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Showing posts with label lawyers. Show all posts
Showing posts with label lawyers. Show all posts

Tuesday, August 7, 2018

‘Equanimity’ billion dollar yacht is coming home

Yacht EQUANIMITY


https://youtu.be/MZNlKocHgdM https://youtu.be/wE7IQhy1d4g

The Equanimity is expected to arrive at Port Klang soon after spending a day in Batam, Indonesia, yesterday.

Prime Minister Tun Dr Mahathir Mohamad thanked Indonesia for the good news, though he said if fugitive businessman Low Taek Jho could prove that he had purchased the billion-ringgit yacht with his own money, he could get it back.

“If they have proof that they purchased the yacht using their own money and not stolen money, they have the right to get the yacht back,” Dr Mahathir said in a video posted on Facebook.

He said the close relationship between both countries was the reason this problem could be solved.

“We believe the yacht belongs to Malaysia because it is believed to have been bought with Malaysian money stolen by certain parties.

“If there is anyone who claims the yacht is theirs, they can show proof that they own it. We want to know how they managed to amass such a huge amount of money that they were able to purchase such an expensive yacht,” he said.

He added that investigations by the US Department of Justice reveal­ed that the yacht was purchased using funds stolen from 1Malaysia Development Bhd (1MDB).

A source said the vessel received port clearance from the Batam Marine Department at 2.30pm yesterday, indicating that its next port of call was Port Klang.

The source said at least four Malaysian policemen would accompany the ship and its crew here.

The yacht arrived in Batam island yesterday morning. By 6pm, it had entered Malaysian waters.

It was supposed to head for the Batu Ampar port, but was diverted and anchored near the Pulau Nong lighthouse at the entrance to Tering Bay at around 9.30am yesterday.

The yacht had sailed from the Tan­jung Benoa port in Bali last Thurs­day.

The Equanimity was seized in Bali in February at the request of US authorities as part of a multibillion-­dollar corruption investigation launched by the Department of Justice over 1MDB.

However, a Jakarta court ruling in April declared that the yacht was wrongfully impounded and it was released to its owners after they obtained a court motion to declare that the seizure was illegal.

But the vessel was not allowed to leave the Tanjung Benoa port.

Last month, Indonesian police seized the yacht again following a formal request for legal assistance from the United States.

Reuters reported that the decision by the Indonesian government to hand over the yacht to Malaysia was reached following a personal request made by Dr Mahathir, who visited Indonesia in June.

Finance Minister Lim Guan Eng said his ministry intended to reco­ver as much money as it could from the Equanimity.

Speaking to reporters at Par­liament lobby yesterday, he said the immediate plan was for the Attor­ney General to ensure that all the paperwork was in order and proper controls were imposed.

“If possible, we need to make sure that there is a proper inventory of the assets inside, and we hope that the public can also view it.

“This may not be the entire ship, just a portion of it, because there are also a lot of valuable items inside and there must be some sort of control.

“At the end of the day, we want to get back as much money as we can from all these ill-gotten gains.

“These stolen assets should be sold at the highest price so the money can be returned to the people,” Lim said.

Asked if Malaysia would get to keep the yacht, Lim said he would leave it to Attorney General Tommy Thomas to explain, though he said the fact that the yacht was being sent here “speaks for itself”.

By Eddie Chua and Rashvinjeet S.Bedi The Star

Dr M’s ‘regime’ not interested in due process, Jho Low’s lawyers claim after yacht seized


The Malaysian government’s seizure of the yacht Equanimity is illegal and proof that Tun Dr Mahathir Mohamad’s administration has no interest in a fair and just process, tycoon Taek Jho Low’s lawyers said today.

The lawyers representing the fugitive businessman reiterated that the confiscation of the luxury vessel — which they said is owned by Equanimity (Cayman) Ltd — broke an Indonesian law and court decision, besides breaching recent United States court orders.

“The yacht’s owner, Equanimity Cayman Limited, had already filed a claim on this asset, which Mahathir ignores. Further proceedings have been issued today in response to this illegal act,” the tycoon’s lawyers said in a statement.

They accused Dr Mahathir of bringing the yacht illegally from Indonesia “into a rigged Malaysian system manipulated by a man who only cares about his absolute political rule”.

“Since his election, Mahathir has tried reinventing his public image following the appalling abuses of the rule of law he previously presided over, including the Anwar case and the 1988 judicial crisis.

“The reality is that he has simply continued on as he did during his previous regime and has shown that his only objectives are political: from freezing bank accounts of rival political parties, to public trial-by-media, where guilt is proclaimed before any evidence is presented,” the lawyers added.

Low’s lawyers have pointed out that the United States’ Department of Justice (DoJ) has argued that it must have possession of Equanimity to ensure that the asset retains its value pending a court hearing that can determine the final ownership and the rights of all parties involved.

Finance Minister Lim Guan Eng said today he will auction off Equanimity to recover as much money as possible from the luxury boat worth US$250 million (RM1.02 billion).

He said selling off the yacht belonging to the fugitive financier, who is allegedly a central figure in the 1Malaysia Development Berhad (1MDB) corruption scandal, would be the best option as the cost to maintain its docking would be high. - Malay mail

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Tuesday, June 5, 2018

Malaysians hail the King for his consent on Tommy Thomas as AG

  https://www.thestar.com.my/news/nation/2018/06/07/new-ag-vows-transparency-in-work-thomas-begins-first-day-promising-to-be-objective-in-solving-1mdb-s/


PETALING JAYA: The Yang di-Pertuan Agong, Sultan Muhammad V, has consented to the appointment of Tommy Thomas (pic) as the new Attorney-General (AG).

In a statement, the Comptroller of the Royal Household Datuk Wan Ahmad Dahlan Ab Aziz said the King, on the advice of the Prime Minister, has given the approval to the appointment of Thomas as the AG according to Article 145 (1) of the Federal Constitution.

The Agong, said Wan Ahmad, has also called on Malaysians to accept the appointment of the AG, adding it should not create conflict as every Malaysian should be treated fairly regardless of their race or religion.

“The appointment would still continue to uphold the special privileges of the Malays and bumiputra as well as Islam as the religion of the Federation,” said Wan Ahmad.

He said the Agong has also approved the termination of Tan Sri Mohamed Apandi Ali as AG after taking into consideration the views of the Malay Rulers on three issues.

These issues are the appointment of the AG, the rights of the bumiputras, and the rule of the Council of Rulers as stated under Article 153 of the Federal Constitution.

“The King has also expressed his disappointment (dukacita) and worries on media reports of late that were inaccurate and negative in nature, which could threaten the peace and harmony in the nation.

“The King has the obligation to uphold the Federal Constitution and preserve the rights of the Malays and bumiputras, as well as to protect Islam,” he added.

Prime Minister Tun Dr Mahathir Mohamad, on May 14, announced that Apandi was told to go on leave and would be temporarily replaced by Solicitor-General Datuk Engku Nor Faizah Engku Atek.

The proposal to appoint Thomas as AG had sparked a disagreement with the King, but Dr Mahathir was adamant and submitted only Thomas' name to the King.

However the Agong insisted on more than one name, according to sources close to the royalty.

Malaysians expressed their joy and gratitude to the Yang di-Pertuan Agong, Sultan Muhammad V, for giving his consent for Tommy Thomas to be appointed the new Attorney-General (AG).

On The Star Online Facebook page, Thomas’ announcement received 291 shares, and 2,100 likes within an hour of the news breaking early Tuesday morning.

John Doraisamy said Malaysia and Malaysians were moving in the right direction.

“Happy to be 1Malaysia without racism,” he posted.


“Thank you to His Majesty YDP Agong for your royal consent. Congratulations to the new AG!” he said.

Justin Tan said Malaysia had reached a new milestone with Thomas' appointment.

“Everyone should be treated equally and fairly regardless of their race or religion.

“Hope this signifies a true Malaysian society based on merit that will push the country forward to becoming the next powerhouse in the region,” he said.

Meanwhile, Facebook user Rajasegaran Subramaniam called for the Federal Constitution to be made a compulsory subject in schools and universities due to the controversy surrounding Thomas’ appointment.

“It is pain in the eyes witnessing so called new Malaysia citizens commenting on sensitive issues without any ideas on what they are even commenting.

“(The) past two days was one hell of a rollercoaster ride because of ignorant comments from ‘new Malaysia’ citizens,” he said.

In a letter dated June 4, but released early Tuesday (June 5), the Comptroller of the Royal Household Datuk Wan Ahmad Dahlan Ab Aziz said the King, on the advice of the Prime Minister, has given the approval to the appointment of Thomas as the AG according to Article 145 (1) of the Federal Constitution.

The King, said Wan Ahmad, has also called on Malaysians to accept the appointment of the AG, adding it should not create conflict as every Malaysian should be treated fairly regardless of their race or religion.

“The appointment would still continue to uphold the special privileges of the Malays and bumiputera as well as Islam as the religion of the Federation,” said Wan Ahmad.  The Star


 Related: 


Experts: Nothing to bar Dr M from making Thomas the AG - Nation ...

 

Monday, August 25, 2014

Lawyer Darren Tan, once 10 years in jail; S'pore CJ advises new lawyers: do criminal and family law


10 years in jail, now a lawyer

Darren Tan, 35, is finally a full-fledged lawyer.

He reached that milestone yesterday when he was called to the Bar during a mass ceremony at Nanyang Technological University.

It was a far cry from his shaky start in life when drugs and gang activities led to over 10 years behind bars and 19 strokes of the cane.

"This is the culmination of what I've been working towards for the last 10 years," he told The Sunday Times. "It's like waking up from a dream and finding out your dream has become reality."

His life of crime began at the age of 14, and he was in and out of prison for offences that included robbery and drug trafficking.

It was only when he was 25 and behind bars for the third time that his transformation took place. He found God, and decided to make something of himself.

He resumed his studies with help from the prisons programme, re-learnt English, a language he had forgotten, and aced his A levels, scoring four As and a B, including an A1 for General Paper. He was still in prison when he applied for law school, and became the first student with a criminal past to be admitted to the National University of Singapore law school.

Now, he has a job waiting for him. He did so well during his six-month practice training at TSMP Law Corporation that the firm has given him a permanent position as a commercial litigation and dispute resolution lawyer.

The firm's joint managing director, Mr Thio Shen Yi, said that while he had initially decided to take a chance on Mr Tan, it had only been a six-month risk.

"He still had to earn his job. And he has," said Mr Thio. "He is sincere; he has street smarts, maturity and EQ. You can see his transformation through his actions, and this resonated with us because we're very much a firm that believes in giving back to the community.

"If I had ever thought there was any risk of the firm's reputation being besmirched, I would not have taken him on."

Said Mr Tan: "This is my first real job. I enjoy what I'm doing and the bonus is I get paid for it. I'm learning new things every day."

He spends long hours at work, but tries to leave early every Monday. He and former inmate Kim Whye Kee, an artist, have set up an outreach initiative, Beacon of Life, based in Taman Jurong, to help at-risk boys and youths. On Monday and Saturday nights, they play football.

Mr Tan dined with Britain's Prince Edward in a 16th-century castle earlier this year, when he was invited there to speak about the National Youth Achievement Award which he has received, and how its programmes could benefit others.

Mr Thio is hoping to rope in Mr Tan to work on the Yellow Ribbon Project to help former prisoners, a scheme which his firm supports.

"He will be able to give us direct insight into where the need is greatest," he said.

The Singapore Academy of Law, which has supported the Yellow Ribbon Fund since 2011, is in talks with Mr Tan to be part of its upcoming corporate social responsibility programme, which aims to get more in the legal fraternity to join forces to help former offenders.

An only child, Mr Tan has a girlfriend and lives with his parents in a four-room flat in Jurong West.

With a steady pay cheque, he can finally help with family expenses and has promised to take his parents and godfather on a cruise.

His father, Mr Tan Chon Kiat, 67, who does not work, and mother, Madam Ong Ai Hock, 62, a production operator, could not be prouder.

Said Madam Ong: "I didn't think he would have these opportunities but he has changed his own future. I used to be very worried for him, but now I'm very happy.

"It goes to show that if you work hard, the past is the past."

Looking forward, her son said: "I have a mantra of sorts - 'Be good in what I do and do good with what I do'. I used to take drugs because there was a void in my heart and my life. Now, I have something to get hooked on apart from drugs. My life is a good enough substitute."

By Chang Ai-lien Straits Times/Asia News Network Sun Aug 24 2014

Once in jail, but he's now a law grad


For the first three years in law school, Mr Darren Tan kept to himself.

Now he wishes he hadn't.

The 35-year-old, one of over 10,000 to graduate from the National University of Singapore this year, was afraid that he would not be accepted because of the more than 10 years he spent in jail for drug and gang-related offences.

But last July, he told his story to the media. "After I went public, I received messages of support from my classmates," said Mr Tan, who will receive his law degree on Thursday.

He has secured a practice training contract with TSMP Law Corporation, but hopes to continue helping lawyers with pro bono work.

Fellow graduand Chua Koon Ting, the first polytechnic student to enter the Faculty of Dentistry, also said that he was not treated differently by fellow students.

"What I learnt is that in university, no one cares where you came from, it's in the past," said the former Singapore Polytechnic student, 27, who is now practising at the National Healthcare Group Polyclinics.

This year, 10,282 will be graduating from NUS. They will include the first graduates from five programmes, including the master of Social Work and Public Health doctorate.

President Tony Tan Keng Yam presided over the main commencement ceremony yesterday, in which 160 students from the University Scholars Programme received their scrolls.

One of them was valedictorian Ow Yeong Wai Kit, 25, who received first class honours in English literature.

He will be heading to University College London to do a masters in literature on a Ministry of Education scholarship.

"It's not so much about whether one has a degree. What's more important is that we have certain intangible skills that can be used regardless of one's vocation, such as a sense of curiosity," he told reporters.

The ceremony was also attended by Education Minister Heng Swee Keat. During his address yesterday, NUS President Tan Chorh Chuan spoke about former Prime Minister Lee Kuan Yew, who last month received an honorary Doctor of Laws from NUS.

Said Prof Tan: "The qualities and values he exemplifies, and in particular, his deep sense of purpose, these serve as a powerful beacon not just for all of us in NUS, but for the broader community in Singapore and beyond."

By Stacey Chia, Debbie Lee The Straits Times/Asia News Network, Friday, Jul 12, 2013

CJ advises new lawyers to do criminal, family law


SINGAPORE - Singapore's newest lawyers have been urged to begin their careers in family and criminal law to hone their skills, instead of heading straight for corporate law, which is getting more competitive than ever.

The legal community yesterday welcomed 430 newly appointed advocates and solicitors at this year's mass call to the Bar, up from 411 last year and 363 the year before.

The expansion in the number of lawyers means the newcomers will enter a market where the generous salary packages and multiple job offers their predecessors enjoyed will be harder to come by, said Chief Justice Sundaresh Menon.

This is also because other major legal centres around the world, such as New York and London, are cutting back in the wake of the 2008 financial crisis, he added.

A week ago, Law Minister K. Shanmugam highlighted how Singapore could face a glut in supply of lawyers in the next three years as more aspiring lawyers pursue a law degree here and overseas.

During yesterday's ceremony at Nanyang Technological University, the Chief Justice said the legal industry is adjusting from one of "undersupply" - when there were more jobs than law graduates - to one where supply and demand are more balanced now, especially in commercial law.

"This means that you will not be running with the wind to your back," he told the new lawyers hoping to enter corporate and commercial practice. Instead, they can expect "more competition, fewer guarantees and less room for negotiation". This is a trend that is happening not only in Singapore.

After a period of sustained growth in New York and London "in the later decades of the 20th century", the pace of recruitment there has slowed down.

Singapore, which benchmarks lawyers' salaries with those paid by New York and London firms, is no exception to these market forces, especially given how "we also compete in a South-east Asian market where starting salaries are generally lower". Instead the Chief Justice challenged the new lawyers to take the plunge into family and criminal law - where there is a shortage - and cut their teeth there.

While he admitted that there may be a "good deal less glamour" in these areas of the law, there is no better place than community law for young lawyers to get into the thick of the action, said the Chief Justice.

New lawyers The Sunday Times spoke to said while the market may be getting tighter now, it is their juniors who will feel the pinch. Mr Asik Ali Sadayan, 26, a Singapore Management University graduate, said: "My juniors have told me that it has become a lot harder to get training contracts.

It was easier for my batch and we did not feel the competition as much." Every year, about 400 local law graduates, along with a growing number of foreign-educated ones, apply for about 500 training contracts offered by law firms.

The six-month contract gives would-be lawyers the real world training they are required to complete before they are called to the Bar. In his speech yesterday, Law Society of Singapore president Lok Vi Ming said his organisation is considering various initiatives to ensure that every graduate eligible for a training contract will get it.

Other new lawyers told The Sunday Times that they had their hearts set on corporate law, and would prefer to give back to society through pro-bono work - something the Chief Justice said was important for lawyers to be involved in.

Not only does such work keep lawyers connected to the community, it also helps them to avoid thinking that their worth is reflected by how much they bill and little else.

Sources: The Straits Times/Asia News Network Sun Aug 24 2014

Sunday, May 11, 2014

End the lawyers' monopoly on conveyancing in Malaysia


End the conveyancing monopoly

Lawyers set outrageous fees despite the fact that the work done does not involve additional skill.

WHEN I started my legal practice many years ago, it was quite common for lawyers to give discounts on fees chargeable for conveyancing and loan transactions. In fact, some of us charged time costs to clients because the work was quite straightforward (even if the sums involved were large).

In those days, there was already a no-discount rule. The legal fraternity then was more realistic and the Bar Council was lenient when it came to the amount of fees we could charge: no one would be liable for disciplinary action for not following scaled fees, and breaches were more frequent than observance. Those were happy days.

By and large, conveyancing and loan documentation for financial institutions are straightforward matters. They usually involve standard terms that lawyers use on a daily basis without much effort (though some lawyers might dispute this).

Conveyancing fees are what we call “easy money” – clerks do all the work and lawyers collect their fees for signing on the right pages. The higher the value of the property, or the value of the bank loan, the higher the fee.

I have never thought it right to charge high fees on this basis; after all, high-value residential property transacted in Ampang, for example, requires the same work and skill as that of lower-valued property in Klang, so why should there be a difference in fees?

The fact is that the scaled fees mandated by the Bar Council favour the lawyer who undertakes larger property transactions – but why this is so can be difficult to understand, and I suggest you read Michael Joseph’s Conveyancing Fraud, which was first published in 1989.

Joseph was an English solicitor who did his part to expose the arbitrary and unfair system by which the Law Society of England and Wales (the governing body for solicitors) set outrageous fees despite the fact that the work done had no relation to any additional skill.

Ultimately, good sense prevailed and solicitors lost their monopoly over conveyancing in England and Wales. A new breed of professionals called “conveyancers” was given the right to do this work as well and, as a result, fees were much reduced and services improved. That’s what competition does to any industry.

But not in Malaysia. Here, the Bar Council still insists that only lawyers can undertake conveyancing work and scaled fees must be strictly followed – a practice abandoned long ago in other Commonwealth countries.

When it comes to this issue, the Bar Council somehow always overlooks the question of public interest. It seems that, to the Council, it’s their members’ interests that are more important.

The economist Adam Smith warned us 250 years ago that when people of the same trade met, the conversation usually ended up in a conspiracy against the public through the raising of prices.

We now have the Competition Act 2010, which in essence seeks to promote the competitive process, and the rule of the game is to discourage anti-competitive behaviour. The stance taken by the Bar has been definitely against the Competition Act, although no one dares to challenge the lawyers’ monopoly.

The question remains: why must lawyers be the only type of professionals allowed to do conveyancing work?

A solicitor friend countered this view by saying that the Competition Act itself allows for exclusion. For example, Section 13 of the Act exempts any agreement or conduct that complies with a legislative requirement. My friend argued that the Solicitors’ Remuneration Order 2005 (which allows for scaled fees to be charged) is such a legislative requirement.

But wait a minute. I’m not saying that the Bar is in violation of the Competition Act. I’m saying merely that the Bar’s monopoly on conveyancing is not in compliance with the spirit of the Act. The Bar is once again out of touch!

The Malaysian Competition Commission, under the able leadership of former Chief Judge of Malaya Tan Sri Siti Norma Yaakob, should exercise its power under Sections 11 and 12 of the Competition Act to perform a “market review” of the situation and publish the results.

I am sure such a study will show the need for the establishment of a new breed of professional conveyancers so as to give lawyers some fair competition, and I’m sure the market review will benefit the public immensely.

Arguments that conveyancing work is complicated and must be done by lawyers have already been used in Australia and England, and have been found to be baseless – in fact, the quality of conveyancing services in Australia and New Zealand actually improved after the lawyers’ monopoly was broken.

In Malaysia, there are many former legal clerks and Land Office employees who can qualify and be registered as conveyancers. Of course, local conveyancers will have to be properly regulated under their own professional standards organisation to ensure that a high quality of work will be maintained.

The lawyers’ monopoly has no purpose whatsoever in this day and age. Moreover, given that the Bar Council has always fought for the political and human rights of the people, I believe it should extend this public spirit to conveyancing and other spheres, even if it means less “easy money” for lawyers.

In fact, the real test of our commitment to a particular cause is our willingness to persist even if it hits our pockets, so I say again: the public will surely benefit from an end to the conveyancing monopoly, services will improve and prices will fall. So why can’t we do it?

Contributed by by datuk zaid ibrahim The Star/Asia News Network

> Datuk Zaid Ibrahim, true to his Kelantan roots, is highly passionate about practically everything, hence the name of this column. Having established himself in the legal fraternity, Zaid ventured into politics and has been on both sides of the political divide. The former de facto Law Minister at one time is now a legal consultant but will not hesitate to say his piece on any current issue. He can be reached at zaid.ibrahim@partners-corp.com. The views expressed here are entirely his own.

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Tuesday, February 5, 2013

Beware of rogue lawyers in Malaysian legal system

They boast of connections with retired judges and being able to fix cases

KUALA LUMPUR: A group of lawyers is bringing disrepute to the Malaysian legal system with claims of being able to “fix” commercial cases.

They are known as the “Dream Team” in the circle of retired gentlemen judges because these lawyers “play ball” with their “coach”, a retired judge, to win big.

Among litigation lawyers, they are referred to as the “syndicate” or “cartel”.

Malaysian Bar president Lim Chee Wee confirmed their existence.

“We are aware of a syndicate of rogue lawyers who boast of mastering the art of influence and inducement outside the courtroom in addition to advocacy in the courtroom,” he said.  “Mercifully, it's a small group.”

He added that the commercial cases they boast of being able to influence include disputes over business contracts and family property and company disputes between shareholders and directors which usually involve millions of ringgit.

Lim, however, stressed: “The vast majority of judges and lawyers are honest, and it is only a few rotten apples who ruin the reputation of the rest.”

He was also doubtful about many of the claims they made, suggesting that “most of their boasts might be mere puffery to trick clients into paying more in legal fees”.

But for some years now, litigation lawyers have been indignant about “the cartel” and the connections they see between some retired judges and lawyers.

They say a retired judge acts as puppet master and a former court officer at times comes in as facilitator.

Litigation lawyers interviewed on the modus operandi of the syndicate gave these scenarios:


> A client contacts a retired judge who then gets in touch with a serving judge.

> While in office, the former court officer would arrange for access to certain judges.

> The former court officer takes advantage of the practice of registrars writing up case notes for appellate judges by suggesting how to skew them.

Asked what action the Bar Council had taken, Lim said it had told Tun Zaki Azmi when he was Chief Justice and his successor Tun Arifin Zakaria of reports that “a few judges received phone calls from retired judge(s) regarding pending cases, allegedly with a view to influencing their decision or grounds, and naturally these right-thinking judges found such approaches to be offensive.”

“The Chief Justices have taken action and I am not aware of any more similar incidents.”

Lim said he had also raised with the Chief Justice and President of the Court of Appeal the Bar's concern over reports that a few rogue lawyers may be influencing registrars who prepare case notes/briefs for appellate judges “with the view of having the contents lean in their favour”.

When contacted, a sitting judge said: “The solution is for all appellate judges to carefully read the written submissions of both counsel and not rely on the case notes.”

Lim said that following media coverage of corruption in the legal system, the council has been receiving information from Bar members and the public.

“We will review the information and if there is prima facie evidence, we will lodge a complaint with MACC (Malaysian Anti-Corruption Commission).”

Lim added: “We are also working closely with MACC to investigate corruption among lawyers who bribe officers/employees of clients to obtain legal work. This is perceived as a rampant practice at financial institutions.

“We hope that the Association of Banks Malaysia will consider assisting MACC on this.”

He urged anyone with any information on the who, what, when and where of corruption to write to president@malaysianbar.org.my or contact +603 2050 2013.

By SHAILA KOSHY koshy@thestar.com.my

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Friday, October 26, 2012

Legal profession unattractive in Malaysia?

Malaysia is not a hub for legal services in the region. The best minds are more interested in practising in other jurisdictions where the work and pay is better.


IT’S a funny world we live in. Today’s unalterable truth may be tomorrow’s shibboleth.

For the legal profession in Malaysia, the seemingly unalterable truth is – do not join the profession unless you are prepared to face the harshness of the working conditions.

However, if you persevere, the returns can be very rewarding and fulfilling.

The National Young Lawyers Committee (NYLC) conducted a survey on the working conditions of young lawyers in late 2011, and the results which were recently released can be found at www.malaysianbar.org.my.

It indicates that there is or will be a mass exodus of young lawyers from the legal profession because of the lack of work-life balance, low pay and bad working conditions.

The survey shows that the average starting pay is RM3,000-RM3,500 in the Klang Valley and RM2,000-RM2,500 outside of the Klang Valley – just enough to support the cost of living.

The average working hours are between 51 hours to more than 60 hours a week. Almost all young lawyers work weekends.

This means that, in the Klang Valley, based on the average monthly pay of RM3,250 (RM39,000 per annum, excluding bonuses) and average working hours of 55 hours a week (2,860 hours over 52 weeks), over a year, first-year lawyers are only paid RM13.64 per hour. It is much lower for pupils.

Outside of the Klang Valley, based on the average monthly pay of RM2,250 (RM27,000 per annum, excluding bonuses) and the same average working hours, over a year, first-year lawyers are only paid RM9.44 per hour.

Some recommendations were made by the NYLC to increase the starting pay and improve working conditions.

Some quarters cynically cried out that young lawyers are making demands despite being of low quality.

They say that young lawyers should not demand higher pay unless they have proven themselves.

Pause for a moment and consider what the survey results really mean. Firstly, it means that the profession, as a whole, is not attractive.

Students, when choosing a degree, will second-think pursuing law. Law students may choose not to practise upon completing their law degree.

Some will be driven by passion, but not everyone has enough passion to endure the initial hardship.

The best minds may instead be more interested in other professions. Why isn’t the profession able to retain these talents?

Generally, Malaysia is not a hub for legal services in the region. The best minds are more interested in practising in other jurisdictions where the work and pay is better.

The profession must improve and be the main legal services hub in the region. But the paradox is, to do so, higher salary and better working conditions are also required to attract and retain the best talents.

Secondly, not having an attractive entry point does not augur well for diversity in the legal profession.

The legal profession should be diverse because lawyers are guardians of rights and liberties of people of all gender, races, backgrounds or classes.

The current starting salary and working conditions, by chance or design, targets only a single demographic – fresh graduates, middle or upper middle class, living with their family, and having little family or financial commitments.

A prospective entrant who has dependants would find it hard to pursue a career in law given the low average starting pay, the long hours and the non-existing weekends.

To quote Lord Falconer: “If you don’t catch people when they’re 15 or 16, when it comes to choosing judges 30 or 40 years later, you won’t have the diversity you need to ensure that judges reflect society”.

Thirdly, with the starting salary and working conditions of the legal profession failing to attract and retain talents and not encouraging diversity, legal access would be significantly affected. Legal access also means having access to a lawyer of your choice.

The survey shows that 28.17% of the respondents in the Klang Valley and 15.29% of the respondents outside of Klang Valley are leaving the profession in the next five years and a further 38.73% of the respondents in the Klang Valley and 48.24% of the respondents outside of Klang Valley are uncertain of their future in the legal profession.

These staggering numbers show that lawyers do not want to be lawyers anymore.

Society will be affected because the choice of lawyers would be limited. There will not be a greater pool of talent to choose from for clients or when it comes to the appointment of judges.

The quality will have to be compromised with whatever the supply is. In the long run, it will be detrimental to the legal system in Malaysia.

The results and the recommendations by the NYLC are not unjustified.

It would be convenient to blame the law schools for failing to produce competent graduates. But employers must look at themselves and ask if they have been contributing to this problem.

The unalterable truth of today must be questioned. For employers who are truly concerned about attracting and retaining the best talents, the survey results and recommendations should be taken seriously.

For those who choose to ignore the survey results and recommendations, do so at your own peril.

PUTIK LADA 
By NEW SIN YEW
newsdesk@thestar.com.my
 > The writer is a young lawyer. Putik Lada, or pepper buds in Malay, captures the spirit and intention of this column – a platform for young lawyers to articulate their views and aspirations about the law, justice and a civil society. For more information about the young lawyers, visit www.malaysianbar.org.my.

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Sunday, October 21, 2012

Malaysian young lawyers not up to par

KUALA LUMPUR: All young Malaysian lawyers do not meet the standard international quality benchmark set by their employers, according to a Bar Council survey.

Bar Council treasurer Steven Thiru said the survey, conducted on 400 law firms, also found that employer satisfaction of new working lawyers was “shockingly low”.

“It found that young lawyers practising for less than seven years do not have basic attributes like English proficiency, communication and critical thinking skills and commitment to the profession, which is vital for the career,” said Thiru at a forum between the Bar Council and the National Young Lawyers Committee (NYLC),

He said the problem was prevalent among both local and foreign university law graduates.

Thiru placed the blame on the failure of several tertiary education institutes, which did not include practical skills with academic learning.

“So, what we get is law firm employers having to retrain young lawyers in basic practical skills that they should have learned in university,” he said.

The findings come in the wake of the NYLC's recommendations to the Bar to increase the wages of young lawyers and provide more flexible working hours.

The young lawyers have been complaining that they are being paid “too little” for the amount of work they do.

The NYLC, citing its own survey, said 28.2% of young lawyers in the Klang Valley wanted to leave the profession in the next five years while another 38.7% were considering leaving.

Outside the Klang Valley, 15.3% said they would leave and another 48.2% were considering.

“Most cite low salaries and no work-life balance as the main reasons for opting out,” said NYLC chairman Richard Wee.

He said most young lawyers were attracted to overseas firms offering better benefits.

He said NYLC had suggested a starting pay of RM3,000 to RM4,000 a month for young lawyers in Klang Valley and RM2,500 for young lawyers elsewhere. The current salary is RM2,000.

He said that of the 14,500 lawyers in the country, 2,070 were considered as young.

Thiru and other senior lawyers however, said young lawyers did not deserve the raise.

Chee Siah Le Kee & Partners' Wong Fook Meng said young lawyers should earn the raise they were demanding for.

“They fail to realise that they should be working to learn and better themselves as lawyers, rather than focus on the cash.

“There are no shortcuts, young lawyers must create value and contribute meaningfully to their firms to justify higher compensation,” said Wong, who is a member of the Bar Council's Constitutional Law Committee and former NYLC deputy chairman.

By NICHOLAS CHENG
The Star/Asia News Network

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Saturday, March 10, 2012

Bankers and lawyers should know better

FOOD FOR THOUGHT By DATUK ALAN TONG

BUYING a property that eventually becomes abandoned is a painful experience for many house buyers. It not only hurts purchasers who have lost their hard-earned money but also affects the property industry's reputation which has taken a beating due to unethical activities of a few culprits.

This is particularly so when the abandoned project is not caused by factors such as economic downturn or withdrawal of purchasers, but solely due to irresponsible people who claim to be “developers” but do not hold a licence to do so.

It was recently reported that our Housing and Local Government Ministry has identified 195 abandoned developments that were unlicensed in our country. I am puzzled as to how these “developers” are able to start their projects when they do not even have their licence to apply for financing if they require a bridging loan, and is their sales and purchase (S&P) agreement properly attested by a lawyer before they start selling?

In this context, what can be done and who should play a part in reducing these unlawful developers? Assessing our existing housing development process would provide us with some ideas.

When a developer plans for a housing project, he must first get the necessary approvals and licences from the relevant authorities such as the development order, building plan, advertising permit and developer's licence. The developer then may need to source for a bridging loan from a financial institution and this is followed by getting lawyers to prepare the legal documents which include the S&P agreement.

When the project is launched to the market, the developer will require the purchasers to sign the S&P agreements in order to finalise the purchase. Should the purchaser acquire a housing loan from a bank, the bank will come into the picture to process the loan application submitted by the purchaser. Those are the basic procedures involved in developing and marketing a housing project in Malaysia.

For unlicensed development, the regulatory bodies are not in the picture. In such cases, it becomes apparent that the lawyers and/or bankers, both representing the house purchaser, have a role to play as the first line of defence to protect the interest of the purchaser.

Hence, there are questions that begged to be answered. How is it possible for financial institutions to approve the end financing loan for a property development in the absence of all or part of the required approvals and licences? The same questions are posted to lawyers who prepare the legal documents for unlicensed development.

I believe everyone has a role in identifying irresponsible players in the industry, especially the bankers and lawyers with their better access to information and strong regulatory network as compared to the general public. As a purchaser and a customer, you would have expected your banker and lawyer to carry out their due diligence duties to ensure that your interest is not compromised.

In other industries, professional practitioners who do not convey the right message and do not protect customers' interests can be given stern punishment as their action may be deemed as negligence, fraud or even criminal breach of trust.

According to the record of National House Buyers Association, in the case of Keng Soon Finance Bhd (1996), a financial institution had granted a loan to an unlicensed developer, and it was decided that the loan and the security offered were invalid. The bank could not institute the foreclosure proceedings on the land and therefore could not recover its loan.

Under our Housing Development Act, a property developer that engages in, carries out or undertakes housing development without having been duly licensed can be fined between RM250,000 and RM500,000 or to imprisonment for a term not exceeding five years or both. This is an avenue to take action against unlicensed developers. While we have the law in place, it is equally important to ensure strong enforcement comes along.

For house buyers, you are strongly advised to purchase property from reputable developers and to do thorough “shopping” and analysis before signing on the dotted lines. Responsible developers are keen to work hand-in-hand with purchasers and appreciate the role of the National House Buyers Association which advocates the protection of house buyers in Malaysia. We should stand together as a team to fight against irresponsible developers.

And for anyone of you who think that you have bought into one of those unlicensed developments mentioned earlier in the article, it is time to write and call your banker or lawyer for clarification.

Datuk Alan Tong is the group chairman of Bukit Kiara Properties, he was the FIABCI World president in 2005-2006 and was named Property Man of The Year 2010 by FIABCI Malaysia.

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