Worse case scenario ain’t all that….

Today Minister Mentor Lee Kuan Yew gave a talk during a book launch at the school, in which I also participated.

Due to delicate legal matters, and me being particularly averse to corporal punishment, I will let you figure out why I pasted this article, describing today’s event. (note that it was published in Thailand and not in Singapore....)

Bangkok Post, Nov. 3 2006
Lee Kuan Yew defends Shin deal

SingaporeEx-prime minister Lee Kuan Yew said on Friday that a controversial $3.8 billion investment led by state investor Temasek in Thailand's Shin Corp was "above board" and would withstand scrutiny. Temasek Holdings bought a controlling stake in the Thai telecoms firm from the family of former Prime Minister Thaksin Shinawatra in January, and later increased its stake in a tender offer. The deal sparked demonstrations in Bangkok against both Singapore and Thaksin, who was ousted in a military coup in September, and led to investigations into whether Temasek had broken Thailand's foreign ownership laws.

"We're completely above board and we can withstand any investigation," Lee said in response to questions following an address on Friday. Speaking to an audience of university students in Singapore, Lee said Temasek's purchase of Shin was also carried out in accordance with Temasek's strict internal rules.

Temasek is headed by Ho Ching -- who is married to Prime Minister Lee Hsien Loong, the eldest son of Lee Kuan Yew. The Temasek-led consortium which now owns 96 per cent of Shin is sitting on a paper loss of $1.3 billion, following a steep drop in Shin's share price since January.

As Singapore's founding prime minister, Lee led the city-state's transformation from a backwater in the 1960s to Asia's second-wealthiest economy after Japan on a per-capita basis. He said he saw little danger of political corruption. Asked by a student whether Singapore would make any institutional changes to improve accountability, Lee said the country already had sufficient checks and balances. "There are very strict internal rules that make sure that there is absolutely nothing underhand. Otherwise, the system would have collapsed long ago. This system exists on the basis of integrity," he said.

Lee -- who has a powerful position in his son's cabinet -- said Singapore's two state investment agencies, Temasek and the Government Investment Corporation of Singapore, conducted themselves according to internal "checks and balances". "This is our money, we are trustees. We know what we have to do and we're going to do it. We took this country from zero to here, we are not out to take it back to zero," he said. (Agencies)