The prime minister had announced on Aug 1 that beginning Sept 1 the retail price of petrol will be streamlined and based on the average monthly market price of world crude oil with the government maintaining the subsidy rate at 30 sen per litre.
What happen to oil royalty for Sabah? Did Petronas explain why subsidy arises?
So who actually benefitted from this subsidy payout scheme?
If the amount is in the neighbourhood of RM 1 billion, then long term deposit with a commercial bank, Pos Malaysia or indirectly, ECM Libra would have made RM 39 million per annum or RM 106, 849.32 daily.
That is not including the management or services fee that Pos Malaysia charges the Government for this service. If the charge is just 1.0% of the amount, it means Pos Malaysia would have made RM 50 million per annum free income without incurring significant operations cost. If the pay out amount for the year is in multiples of RM 1 billion, then the profits will be realised will be on the same proportion.
That is definitely a great business model for the owners of ECM Libra, which include Riong Kali and Khairy Jamaluddin, two of PM 'Flip-Flop' Abdullah's closest advisers! related stories...the people's sufferings