Tan Kin Lian's Blog: Minibond holders may get back some money

Thursday, October 01, 2009

Minibond holders may get back some money

Read this report in CNA.

There was no mention about how much the investors would get back and what is the estimated legal cost to unravel the structure. With the economic recovery, I hope that the value of the underlying assets would have improved and gave a high rate of return to the investors. We will have to wait and see.

26 comments:

Anonymous said...: Now we see MAS trying to gain credit as if they are the ones responsible for Price Waterhouse gaining control of the swap notes.
Also try to gain some points by saying this turn of events do not affect the suit claims by investors against the FIs who sold these notes to us.; October 01, 2009 6:48 PM
Anonymous said...: Hopefully Pwc/HSBC can work out reasonable charges and realise good residual values for investors, otherwise this would be another disappointment for investors. Nevertheless, I appreciate the work of the receivers and HSBC to getting to this far.

I wonder if any of the FI would do the right thing now by co-sharing the settlement charges. This wuld probably be the last chance for these FI to redeem themselves and show that they still care for their customers, and to start winning back trust

J. Lee; October 01, 2009 7:25 PM
Anonymous said...: Another article in The Strait Times.

http://www.straitstimes.com/Breaking%2BNews/Singapore/Story/STIStory_436806.html; October 01, 2009 7:36 PM
Anonymous said...: How much is coming back?

It will never be 100% while lucky to have it >60%.

A good experience from learning how screw up is MAS and their bosses....; October 01, 2009 8:15 PM
double cheated said...: FIs that bought back minibonds in return for some compensation gets to benefit too, then. They claimed they are worthless, sell them back to the FIs! They are always in the know. Double cheated.; October 01, 2009 8:40 PM
Anonymous said...: the work is partly due to the class action. Good work MIAG. Do not forget you can still sue the FI's for compensation.; October 01, 2009 9:14 PM
Anonymous said...: As long as the minibonds are still stuck with us, do we have a chance to get back some cents?; October 01, 2009 9:21 PM
Anonymous said...: dont be too happy till u know how much u are etting back; October 01, 2009 10:49 PM
Anonymous said...: I agree the biggest fool of all are official that approve minibonds sales in Singapore, Hongkong, & Taiwan; October 01, 2009 11:19 PM
Anonymous said...: 10:49pm-agree with you. Do not be too happy just yet. Just how much FI's compensate you depends on how united you are. We still have a long way to go!; October 01, 2009 11:32 PM
Anonymous said...: timing is rite,e economy sound good & still wait for wat, take credit la,karma my friend, karma, wait,now u feel e Earth move under ur feet, wen real time happened,SE will swim & tis time u will feel e water..wen will we learn e value of life rather than juz money?well,tis being SE,e regime,only a few gd men around to help & MR TAN, u r one such gd man,at least with your postings & direct opinion & advice on matters to interested pple willing to 'learn'; October 02, 2009 1:29 AM
Anonymous said...: HOw about Pinnacle Note holders? Goverment forgot us!; October 02, 2009 8:11 AM
Anonymous said...: Does anyone knows what the receivers are liquidating? GE Capital bonds or those CDO or CDS?

Kind of confusing.

All I know is they are going to deduct expenses to LB, expenses to FIs on litigation, expenses to HSBC trustees, expenses to Receivers and expenses to Davinder Singh.

Seems like anyone who sue Citibank will have a out of court settlement. MIAG may want to sue Citibank next.; October 02, 2009 8:16 AM
Anonymous said...: Is this "good news" calibrated to time with coming election ? Until the numbers come out I will not be rejoicing yet. What about those who suffered total lost in Pinnacle notes due to underlying assets in the CDO and not bankrupcy of Lehman ? Where are the justice ? To add insult to the sufferings the reference entities even listed "Temasek, Singapore, yes repeat Singapore, Singapore Telecom, Hong Kong and Australia. These are giants that never failed and yet investors get back nothing as events are due to CDOs.; October 02, 2009 8:25 AM
Anonymous said...: Can a petition be put foward to get the 10 FI that sold minibonds co-share the cost of unwinding the balance value? It is not right that investors are made to bear all costs, including the payment to trustee, receivers, lawyers, etc.; October 02, 2009 8:32 AM
Anonymous said...: The legal groups should keep pushing for full settlements. I hope all the legal groups do not adopt wait and see stance, members might lose interest if there is no concrete action; October 02, 2009 8:50 AM
Anonymous said...: 8:16AM,
The Ooi-Citibank case only goes to show that the rich can benefit, but retail investors with small pockets cannot really seek justice; October 02, 2009 9:10 AM
Anonymous said...: Retail investors with small pockets can seek justice through class action.; October 02, 2009 12:52 PM
Anonymous said...: "To add insult to the sufferings the reference entities even listed "Temasek, Singapore, yes repeat Singapore, Singapore Telecom, Hong Kong and Australia."

If Temasek or Singtel or UOB involved in this scheme? Why did they allow Lehman Brothers to use their name and did not sue? Does it means they were paid by Lehman Brothers to be one of the reference entities?

No one seem to want to talk about it. This is the weakness of our system where things are hidden if the authorities refuse to investigate. Why? DBS belongs to the Govt....; October 02, 2009 3:14 PM
Anonymous said...: Pity the High 5, Pinnacle Notes, (or even the
Jubilee?) noteholders' predicament. Why this group of investors are so quiet. Why MAS just
conveniently ignore such victims.
For us minibond holders we are not that better off either, we may get back only 10% after the cream has been spooned off by all those greedy peoples. People do not work for free to help
victims.; October 02, 2009 3:48 PM
Anonymous said...: MAS simply refused to reply when I wrote to them asking why Temasek and Singapore names are used. Isn't this an attempt to lure innocent investors ? Surely they are aware these names are being used as the products are widely marketed. Why the silence ? If your personal name is used by someone and publish in paper any sane person would want to investigate? But not for MAS who regulate and approve this product!; October 02, 2009 5:16 PM
Anonymous said...: Chinese saying, " Watch the fire from across the river". Those pressed for full settlement. Are you in the legal group or a free rider. Be more realistic in your expectation. If you still are not in the legal group. Please join in to press for full settlement. We need your expertise.; October 02, 2009 5:26 PM
Anonymous said...: Hi all,

Once you received your $ from the liquidation, I hope you can update all in this site. Since most of us use Anonymous, I suggest we id ourselves with numbers or name we chose on our own so as not to duplcate e.g.

12345 Hong Leong 40k MB1 30% comp
S S Tan OCBC 20k MB2 20% comp

From the above, we can know that a person called 12345 who purchased 40k of MB1 from Hong Leong received a liquidation compensation of 30% of the principle.

This is important to understand how transparent is the process of liquidation as well as ensuring all MB investors received the same % irregardless of FIs.

Just my thoughts.; October 02, 2009 9:03 PM
Anonymous said...: 9:03pm's idea is great; October 03, 2009 9:29 AM
Anonymous said...: After reading letter from HSBC trustee bank, do not expect too much in the residual value in your mini-bond notes.; October 06, 2009 11:18 PM
Anonymous said...: MAS and the bosses must go...after the big screw up and issuing useless comments.; October 08, 2009 7:13 PM