The World Anthem




Felda Global Ventures Holdings Plc (FGVH) was listed on the KLSE in 2012 mainly due to arm-twisting and manipulation by PM Najib. Pre-listing multi-billion ringgit losses in the US due to Najib's incompetency, were covered up. Refer to my August 2015 blog post.  CLICK HERE.

Based on the above table derived from FGVH's audited accounts for the year ended 31 December 2014, EPF had invested in about 192 million FGVH shares costing RM876 million @ RM4.55 per share. This showed a book loss in 2014 of RM576 million.

Assuming EPF had lost and average of ONLY RM2 a share in selling off it's entire holdings of FGVH shares, it would have registered a realised loss of RM385 million.

However, on 3 April 2017, EPF announced a realised loss of RM203 million in FGVH shares in 2016. CLICK HERE. It had announced in December 2016 that by then it had sold off its entire stock of FGVH shares. 

This leads us to suppose that the RM203 million was only a portion of a much larges loss in total. More losses must have been realised in earlier years or written off as provisions in a 'mark to market' accounting policy.

It is not possible to get the exact total realised loss on FGVH shares by sifting through EPF's published accounts, as specific details are rarely disclosed there, if ever. The analysis of RM3.39 and RM3.97 billion losses on investments in 2014 and 2015 are not available:

It is also curious and suspicious that the Ministry of Finance (MoF) added in this statement, to try and reduce the impact of the shocking RM203 million loss:

"However, the EPF had made RM105.77 million dividend income from FGVH shares."

That made it look as though EPF had lost only RM97 million (203-106). This is NOT REMOTELY how a savvy investor anywhere in the world, would look at investments  and returns:

1. RM105.77 million in dividends gives an average rate of return of only about 3% over 4 years (2013-2016). This is below par for an investment cost of RM876 million, as minus inflation of about 3% a year, the net return is a pathetic 0%!!!

2. There is the risk free opportunity cost to consider. Had EPF placed RM876 million on FD with a bank, it would have earned a minimum of say, 876 x 4%=35 million a year x 4= RM140 million. This is more than the RM105.77 dividends AND, its capital would have been intact!

3. If EPF had cut it's losses early, it might have been able to re-invest the money in blue chip shares, which would have given a capital gain rather than a massive loss. Instead they paid heavily for allowing themselves to be coerced into a dud investment by Najib.

It is to hide this huge Najib blunder (he is also the Finance Minister) that the MoF added in that spin about $105.77 million dividend income without explaining it further. But that is exactly what we have come to expect from a MoF led by Najib and where, its Chief Secretary, Dr. Mohd Irwan Serigar Abdullah, has since 2009 been assisting kleptocrat Najib in covering up the even greater humongous looming 1MDB loss of RM95 billion, due to massive fraud by Najib, his family members and his cronies. CLICK HERE.

Did heads roll at the EPF? There is no culture of honour in a government of thieves. Some have written that RM576 million represents less than 1% of EPF's RM700 billion assets, and so it's no big deal. But that is exactly the type of thinking that allows the crooks like Najib to loot and plunder at will. 99.99% of us will never earn anywhere near $576 million in our lifetime. That money could have been invested in schools, hospitals and other much needed infrastructure. It's downright criminal to lose RM576 million due to incompetency, negligence and abuse of power by a prime minister and his crony head at EPF!

So, EPF must come clean about how much it actually lost in TOTAL on FGVH shares. Remember, EPF's money belongs to its contributors, NOT the government. Hard working citizens are sinking under the weight of stagnant wages, GST, rising food cost, transportation, petrol, soaring rents, house prices and inflation (record 4.5% in 8 years, in y-o-y to February 2017).

More than that, the government must disclose how much in total many GLC's and State Governments have actually lost by being bullied, again by Najib, to prop up the ill-advised listing of FGVH shares!

As at 31 December 2014, these entities had a book loss of nearly RM8 billion!!! (See table above). Many of them would have taken out loans from banks to finance their share acquisitions, which means their losses would have been higher, with loan interest!!!

As I have said many times before, Najib has the touch of the plague and the kiss of death whatever mega project he proposes - FGVH, 1MDB, PPFI etc., etc., etc. He does not have the knowledge, skills or qualifications to manage his children's piggy bank, let alone the complexities of a country's economy.

But, Najib can't let go because of ego, face, and false pride born of cancerous Ketuananism. He suffers from the illusion that somehow, being the son of a former prime minister, he is destined for global success and a place in the history books. But, instead, his repeated failures have cost the nation, at the very least, RM150 billion in a blazing trail of stupefying losses.

The citizens must seriously endeavour to put him out of his misery soon, like yesterday!


KoSong said...

Typo? Investment costs should be Rm876 million in your calculation? IMHO, the recent realised loss likely to be that of sale of its remaining shares only. What happened since acquisition until final sale should be disclosed. But will they? Even if they did, the existing trust deficit will still create in our minds.

Donplaypuks® said...


Thank you. Yes, typo. Have amended it and so net return after inflation is zero%

Yes, I am very sure they, EPF & MoF, deliberately understated the loss.

The Trade Union should lodge a police report and sue the EPF for negligence! EPF CEO should be sacked for the huge loss as contributors could have been paid a higher dividend.


LS Ooi said...

More lies to cover the earlier lies!

BT said...

Malaysians politicians think it's a birth right to plunder and rape malaysia with impunity...najib runs malaysia NOT as a accountable pm but as his own private business above the law untouchable----the bastards think once elected they have given a license to steal take bribes sell and dispose of any and all malaysian assets for their own profit---fck the people, fck the law and fck anyone who ask questions so who allowed the swamp monkey's to remain in power??? you dummies you do

AR said...

Was it really jibby himself making all the critical decisions? He does not even has the mental ability to visualise abstractions in front of his nose,far less matters of economics and national interest.

He is overwhelmingly dictated by instinct, and in this case like an elephant, constantly in heat.

Thus,to be able to pacify his instinct he exposed himself to the dictates of the one who can play to his elephant but a hippo!

MalaysianFirst said...


I think not! (ACTUALLY, I KNOW NOT)

The 'politically correct' word (OR PHRASE) here is SYNCHRONICITY

Dun trus me, I could lie, just as all ur DEMAGOGUE....

p.s. look up the meaning, it will utterly SHOCK you (I HOPE)

MA Din said...

With all the he screwed up, he is still in power. Ha ha ha ... I like the statement that Najib has the touch of the plague and the kiss of death whatever mega project he proposes – FGVH, 1MDB, PPFI etc.

Lee J said...

Malaysians keep paying heftily for losses incurred by UMNO/BN. All that UMNO/BN touches turns to s..t!

Ling T said...

I am more inclined to believe the loss to be 576 million becoz the crooks never admit the loss if possible. If so, the loss will be small. Smh.....!!!!

PM said...

This is no joke as the people especially the Malays who form the majority who will suffer severely under the strain of all these blunders or incompetencies and lack of transparencies by the MoF. This time the Malays cannot blame the Chinese of sabotage as their leaders have done so with great efficiency

If you struggle to put food on the table, thank Najib and his band of thieves, if you can't put a roof over your family's head, thank Najib and his band of thieves. Thank Najib for showing you how much you love and care for him that even if you starve he is still God's gift to you.

They are now into re-engineering trying to fill ten(10)cups with only 5 cups. He and his sycophants will show you how it is done . While the rest struggle with rising cost if every damned thing except our wages. Keep it up, UMNO your boss who can do no wrong will take all of you to hell.

Jerry said...

Opposition please insist on an independent external auditor to look at it as we cannot trust a government of crooks.

BS said...

Najib's lanun style economics, worst kind of human.

Ali said...

You think these losses are the worst. better think again. the PM of Malaysia has actually allowed foreigners to steal the peoples' money and get away with it.

Foreigners like:
-Tarek Essam Ahmad Obaid (Saudi and Swiss national)
-Prince Turki bin Abdullah Al Saud (son of the late Saudi King) (Saudi national)
-Mohamed Ahmed Badawy Al-Husseiny (US national)
-Khadem Abdulla Al Quibaisi (UAE national)
-Patrick Mahony (UK national)
-Jens Fred Sturzenegger (Swiss national)
-Yeo Jiawei (Singaporean national)
-Yvonne Seah Yew Foong (Singapore national)
-Yak Yew Chee (Singapore national)
-Seet Li Lin (Singapore national)

He doesn't even seem interested to get the money back or go after these foreigners. he actually tried to cover-up these foreigners' crimes. now that is destabilising the Malaysian economy. that is actually treason by him.

He just lets the Rakyat bear the burden of the billions of dollars taken by these foreigners and also billions of dollars worth of assets frozen by other countries law enforcement agencies go unclaimed