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asked on Mar 18, 2016 at 14:32
by   Anonymous
edited on Mar 30, 2016 at 02:38
 
Retrenchments hit five-year high!

KUALA LUMPUR, March 18 — The highest number of retrenchments within a five-year span was recorded last year, according to the Human Resources Ministry, with 38,499  layoffs across all sectors.

In a written reply to Tan Kok Wai (DAP-Cheras), the ministry said the manufacturing sector had the highest number of retrenchments over the last three years.

The highest number of retrenchments was recorded in 2007 (42,336), 2008 (47,145) and 2009 (64,516).

It said retrenchments could be categorised into ordinary layoffs and through the voluntary separation scheme (VSS).

Workers who are laid off will be paid according to the Employment Act 1955 or their collective agreement, the statement said.

Tan had asked the ministry to provide a breakdown of the number of workers retrenched by the various sectors in the last three years, following the economic downturn and oversupply of workers and its strategies to amend the nation’s human resources policy.

In January this year, 5,009 workers were retrenched compared to November (9,986) and December (5,758) last year.

The reduction in the number of layoffs shows the economy is getting stronger compared to the previous year although the current impact of the economic downturn is in its early stages, it added.

READ MORE: https://sg.news.yahoo.com/retrenchments-hit-five-high-says-ministry-234400948.html
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answered on Mar 4, 2016 at 06:50
by   Anonymous
edited Mar 30, 2016 at 05:41
 
Malaysians most indebted in Asia, says Manulife survey!

The average debt for Malaysians was RM56,000, which is nearly 10 times the average monthly personal income, mostly due to daily living expenses (60 percent), with rental payments (44 percent) and children’s education (37 percent).

READ MORE: https://www.malaysiakini.com/news/332549
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answered on Mar 18, 2016 at 02:24
by   Anonymous
edited Mar 30, 2016 at 02:46
 
235,908 individual declared bankrupt as of October: DG

KOTA KINABALU: As of October this year, a total of 235,908 individuals were declare bankrupt in the country, said the Director-General of Insolvency Department Datuk Abdul Karim Abdul Jalil.

He said based on the records of the Malaysian Insolvency Department, the main causes for bankruptcy were hire-purchase agreements (26 per cent), followed by personal loans (21 per cent), housing loans (14 per cent) and other loans including business loans and corporate guarantees.

"This places Malaysia among the countries with a large number of bankruptcies compared to the other countries, with an average of 41 individuals declared bankrupt each day," he said.

Between 2005 and October this year, a total of 14,000 cases were discharged of bankruptcy at the discretion of the Director-General of the Department of Insolvency, Abdul Karim told reporters after opening the dialogue on insolvency at the Federal Administration Complex in Likas, here, Tuesday.

The discretion refers to the bankrupt individual paying back the loan on installments continuously for more than five years and that they offered close cooperation with the Department of Insolvency.

Abdul Karim said the Government was reviewing the Malaysian Bankruptcy Act 1967 in efforts to assist those who were declared bankrupt to continue....



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answered on Mar 18, 2016 at 04:23
by   Anonymous
edited Mar 30, 2016 at 20:08
 
"Unsecured" debts

If you can’t pay all of your debts, consider not paying off one of your so-called “unsecured debts,” which are debts like a hospital or credit card bill that aren’t backed by an asset, says Andrew Schrage, founder of personal finance site MoneyCrashers.com. The reason: When you don’t pay a “secured debt” (like a car loan), which is backed by an asset (your car), you can lose the asset since the bank can repossess it, but in the case of your “unsecured debt,” there is no asset to lose.

Three(3) Debts to Consider Not Paying Off!

READ MORE: http://www.forbes.com/sites/cateyhill/2012/06/06/3-debts-to-consider-not-paying-off/#5d5e9c4781e7
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answered on Mar 30, 2016 at 03:18
by   kiki
edited Mar 30, 2016 at 05:44
 
Between 2005 and October this year, a total of 14,000 cases were discharged of bankruptcy at the discretion of the Director-General of the Department of Insolvency..
The discretion refers to the bankrupt individual paying back the loan on installments continuously for more than five years and that they offered close cooperation with the Department of Insolvency.

Just highlighting a point to note.
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answered on Jun 1, 2016 at 19:03
by   Anonymous
Wednesday, 1 June 2016

(www.thestar.com.my/news/nation/2016/06/01/lavish-living-making-more-grads-bankrupt/)

Lavish living making more grads bankrupt

KUALA TERENGGANU: More graduates are heading down the path to bankruptcy with their lavish lifestyles, according to the Credit Counselling and Debt Management Agency.

Sounding the credit alarm, its chief executive officer Azaddin Ngah Tasir said there were graduates who did not hesitate to swipe their credit cards to sustain living beyond their means, often buying the latest gadgets, cars, trendy clothing and flying off on holidays.

“Having just graduated and found a job, the generation aged below 30 embarks on a lavish lifestyle to keep up with peers.

"Such a journey without proper financial management only leads to massive debt, and eventual bankruptcy," he said after signing a memorandum of understanding with Universiti Sultan Zainal Abidin here yesterday.

The agency, set up in 2006 to help individuals take control of their financial situation and promote the wise use of credit, will coach students on proper financial management.

Azaddin said that as of April 30 this year, 15% of the 429,588 clients seeking advice from the agency were aged between 20 and 30.

He said 75% of them earned below RM4,000 monthly, and about 52% did not know how to manage their finances.

"However, only 150,706 persons attended the credit management programme."

"Of these, about 80% of individuals repaid their debts after it was restructured by the agency," he said, adding that the others failed due to "lack of discipline and resolve".

Azaddin said credit card debts made up the bulk of cases at 70%, while the rest involved personal loans (15%), and car and housing loans (6%).

Elaborating on the agency’s success, he said as of the end of April, it had managed to "rescue" 10,197 of its clients from bankruptcy after they paid off debts totalling RM416.7mil.
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answered on Jun 23, 2016 at 19:39
by   Anonymous
FMT

Joe Fernandez | June 22, 2016

Iconic 1Borneo Hyper Mall owner risks being wound up

Judicial Commissioner Douglas Cristo Primus Sikayun rules that Sagajuta (Sabah) Sdn Bhd is insolvent after hearing the arguments of all stakeholders, including the Inland Revenue Board, which is claiming RM8.5 million in tax arrears.

KOTA KINABALU: Sagajuta (Sabah) Sdn Bhd, the owner of the iconic 1Borneo Hyper Mall, risks being wound up.

This comes after the High Court accepted the Inland Revenue Board’s (IRB) application to wind up the company, which also owns the 1Borneo Condominiums and hotel, Warisan Square and the 1Sulaman Condominiums.

1Sulaman has been abandoned since 2011. The project, started in 2009, was to have been completed in 2012.

IRB is claiming RM8,589,950.75 in tax arrears as per a winding-up petition advertised in the Daily Express and Overseas Chinese Daily News on Feb 25 and 26 this year.

Judicial Commissioner Douglas Cristo Primus Sikayun ruled that Sagajuta was insolvent after hearing the arguments of all stakeholders.

IRB lawyers Afidah Nor Ariffin and Noor Faizah Talip argued that if it was true that Sagajuta owned a lot of assets, it should be able to pay its taxes and debts due promptly.

They were objecting to counsel Norbett Yap and Eow Ei Pei, representing Sagajuta, asking for a postponement of the order in terms of the winding-up petition on the grounds that the IRB had rejected the company’s appeal for a reduction in the tax and penalty rate.

The company’s lawyers also informed the court that it was in the process of disposing of some high-value assets to pay IRB and others, but this would take some time.

According to the facts of the case, IRB commenced its legal action against Sagajuta on Oct 3, 2013 with a summons and a statement of claim for RM28,351,418.65 being arrears in taxes for the years 2005 to 2010 and re-assessed tax penalty amounting to RM7,679,516.25.

1Borneo Hyper Mall, the largest of its kind in Borneo, is just 7km from Kota Kinabalu city and 13km from the Kota Kinabalu International Airport...

Read the rest of the story: www.freemalaysiatoday.com/category/nation/2016/06/22/iconic-1borneo-hyper-mall-owner-risks-being-wound-up/
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answered on Sep 9, 2016 at 05:39
by   jeff005
Letter to the STAR Online ~ Thursday, 8 September 2016. 

A kinder hand for bankrupts! 

I WOULD like to support the views expressed by Ho Wah Foon in the article “Amend bankruptcy law quick” (The Star, Sept 5). She, quite rightly, stated that the Bankruptcy Act 1967 “is long overdue for a proper overhaul to turn it into a fair and humane piece of legislation”. 

The current law is a piece of outdated and punitive legislation that is biased in favour of creditors and financial institutions. Our politicians have been promising to change the law for many years now but have not done so purely because of the pressure and lobbying from the banks. 

I would go further to say that while companies and banks are given protection by law to wind up and start again afresh, the same second chance is not given to individuals. 

Bankruptcy in Malaysia for many is a death sentence. Even criminal offenders are released after they have served their sentence and given a chance to rehabilitate. 

The same principles do not apply in bankruptcy. Once you are made a bankrupt, you are forever at the mercy of your creditors. 

The law as it stands is a strong disincentive to entrepreneurship and enterprise, because if you fail, it’s game over for life. 

Therefore, it’s a paradox to say on the one hand that you are encouraging innovation and enterprise and on the other punishing harshly those who fail in their endeavours. 

The stigma of being a bankrupt for many is a crushing blow. It’s like tying a man’s hands, throwing him into the river and telling him to swim. 

Once a person is bankrupt, they are denied the opportunity to do any business. They are not allowed to set up a business or partnership, or be a director in companies. 

They cannot operate current accounts and are allowed only a savings account. Their passports are compounded and they are barred from travelling overseas without the permission of Insolvency Department. 

They are made a pariah of the business world and yet there is an expectation for them to earn money and repay their debts. 

I believe that the Malaysian Department of Insolvency has suggested many amendments to the current law. 

Our Prime Minister, Datuk Seri Najib Tun Razak, acknowledged the need for the reform of our bankruptcy laws during his winding up speech on the last day of the 2012 Umno General Assembly, where he said the Government would come up with new legislation because the current bankruptcy laws are too strict. 

This promise was reiterated in Oct 2014 by Minister in the Prime Minister’s Department Nancy Shukri and other ministers but there is a lack of political will to do anything about it because of the strong pressure from the banks. If the Government really believes in giving people a second chance, they should act now to correct this miscarriage of justice. 

As the writer states quite rightly, “the present law is unfairly skewed towards creditors, especially financial institutions”. 

Our legal system has a nineteenth century feel of the industrial period in the United Kingdom. Their legal systems have evolved to confer a lot of protection on individuals and consumers but we have been slow to do so. 

It’s time to act on the Bankruptcy Act to make it into a reasonable and humane legislation. 

In doing so, the interests of all parties – not just the creditors – should be taken into consideration. 

I’m not saying that people who are indebted should not be made accountable for their debts but there is a need to strike a balance between the need to hold bankrupts accountable and allowing them to have the opportunity to make a fresh start in their financial affairs after a reasonable period of time. 

Our lawmakers should have the courage to change the law to make it more just, like many other countries have. 

In Australia, bankruptcies normally end after three years. In Canada, a debtor can file a consumer proposal as an alternative to bankruptcy. This is a negotiated settlement to make monthly payments for a maximum of five years. 

In England, a bankruptcy usually does not last longer than one year. Closer to home in Singapore, they have changed the bankruptcy law so that a first-time bankrupt can be discharged in three years. 

His name will also be removed from public records five years from the date of his discharge. These are countries that have seen the folly in the old law and who have taken a more progressive approach. 

I urge our lawmakers to do the same and act immediately and bring Malaysia out of the dark ages of unbridled capitalism. Please give bankrupts the second chance at living the life of dignity that everyone deserves. 

JUSTICE FOR BANKRUPTS 
Kuala Lumpur 

SOURCE: http://www.thestar.com.my/opinion/letters/2016/09/08/a-kinder-hand-for-bankrupts/
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answered on Sep 9, 2016 at 05:49
by   Justice for Bankrupts
Letter to the STAR Online ~ Thursday, 8 September 2016.

A kinder hand for bankrupts!

I WOULD like to support the views expressed by Ho Wah Foon in the article “Amend bankruptcy law quick” (The Star, Sept 5). She, quite rightly, stated that the Bankruptcy Act 1967 “is long overdue for a proper overhaul to turn it into a fair and humane piece of legislation”.

The current law is a piece of outdated and punitive legislation that is biased in favour of creditors and financial institutions. Our politicians have been promising to change the law for many years now but have not done so purely because of the pressure and lobbying from the banks.

I would go further to say that while companies and banks are given protection by law to wind up and start again afresh, the same second chance is not given to individuals.

Bankruptcy in Malaysia for many is a death sentence. Even criminal offenders are released after they have served their sentence and given a chance to rehabilitate.

The same principles do not apply in bankruptcy. Once you are made a bankrupt, you are forever at the mercy of your creditors.

The law as it stands is a strong disincentive to entrepreneurship and enterprise, because if you fail, it’s game over for life.

Therefore, it’s a paradox to say on the one hand that you are encouraging innovation and enterprise and on the other punishing harshly those who fail in their endeavours.

The stigma of being a bankrupt for many is a crushing blow. It’s like tying a man’s hands, throwing him into the river and telling him to swim.

Once a person is bankrupt, they are denied the opportunity to do any business. They are not allowed to set up a business or partnership, or be a director in companies.

They cannot operate current accounts and are allowed only a savings account. Their passports are compounded and they are barred from travelling overseas without the permission of Insolvency Department.

They are made a pariah of the business world and yet there is an expectation for them to earn money and repay their debts.

I believe that the Malaysian Department of Insolvency has suggested many amendments to the current law.

Our Prime Minister, Datuk Seri Najib Tun Razak, acknowledged the need for the reform of our bankruptcy laws during his winding up speech on the last day of the 2012 Umno General Assembly, where he said the Government would come up with new legislation because the current bankruptcy laws are too strict.

This promise was reiterated in Oct 2014 by Minister in the Prime Minister’s Department Nancy Shukri and other ministers but there is a lack of political will to do anything about it because of the strong pressure from the banks. If the Government really believes in giving people a second chance, they should act now to correct this miscarriage of justice.

As the writer states quite rightly, “the present law is unfairly skewed towards creditors, especially financial institutions”.

Our legal system has a nineteenth century feel of the industrial period in the United Kingdom. Their legal systems have evolved to confer a lot of protection on individuals and consumers but we have been slow to do so.

It’s time to act on the Bankruptcy Act to make it into a reasonable and humane legislation.

In doing so, the interests of all parties – not just the creditors – should be taken into consideration.

I’m not saying that people who are indebted should not be made accountable for their debts but there is a need to strike a balance between the need to hold bankrupts accountable and allowing them to have the opportunity to make a fresh start in their financial affairs after a reasonable period of time.

Our lawmakers should have the courage to change the law to make it more just, like many other countries have.

In Australia, bankruptcies normally end after three years. In Canada, a debtor can file a consumer proposal as an alternative to bankruptcy. This is a negotiated settlement to make monthly payments for a maximum of five years.

In England, a bankruptcy usually does not last longer than one year. Closer to home in Singapore, they have changed the bankruptcy law so that a first-time bankrupt can be discharged in three years.

His name will also be removed from public records five years from the date of his discharge. These are countries that have seen the folly in the old law and who have taken a more progressive approach.

I urge our lawmakers to do the same and act immediately and bring Malaysia out of the dark ages of unbridled capitalism. Please give bankrupts the second chance at living the life of dignity that everyone deserves.

JUSTICE FOR BANKRUPTS
Kuala Lumpur

SOURCE: http://www.thestar.com.my/opinion/letters/2016/09/08/a-kinder-hand-for-bankrupts/
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answered on Sep 12, 2016 at 06:16
by   DatukNaga
edited Sep 15, 2016 at 18:21
 
Kepada Kerajaan Malaysia,

Kerajaan Malaysia yang terlalu memberi kuasa kepada bank menjadi penyebab kepada pengurusan tidak sempurna. Bank ialah punca utama seseorang individu menjadi ‘bankruptcy‘ atau muflis.

Bank-bank di Malaysia boleh mengenakan caj dengan kadar faedah yang tinggi dan sesuka hati kalau masa anda tidak keupayaan membayar insuran bulanan. Ia tidak adil dan mangsa tidak dapat berbuat apa-apa sehingga anda muflis. Malaysia kita tidak ada jabatan yang boleh membantu anda pada masa tersebut.

Ia hanya menyebabkan bankruptcy meningkat saja tahun ke tahun. Tambahan pula bankruptcy laws di Malaysia akan menghukum seseorang muflis sampai boleh memusnahkan hidup seseorang. Dengan AKTA KEBANKRAPAN 1967, kita sangat jelas, ini kebanyakan disebabkan oleh kuasa bank yang keterlaluan.

Bankruptcy laws di Malaysia memang boleh menyebabkan seseorang muflis dan melambatkan muflis untuk hidup semula. Di dalam undang-undang muflis, ada banyak syarat yang mengikat si muflis seperti tidak boleh berniaga sendiri, tidak boleh terima wang lebih RM500 dari orang lain (dikehendaki melapor kpd Jabatan Insolvensi Malaysia), tidak boleh keluar luar negara bekerja (pasport disekat), tidak dapat memegang jawatan tinggi di syarikat dan lain-lain. Ini semua memang akan menyekat seseorang muflis mendapat wang untuk pelepasan.

Harap kerajaan kita sedar dan tidak membunuh masa depan seseorang muflis di Malaysia ini dan tidak membunuh sesama sendiri. Bankruptcy yang meningkat boleh diselesaikan jika Akta Kebankrapan 1967 boleh berubah mengikut masa sekarang, bukan akta kampung yang dulu. Untuk menjatuhkan seseorang menjadi bankrap hutangnya kalau melebihi RM150,000 ke atas. Harap juga yg telah dilaporkan bankrap pada masa sekarang akan dilepaskan secepat mungkin jika hutang tidak melebihi RM150,000. Inilah yang sempurna dan sesuai untuk masa kini.

Kerajaan Malaysia memang kena mempertimbangkan seseorang yang telah jatuh bankrap kalau hutang tidak melebihi RM150,000 atau RM100,000 patut diberi peluang untuk pelepasan automatik pada awal tahun 2015 ini. Ianya sangat jelas, yang telah difailkan bankrupcy, akhir hutang akan ditambah oleh pihak bank dan hantar kepada Jabatan Insolvensi Malaysia (JIM).

Kalau seseorang dijatuhkan bankrap dengan jumlah hutang yang tinggi, mungkin dia ada niat untuk mendapat manfaat dari pihak bank atau kerajaan kita. Akhirnya saya sebagai wakil pihak muflis harap Kerajaan Malaysia kita dapat mempertimbangkan isu isu seperti ini.
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answered on Oct 28, 2016 at 16:47
by   Protector
Azalina: Bankruptcy law changes to reduce debtors’ burden

27 October 2016

KUALA LUMPUR: The government intends to propose more protection for debtors in its amendments to the Bankruptcy Act 1967.

Two major provisions the government is seeking to amend are to reduce the number of years before a bankrupt could apply for a court discharge from five year to three years and to increase the maximum threshold from RM30,000 to RM50,000.

Minister in the Prime Minister's Department Datuk Seri Azalina Othman Said told theSun that the draft bill will be tabled to the Cabinet next week.

She said currently the law allows a bankrupt to apply for a court discharge only if five years have lapsed from the date the bankruptcy order was made and that too is subject to the creditors' objection.

The government is proposing for an automatic discharge after three years of being declared bankrupt.

"Upon filing the statement of affairs, a person declared bankrupt can be discharged after three years so that they can start a new life," Azalina said.

This is because the Insolvency Department does not want the cases to be administered for too long as it will not serve any purpose or benefit any party.

The government's proposal takes into consideration the use of public funds wisely in the cost of administering the cases while saving human resource costs in the department.

"It will not bring any benefit, the person may not be able to pay the debts even after five years. Most of the time bankrupts will not have anything to pay.

"So after they are discharged, the creditors who want to give financial assistance will be more cautious," Azalina said.

This is practised by Singapore in order to not waste public funds.

"Currently the threshold is RM30,000. If a person's debts exceed RM30,000, they would be declared bankrupt but the government wants to propose to increase the threshold to RM50,000.

"This will give protection to the people and the proposal is more debtor-centric," she said.

Full News: http://www.thesundaily.my/news/2041378
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