23.6.75

UMNO Call to review Internal Security Policy.

During the UMNO General Assembly, delegates, expressed concern over the increased terrorist activities of recent months and questioned the ability of the Home Affairs Ministry to handle the situation.

The Assembly heard a suggestion from Encik Saidin bin Hai Mat Mat Piah (perak) that a Cabinet Committee be formed to take over the functions of the Ministry.

Replying to criticisms against Tan Sri Ghazali Shafie as the Home Affairs Minister, Tun Razak said he had "the fullest confidence in him."

In replying to delegates who had discussed the question of security, Tan Sri Ghazali, who is a member of the Party's Supreme Council, rejected a suggestion that members of the Corps be given modern weapons instead of shotguns.

2.6.75

Right Decision to Build up Singapore Defence Says Goh.

The Deputy Prime Minister and Defence Minister, Dr Goh Keng Swee, yesterday said Singapore's decision to build up its defence was the right one in view of the recent collapse in Indochina.

He said that if that decision was not taken, Singapore would be in a weak unprepared state and confidence of businessmen and investors would be shaken if the decision had not been taken.

Singapore, he said, was fortunate in that the Republic was able to finance its defence buildup from two infantry battalions, consisting mostly of non-citizens, to the present state without additional taxes.

He said: "This was possible because the economy grew at a very rapid rate and government revenues increased even faster.

"While the financial burden was easily borne, the manpower requirement could be met only by introducing full time national service."

This meant Singapore's youths had to do compulsory two and a half years of soldiering. Those who intended to go for higher studies had to delay their plans by two years.

(In 1967, defence expenditure absorbed 7% of the national budget; by mid-1967, compulsory national service had been introduced; the allocation more than doubled to 16% in 1968; in the following year a quarter of the budget went to defence, and by 1970. the proportion had jumped to 33%. The island state, with some 2 million inhabitants, and barely a third of the area of Greater London, is spending an average of over $300 million annually on defence and internal security.

The process of militarisation was originally to serve a three-fold purpose in domestic and regional politics. It was a means towards nation building, towards creating a strong garrison with in a volatile region; it was a means of stabilising one of the strategic bases of foreign interest in South East Asia - ensuring the maintenance of 'an excellent back up facility 'for the United States presence in Indochina, and a staging post for Western penetration of Indonesia; finally, a strong military and paramilitary discipline in society is one way of guaranteeing the survival of a political elite and containing opposition.

The above purposes, with the exception of the role of Indochina, still remains true. Dr Goh would not dare to spell out the motivation for the build-up, of course, nor had he the guts to admit the very fact, that, for those intending to go for higher studies could go ahead if they could afford a $50,000 bond.)

FUEMSSO News Service 21.4.75 Foreign Tin Companies Profit Increases

Ayer Hitam Tin Dredging Ltd., incorporated in England, had a net profit of 815,000 pounds for the first half-year to 31 December, 1974, compared with a profit of 335,000 pounds in 1973. Another UK-incorporated Tin Company, Tronoh Tin Mines Ltd, had a net profit of 1,735,000 pounds in 1974 compared with 422,000 pounds in 1973. (Annual Company Reports). All these profits - in the form of capital generated and dividends payable - are repatriated to UK. Yet the former UK Chancellor of the Exchequer, Lord Anthony Barber stated that foreign investments would continue to flow into this country as long as the [Malayasian] government provided clear policy guidelines and encouragement to overseas investors (New Straits Times, 19.3.75). Lord Barber is Chairman of the Standard and Chartered Banking Group Ltd., whose chartered bank - the oldest and largest foreign bank in Malaysia and Singapore - is the prime agent in the transaction and transfer of profits to UK.

The Profits of Sime Darby

Sime Darby, the largest industrial group in Malaysia, recorded an interim, pre-tax profits raise of 25% to $M 68 million on a turnover of $M 829 million (Far Eastern Economic Review, 4.4.75).

The main impetus to Sime Darby's growth came from its major plantation subsidiary, Consolidated Plantations, which reported a 70% boost in interim profits to $M 46 million.

Interim profit of Tractors (Malaysia) - 75% owned by Sime Darby - the second-largest profit earner, was also a record, increasing 15% to $M 16 million.

Sime Darby bought Clive Holdings, the London discount house, in 1972. The Bank of England agreed to this deal on condition that control of Sime Darby should not pass to foreign hands. Biggest shareholders in Sime Darby are PERNAS (the national corporation) and Oversea-Chinese Banking Corporation who together control about 55% of the company.

Kawat K.M.U.K. kepada Mentri Pelajaran

"Malay Union UK strongly condemn action to withdraw scholarships of over thousand students. Demand ceasing of threats and unwise action in interests of nation and justice." Suara KMUK, April, 1975.

30.6.75

NTUC: Reprisal against non-members

The national Trades Union Congress yesterday urged Union leaders to "deliberately" plan welfare benefit and other schemes that would prevent anti-union workers from enjoying them.

Describing these workers as "the self-declared elite group of the working class," NTUC's secretary for organisation, Mr V Jayakody stressed that no compassion should be felt for this group who should be "discreetly" excluded from union achievements.

In spite of massive efforts to organise workers into unions affiliated to the NTUC, there are several wage earners who have chosen to remain outside the union fold.

"These are self-declared elite groups of the working-class and they come mainly from the white collar groups such as clerical staff, teachers, commercial house employees and port-workers.

"Better welfare benefits and practical undertakings of the union must be carefully charted out and deliberately designed so that anti-unionists would have cause to regret opting out of the unions."

In graceless, arrogant attempts to boost its membership, the pro-government NTUC bureaucrats have resorted to threats, lies, promise of material benefits for members and reprisal against non-union members. If NTUC is truly fighting for, and championing the workers' cause, there would be no need to employ these low-down techniques. The working class on realising the advantages of being members will willingly join on their own accord.

In this time of economic recession, massive retrenchments of workers are daily being carried out. The workers confronted with their survival problem are fighting back with industrial actions, which NTUC bureaucrats always try to avoid. In a frenzy to please its capitalist masters, the NTUC bureaucrats are even more desperate to impose a tighter control over the labour force, hence their recent gangster tactics. And the sheer hypocrisy behind it all, V. Jayakody was recently awarded a "Friends of Labour" gold medal!!!! (S.T., 29.6.75)

Harun learns the hard way

-4 July, Far Eastern Economic Review

The big surprise during the triennial General Assembly of the United Malays National Organisation's vice-presidential election was the defeat of Datuk Haran, who, after all, had Mohammed Ali in his corner. Sponsored by Tinju Dunia (World Boxing), a subsidiary of

Bank Rakyat of which Harun is chairman, Ali made doggerels for all seasons, attended fetes and feasts, prayed at the National Mosque, kissed babies and promised to spend two months holiday a year in Malaysia. He kept Datuk Harun on everyone's lips, but he also kissed a Muslim lady on the cheek and brought upon himself the kind of criticism that boxers can afford but politicians cannot. Muslims do not kiss in public.

The day before the polling date, Ali even "dropped in" at the meeting of UMNO youth, preparing their resolutions for presentation to the General Assembly. Characteristically, the self-proclaimed crusader for Islam asked the delegates to pray for his victory over Bugner. His audience gave him a standing ovation, and presumably prayed - but only for Ali Harun, a vice-president of UMNO's Supreme Council by virtue of his office as UMNO Youth Chairman, polled 427 votes and lost. He will retain his ex-officio vice-presidency for another year, after which the Youth wing must choose another leader. With hindsight, local pundits say that the Minister for Trade and Industries, Hamzah Abu Samah, and Perak Mentri Beaar, Ghazali Jawi, though losers in the election, were planted to split the vote and weaken Harun Idris's chances.

Deputy Premier Hussein Onn made it clear in his speech to the Youth and Women's wings of UMNO that the party did not need the corrupt, be they "mouse-deer or dragon". The mouse-deer is the Malay world's own beastic and famous in legend for its cunning and the dragon is Chinese. The most colourful figure in Malaysia today still (technically) under investigation for corruption is Datuk Harun Idris.

Harun's challenge this year is seen as a calculated risk on his part - a risk for high stakes because the government was on the verge of regrouping. One factor is Hussein Onn's health, which is said to be poor. Another is the untenable situation of having a defence minister (Tun Mustapha of Sabah) who asked for a year's grace to "consult" his people and was apparently given six months. The defence post is still vacant: Harun's vice-presidency as youth leader will expire in a year and he cannot stand again since he will be past the age limit, and, without the vice-presidency, his national platform would be gone. To hope to reach the deputy presidency, he had to succeed this year or wait three years, by which time others would have had the chance to consolidate their positions.