Time to Nationalize DBS and POSB

As in the case of SMRT, perhaps we should also nationalise DBS/POSB as well, as they are proven now to be run be incompetent foreign talents. Next best thing to do is to take them private, so that at least the shits are kept behind closed doors. What we don't understand is why MAS Continue to Screw Up In Spite of "Top" Foreign Talent In-Charge.

These 2 Banks, DBS & PosB, are exploiting every loophole they can find to reduce cost even if it inconveniences its customers, like cutting down on ATM machines and payment kiosks, causing long queues and inconveniences to ordinary low income customers. They also cut jobs readily, at the expense of Singaporeans' rice bowls. But they have no issue paying out to and receiving millions from scams like 1MDB.

Singapore’s regulatory chief vowed stronger action to address the reputational damage caused by anti-money laundering lapses at banks in the city linked to the troubled state investment fund 1Malaysia Development Bhd.

The shortcomings uncovered by the Monetary Authority of Singapore’s more than 15-month probes into fund flows linked to 1MDB are “simply unacceptable” and the city’s reputation has “taken a dent” as a result, the central bank’s Managing Director Ravi Menon said at a press briefing Monday.

“We may not be any worse than other jurisdictions,” Menon said. “But that is no consolation. We have not met the high standards we have set for ourselves.”

In a statement last Thursday, the MAS rebuked UBS Group AG, DBS Group Holdings Ltd. and two other banks for weaknesses in anti-money laundering controls related to transactions tied to 1MDB. MAS is still examining “certain other” financial institutions, it said without naming them, adding that details will be provided as it continues investigations that began in March 2015.

That statement was the latest twist in an evolving scandal centered on a fund set up in 2009 to bolster the Malaysian economy, and came two months after MAS said it will revoke BSI Bank Ltd.’s license for breaching money-laundering rules. Allegations that billions of dollars have been improperly siphoned out of 1MDB have led to investigations across the globe -- spanning from Abu Dhabi, Switzerland, and the Caribbean to Hong Kong and the U.S.

The Singaporean regulator won’t investigate 1MDB but intends to focus on transactions related to illicit flows at financial institutions, Menon said. While money laundering had become more sophisticated and more difficult to detect, the MAS saw no “systemic” issues with anti-money laundering controls, he said.

The regulatory chief pledged “stronger regulatory actions,” saying that the MAS will conduct “more intrusive inspections” of financial institutions identified as facing higher risks.

“We can do better,” Menon said. “MAS will further strengthen its enforcement capability to conduct rigorous investigations and to take swift and decisive actions.”

DBS posts $302m Q2 loss

Paying for past mistakes and abuses, the poor Indian FT CEO is placed there to be made scapegoat for some honest mistakes made by our selected genetically bred scholars.
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By Harsha Jethnani
DBS posted an unexpected $300 million loss in the second quarter after it took a $1.02 billion goodwill charge on its Hong Kong business. -- ST PHOTO: DESMOND FOO

DBS Bank, South-east Asia's biggest banking group, on Friday reported second-quarter losses of $302 million owing to a goodwill impairment charge of $1.02 billion for DBS Hong Kong.

The group had recorded $552 million in profits in the second quarter of last year.

Excluding the one-off impairment, earnings in the free months ending June were a healthy record-breaking $718 million.

The writedown is a legacy from 2001 when DBS took over Dao Heng bank in an expensive US$5.8 billion deal (S$7.9 billion).

DBS said there have been 'noticable and persistent strains' in wholesale funding markets, which is forcing banks to adjust their funding strategies.

Liquidity pressures and persistent strains in wholesale funding markets have increased the likelihood of interest margin compression for DBS Hong Kong. In conducting its six-monthly fair value test and adjusting earnings projections for 2010 to 2014 according to these pressing market conditions, the bank decided it was appropriate to take an impairment charge.

The charges will have no affect on operating performance or expansion plans, said DBS chief executive Piyush Gupta. He said at a results briefing on Friday that he does not anticipate further goodwill impairment charges.

Net interest income was four per cent down to $1.067 billion while net interest margin was down to 1.84 per cent from 2.01 per cent. More than half of the decline - six basis points - was due to a shift in the securities portfolio to higher-quality issues with lower yields, DBS said. Deposit costs were also higher due to competition for US dollar and Hong Kong dollar funding.

Non-interest income registered a positive 16 per cent growth to $748 million. The non-performing loans ratio fell to 2.3 per cent from 2.8 per cent and loans expanded nine per cent from demand by regional corporates and from draw-downs on housing loans in Singapore and Hong Kong.

Mr Gupta said on Friday that he was pleased with the quarter's results but added that it was unlikely for the momentum to continue to the second half of the year. Globally, economic growth rates are expected to slow down in the latter part of the year, he added. The chief executive also does not expect to see double-digit growth in loans.

DBS Chairman Sacked?

The minibond and High Notes mess, should be more than enough to send any Chairman for a long permanent vacation in 2008. The response came but 2 years late.

I would submit that it has now completely lost the leadership it had in its own home ground. BILLIONS AFTER BILLIONS AFTER BILLIONS OF DOLLARS WASTED ALREADY.

We have forgotten the billions of dollars of past mistakes: the POSB integration, the Dao Heng Bank goodwill write-off, Thai Danu Bank write-down, the Thai Military Bank fiasco, that Indian finance company that Rajan Raju messed up. The Bank of the Philippine Islands sitting on the shelf. That is why the current situation that the bank is in is completely untenable.

In our annual assessment for the various awards that we give to banks, we see data that suggests that DBS market share in a number of its core businesses is eroding very quickly. It’s ROA is falling, its market share especially in Hong Kong is falling. It’s really a business without a rudder.

I see in this tragedy that is DBS, the cushy, small minded, compliant microcosm that the Singaporean corporate scene has become today. This is NOT the country that is going to give rise to the global corporate giants of the future.

Objectively, I have no gripe with Mr Koh Boon Hwee personally. He is entitled to be anything he wants to be. My concern stems from DBS Bank finding itself in a position of being influenced by someone who, appointed as a non-executive chairman, engineeers his way to the most executives of roles without any experience.

If you take that journey that started in 1997 when the stated intention from the very top was to revamp Singapore's financial services sector, the comings and goings of John Olds, Jackson Tai, Philippe Paillart and several sundry others, shaped the scene for better or for worse.

At the very least, you would expect there to be someone, anyone, up there in the Singapore system who keeps track of the evolution of this very expensive asset of the country and who connects the dots, so that we don't keep building on mistake after mistake.

I am just saying that Mr Koh Boon Hwee, by virtue of his activist personality, his previous track record and the fact that he has no experience in the financial services industry raises alarm bells in me that tells me that he is not going to serve the future of this industry well.
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Peter Seah to take over as DBS chairman from May 1

SINGAPORE: DBS chairman Koh Boon Hwee is to step down on April 30, according to a statement from the lender. He will be replaced by a board member Peter Seah from May 1.

Mr Koh is a well-known corporate figure, who was formerly chairman of Singapore Airlines and Singapore Telecom. He was first appointed to the DBS boards in June 2005 and assumed the role of DBS chairman in January 2006.

DBS said Mr Koh steered DBS during a tumultuous time for the global financial industry, and is stepping down with the economy having turned the corner.

It said despite challenging economic conditions last year, DBS' strong customer franchise enabled the bank to report record full-year revenues and profit before allowances.

Mr Seah is no stranger to the banking world, having been a commercial banker for 33 years before retiring as vice-chairman and CEO of the former Overseas Union Bank in 2001. Under his watch, Mr Seah transformed OUB into a leader in consumer banking.

Most market watchers took the change in their stride, saying that the move is not likely to disrupt or derail DBS from its growth.

Analysts said Mr Seah's hands-on experience in running a bank will be an asset to DBS.

They suggested that the new chairman could focus on things like expanding the bank's loan-to-deposit ratio and growing its market position in Singapore, for instance, by leveraging on its POSB franchise to raise efficiency and provide a wider range of services.

Observers also expect Mr Seah to stick with the roadmap laid out recently by DBS CEO Piyush Gupta for the short term.

Mr Gupta had earlier said that the bank plans to expand its Asian footprint and garner more revenue from India and Southeast Asia, while keeping Singapore as its core market.

That said, analysts said they are waiting to hear from Mr Seah about his plans for the bank.

DBS Temasek's boy

From: Frankie Lee
Subject: DBS Temasek's boy

DBS bank/POSB is just like our National Bank.Although I dislike the
way they handle AWARE saga,but I couldn't help but notice Malaysians
as a whole really like them,and feature them in their Paper almost
daily on their stock markets,as though it is a sure win bet.

Our National assets are obviously tied into this Bank.I noticed quite
a number of folks here don't like them.

It is true with the backing of huge reserves and Temasek,and our
untold many billions backing,DBS is making mammoth by the tons in the
world's stage.

When the Lehman's saga begun,I notice their kindness in really
compensating those ignorant old folks,and for that loss they really
pay a price.No doubt it is pittance payout,but the after-bitter taste
still lingers among us.

I think it is good sense,and correct moral attitude to be a good
Singaporean by not continued bad mouthing what is our National pride.

I couldn't help but think that the Sand Casino here is belonging to
our Government,which almost owned all.If one thousand billionaire from
China,1000 from India,100 from neighboring countries,each contribute
to the coffers in our Gambling Dens,just by mere 20 millions USD each
in one year,that sum is humongous,and it is not without logics or
merits,as big Casinos in London and Macau raked in that huge sums
annually.

42 usd billions annually net profit?In five years,our National
Reserves should exceed I trillions USD.

And the above is only a conservative estimate.

Singapore is really making making unrighteous mammoth,by the gigantic
scale.

No wonder,real actual transacted prices of real estate here are now
hoovering at 1000 psf here.

Alas,what does a man profit if he gains the whole world but loses his
own soul?

DBS to be run by Indian Foreign Talent

Subject: DBS to be run by Indian Foreign Talent

DBS chief's mantra: Do everything

THE newly installed DBS Group Holdings' chief executive, Mr Piyush
Gupta, was in a reflective mood during one of his first public
appearances as head of South-east Asia's largest bank yesterday.

As he ruminated on his widely varied banking career, he hinted that
DBS staff might expect to be assigned a wider range of roles under his
leadership.

Speaking to a group of students, he warned of the limitations of
aspiring bankers aiming only for glamorous front office jobs.

To illustrate, he spoke of his professional journey and offered
personal insights into banking as a career.

'As a general rule, when I hire, I want people to have the capacity to
do a lot of different things,' he told tertiary students in a packed
auditorium at Singapore Management University. 'I hire people for (a
long-term) career, not for jobs.'

Mr Gupta, 49, a veteran Citibanker appointed as DBS CEO last month,
said young people wanting to work at banks often confine themselves to
the more glamorous front office roles such as investment banking and
corporate finance.

They eschew back office operations, such as accounting and payroll,
thinking these roles may be less interesting.

However, this is the wrong mentality, stressed the Indian-born banker,
a permanent resident here who has applied for Singapore citizenship.

He said that when he first graduated with a Master of Business
Administration degree from the Indian Institute of Management
Ahmedabad, he was given a back office role within Citi and wound up in
technology and operations for four years.

Rather than despair, he found plenty of opportunities to learn in
those roles.

'Working in operations and technology, you learn how things actually
work. To me, the experience was invaluable.'

He also recalled that he had worked at a small Citi branch at Kolkata
during the early stages of his career and had to juggle all sorts of
roles - from sitting at the teller counter to calling corporate
clients.

'It doesn't sound sexy, but the ability to allow you to connect the
dots is invaluable,' he said.

Mr Gupta, who has dabbled in a wide range of roles, from transaction
banking to corporate and consumer banking, praised firms where
employees are given the chance to move around within their
organisation.

'I've had 21 different roles in 28 years,' said Mr Gupta, who spent 27
years at Citi before leaving for DBS.

'In my previous company, you could move anywhere you want. So in my
current company, I hope that is something I can institute.'

He was part of a panel comprising high-powered financial executives
including ANZ Singapore's chief executive Bill Foo and OCBC Bank's
head of global treasury Lam Kun Kin.

Lion Global Investors chief executive Daniel Chan, a panel member,
said a humble attitude is very important for those entering the fund
management business.

'If somebody comes and says, 'I've got this degree or training and
know it all', that is a dangerous starting point.'

When hiring analysts and fund managers, Mr Chan looks for candidates
with a healthy dose of scepticism and a questioning mind, clear
thinking, an ability to work with numbers - and the art of good
communication.

'A lot of people don't communicate well or express their ideas
clearly. A lot don't write well either.'

DBS lend $1.8billion to Dubai World

From: "i.con"
Date: Tue, 1 Dec 2009 00:27:49 +0800
Local: Tues, Dec 1 2009 12:27 am
Subject: Re: DBS lend $1.8billion to Dubai World

Insurance companies will be worst hit.

"truth" wrote in message

> Another over a $billion down the black hole of Dubai.

DBS sued by angry customers over investment loss

SINGAPORE, July 10 (Reuters) - More than 200 customershave sued Singapore’s DBS Bank in a bid to recover investment losses arising from the collapse of U.S. investment bank Lehman Brothers.

Siraj Omar, a director at Premier Law, told Reuters on Friday his firm had filed a claim on behalf of 204 investors in a Singapore court. He declined to discuss the case or reveal the size of the claim, which according to the Straits Times newspaper was around S$17 million ($11.6 million).

The investors had purchased a callable basket of credit-linked notes, called High Notes 5, from DBS Bank, a unit of DBS Group, Omar said.


A DBS spokeswoman confirmed receipt of the claim. She said the suit was without merit and that DBS planned to contest the suit, which is the first involving the bank’s High Notes 5 product.

News of the lawsuit had almost no impact on shares of DBS Group, which were up 0.4 percent on Friday morning at S$11.58 in a generally flat stock market.

Financial institutions around the world have been hit by complaints and lawsuits arising from the sale of interest-bearing structured products linked to Lehman that paid higher interest rates than regular savings deposits.

For example, a class action suit was launched in November against UBS in the United States that alleged the Swiss bank had sold Lehman-linked notes as suitable for investors seeking to protect their principal investment.

News of the suit against DBS comes three days after Singapore’s central bank banned DBS and nine other firms from selling structured notes, citing various issues, such as their failure to adequately train the staff who sold such products.

According to a report released by the Monetary Authority of Singapore (MAS), DBS which received the shortest ban of six months, had sold over S$100 million worth of High Notes 5 to 1,083 investors that became worthless after Lehman’s collapse.

The bank has to-date paid about S$7.6 million in compensation, the central bank’s report said.

MAS said the failings identified in its investigations “do not automatically mean that the financial institutions are liable to individual investors.”

Hwang-DBS to start Cambodia bank ops soon

From: "wakaluk....@yahoo.com.sg"
Date: Mon, 29 Jun 2009 21:39:42 -0700 (PDT)
Local: Tues, Jun 30 2009 12:39 pm
Subject: Re: Hwang-DBS to start Cambodia bank ops soon

Malaysia hopes to fool Cambodians with DBS brand name .


> Published: 2009/06/29
> HWANG-DBS (Malaysia) Bhd (HDMB) is a step closer towards operating a
> commercial bank in Cambodia.

> HDMB said Cambodia's Minister of Commerce had on June 26 issued a
> certificate of incorporation of HwangDBS Commercial Bank Plc (HDCB)
> which is effective from June 19, 2009.

> As required by the National Bank of Cambodia, HDCB targets to start
> operations in Cambodia by July 31, subject to a final licence to be
> issued by the National Bank, HDMB said in announcement on Bursa
> Malaysia.

> HDCB is a wholly-owned subsidiary of the HDMB and will operate as a
> commercial bank in Cambodia.

> Currently, HDCB has an issued and paid-up capital of US$2 comprising
> two ordinary shares of par value US$1 each.

> The issued and paid-up capital of HDCB will be increased to US$20
> million, comprising 20 million ordinary shares of par value US$1 each,
> all to be issued to HDMB before the start of business operations. -
> Bernama