YOURSAY ‘It sounds like a guarantee, looks like one, but is not a guarantee.’

1MDB support letter is legally binding

Kim Quek: Senior lawyer Tommy Thomas has given irrefutable evidence that the ‘letter of support’ issued by the Malaysian government in respect of the US$3 billion loan secured by 1MDB is an irrevocable guarantee for such a loan.

Thus Deputy Finance Minister Ahmad Maslan had obviously lied when he told Parliament that the guarantee provided by the government for 1MDB’s debts is only limited to RM5.8 billion.

Indeed, he should be referred to Parliament’s Rights and Privileges Committee for disciplinary action for spewing such falsehood.

Urkidding: Reading from the context, it is so clear that the letter of support is binding on the country of issuance. It is irrevocable. It undertakes to pay not only the principal sum, but also the accrued interest.

2Kali5: Regardless of what the law says on the letter of support, and whether it amounts to a guarantee, in the event of default, what would the commercial world say if the government of Malaysia refuses to make good?

As I see it, the rating agencies will downgrade our sovereign loans. Government securities and bonds, will be equated with 'junk bonds'. There is no way we can get out of it.

Myop101: Oh my. Our government has willingly given up sovereignty to a foreign court? That speaks volumes of this government, which preaches so much on defending the sovereignty of this country from a perceived invasion of this country by 'pendatang'.

Lee Hup: Tommy Thomas is a Pakatan Rakyat helping hand. How much money is being paid to him for publishing this statement?

As I can see, Pakatan is now desperate to use a professional like him to make the stupid statement in order to convince the public.

Mamba: The law is the law, Lee Hup, whether it is a Pakatan-leaning or Umno-leaning lawyer. When we as a nation are screwed, everybody will get drowned, and this is the greatest worry.

I definitely wish the letter of support is not legally binding. The fear is genuine. I am pondering whether to buy some foreign currency to safeguard myself.

Fair Play: Tommy Thomas, you just said it. All that matters here is form over substance in all their actions.

MPs accuse Anwar, Pua of 'misleading' House

Odysseus: Ahmad Maslan, there is no such thing as saying it in a jest. This is the Parliament, not a roadside restaurant where you can say anything and not be responsible for it.

You can take your time to explain the 1Malaysia Development Bhd (1MDB) support letter and its content. You should ask the House speaker to refer you to the rights committee and explain yourself there. Don't do it at the lounge. Not nice, lah .

James_3392: It sounds like a guarantee, looks like one, but is not a guarantee. Ahmad Maslan, if you said what senior lawyer VK Lingam had said, you would have got away with it.

Sea Wolf: The financial results for the full year up to March 2014 show that the value of 1MDB asset base increased to RM51.4 billion compared with RM44.6 billion a year earlier and total debts currently standing at RM41.9 billion compared with RM36.2 billion a year earlier.

Let’s say 1MDB has to pay all its debts, it still can save up to RM10 billion worth as assets with paid-up capital of RM1 million and it has only been around for five years, 1MDB has proved its capability to generate income for the country.

The opposition simply plays with technical terms to grab rakyat’s attention on Najib Abdul Razak's alleged bad governance. Slandering and lies are the opposition's way to win the next general election.

Anticonmen: Most Malaysians do not understand, or are not aware that they are being robbed by their own government. Just like most shareholders of public companies do not understand how they are robbed by the major shareholder and his or her appointees.

If someone were to raise issues of the fraud being perpetrated, most Malaysians are too naive or do not possess the financial knowledge to understand the methods used to con them, such as using corporate or sovereign guarantees to borrow, syphoning out of funds to third parties, over valuations, inflating assets, inflating sales, selling good assets at deflated prices, conflicts of interest in mergers and acquisition transactions, paying exorbitant consultancy fees, inflating listing share prices using inflated price-earnings ratios, inflated capitalisation rates, etc.

The con games are too sophisticated for suckers like some of the pro-establishment readers here to understand. As they say, "Ignorance is bliss."

Speaking sense: US$5 or US$10 billion of debt is something to joke about in Parliament? Rather, this deputy minister is a joke.

"I said there was no letter of support... (but) the letter of support exists." To me that is not a joke; it is an outright lie.

Maslan, there is no other option than to apologise and resign. We have had enough of your stale jokes.

Caripasal: Making a statement in Parliament is like giving testimony under oath in the court.

There is no turning back for whatever you said, or else we might as well elect a monkey to be MP. Perhaps the monkey can do better...

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