Drive-Thru Law Firm

As the trite expression goes, "...only in the U.S.A....." That said and, to be fair, the counter is designated for quick document signings and, pick-ups and drop-offs of documents. It is convenient and time-saving.

Sourced from here.

The Drive-Thru at the Kocian Law Firm

We all knew it would come to this eventually. The legal profession — once reserved for studious minds who diligently ponder the most complex moral, ethical, and legal issues of the day — has been reduced to a collection of short-order cooks, who whip up documents instead of eggs and toast.

Actually, that change probably happened many years ago. Generations ago, even. But there is something visual striking about the new Connecticut offices of the Kocian Law Firm. The firm is operating out of an old Kenny Rogers Roasters building. The Kocian lawyers are keeping the drive-thru window — and they’re using it as an easy and efficient way to exchange documents and quick advice with their clients.

Somewhere, Partner Emeritus is crying…

The story comes to us from NBC Connecticut. Here’s how Kocian intends to use the window:

“We have drive-thrus for ATMs and we have that customer convenience. Why not a law firm?” attorney Nick Kocian asked.

Kocian wanted to make things convenient for customers to easily drop off and pick up documents. He has been told this is the first drive-thru legal service in Connecticut and possibly the country.

But it’s not just a pick-up/drop-off service. You’ll also be able to ask questions:

A paralegal operates the window, hands out documents and answers questions.

“They really love it. It’s convenient for them,” said Rosa Castillo, one of the firm’s paralegals.

But, don’t mistake the quick and convenient drive-thru for a firm that’s short on giving customers attention.

I’d tell law students to try to summer at Kocian. Even if they don’t give you an offer, the drive-thru experience could prove invaluable during your next career.

Maybe the visual of receiving legal services at a drive-thru window isn’t so bad? I mean, the legal profession is a service industry. People who don’t want to be involved in a service industry probably shouldn’t go to law school, because they probably won’t make very good attorneys. Practitioners should always be trying to find way to better serve their clients.

But you have to ask yourself, how many years of school do you really need in order to be qualified to work at a place accepts customers at a drive-thru window? If it makes sense to turn law firms into fast food joints, then it would make sense to turn law school into a six week correspondence course.

Specific Snapshots of Budget 2010/2011

* To review existing service tax rates and to generate additional tax revenue for national development, the government proposed the rate on all taxable services to be increased from 5% to 6%, effective Jan 1, 2011.

* Proposed stamp duty exemption of 50% be given on instruments of transfer of residential properties, not exceeding RM350,000 from Jan 1, 2011. Sale and purchase agreements must be executed between Jan 1, 2011 to Dec 31, 2012. Residential property includes terrace houses, condominiums, apartments or flats.

* Stamp duty exemption of 50% be given on loan agreements for residential property priced not exceeding RM350,000.

REIT managers seek waiver of withholding tax

Source: StarBiz

PETALING JAYA: Real estate investment trust (REIT) managers are hoping that the Government will waive the 10% withholding tax for resident and non-resident individuals.

This was to raise the competitiveness of Malaysian REITs (M-REITs) and ensure the successful future launching of a national REIT which would require large foreign participation, they said.

Malaysian REIT Managers Association (MRMA) chairman Stewart LaBrooy said the proposed reduction to nil in withholding tax for resident individuals would enable individual retail investors to partake in the growing REITs industry and create liquidity in the market.

This is in line with the tax exemption accorded to REITs retail investors in Singapore.

Currently, retail investors only form a small component of the unitholders’ spread and MRMA has done roadshows nationwide to create awareness of this new asset class.

LaBrooy said the proposed reduction to nil in withholding tax for non-resident individuals would enable foreign individuals to invest in M-REITs as opposed to investing in other REIT jurisdiction such as Singapore which pays tax-exempt income distribution to foreign individuals.

“For many years, the tax regime for M-REITs has lagged behind our neighbours in Singapore, making the latter a more attractive destination for listings,” he added.

He said the fact that REITs behaved like bonds but traded like equities had placed them unfairly in the equity space rather than the bond space.

“REITs mainly compete with bonds for investors who are typically long in the market but the Government has mandated that only bond dividends are completely exempted from any withholding tax, giving them an unfair advantage over the M-REITs.

“A more attractive withholding tax regime will most definitely spur the industry in the future,” he added.

LaBrooy said resident companies were the only group of investors with no imputed withholding tax. These investors will declare it in their respective books as “investment income”, hence they are subject to the prevailing tax rate of 25%.

He said a reduction in tax rate by 15% would give this segment of investors a big boost and encourage them to “recycle” their capital by injecting their existing assets into REITs and continue to hold their investments in the form of REIT units.

This will further expand the M-REIT industry.

MRMA has also proposed that withholding tax for non-resident companies, which is currently at 25%, be lowered to 10% to be at par with Singapore REITs in order to compete for foreign funds.

This is also to harmonise with the withholding tax applicable for non-resident institutional investors who are enjoying only a 10% withholding tax.

Real Estate and Housing Developers Association Malaysia (Rehda) has urged the Government to launch a National Home Ownership Campaign together with the association as the accredited agent.

This is to promote affordable home ownership among the people.

The incentives can include stamp duty waiver, reduced home loan rates by financing institutions, discounted legal fees by Bar Council and mortgage-reducing term-assurance insurance premium.

Rehda president Datuk Michael Yam said the campaign would help promote affordable home ownership to the bottom 40% households and advocate a “one family one house” concept for this target group.

He said a first-time home buyers’ grant should be introduced on a percentage basis of 5% with a grant cap or ceiling price of RM25,000.

On the real-property gains tax, which was re-introduced in January at a flat rate of 5% for all property sales within five years of purchase, Rehda appealed to the Government to not make any further changes in the coming budget “as it would only otherwise serve to reaffirm the perception of the Government’s flip-flop policies lacking in consistency and certainty.”

Four directors plead not guilty to 796 money laundering charges

Source: The Star

KUALA LUMPUR: Three directors and a former director of gold investment scheme company Genneva Sdn Bhd pleaded not guilty Thursday to a total of 796 money laundering charges involving millions of ringgit.

Ng Poh Weng, 60, is facing 263 money laundering charges involving RM185 mil while Marcus Yee Yuen Seng, 58, faces 234 charges involving RM153mil.

Chin Wai Leong, 34, faces 210 charges involving RM212mil while Liew Chee Wah, 56, faces 89 charges involving RM31mil.

The four were alleged to have issued and cashed 364 cheques from illegal proceeds at a bank in Jalan Ampang here, between July 20, 2007 and Dec 6 last year.

According to a Bank Negara senior official, the cheques were used for various offences, including buying gold, payment to investors and remitting cash to their company's branches abroad. The official said RM20mil in cash and RM3mil in gold belonging to the Kuala Lumpur-based company have been frozen.

When the charges were read to the four in dock Thursday, they appeared composed.

DPP Mohd Haziq Razali applied to the court to set bail at RM4mil for each accused, saying the offences were non-bailable and involved a higher transaction.

Pleading for lower bail, lead counsel K.K. Wong, who acted for Ng, Yee and Chin, said his clients were willing to report to the Bank Negara investigating officer once a month pending disposal of the case.

Wong said since Bank Negara had also frozen their personal and company accounts, there was no risk of them fleeing the country.

"The company has business dealings in Singapore, Hong Kong and the Republic of China," he said, adding that if the accused could not post bail, it would result in the "death" of the three companies abroad and affect their 2,000 clients.

Lawyer Keppy Wong, who represented Liew, said his client had resigned from the post last March and has no previous convictions.

He said Liew had co-operated with Bank Negara since investigations started last year.

Sessions Court judge Rozana Ali Yusoff set bail at RM1mil in two sureties for Ng, Yee and Chin and allowed RM800,000 bail for Liew, saying that it was in view of the rampancy of such offences.

She ordered the four to surrender their passports.

The judge also allowed for a joint-trial and set Nov 16 for mention.

OSK-UOB launches first gaming fund

An interesting unit trust fund is in the process of being launched. With a specific focus on the gaming and hospitality sector, this unit trust fund has identified the gaming sector as a key growth sector given its strong revenue streams and general profitability.

KUALA LUMPUR (Oct 5, 2010): OSK-UOB Unit Trust Management Berhad has launched the first gaming and hospitality fund in the unit trust sector in Malaysia to tap into the anticipated growing demand for such investment products.

Chief executive officer Ho Seng Yee said OSK-UOB Capital Protected Asia Gaming & Hospitality Fund was introduced on the back of global economic recovery and consumer confidence.

He said the four-year close-ended capital-protected fund aims to provide regular income over a medium term period whilst protecting investors’ capital on the maturity date.

The fund’s principal strategy is to invest an indicative 87% to 90% of the capital raised in zero coupon negotiable instruments of deposits to accord the capital protection and the remainder invested in a four-year over-the-counter option.

The underlying assets of the option is a basket of companies comprising four gaming and hospitality companies’ stocks in Macau and Singapore. They are Wynn Macau Ltd, SJM Holdings Ltd, Genting Singapore PLC and Sands China Ltd.

"The option is structured to take advantage of the growth potential, vibrant and resilient gaming and hospitality sector that we believe will perform strongly and give the sought for good returns," said Ho, adding that there will be an 8% annual coupon if performance of all underlying stocks are at or greater than the initial price.

The initial approved fund size is 100 million units at RM1 each with minimum investment amount at RM1,000. The offer period will run from Oct 5, 2010 till Nov 18, 2010 and Ho is confident of the fund being fully subscribed.

Speaking at the launch of the fund, Ho said: "With the Asian economies leading in the run-up to the global economic recovery, we expect the gaming, entertainment and hospitality sector to be one of the beneficiaries positioned for growth."

He said the fund would enable investors to capitalise on the expected growth of the gaming and hospitality sector in the Asian region, particularly in Macau and Singapore.

Ho said the fund is expected to benefit from China’s rapid expansion and the increasing affluence of Chinese consumers.

"Although in its infancy stage, Singapore’s gaming industry has been positioned to take advantage of immediate demands from its neighbouring countries including Thailand, India, Indonesia and Malaysia. In addition, the Singapore authorities have also shown commitment to making Singapore a favourable destination due to the benefits to its economy and tourism sectors," said Ho.

"Hence for investors who wish to diversify or add-on to their investment portfolio some exposure to the gaming, entertainment and hospitality sector, we now offer to them this fund." — theSun

Seaweed investors file RM26 million lawsuit

The following news report is an example of how investment schemes that have not gone through regulatory scrutiny can go seriously wrong for innocent investors. The need for the Malaysian public to ensure that they only invest in investment schemes approved by regulatory bodies such as the Companies Commission of Malaysia, Securities Commission, Bank Negara Malaysia or Suruhanjaya Koperasi Malaysia cannot be emphasised enough.

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IPOH, Sept 30 — Seven investors in a seaweed business representing 2,000-odd investors in Perak who claimed to have been deceived to invest in the venture since 2007, today filed a suit at the High Court here to get a full refund of their investment totalling RM26 million.

They named four companies, Fresh Palms Sdn Bhd, A.K United Sdn Bhd, Genuine Starlight Sdn Bhd and Loyal Sunrich Sdn Bhd, and two individuals P.G.P Nathan, 39, and Choi Kok Peng, 45, as the defendants.

The suit was filed through the law firm of N.P Ramachandran & Associates at the High Court Registrar’s Office at 9.30am. Nathan is a director of Genuine Starlight and Loyal Sunrich while Choi is a member of the Board of Directors of Fresh Palms and A.K United.

The seven plaintiffs — P. William Rajah, 34, Chong Pek Kuon, 36, R. Edwin, 48, Abu Bakar Maidin, 52, S. Nathan, 56, M. Gunaballan, 58 dan P.K Pathmanathan, 58 — claimed to be representing the 2,000-odd investors who had suffered losses after investing in the seaweed business, which was conducted in Semporna, Sabah.

They claimed that the fifth and sixth defendants (Nathan and Choi) had cheated them by claiming hefty returns awaited legal investors of the venture.

They also claimed that Nathan had made a representation that each invested lot would receive a revenue three times the value of the investment within six months, with each lot initially priced at RM3,300, but was later increased to RM6,900.

The plaintiffs also claimed that investors who invested more than five lots were promised a holiday package overseas, while those who introduced a friend to invest in the venture would be given a commission.

Choi was also alleged to have promised a revenue three times the value of the investment, besides an investment certificate from VOIPCOM USA Inc, a United States-based company which allegedly agreed to carry out the project.

The plaintiffs claimed that because of the assurance given by the defendants, they had invested a total of RM25,826,800 between February 2007 and November 2008.

They are now seeking a full refund of the investment money, eight per cent interest, costs and other relief deemed fit by the court.