Illegal Deposit-Taking

Looks like another form of scam in this hard times. One of my friend even was so convinced that this was a legal business that she joined in as a marketer for them and had made sales close to a million. She was trying to complete the 1 million dollar target as that would have earned her 1 thousand dollar every month in passive income alone.

Bank Negara team swings into action against Bestino Group

By LOURDES CHARLES

KUALA LUMPUR: Bank Negara has frozen the assets of Bestino Group Berhad, pending investigations into its alleged illegal deposit-taking and issuance of redeemable preference shares.

It is learnt that a task force had begun a full investigation into the company and its related activities following reports that Bestino had issued preference shares worth more than RM300mil to investors.

Sources said the authorities were investigating if the company had other branches besides those in Ipoh and Petaling Jaya.

It is learnt that investors were initially given gold bars with the face value equivalent to the amount invested.

However, they claimed that after several months of investing with Bestino, they were told by the company that Bank Negara did not allow the company to collect more than RM500mil in cash.

An investor, who declined to be identified, said that when he invested with the company in 2006, he was given gold bars with the face value equivalent to the amount invested.

However, he said those who wanted to invest in April last year were issued redeemable preference shares with a promised return of 3% per month.

source : http://thestar.com.my/news/story.asp?file=/2009/6/18/nation/4142281&sec=nation

Economic crunch hits docs and patients

As I was just discussing with my dad about one other effect that the economic crunch would likely have, this article published in the Star came in a timely manner for me to post it here. All this while I had thought that the medical profession was a 'retrenchment-proof' job and you were considered safe if you had the word 'Dr' in front of your name. The article below tells us otherwise.

Tuesday March 31, 2009

By FOONG PEK YEE

pekyee@thestar.com.my

KUALA LUMPUR: The economic slowdown is biting hard even in the medical profession, causing keen competition in government clinics, with private practitioners also scrambling to get a share of overtime payments.

Several government clinics are now operating much longer, up to 9.30pm daily, with doctors manning them paid RM80 an hour in overtime payments.

Health Minister Datuk Seri Liow Tiong Lai, who acknowledged the keen competition going on between government and private doctors for overtime payments, said:

“Many doctors, irrespective of whether they are in the government or private sector, are very keen to earn extra income these days.”

Liow said that to cater to the increasing number of patients seeking treatment at government clinics, the number of clinics providing outpatient treatment would be increased from 16 to 31 soon.

Besides these clinics, he said 59 hospitals were also providing similar treatment after office hours.

Patients pay RM1 each for outpatient treatment at government clinics, which record more than 50 million such visits annually.

With private practitioners charging at least RM15 per visit and with the economic slowdown causing people to tighten their belts, more and more patients are heading to government clinics.

“With more people seeking treatment at government clinics, opening up more such clinics between 5pm and 9.30pm will make it more accessible, especially for those who are working,’’ Liow said in an interview.

The minister said he had received feedback from private doctors on poor business in their clinics due to the economic slowdown.

On allegations that government doctors were being favoured over private practitioners to work overtime in the government clinics, he said:

“The faster approval for government doctors could be due to the fact that their credentials are readily available for checking.”

“As for the private doctors, it may take longer to verify them,’’ he said, adding that all doctors applied for the overtime online.

Boycotting American Products

In almost all Muslim countries, the collective cry to stop the war against the innocents in Palestine is heard. Some countries, if not all of them, even went to the extent of boycotting Israeli/Jewish/ American products. Yes, products like McDonald's, Nokia, Coca Cola and Starbucks Coffee!

Don't get me wrong. I'm all against war and especially if it is affecting innocent women and children. But this? Leaders of countries calling for a boycott of products from those countries? I don't think so.. In fact, I feel that those 'leaders' are on their way to successfully create a worse situation of an economic downturn.

Stopping me from going to Starbucks or McDonald's would not redirect me to any other local stalls. Instead, I'm going to tighten my wallet. And if this actually happens, won't there be lesser money being circulated in the market? And therefore forcing the economic situation to take for the worse? Wrong timing/situation for personal finance education???

If things are headed the way it is, 2009 isn't going to be any better and if those leaders out there are not thinking about having a solution to this financial turmoil we are facing and instead taking actions based on their emotions. Leaders should not try to make use of this situation to gain cheap publicity and for their own political gains. I'm sure all of us want peace and there are other ways to end this problem. Don't you all agree?