DBS Hong Kong to pay US$84 mln in Lehman settlement. DBS Hong Kong, a unit of Singapore's DBS Group Holdings, will pay out a combined HK$651 million (US$84 million) to some buyers of Lehman Brothers constellation notes, the territory's financial regulator said Wednesday.
http://www.reuters.com/article/idUSHKU00007420100714
My view
I wonder if DBS will be offering some form of settlement to the investors of the High Notes in Singapore? It would be rather sad, if they compensated the HK investors and not the Singapore investors.
Its better to open a banking account in HK and invest through that account rather than in Singapore since investors gets more protection there than here.
ReplyDeleteBesides, the banking system and service standard is far more superior than those in Singapore. I can transact practically everything through the phone or at teller machines without making a trip to the bank, from bills payment to wire transfer with ease. And that was like more than 10 years ago when I was working there!
I am sure they are a lot more efficient today. No wonder HK is always consider the financial hub in Asia, not Singapore.
Compensation for Singapore investors.
ReplyDeleteAnother once in every 50 years type of event.
UPDATE 1-
ReplyDeleteDBS Hong Kong to pay $84 mln in Lehman settlement
http://www.reuters.com/article/idUSTOE66D07H20100714
yeah they should do that to singaporeans as well.
ReplyDeletecompensate singaporeans
hk people can go on street to protest.
singapore cannot but hope government will do the right things.
Main Point is: "eligible to receive the total value of their investment plus interest payable if the money was put in a fixed term deposit. "
ReplyDeleteFrom CNA:
DBS HK unit agrees to pay HK$651m to clients who bought Lehman-linked notes
By Mok Fei Fei | Posted: 14 July 2010 1832 hrs
Photos 1 of 1
Lehman Brothers
SINGAPORE: DBS' Hong Kong unit has agreed to pay out $651 million Hong Kong dollars or about S$115 million to some clients who bought products linked to Lehman Brothers.
Hong Kong authorities said they have reached an agreement with DBS Hong Kong without the lender admitting any liability.
Under the resolution, DBS will pay the money to customers who are classified as having a low to medium risk profile
Depending on the clients' risk profile, they may be eligible to receive the total value of their investment plus interest payable if the money was put in a fixed term deposit.
As for those customers who have a higher risk profile, DBS Hong Kong will review their complaints on a case by case basis.
Some 2,160 accounts of the low risk customers who accept the resolution scheme will receive their investment back together with interest.
Hong Kong's Securities and Futures Commission (SFC) and the Hong Kong Monetary said they consider the resolution reasonable and appropriate.
They added that the agreement is in the public interest
In view of the resolution scheme, the SFC will not take further enforcement action against DBS Hong Kong in relation to the distribution of the Lehman Brothers- related Constellation Notes except where criminal acts took place. - CNA/vm
in hk, they are forced by the regulator whereas here no pressure. so why should they pay, no logic to do so.
ReplyDeletethat is why investors should shift the fund to hk for better protection.
It is easy to bully the local but not in foreign land. Thye may be asked to close down.
ReplyDeleteWith MAS backing and trying to find an escape route.
What happened to investigation into the mis-selling by RMs. No sound no picture? maybe soon people will forget. For all you know these RMs are back in the business of connning.
This should make headlines in Singapore especially notifying those who suffered substantial losses in the HN5 invested through DBS. Why are our media not publicising this in the interest of those aggrieved investors.
ReplyDeleteI wonder what have been the outcome of the class action taken against DBS by HN5 investors There were initial publicity on the class actions but till date no reports on the proceedings or outcome. Strange silence.
Well, MM Lee said that Taiwanese are ruthless and Hong Kongers are shameless, so DBS has no choice, I think. They will fight tooth and nail over their rights.
ReplyDeleteHe also said, in the same interview, that Singaporeans are ignorant, so just use that as an indication of what to expect.
For me, and for those holding the notes, I think those description tells me that he is adding insult to injury, if Singaporean investors are treated less fairly and equally as those in HongKong.
to be fair, a similar report should be release on how much DBS paid local investors.
ReplyDeleteIf not, one can assume DBS is doing the same as the Govt i.e. double standard. Treat locals unfairly as compared to oversea because the overseas people are more vocal and know their rights.
http://www.businesstimes.com.sg/sub/latest/story/0,4574,394897,00.html?
ReplyDeletethe above is printed in the business times today.
Again, like the PMET, we the local are again treated like 2nd Class citizen. No wonder PM still refuse to set a date for election. Another 100,000 foreigners entering the market. More jobless PMET....
Fat hope, DBS and MAS only know how to bully local Singaporeans.
ReplyDeleteNo wonder North Asians say we have no balls.
Just do the right things when election comes. I have already made up my mind.
ReplyDeleteIt is easier to bully your own people, of course with some backing from .... Shame on you DBS, I cannot find any report on this in to-day 's Strait Times???
ReplyDeleteYes, Singaporeans need to exert their rights! Pl take the right & correct action when Election time comes anytime soon. We must show we are capable of making the right judgement & that we are not "ignorant" or "stupid". If you don't take this opportunity to send the right message, don't blame anyone if the Govt in power has decided to exercise "double standard"!!!!!
ReplyDeletearticle can be found at http://www.todayonline.com/PrintEdition/NF in Today's paper on page B2.
ReplyDeleteShame on DBS and MAS. I will also practice double standard. When MP come to my house, shake their hands and smile at them. Come to voting, I will not vote for them.
Come to think about it, after living in Sgp for nearly 50 years, Ahmad Matter came to my house in the 70s and Sin Boon Ann in the late 90s. Both during election campaign. Probably I will have a high chance to meet another between 2010 to 2019. I hope he/she will not be from PAP.....
My mother bought pinnacle notes 7 and is now defaulted. Based on everybody comments. I think she has low chance of getting any money back just because we are Singaporeans. Sigh.....
ReplyDeleteJubilee, High Notes 5 and Pinnacle are all dead. Only Minibond has residue value just because Lehman Brothers was the gurrantor.
ReplyDeleteDBS HK is paying HK investors with interest provided they are low to medium risks investors.
Are you Singaporean?
I guess you are. Too bad, you get nothing. See, being Singaporean has the disadvantage of being screwed by Govt or Govt owned bank.
But it is your mother and your responsibility to vote for Govt in the next election so that we, the citizens of Singapore can continue to be screwed by them. Again and again until the next election.
No need to talk to your MP. Your MP will ask you to go MAS. MAS will ask you to go back to your FI. FI will reject you and ask you to go FIDREC. FIDREC will ask you to go Adjudication by a semi-retire judge and he/she will tell you that it is your fault and you got nothing.
When you reach this point, you will be so exhausted that you ask yourself what's the point to go on?
Then the process stop because you decided to stop.
Come election, being Singaporean, you convince yourself that being safe, peaceful is more important than the lost in Pinnacle. Better not vote against the Govt especially when there is a serial number on the voting paper. Vote them in and get screwed for another 5 years. By then, the process starts all over again.
BY
LIFE OF A SINGAPOREAN....
One obvious reason is that DBS in Hong Kong need to rely on getting a licence to operate, so there is no way they can get away from the problem without addressing the issue.
ReplyDeleteAt home, DBS belongs to the Government, so, what is there to prevent them from treating Singaporeans differently. Renewal of their licence is as sure as the sun rising in the East.
Just like one of the casinos trumpeting their acquisition of their operating licence a month before opening. Can the licence be denied?
I am waiting eagerly for election to do the right things
ReplyDeleteHK investors are fortunate to have their monetary authority negotiating on their behalf. They got a very attractive compensation package. Singapore investors had to jump through fire and hoops and yet got peanuts and some just insults from our authority. And HK supposed to be part of a communist regime!Some democracy we have!
ReplyDeleteWhy do we need so many foreign workers when our own PMETs are finding it so difficult to get a job?
ReplyDeleteThe only jobs they can offer to locals are "cleaners" and security jobs. Low pay and long hours. If we reject they say we are choosy. But how can we compete with youth?
For those who miss the Straits Times Report today on DBS HK Compensation, it is reported in a very small corner of ST & in brief. THAT IS THE IDEA SO THE PUBLIC MISSED IT & AVOID STIRRING UP PUBLIC ANGER LAH. How cunning!
ReplyDelete