When it comes to cameras nowadays, the brands that immediately come to mind would be Canon, Sony, Nikon, Lumix, Konica and of course Olympus.

When it comes to established brands, Olympus was one that immediately comes to mind.

Olympus was way ahead of it’s rivals during the earlier years that it was synonymous to the Ferraris of the camera world.

Even today, Olympus is a leading manufacturer of endoscopy products.

How things change if the value and quality of a company is not maintained at it’s highest level.

I am of course referring to the financial scandal at Olympus arising from the whistle blowing of its previous Managing Director, Michael Woodforde.

As more details are revealed by it’s current President, it is beginning to sound like the same kind of rubbish that occurred at India’s Satyam …… where US$1.0 billion of cash reported in the accounts of Satyam did not exist at all!

We are now told that unrealized losses in Olympus’ earlier investments are not reported (as required under accounting rules) but are ‘re-classified’ as costs of subsequent investments made by Olympus.

This means that these subsequent investments are artificially inflated by these ‘costs’ that should have been reported as investment losses!

This has the effect of artificially boosting the profits of Olympus!

The immediate question of those in the know would be ‘what the hell were the auditors doing during the past 20 years’?

I understand KPMG were the auditors during that time. Ernst &Young are the current auditors.

It really makes one wonder if the financial statements of major companies the world over show true and fair views of their financial position.

Doubts as to their reliability would arise if one is to believe the famous novelist and playwright, Balzac, who said that behind every great fortune lay a crime!

At a more practical level, someone mentioned that  it appears safer to steal large sums of money with a pen than small sums with a gun!

If so, God help us all!



Much has been said about the suspension and investigation into the comments by constitutional expert, Aziz Bari, about the involvement of His Royal Highness the Sultan of Selangor in the JAIS raid on a Christian establishment.

It is as though lese majeste laws like the ones in Thailand has suddenly become the fashion of the day …… the perception being that it is being used by UMNO to stifle comments cum revelations within the establishment.

It was therefore not surprising when the release of the  Auditor General’s report was deferred from the original date of release.

There was much speculation that the ‘cover’ of the report needed to be ‘re-phrased’ ….. or even ‘revamped’ in order NOT to put the UMNO led government in bad light!

Click HERE to see how Bernama (Malaysia’s official news agency) puts it so positively!

Hey, these short-comings and wastages involving the government machinery have been highlighted for so many years ….. dating back to the days of former Auditor General, the late Ahmad Nordin.

And what has really been done?

Absolutely nowt!!

The country is at a cross-road between continued prosperity (relatively speaking) AND falling into the ABYSS of no return.

Hey, but why do the political leaders of today care whether we fall into the abyss or not.

They are already substantial (in material terms …… and physically too). In fact, their material wealth can last them several generations, so I was told!

Following from this, it is therefore incumbent that failings or shortcomings need to be highlighted by the people concerned and not be allowed to get lost in the mass of details within the documentation.

Officials appointed to high offices within the establishment are duty bound to act in the interest of the country.

Isn’t it always ….. DEMI BANGSA, UGAMA DAN NEGARA?

A prime example of such obligations to whistleblow was shown in the case of the company, Olympus.

The newly appointed CEO, Michael Woodford, felt obliged to raise certain improprieties publicly …… after he had been ‘removed’ from office shortly after exposing these ‘matters’.

His whistleblowing was duly supported by documentation that revealed questionable fee payments that were in excess of 35% of the transaction cost. These fees are usually in the region of 1% to 2%, a world practice in fact.

Click HERE for Woodford’s letter to the Olympus Board that was published by the New York Times.

Better still, watch below Woodford’s interview with Reuters …. a brave man indeed but also one who is refusing to succumb to accusations against his competency:

Latest news reveal that the Chairman, Kikukawa (the previous CEO) has resigned and the company is under investigation by the Japanese authorities and the FBI.

This corporate greed is a world wide endemic and is not confined only to Malaysia.

And it is for that reason that the Rakyat cannot meekly accept the lackadaisical explanations and efforts in resolving these serious shortcomings that have become a serious Malaysian rot.

The moment key leaders are less than incorruptible, less than stern in demanding high standards, from that moment the structure of administrative integrity will weaken and eventually crumble.