A Returner’s Successful Investment Method - Chapter 653



Only Krnovel

Episode 653. malay scandal (14)

Lloyd Dimon, Chairman of Richman Sachs.

When you become the chairman of a global investment bank with over 30,000 employees and offices around the world, there are many things you need to take care of.

Even though only important work was done, the weekly working hours exceeded 100 hours.

Therefore, all the most work was left to the working-level staff, and only the final report was received.

However, the response to the Continue Capital Report was different.

Chairman Lloyd Dimon put aside other matters and took care of even the smallest details.

This meant that they were taking the situation seriously.

Richman Sachs actively refuted Continue Capital’s report and conducted an internal investigation.

Chairman Lloyd Dimon received a report from President Damian Isla.

“Regarding 1IDB, it has been confirmed that 12 current and former executives received entertainment and lobbying from Ming Liu on several occasions. “It looks like Ricky Joe arranged a meeting in the middle.”

Chairman Lloyd Dimon frowned.

“Ricky Joe? Former Deputy Governor of Singapore?”

“That’s right.”

Through him, Ming Liu was introduced to current and former Richman Sachs executives, and invited them to his yacht to entertain them.

Chairman Lloyd Dimon sighed.

“How much did you get?”

“They don’t reveal exactly, but it seems like they received more than $1 million worth of money and valuables per person.”

“These guys… … .”

It is common to go back and forth between entertaining and lobbying in bond issuances and IPOs.

This entertainment goes both ways.

If a company is expected to hit the jackpot once it is listed, financial companies lobby, and if the company is disappointed, the company lobbies against financial companies.

Although receiving bribes may result in disciplinary action, it is not that big of a problem.

‘Is the real problem 1IDB’s investment?’

The $7 billion received from bond sales went into the 1IDB investment account opened at Richman Sachs.

“How much is left there now?”

“There is $320 million remaining.”

“rest of it?”

“It was withdrawn through Ming Liu’s personal account.”

“… … what?”

1IDB is a state-owned investment company established by the Malaysian government for overseas investment.

If $7 billion is raised by issuing bonds, it is normal to use this money to buy bonds or stocks.

If not, you should at least have it in a CMA or MMF.

‘But all this money was transferred to a personal account?’

That money is the property of 1IDB.

No matter how large a shareholder or company representative he is, it is impossible to recklessly withdraw corporate money and spend it. However, Ming Liu took this as if it were personal money.

“How is that possible?”

President Damian Isla said with a puzzled expression.

“I don’t know, but… … “It seems like it was created that way from the time the account was opened.”

What’s even more absurd is that Ming Liu is merely an investment advisor at 1IDB and has no official title.

“Some of it remained in Ming Liu’s personal account, but a significant amount was transferred to Malaysia and China via Hong Kong and Singapore.”

“… … .”

In any case, if this money was used for investment, there is no problem.

But what if it doesn’t?

Chairman Lloyd Dimon’s expression hardened.

In an instant, a strange feeling swept over my body.

‘How many times have you felt this way in your life?’

The last of these was when Richman Sachs was on the verge of bankruptcy due to the global financial crisis.

Chairman Lloyd Dimon said with a trembling voice.

“Everyone, track 1IDB’s fund flow right now!”

* * *

[Richman Sachs treasury stock purchase announcement!]

[Richman Sachs suggests strong response to short selling!]

[Continue Capital plans to release additional related reports… … .]

[Investment experts, there is no problem with Richman Sachs fundamentals… … .]

Continue Capital’s attack on Richman Sachs was a huge news story.

It was no different from a competition between the world’s most famous financial companies.

Articles poured out every day, and related news made the main news.

People who called themselves investment experts appeared on TV and argued, and on Wall Street, whenever two or more people gathered together, they had a conversation about it.

“Making profits by plummeting stock prices in this way is a common method used by Continue Capital.”

“But this time, our opponent is Richman Sachs.”

“No matter how much Continue Capital is, Richman Sachs is unreasonable.”

“Is that really true? “It’s Continue Capital, not the others?”

“It’s interesting how it will end.”

The Internet also heated up.

Opinions on this matter were exchanged not only in the investment community but also in various communities.

Bet Neal turned on the broadcast.

Thanks to the Game Start incident, he became rich by over 100 million dollars and bought a nice house and a nice car.

But it still aired in the same way as before.

“Hey, Guys. You all know that Continue Capital is currently attacking Richman Sachs. It’s related to 1IDB, a Malaysian state-owned investment company… … Well, you can find more details in the article. Since no conclusion has been reached yet, I will reserve judgment. “The reason I turned on the broadcast today is because I wanted to say something about Richman Sachs.”

Originally, his ATube channel was a small channel with about 8,000 subscribers.

However, during the Game Start incident, it emerged as a leader among individual investors, and the number of subscribers increased to 3 million, and has now surpassed 5 million.

At this level, it would not be an exaggeration to say that he is the most famous individual investor in the world.

“I still remember what these guys did in 2008. As real estate prices began to rise, investment banks began lending to people with no income, no job, and no assets. These were called NINJA loans, and loans were given out indiscriminately, even to dead people and dogs. As a result, real estate prices soared like crazy, and financial companies made huge profits. But no asset rises forever. As buyers disappeared and real estate prices fell, these home mortgage loans became a huge lump of bad money. that’s right. This was the beginning of the global financial crisis. At that time, I also lost my job. And it took me over 10 years to get back on my feet.”

A message was posted in the chat window in an instant.

[At that time, my house was blown away, so I lived in the car with my family for a while.]

[The only financial company that went bankrupt at that time was Lehman Brothers. In reality, many healthy companies went bankrupt.]

[My father also lost his job at that time. I still clearly remember my father’s helpless crouching back.]

[It was truly a terrible time.]

Bet Neal spoke while drinking his beer comfortably, as if he were talking to a friend.

“As everyone knows, the global financial crisis was caused by the greed of large financial companies. At this time, Richman Sachs was on the verge of bankruptcy and urgently received a $10 billion bailout from the U.S. government. Not only that, they received $15 billion in CDS insurance premiums and borrowed $25 billion from the government using assets as collateral. By receiving $50 billion, we barely escaped bankruptcy. The reason that support was able to be provided so quickly was because the government officials who created and implemented the bailout policy were all from Richman Sachs. The really interesting thing happened the next year. Richman Sachs changed its fiscal year to January and made its financial statements in the black. And right away, a bonus party was held, and the people in charge were promoted all at once. Do you know what the CEO of Richman Sachs said at the time when people criticized this? He said right away, ‘We are doing God’s work.’ They shout loudly that if they fall, America will fall with them. “This is the reality of financial companies.”

[LOL If there is a profit, they make a party with the profit, and if there is a loss, they get a bailout and make a party.]

[With our money, we enrich ourselves and fill the pockets of the rich.]

[There were protests to Occupy Wall Street, but nothing changed.]

[So what exactly do you want to say?]

“If I were to sum it up in one word, it would be like this.”

Bet Neal raised both his fists and spread his middle fingers wide.

“Fucking Richman Socks!”

* * *

[(WST Exclusive) What is the whereabouts of 1IDB’s $7 billion?]

(strategy)

Prime Minister Binti Lime established 1IDB, a state-owned investment company, with the purpose of increasing the wealth of Malaysians through overseas investment.

The investment funds were raised by issuing bonds, and it was decided that Malaysia would repay the funds by selling oil in the future.

Bonds were issued through the United States, Hong Kong, and Singapore, with the largest amount, $7 billion, issued in the United States.

The publisher in charge of this publication is Richman Sachs.

1IDB is a company with no assets or collateral other than the name of a Malaysian state-owned investment company.

Therefore, the bond issuance process was also not easy.

In order to issue bonds worth as much as $7 billion, which are not short-term bills, one must pass strict regulations and approval procedures from financial authorities.

However, this problem was easily solved.

This is because there were people from Richman Sachs in the financial authorities.

All of the $7 billion worth of 1IDB bonds issued in that way were sold thanks to Malaysia’s credit rating and Richman Sachs’ sales power.

Richman Sachs earned at least $650 million in commissions through this one transaction, resulting in record-high profits for the quarter and a bonus feast for related executives.

(syncopation)

So where are 1IDB’s $7 billion worth of assets now?

Continue Capital claimed that the money would have disappeared without being used for investment.

CEO Lockhart said, ‘Richman Sachs neglected or provided assistance even though they were aware of this in advance.’

If this claim is true, the world’s largest investment bank issued bonds on its behalf and collected fees even though it knew that the funds would be misappropriated.

As it violates the Foreign Corrupt Practices Act (FCPA) and undermines the international financial system, it appears that Richman Sachs will find it difficult to avoid responsibility for this incident.

As additional reports and articles from Continue Capital raising questions about the whereabouts of 1IDB funds came out, many people expressed doubts.

-Where is 1IDB’s 7 billion dollars?

-Did someone steal it?

-This is similar to someone stealing money from a pension fund and spending it. That’s 7 billion dollars!

-Haha, does this make sense?

-Hey! I don’t think I’ll ever write a novel again.

-Richman Sachs didn’t steal anything, so why should they be held responsible?

-If you knew and pretended not to know, you have to take responsibility. Do you think they are taking the fees for nothing?

-Then, is Continue Capital’s claim correct?

-Even if I guess it’s true, don’t I just have to pay a small fine?

-LOL Will it really end with ‘a little’? Considering that Continue Capital is doing this, I think the amount is somewhat large.

-Continue Capital VS. Richman Sachs = A battle between two self-respecting geniuses!