Saturday, October 31, 2009

Trouble bru-ing at SME Bank?

3/11/09 Read also, SME Bang!
with updates ...

The SME Bank
is in dire need of a total shake-up, people in the banking sector have been telling me. It suffers from high NPL, major losses due to bad investment decisions, and high turnover. This has affected bottom line and hampered the bank's goal of helping SMEs, especially the Bumi ones. Profits stated in SME Bank's accounts are cosmetic and not derived from the bank's core business.

When the contract of the bank's Managing Director ended last month, these concerned people in the banking sector sighed in relief and allowed themselves to hope that changes were imminent.

But now they hear that the government may renew the contract of the well-connected ex-MD, who still comes to the office and behaves as if he's still the Boss even though his contract has been terminated. This ex-MD, I hear, has recommended himself highly for an extension and is using his powerful cables that go right up to a former MoF ll to ensure the job doesn't go to anyone else.

Certainly something to watch closely in the coming weeks.

Notes on merger-demerger: The SME Bank is a product of an acquisition exercise of Bank Industri by Bank Pembangunan. The idea, which was mooted by the MoF 2 during the Badawi administration, was for the SME Bank to continue the role of Bank Pembagunan. But it was an idea not well thought of and after just 3 years, the government was forced to demerge SME Bank from Bank Pembagunan. This merge-then-demerge exercise was very costly, needless to say, not least for the Bumiputera business community these institutions were supposed to be assisting. In the event of a shake-up, according to the people in the banking sector I spoke to, the government should consider going back to basics i.e. return the original roles of these institutions as envisioned by the Razak administration.

Read immediate commentary at
h e r e.


  1. Anonymous11:05 pm


    Every tax payer knew ma.. that, SME Bank, SME Corp, FIC(MITI) etc are the Santa Clauss Agencies to prop up the various Malaysians Pseudo-Industrialists.

    Prof Awe Kecik

  2. Anonymous11:06 pm



    Kira-kira 50 anggota Pemuda Gerakan berdemonstrasi membantah kenyataan ahli parlimen BN Seri Gading Datuk Mohamad Aziz yang meminta presiden parti itu Tan sri Koh Tsu Koon berundur daripada kabinet atas alasan gagal menunjukkan prestasi yang baik.

    Diketuai timbalannya, Oh Teong Keong, mereka berkumpul di lobi bangunan PGRM di Cheras – tempat Gerakan mengadakan persidangan tahunannya.

    Mereka turut membawa beberapa sepanduk dan kain rentang, selain melaungkan jeritan anti-Mohamad.

    Kumpulan itu menuntut BN supaya mengambil tindakan tegas terhadap Mohamad kerana didakwa membuat kekacauaan dalam parti sendiri.

    Ditemui media selepas demonstrasi itu, Oh berkata, dewan tertinggi BN patut mengambil tindakan tegas terhadap wakil rakyat Umno itu.

    “Umno dan Gerakan sama-sama parti komponen dalam BN. Mohamad tidak patut mengguris perasaan rakan sendiri.

    “Kami harap dewan tertinggi BN dalam mengambil tindakan terhadap beliau,” katanya.

    Sementara itu, bercakap dalam sidang media selepas merasmikan persidangan tahunan sayap Gerakan itu, timbalan presiden parti itu, Datuk Chang Ko Youn meminta ahli parti itu supaya tidak terlalu memikirkan kenyataan Mohamad kerana banyak lagi isu lain yang perlu ditangani.

    Bercakap dalam sesi yang sama, ketua wanitanya, Datuk Tan Lian Hoe pula mengingatkan supaya semua ahli dalam komponen BN tidak mewujudkan persengketaan terbuka sesama parti dalam BN.

    “Apa terjadi dalam parti komponen BN akan jejaskan parti lain. Sebagai keluarga besar, tindak-tanduk harus dijaja. Jangan berkelahi secara terbuka,” katanya

  3. mmmmm.....ada kerje kosong ke...

  4. Thanks for this posting, bro. It gave me idea to write something on SME Bank..

    Read it at

  5. AZman1:40 am

    Dear Rocky,
    Please don't listen to those bad rumors. Datuk Azmi is such a humble person and he tried very hard to help the industry. Please spend time talking to him to understand the problem facing the small-medium business.

  6. NO to Noni Nona3:06 am


    When Abdullah Badawi announced a package of RM2 billion entrepreneurs fund, he had alloted for his family ier late Hendon and Kepala Batas side some RM0.5 billion of the said fund.

    The Abdullah appointed CEO and top few bosses is together on this.

  7. Hmm..know the bank so well and there are quite a bit of unmentionables... since they are such, I cannot mention them!

    Peace !

  8. Anonymous7:13 am


    If it was not for Nazir, CIMB would be saddled wth this problem too. He was in CIMB before the new team (blood) took over and transformed CIMB into what it is today. May be SME bank needs that too.

    Robert de Niro

  9. Anonymous7:24 am

    Mr Rocky,

    Betuii lah hang cakap ni. Masalah usahawan bumiputera ni dah lama semua tahu..cuma big boss ni tak tahu apa depa buat....ada habang big boss ni ada banyak confusion..pasai tulah bank ni ada problem ..awat kerajaan suka letak org yang confusion?

  10. Anonymous7:32 am


    Ini zaman KPI lah brader. Bodowee was also a humble PM and tried very hard to help the rakyat....

    Semangkol 007

  11. Anonymous7:44 am

    Rocky Rocks!

    this is very enlightening. but dont the regulators determine that? if not where's the transparency?

    Najib, what do you hv to say? SME bank is owned by MOF, right?

    Dont just talk. Must walk the talk too!!

    Indiana Jones

  12. Anonymous7:48 am


    Hmmm.....another of former MOF II's doing? Need we say more?

    Chan Ma Li Chan

  13. Anonymous7:53 am


    Former MOF II still very powerful in MOF, ah.....

    Does this mean KPI is not applicable to bosses of GLCs??

    Asking only.....

    Lopez de Sequiera

  14. Anonymous8:07 am

    Aku pun x bank officer, very experienced, rendah diri, memang nak tolong sangat usahawan melayu.

    Boleh kan dapat kerja kosong tu kat SME bank?

    Dato Seri K

  15. Anonymous10:18 am

    When MOF II was in the wilderness after the forex losses at BNM and was trying to participate in the KLSE through Mun Loong, he was assisted by this friendly banker.

    Millions were lost by MOF II but liability for the loans was hidden and eventually written off.

    Hence the unwavering support from MOF II every since.

    Thats the way our country works!


  16. Anonymous10:26 am


    "This ex-MD, I hear, has recommended himself highly for an extension and is using his powerful cables that go right up to a former MoF ll to ensure the job doesn't go to anyone else."

    Err...that MOFII would be Nor Mohd Yakob the Black Midas. Anything and everything he touches turns to arang dust. This is just another example. Yes the two Banks were merged under the time of Bodowi when Nor Yakob was the MOF II.

    And from what you say he is still messing things up.

    Bodowi appointed Black Midas to the job because Bodowi wanted someone who would listen to orders. But why is Najib so stupid to keep this fellow in the Cabinet? One after another screw up..

    Could it be true..Melayu ni memang bod***?

  17. Anonymous10:33 am

    Former MoF 11 mus be using this to finance his projects and get commissions for project financing.

  18. TU LAH

  19. Anonymous12:03 pm


    Heard from the grapevine that this MD is using connections wth the kuncu-kuncu of former MOF II at MOF and his management at the Bank (who are said to be a bunch of goons) to support his stay.

    Dont know how far this story goes...

    Anyhow, Malaysia Boleh!!

    Maideen McArthur Abdullah

  20. Anonymous3:11 pm


    you ni member kamceng exMD ni ke ? atau client bank yang tengah tunggu loan kena approve?

    i also humble you know. so u think i can run the bank or not? because i semangat melayu also. my muka also like melayu.

    Tun Mutahir

  21. Anonymous3:30 pm

    lantak korang la...komen memang mantap cuba laksanakan...baru tau!!!!!!!! langit tu tinggi ke rendah...

  22. Anonymous3:41 pm

    Brother Rocky,

    Nasib baik aku belah lepas MD ini masuk. Aku ingat commercial banker, ex CEO terror. Gaya macam terror. Rupanya tak terror.

    Kesian member di SME Bank dapat kapten yang tak tahu baca kompas.

    Betul jangkaan aku. SME Bank masih terapung walaupun lepas 4 tahun.

    Tunggu apa lagi Big Brother

    - Mat Hansem

  23. Anonymous3:49 pm

    ..but i think that MD ok apa....brilliant..
    always think help B, but B doesnt want to help themselves...

  24. Anonymous4:07 pm

    Anon 3.30pm,

    Jangan lah sensitif. Betul juga cakap lu "cuba laksanakan...baru tahu...langit tinggi rendah"

    Jadi mungkin kena cuba dengan org baru yang mungkin boleh laksanakan...belum cuba belum tahu...pasal yang lama terbukti tak dapat laksanakan...walaupun menurut komen-komen mengatakan dah cuba tapi tak berjaya...jadi kena bagi laluan lah kepada yang lain yang mungkin dapat memberikan nafas baru..

    Jangan marah anon 3.30pm. Gua rasa lu sama bendera dengan MD itu.

    Gua sekadar memberi komen untuk kebaikan semua...

    Gua pun Melayu. Gua pun usahawan.

    Freedom Fighter

  25. Anonymous7:02 pm

    God! Malaysia certainly needs help if GLC CEOs like that are called "brilliant". Wonder how their "average" are like.

    Brilliant CEOs are proven thru performance (theirs and the companies').

    Nazir, Idris Jala, Tony. Those are brilliant CEOs.

    Anonymous 3.49pm. Where are you from? Timbuktu?

    Bill Gates Jr

  26. Anonymous7:20 pm

    SME banyak membantu syarikat-syarikta kecil dan sederhana yang kebanyakkannya gagal perolehi pinjaman dari bank komersil. Dengan objektif begitu, seringkali ianya memberi pinjaman kepada projek-projek yang tidak dapat menampung pembayaran. Ianya memyebabkan bank SME macam tenggelam timbul. Tambahkan lsgi dengan pengusaha syarikat yang tak nak bayar.

    Elok juga SME terbitkan nama mereka yang tak bayar ni untuk pengetahuan umum.


  27. Anonymous9:00 pm


    1.what was the performance of Bank Pembangunan prior to the merger in assisting Bumi SMEs? was it worse or better than what SME Bank is doing?

    2.If it were better, then why the hell did this Black Midas did what he did?

    3. Did other CEOs of Bank Pembangunan (prior to the merger) performed badly in assisting Bumi SMEs?
    May be not. Otherwise Bank Pembangunan would not be in existence to this day.

    Hence, it is not impossible to assist Bumi SMEs. May be this MD just does not know how. Shouldnt blame him but blame those who put him there and those who still want him there regardless.

    ZZ Top

  28. 'Semangkok' dan 'Tun Mutahir', korang ingat nak run bank ni macam isi memandu kereta ke? isi minyak kereta, boleh terus jalan.

    just so u know, aku takde kena mengena dengan dtk azmi.

    ambil contoh mudah laa... tengok berapa ramai orang nak buat pinjaman kat sme bank, nak buat berniaga. beribu-ribu tiap-tiap bulan nak kena proses application.

    dah tu, sme bank ni peranan dia lain, bukan macam bank komersial bank yang lain. kerajaan dah bagi peranan pada bank ni nak tolong peniaga yang nak mula bertapak dan tengah menapak. kalau bank cinapek lain, hah, korang nak pinjam 1 juta? letak laa 1 juta cagaran.

    habis tu, kalau korang rasa bank sme ni tak buat kerja, pergi lah bank lain. TETAPI... kenapa ramai lagi orang masih buat permohonan kat SME Bank? fikirlah sendiri.

    SME Bank pun ada buat bangunan kilang sendiri, bagi sewa murah pada peniaga yang nak buat bisnes. dia pun cuba secara yang terdaya sebagai sebuah bank lah nak bantu peniaga.

    macamanapun, bank tetap bank, dia kena calculate risk jugak, bukan main hentam je bagi kat sesapa.

    tapi, tu lah, kadang-kadang(boleh kata banyak laa), peniaga ni bila bank bagi peluang kat dia, dia tak advantage, mulalah liat nak bayar, macam-macam alasan. sebab itu NPL tinggi.

    so brader, kalau korang berdua duduk di kerusi MD tu, apa perancangan korang untuk bank? cakap memang senang laa nak KPI laa apa laa.

    jadi, kesimpulannya, jangan jadi orang yang munafik. jangan tau nak mengata kat orang saja, cermin diri sendiri, tengok apa yang kita buat ni lebih bagus sangat ke dari orang lain.

    terima kasih.

  29. Anonymous5:27 am

    dear rocky, posting re sme bank is long ovwerdue. let me relate to you my experience, firstly they said that applications will be evaluated within 90 days., ya allah!!!, what do they do the rest of the 89 days??.90 days, some of the applicants could have already dropped dead or the business opportunity would have passed by???. then they want this paperwork, that, saddling the applicants who are small entrepreneurs with unnecessary paperwork. smes criterias seem s to be paperwork and paperwork, you need a printing company to apply for sme bank loan. i don't care much about the ripping off as its just another one of a long list by the powers that be but my bone of contention is that they are suppose to HELP small entrepreneurs AND NOT PUT ON MORE BARRIERS. THE WHOLE BANK NEEDS A REVAMP. PERHAPS LET CIMB OR PUBLIC BANK TAKE OVER. LONG OVERDUE ROCKY!!!

  30. Anonymous7:30 am


    As a rakyat. We want to see results.

    From what we know Bank Pembangunan (before the merger)did well in assisting Bumiputera SMEs. The factories, trainings for SMes and successful entrepreneurs were introduced by it.

    It did well through the years that it was entrusted in 1999 to undertake a new task - intrastructure projects of the country and became Bank Pembangunan & Infrastruktur.

    After the merger, this new bank that has undertaken its role has not been able to do well.

    Why is that so when Bank Pembangunan then could do it and did so without complaining?


  31. Anonymous9:14 am

    Bill Gate Jr

    of coz brilliant. thts y govt put him there. I know larrr berbnding ngan sapa2 ntah yg dicdgkan. i hope he still cont' his job there.
    but yeah sometimes we need to change..we called transformation. U think if we change MD that Bank will growup...???

    if u feel want have some buss now, go there apply for openup new buss. then u know...

    to mat hensem..bersyukurlah ko bertapak kt situ dpt pegi tempat lain.....

    i agree with azman..

    igt senang nk bantu usahawan bumiputra..tambahan yg br nk bertapak...

  32. Anonymous9:46 am

    Bro AZman...i like that

  33. Anonymous10:10 am

    Brother Rocky,

    I would like to share some insights.... I have worked with a few GLCs or Government Agencies which was under the purview of the former MEcD in the capacity of consultant. Sometimes I pity the officers/executives inside these organizations. I am not saying everything is all hunky dory.

    If anyone is to be blamed it is the political masters that these people have to answer to especially if they start getting surat "wahyu" which is how all these crap starts anyway.

    Even for me, I had a choice of paying my way into SME panel or wait out and prove on merit and I made a choice of doing the latter. Believe me it took four long years. Anyway once I was in I understood the position these people are in and let me reiterate not all of them are bad apples.

    My mantra with them is "Lets hold our Amanah" You trust me to give the best to you as your panel consultant that I would hold you to the same that we work together to support your business objectives which is to build the bumiputra SME/SMI.

    Like I have said before, if we have enough people holding on this amanah and be answerable to the "political master" who resides on the seventh heaven instead of Putrajaya than we call hold steadfast and believe that what we do is the right thing and make a difference.

    There is enough of us who are not overt working the best we can. We just need more and band together and change the tide for good.

    Just to share with you another thought...Are we as a nation so corrupted that we need to establish Integrity Institute? This was a question that I posed to the participants that was in the course I was facilitating last week and is there such thing as First grade integrity or second grade integrity?

    The answer is no because on the same principle as there is no such thing half halal or half haram. Ridiculous isn't it? Having to teach integrity? Either you have it or you don't.

    Keturunan Jebat.

  34. Bro, the bank is very helpful becoz it really helps our local entrepreneur that for sure the rate of succeed just only 50% although most of the staff BPIMB disagree to merge with Bank Industry becoz BI is product of failure. but wat to do Bodowi also one some legacy and touched Tun Razak legacy the succeed of Bank Pembangunan. MD is respective man but the problem is he does not want to change a modern way working culture, resist new ideas, maintain status quo and let the cronies uncontrollable. I wish somebody like the old clean Datuk Rahim (new blood) to be in this bank.

    One more thing for the critics, commercial bank never help the small SME. They only think to bankrupt and blacklist people once the due is more than 3 months. Therefore CIMB or Public Bank is partly useless.

  35. Chinese small time businesses like mine is so pissed off with these so called SME Bank and their soft loans that we just do not care what the PM says about helping the SMEs anymore.
    I had applied before and the whole loan package was returned to me after 4 weeks. They don't even have the courtesy of calling me up and see if there's anyway they can help.
    The same loan package was applied to Public Bank and Alliance Bank, we got approved trade lines and term loans amounting to more than RM 1.0m.

    So much for these SME Bank or SOFT Loans.


  36. Thanks bro for recommending your readers to read my commentary on borrowing money from SME bank..

  37. Anonymous11:04 pm


    Go back to basics and understand the spirit of Razak's legacy. You wont go wrong. Ask Salim, Feisal and Nik.

    The Pioneers

  38. Anonymous11:41 pm

    No to Noni Nona, these CEOs were not appointed on merit or for their brains? tsk tsk tsk

    AA, "friendly banker" but not "bank friendly"?

    Make Love Not War

  39. ameer z12:25 am

    My advise as a banker (Commercial Banking) better change top management, old2 man yang sit do nothing at SME Bank tu, just waste money to pay their salary but no direction at all (habuk pun tarak).Is no point to hire very..very..good employee (A+ workers)to work under them, trust me.. not even 4 years but 100 years also will be no changes. Kick off ALL old2 man and old2 lady that still sitting at top management, hire new bosses from commercial banking to replace every dept and am very very sure that SME Bank can improve much more better from current situation.

    Ameer Z

  40. Anonymous12:32 am

    plse change all top management to new people, do not change one, CHANGE ALL...hire from commercial banking sure got a lot lot lot of difference..


  41. Anonymous3:09 pm

    dear zeff,
    if u do not know the role of DFI such as SME Bank pls don't talk la. saya pernah direject oleh comm bank krn tak de track record krn baru nak mula. but sme bank apprpved it. and now l have got 2 nd loan from them. siapa kata top mgt mereka tak pandai. yang tak pandai hanya Rocky sebab dia pandai komen tp tak pandai beri solution.

  42. Anonymous3:53 pm

    Dear Zeff,

    Bro please don't write non-sense if you don't have the statistic. Want to ask you, how many start-up with no securities, small money for contribution, no track record and no current account being developed and groomed by this so call champion from commercial Bank?

    I'm sure their statistic cannot challange SME Bank!!!!!.

    Also like Rocky, pandai komen aje tapi tak pandai nak bagi solution. Namanya komen tak membina. Adik beradik memfitnah namanya.

    Anti Fitnah

  43. Anonymous10:03 pm


    membangun bersama...

    sme hub pks 2010...

    cekap.. profesional.. adil.. telus..

    ini yang aku selalu dengar di sme bank.
    aku tak nak komen lebih-lebih.
    aku pun mencari rezeki di bank ini.
    cuma aku nak jelaskan yang SME Bank perlukan perubahan yang drastik.

    perubahan yang dimaksudkan adalah dari segi tingkah laku, pemikiran serta yang penting adalah budaya kerja.

    bagi aku budaya kerja di SME adalah budaya kerja orang lama. pemikiran pun di takuk lama. langsung tak nak terima idea orang baru/muda. yang tahu hanyalah mengarahkan kerja. menuding jari kepada orang bawahan bila sesuatu masalah timbul. hanya menyalahkan... bukan mencari jalan penyelesaian.

    SME (Sukati Makbapak Engkau) Bank..

  44. Anonymous10:57 pm

    Get your facts right first before menulis, basic 101 journalist. Jangan main tulis ikut mulut saja.

    Jangan la asyik nak menabur fitnah saja. Baik pergi masjid bertaubat. Kesian nye orang yg mengutuk dan menfitnah ni, dunia akhirat tak dapat.

  45. Anonymous10:03 am

    yo! apa susah....sme tarak ems,rbh,cmbi alak oiiiii!
    sekalang angkat RM2000 wa kasi RM1500cash!


  46. Anonymous12:23 pm

    Dear Rocky and also to all (yg kaki kutuk),

    Dari mengutuk baik la pergi cari jalan nak menolong. Better still, pergi apply kat kerja kat Bank tu, MD pun takpe kalau layak.

    Ex-MD tu tak perlu duit dah, dia masuk SME pun sebab nak tolong melayu (cuma masalah nya, ramai tak sedar diri). Dia tak perlu nak kerja pun, cuma sebab favor...!!

    Kepada kita semua yang masih tergapai2 (termasuk aku), baik bekerja dan cari rezeki. Hidup masa depan kita ni tak tentu lagi... ex-MD to dah achieve life goal. Kita????????

  47. Anonymous8:06 pm


    Management SME Bank zaman Dato' Azmi kalau dikatakan sekarang di bawah Dato' Razif ni lebih teruk....

    Untuk Azman, komen tuan mmg superb dan benar-benar belaka...utk yang comment..kebebasan bersuara what? go for it...

    Di sini ada sebahagian petikan luahan utk santapan kita ...hahaha

    "Talkin untuk SME Bank"

    Umum mengetahui (terutama usahawan..bukan orang awam) bahawa Bank Perusahaan Kecil & Sederhana Malaysia Berhad atau SME Bank merupakan sebuah bank yang diwujudkan bagi membantu usahawan dalam menjayakan agenda kerajaan dalam meningkatkan bilangan usahawan terutama sekali usahawan bumiputera.

    Meskipun demikian, sejak akhir-akhir ini kami para usahawan nampak seolah-olah SME Bank semakin sayu dan layu….ada antara kami berdesas desus bahawa SME Bank tenggelam dek promosi gah dan besar besaran SME Corp (dah tak bagi geran lagi dah..) yang menyebabkan usahawan baru TERKELIRU dan menyatakan SME Corp itulah SME Bank…..dan ada juga antara kami yang dapat menghidu bahawa kesayuan dan kelayuan SME Bank ini bermula dengan pengurusan baru yang diterajui oleh Datuk Mohd Radzif Mohd Yunus……dan ia menjadi lebih parah lagi apabila belanjawan tahun 2011 yang dibentangkan pada tahun 2010 tidak ada peruntukan sesen pun untuk SME Bank? Apa sudah jadi?

    the complete version, sila jenguk sekejap di

  48. Anonymous11:03 pm

    dear all..

    mungkin banyak pendapat (baik dan buruk) dari kalian semua..

    tp yg pasti kewujudan sme bank adalah utk membantu usahawan2 yg memerlukan bantuan, pertolongan dan khidmat nasihat sme bank..

    utk menjadi terbaik dan memuaskan hati semua pihak amat sukar..
    tp kementerian, bnm dan pengurusan utama bank telah membuat keputusan yang paling terbaik demi para uahawan dan pekerja.

    usahawan mengharapkan permohonan diluluskan, namun realitinya kelulusan adalah bergantung kepada dayamaju projek..

    para pekerja mengharapkan bonus dan kenaikan gaji, namun realitinya perlu menerima tawaran gaji yg rendah berbanding lain2 institusi kewangan..
    janji rezeki halal..

    kite semua mengharapkan pengurusan utama bank ditukar..namun realitinya kite tak dapat menjanjikan dengan pertukaran tersebut akan mengubah sme bank secara drastik kepada yg lebih baik..
    n realitinya kite semua memerlukan masa utk menghadapi dan memberikan yg terbaik kepada para usahawan dan pekerja..

    mungkin hanya org yg memikul beban tersebut mengetahui keadaan sebenar berbanding org yg memandang..

    mungkin pengurusan utama dan pekerja yg lebih ketahui berbanding para usahawan dan org awam..

    apapun mandat kementerian dan bnm kepada sme bank akan terus dipikul demi memajukan usahawan2 dan terus bersaing di dunia realiti..

    utk para pekerja sme bank..keep up ur good job..
    utk para usahawan..teruskan perjuangan anda dan teruskan menyokong sme bank sebagaimana sme bank menyokong anda..

    utk semua..
    andai anda tidak mampu utk membantu sme bank atau para usahawan, cukuplah sekadar harapan dan doa kalian utk sme bank terus berdiri membantu para usahawan dan mencapai mandat negara.