives and Consumerism Ministry enforcement chief Datuk Mohd Roslan Mahayudin said the suspect, in his 50s, is believed to be the founder of the group.

“He has been remanded for four days since Monday for investigation under the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act 2001,” he said.

Speaking to reporters at the Bank Negara Malaysia office here, Mohd Roslan said the operation, codenamed Ops Token II, was staged because the premises were believed to be involved in a pyramid scheme.

“They were believed to be the cash storage transit before the money is transferred to other accounts for the purpose of the scheme’s activities,” he said.

Two of the premises were in Taman MBI Desaku in Kulim, Kedah, and one in Sungai Dua on mainland Penang.

Ops Token II was a follow-up to Ops Token I, which was carried out against Mface Club in Klang Valley and M Mall, Penang, on May 29.

Ops Token II was conducted by the National Revenue Recovery Enforcement Team, which comprises the ministry, the Attorney-General’s Chambers, police, Cus­toms, Malaysian Anti-Corruption Commission, Inland Revenue Board, Bank Negara, Companies Commission of Malaysia and the Immigration Department.

Mohd Roslan said the team had been monitoring the premises with the assistance of police for a month prior to the operation.

Three luxury vehicles – a Jaguar, a Range Rover and a Toyota Vellfire – and cash totalling RM2.235mil were seized during the raids, Mohd Roslan said.

The team confiscated RM280,000 from the site in Sungai Dua, and RM187,612 cash and RM218,000 worth of foreign notes from one of the Kedah locations. Nothing was seized from the third location.

The foreign currencies seized were Singapore dollars, US dollars, Thai baht, Australian dollars, Chinese yuan, New Zealand dollars, Indonesian rupiah, Korean won, Japanese yen, Hong Kong dollars, Taiwan dollars, Laotian kip and Cambodian riel, he added.

Mohd Roslan said with the latest series of raids, the number of local bank accounts frozen over the investigation into the group totalled 98, with combined funds of RM209mil.

The bank accounts included 49 company accounts and 49 individual accounts.

Mohd Roslan stressed that the authorities would continue investigating the group and all its subsidiary companies.

While no investors have lodged reports against the group so far, Mohd Roslan urged investors to step forward to assist in the investigation.

The authorities have not estimated the amount of losses suffered by the investors or the public, he added.

Under the Act, the suspect faces a jail term of up to 15 years and a fine of five times the amount or RM5mil, whichever is higher, upon conviction.

The bank accounts, meanwhile, could be frozen for up to 90 days, while the authorities could investigate the matter for a year, Mohd Roslan added.

Source: The Star by christopher tanandarnold loh

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Ex-Johor exco man, son and consultant face 21 counts amounting to RM36m


//players.brightcove.net/4405352761001/default_default/index.html?videoId=5470638449001

JOHOR BARU: Former state executive councillor Datuk Abd Latif Bandi, his eldest son and a property consultant have been charged with a total of 21 counts of money laundering amounting to RM35.78mil in connection with the massive Johor land scandal that broke out in March.
The former state Housing and Local Government Committee chairman was charged with 13 counts of money laundering amounting to RM17.59mil.

His son Ahmad Fauzan Hatim, 25, and Amir Shariffuddin Abd Raub, 44, were charged with four counts each involving RM735,000 and RM17.46mil respectively.

They are said to have committed the offences via cheque transactions at five major banks around Johor Baru between November 2013 and December 2016.

Abd Latif, 51, pleaded not guilty to seven counts under Section 4(1) (b) of the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities 2001 (AMLA) (Act 613).

If found guilty, he can be sentenced to 15 years in jail and fined five times the amount or RM5mil, whichever is higher.

He also claimed trial to six counts under Section 4(1)(a) of the same Act, which carries a jail term of up to five years and a maximum fine of RM5mil, if convicted.

Ahmad Fauzan and Amir Sharifuddin also pleaded not guilty to four counts each under the Section 4(1) (b) and Section 4(1)(a) of the same Act, respectively.

Sessions Court judge Mohd Fauzi Mohd Nasir set bail at RM500,000 for Abd Latif, RM200,000 for Ahmad Fauzan and RM400,000 for Amir Shariffuddin in one surety each, to run concurrently with previously charged offences.

He was referring to the 33 counts of graft that Abd Latif and Amir Shariffuddin had claimed trial to on April 19 for allegedly converting bumiputra lots to non-bumiputra lots involving a total of RM30.3mil in Kota Masai, Tebrau, Kulai, Kempas, Nusajaya and Johor Baru.

The judge also fixed July 5 for next mention.

Abd Latif and Ahmad Fauzan were represented by a five-man legal team led by Datuk Hasnal Rezua Merican while lawyer Azrul Zulkifli Stork stood for Amir Shariffuddin.

The case was prosecuted by Malaysian Anti-Corruption Commission (MACC) DPP Mohd Asnawi Abu Hanifah.

Earlier, the three accused arrived clad in orange lockup T-shirts and were escorted by MACC officers into the court at around 8.40am.

The Star by kathleen ann kili

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Singapore PM Lee family feud explodes into open, gets more heated


Click for video:

PETALING JAYA: A public spat between the late Lee Kuan Yew’s children has shattered the usually serene political landscape in Singapore, with two siblings accusing their brother Prime Minister Lee Hsien Loong of abusing his powers.

Kuan Yew’s daughter Dr Lee Wei Ling and son Lee Hsien Yang accused their big brother Hsien Loong of, well, acting like “Big Brother”, with Hsien Yang going so far as to say he was fleeing the country.

“We are concerned that the system has few checks and balances to prevent the abuse of government.

“We feel big brother omnipresent. We fear the use of the organs of state against us and Hsien Yang’s wife, Suet Fern,” the two said in a six-page statement that was also posted on Facebook early yesterday morning.

Hsien Yang’s son, Li Shengwu, said the situation had become so bad that the family planned to relocate overseas.

“In the last few years, my immediate family has become increasingly worried about the lack of checks on abuse of power.

“The situation is now such that my parents have made plans to relocate to another country, a painful decision that they have not made lightly,” he said on Facebook.

Wei Ling and Hsien Yang also accused their brother of trying to establish a political dynasty and wanting to “milk” their father’s legacy.

They said Hsien Loong and his wife Ho Ching – the CEO of state investor Temasek Holdings – harboured political ambitions for their son Li Hongyi, who works at government agency GovTech Singapore.

The heart of the matter seems to be the siblings’ unhappiness that Hsien Loong was not following their father’s wishes in demolishing the family home at 38 Oxley Road.

Before he passed away in March 2015, Kuan Yew had already expressed his desire that the house he moved into and lived in since 1945 be demolished because he did not want it becoming a “political shrine”.

That desire was part of his last will and testament, but the current prime minister has declined to follow through.

His siblings have attributed this refusal to Hsien Loong’s political ambition.

“Indeed, Hsien Loong and Ho Ching expressed plans to move with their family into the house as soon as possible after Kuan Yew’s passing,” said Wei Ling and Hsien Yang.

“This move would have strengthened Hsien Loong’s inherited mandate for himself and his family.

“Moreover, even if Hsien Loong did not live at 38 Oxley Road, the preservation of the house would enhance his political capital,” they said.

Hsien Loong, who is travelling overseas with his family, said he was disappointed and saddened by his siblings for “publicising private family matters”.

“I am deeply saddened by the unfortunate allegations that they have made.

“Ho Ching and I deny these allegations, especially the absurd claim that I have political ambitions for my son.

“Since my father’s passing in March 2015, as the eldest son I have tried my best to resolve the issues among us within the family, out of respect for our parents.

“My siblings’ statement has hurt our father’s legacy,” Hsien Loong said in a statement posted on Facebook.

Singaporeans seem divided on the matter.

On Hsien Yang’s Facebook page, he was greeted by more criticism than praise, with some accusing him of being the one who had tainted his father’s legacy.

“A family feud that is aired so openly is a sad thing to see,” said Dolpzy Do.

On Hsien Loong’s Facebook, it was generally the opposite.

Pointing out that Kuan Yew had passed away over two years ago, Jacq Low said, “His last will should have been settled by now.”

While such a public spat is rare in Singapore, it is not unprecedented. Last year, as the island-republic commemorated the first anniversary of Kuan Yew’s death, Wei Ling went public with similar concerns.

In a family feud that played out on Facebook, she said the elaborate events were not what her father would have wanted, and that he would have cringed at such “hero worship”.

Wei Ling, a neurosurgeon, also accused Hsien Loong of abusing his power and using the anniversary to try and establish a political dynasty.

Hsien Loong replied via Facebook, saying he was “deeply saddened” by the accusations, describing them as “completely untrue”.

Source: The Star

 

PM Lee’s family feud becomes more heated

 

PETALING JAYA: The public spat between Singapore Prime Minister Lee Hsien Loong (pic) and his siblings became more heated Thursday, with the younger brother accusing the older of not being truthful.

The two younger children of Singapore’s founder and longest-serving premier Lee Kuan Yew, Dr Lee Wei Ling and Lee Hsien Yang, took to Facebook to air their grievances.

Hsien Yang accused his brother of not being truthful over the issue of their father’s wish to have the family home demolished.

Before he passed away in March, 2015, Lee Kuan Yew had expressed his desire that the house at 38 Oxley Road be demolished because he did not want it becoming a “political shrine.”

He had made that part of his last will and testament.

In a Facebook post, Hsien Yang compared what he said were Hsien Loong’s statements in public and those in private.

Hsien Yang said that despite the prime minister saying in public that the decision to demolish the house did not need to be taken immediately, a “secret committee” of ministers was set up to explore and make recommendations.

When Lee Kuan Yew’s will was recognised as final and legally binding, Hsien Loong did not mount a legal challenge.

However, he privately wrote to the above committee to say that there was no evidence their father knew that the demolition clause “had been reinstated into the last will,” the younger brother alleged.

Hsien Yang also claimed that the prime minister even swore this under oath in a statutory declaration.

Finally, while saying in public that he hoped the government would respect their father’s wish to have the house demolished, Hsien Loong told the committee in private that Lee Kuan Yew would have “accepted any decision to preserve it.”

“The will is final and binding. We have no confidence in Lee Hsien Loong or his secret committee,” Hsien Yang said in his Facebook post.

The tiff between Lee Kuan Yew’s children, simmering since their father’s death, had its lid blown open on Wednesday when the two younger siblings posted an explosive six-page statement saying that they had lost confidence in their elder brother.

Wei Ling and Hsien Yang also accused Hsien Loong of using the state machinery against them.

“We fear the use of the organs of state against us and Hsien Yang’s wife, Suet Fern,” they said.

Hsien Yang, chairman of the Civil Aviation Authority of Singapore, said it had got so bad that he and his family intended to move out of the country.

Wei Ling and Hsien Yang also accused their older sibling of trying to establish a political dynasty and wanting to “milk” their father’s legacy.

They said Hsien Loong and his wife Ho Ching – the chief executive officer of state investor Temasek Holdings – harboured political ambitions for their son Li Hongyi.

In an immediate response on Wednesday, Hsien Loong said he was “deeply saddened by the unfortunate allegations that they have made.”

“Ho Ching and I deny these allegations, especially the absurd claim that I have political ambitions for my son,” he said, adding that he was disappointed in his siblings for publicising private family matters.

However, in a Facebook post on Thursday, his sister Wei Ling said she and her brother would not have issued a public statement if the dispute over their late father’s house was “merely a family affair”.

Source: The Star/ANN

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Lee Hsien Loong’s son says he is not interested in politics

Dispute with Lee Hsien Loong more than a family affair, says sister

Lee Suet Fern says she and husband Lee Hsien Yang are in process of ‘preparing to leave Singapore’

 

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Penang Chief Minister may have too much on his plate, be fair when sharing power


 

CM may have too much on his plate

GEORGE TOWN: Penang Gerakan has questioned the efficiency of Chief Minister Lim Guan Eng as the chairman of numerous state-linked agencies and departments.

Its publicity bureau chief Ooi Zhi Yi said that besides being the chief minister, the Bagan MP and Air Putih assemblyman chairs 11 agencies and departments.

“He was recently also appointed chairman of the Penang Stadium Corporation And Open Spaces at the state assembly sitting,” he said.

Ooi asked what had happened to the DAP’s decentralisation of administration and power-sharing policy which it claimed to advocate?

“Is Lim able to handle various responsibilities in different agencies and departments simultaneously?

“Why can’t the state government identify any state executive councillor or assemblyman to hold some of the posts?” he further asked at a press conference at the Gerakan headquarters yesterday

The 11 state agencies and departments which Lim heads are the Penang Development Corporation (PDC), PBA Holdings Bhd (PBAHB) and its unit Perbadanan Bekalan Air Pulau Pinang (PBAPP), Penang Global Tourism (PGT), Penang Hill Corporation (PHC), Penang Convention and Exhibition Bureau (PCEB), George Town World Heritage Inc (GTWHI), the Penang State Museum, investPenang and two subsidiaries under PDC namely the BPO Premier Sdn Bhd and Premier Horizon Ventures Snd Bhd.

When contacted yesterday, Wong Hon Wai, who is Lim’s political secretary, said it is a customary process for a state leader to hold important positions in all the government statutory bodies.

“It is similar to how the Prime Minister and Mentri Besar chair important government bodies,” he explained. – Tbe Star

‘Be fair when sharing power’‘

GEORGE TOWN: The MCA wants the Penang government to create a check-and-balance to counter the Chief Minister’s influence in 19-state linked agencies, statutory bodies and government subsidiaries which he helms.

Penang MCA organising secretary Dr Tan Chuan Hong said the mechanism must include NGOs such as the Penang Forum, Consumers Association of Penang and Penang Heritage Trust.

He said the NGOs should have the right to oppose and express their views whenever needed.

He said Chief Minister Lim Guan Eng had in a written reply to Sungai Dua assemblyman Muhamad Yusoff Mohd Noor at the recent state legislative assembly sitting revealed that he was the chairman of 19 bodies.

“This is not only shocking but also contradicts the CAT principles of Competency, Accountability and Transparency which the DAP-led state claims to practise.

“Where is a person’s credibility if he holds all positions which are closely associated with his position as chief minister. And what about the power-sharing principle advocated by the state government?” Tan asked.

He said since Lim ‘monopolised’ most of the chairman positions, state exco members such as Chow Kon Yeow, Danny Law and Jagdeep Singh seemed to be given merely supplementary roles to play.

Among the bodies helmed by Lim are the Penang Development Corp (PDC), Penang Global Tourism, PICEB Sdn Bhd, PGC Strategies Sdn Bhd, Penang Water Supply Corp Bhd (PBAPP), PBA Holdings Bhd, Penang Hill Corp, Invest Penang and the state museum board.

He gets an annual RM10,000 allowance as PDC chairman, RM3,000 monthly allowance as PBAPP chairman and RM500 monthly allowance as PBA Holdings Bhd chairman.

Lim also gets allowances which range from RM250 to RM500 per meeting that he attends in some of the statutory bodies and subsidiaries that he helms. – The Star

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Millennials Will Destroy Bitcoin


Irrational exuberance is alive and well.

A textbook bubble in Bitcoin prices is developing right now.
And it has everything to do with Bitcoin’s investors.
Bitcoin Bubble
I’m probably not going to gain any friends with this perspective. But there are inarguable factors that suggest Bitcoin’s own buyers are irrationally driving up prices. And their
exuberance is setting the market up for a crash.
The Secret Gold Market They’re NOT Telling You About
This hidden playground is completely OFF LIMITS to retail investors…
But it holds a secret that can help you predict spikes in gold with mysteriously uncanny accuracy…
Here’s how you can piggyback off it for gains of 468%, 935%, 1,657%, and more…
Click here now for full details.
Let me clear one thing up about Bitcoin before I explain why I think prices are eventually headed for a crash…
As I argued before, Bitcoin is a legitimate form of money. But for the time being, it’s being treated as a speculative investment.
Money is typically used in exchange. And while Bitcoin can be used in exchange, it’s largely not. Gary Schneider, Professor of Accounting at California State University, says only about 10% of Bitcoin is held by people who use it as currency. The large majority are
speculators hoping to sell at higher prices.
The fact that the market is dominated by speculators is not necessarily the problem for Bitcoin. And here’s where I’m sure to piss some people off… The problem for Bitcoin is its
buyers.
Who are they?
Well, according to a recent survey, approximately 60% of Bitcoin owners are under 35 years old.
Bitcoin User Age
In short, most Bitcoin buyers are millennials. And that’s all we need to know about them to make an inarguable point (told you I wouldn’t be making any friends here).
The fact is this: A 35-year-old speculator intrinsically has much less experience in risk management than a 60-year-old. And remember, most Bitcoin owners are mostly speculators, as opposed to users of the product.
AND remember they’re speculating on a currency, which is among the most volatile of financial instruments.
AND remember they’re speculating on what essentially amounts to a new, experimental currency.
All this considered, Bitcoin looks to me as one of the (if not the) most speculative financial instruments available…
Expect for Bitcoin’s derivatives, of course.
Yes, believe it or not, Bitcoin has a futures market. And there are products that offer even more risk. On its Perpetual Bitcoin/USD Swap Contracts, BitMEX offers up to 100x
leverage!
But to really understand why I think Bitcoin is eventually headed for a crash, let’s consider the most famous market bubble in history…
Dutch Tulip Mania
In the 17th century, formal futures markets developed in the Dutch Republic, providing the infrastructure for a massive bubble in the price of tulip bulbs.
The tulip first became fashionable in France, where early modern ladies of the aristocracy began sporting the flower on their dresses. From there, the tulip became the flower to show off social status and wealth. The demand for bulbs subsequently
skyrocketed, and prices immediately followed.
At the peak of Tulip Mania in 1637, a single tulip bulb could cost as much as 10,000 gilders, the price of a nice middle-class townhouse in Amsterdam. According to one author, 12 acres of land was once offered for one rare bulb. For a flower bulb!
Semper Augustus The Semper Augustus was the most coveted of all Dutch tulips.
Of course, the bubble eventually burst. The price of tulip bulbs collapsed, and fortunes in perceived value disappeared over night.
My team of researchers recently uncovered a key patent that exposes a major chink in Tesla’s armor…
This patent describes a groundbreaking
technology that could simply blow Elon Musk, and frankly the entire
solar industry, out of the water.
We’ve managed to uncover the tiny company
with exclusive rights to this technology. It trades at less than $0.15 a
share, but don’t expect it to stay there for long.
Over the next several years, I believe the value of this firm could absolutely explode… by my calculations, upwards of 4,600%.
I’ve included the patent filing and everything you need to know about this small company in this brief, free video presentation.
Here’s what I really want you to take away from this story…
If we consider whom the people were who took part in Dutch Tulip Mania and compare them to the majority of Bitcoin owners, it seems both groups share the same shortcomings.
First, we know both groups are speculators betting on the hot new product. But I think we can also make good assumptions to compare the investment sophistication of the Dutch tulip investors and today’s Bitcoin buyers.
Because formal futures markets were only recently developed, the Dutch tulip buyers were inherently unsophisticated investors. All of them. They simply didn’t have the
experience.
The majority of today’s Bitcoin buyers are generally younger, so they share the same inexperience. For many Bitcoin buyers, I imagine it represents their first real investment. They simply don’t have experience in risk management. And I think that’s pretty clear considering some are buying products with 100x leverage!
Bitcoin could be the tulip of the 21st century with the development of a textbook bubble. And I think could be setting itself up for an eventual crash.
Now, even though I’ve been talking about a crash in Bitcoin prices, there’s an epilogue to the Dutch tulip story that’s often overlooked… and that actually provides a bullish outlook for the technology.
Truth is, the Dutch tulip bubble never really ended… it evolved. The price of tulip bulbs collapsed in the 17th century. But the flower industry at large eventually recovered and
has never been bigger. Global floral production value is currently estimated at $55 billion.
People still pay thousands for rare flowers. In fact, an anonymous buyer paid over $200,000 for a rare orchid in 2005. And that’s not even considered the most expensive flower in the world. Rose breeder David Austin spent 15 years and $5 million to develop Juliet rose.
Juliet rose
My point is, the tulip as an individual product lost favor. But the collapse of the tulip  market didn’t completely kill the flower market. In the same way, I don’t expect a
collapse of Bitcoin prices to completely kill the blockchain-based currency market.
Bitcoin is simply one product of many blockchain-based currencies. A crash in Bitcoin would throw a wrench in the blockchain-based revolution. But there is little doubt that blockchain technologies are the future.
As we speak, every major central bank and large financial institution is researching how to implement blockchain into its own systems. It has already been proven to eliminate
verification redundancies and improve security, and new applications are
being tested every day.
So while I think Bitcoin itself could eventually be headed for a crash, the blockchain technologies that are supporting all these digital currencies seem set for unprecedented
growth.
Until next time,
luke signature
Luke Burgess
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Two virtual coin get-rich schemes red-flagged by Malaysian Central Bank


GEORGE TOWN: Two more popular financial schemes in Penang have been red-flagged by Bank Negara Malaysia (BNM).

A check on the financial consumer alert list yesterday showed MBI International Sdn Bhd and Mface International Sdn Bhd to be the latest additions.

Both are subsidiaries of MBI Group International, a company with investors worldwide, many of them from China.

To date, 302 companies have been listed under the BNM financial consumer alert list, for suspicion of not adhering to relevant laws and regulations administered by BNM in their operations.

Under the Financial Services Act 2013, individuals or businesses involved in illegal financial activities can be fined up to RM50mil and jailed for 10 years.

When contacted by a Chinese daily, MBI International chairman Tedy Teow’s special assistant Alfa said he did not think that the company would face any problem.

“And it is unnecessary for us to hold a press conference to explain the situation to our investors.

“We are always doing our work and we believe that our investors can see how we are performing so far,” he told Sin Chew Daily.

An investor, H.L. Teoh, said he put in RM22,500 early this year and was given 10,000 game redemption credits.

“Actually, I can start selling it every six months, but I was advised to wait for it to grow bigger in three years.

“When you have lots of credit, it is like having a lot of virtual shares.

“Now, I will have to wait for further instructions from the company before my next course of action,” he said.

Members are allowed to spend their loyalty points, which are converted from virtual money or coins, in exchange for goods and services at affiliated companies, including a supermarket, restaurants, a gym and even a durian stall.

Meanwhile, a press conference called by a branch representative of another controversial financial scheme operator, JJPTR, was cancelled at the last minute.

Press members in Penang had received an invitation from a man known only as Lim at 8.30am yesterday.

However, no reason was given for the cancellation.

JJPTR has been grabbing headlines in the past few weeks since its founder Johnson Lee claimed that the company had lost US$400mil (RM1.738bil) due to a purported “hacking job”.

Lee and two of his top aides have been detained by the police to facilitate investigations following several police reports lodged against JJPTR.

In another case, 19 Chinese nationals lodged police reports in Kuala Lumpur against another multi-level marketing company, claiming that they had lost hundreds of thousands of ringgit.

They claimed to have lost between 100,000 yuan (RM62,536) and 700,000 yuan (RM437,754) since investing in the scheme by Monspace last year.

Founded in 2014, Monspace is listed as a multi-level marketing company, according to the Com­panies Commission of Malaysia.

In an immediate response, Monspace said it would take legal action against any group or individual making defamatory statements against it.

The company said in a statement to the media that it was functioning professionally and had engaged a law firm to keep track of statements made about it.

Source: The Star/ANN by Crystal Chiam Shiying

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