🚨 Housekeeping: Tomorrow, keep an eye out for a major announcement. Some of you will be fine with it, others may not take it as well, but it’s something I need to do.
And, no, I’m not giving away equity, selling the brand, or bringing in an investor — the typical knee-jerk moves my media peers seem all too happy to make.
Selamat Hari Merdeka, Malaya.
While the peninsula part of Malaysia marks independence1, today’s piece takes a different tack.
It was sparked by a thought I had while discussing Penang: what if the country’s second-wealthiest state was built on a giant Ponzi scheme?
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Penang is home to millionaires (real or imagined) who somehow get suckered into Ponzi schemes, money games and scams.
The biggest of them all is the MBI scandal. Once thought buried after raids and court action a few years back, it has resurfaced following the extradition of its architect, Tedy Teow Wooi Huat, to China.
Police investigations are now under way in Malaysia, with several corporate figures linked to Teow and assisting enquiries.
The fraudster and his associates allegedly siphoned RM30 billion, of which only RM6.6 billion has been recovered.
The scandal’s revival has certainly unsettled Corporate Malaysia, particularly the local Chinese business community in Penang.
These developments have cast both a spotlight and a shadow over what might have truly fuelled one of Malaysia’s economic powerhouses, with far-reaching implications.
Today’s newsletter breaks down the Ponzi scheme, the corporates and firms caught up in it, and insider reactions and expectations.