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2010 already?!
Time flies eh?
le fin.
Court Records Show Company Owes $25M In Total
Bandar Seri Begawan - Brunei's biggest bankruptcy since Amedeo Corporation went on the block has been put in motion yesterday with a court action against Galfar Pembinaan & Perusahaan (B) Sdn Bhd, one of Sultanate's largest construction companies.
The first to throw the stone against the troubled company, according to an advertisement in the Borneo Bulletin yesterday, is Freme Travel Agency Sdn Bhd, which has sued Galfar for $97,344.53. According to Brunei Supreme Court documents, there are 12 other companies given notice to be present at a winding up proceedings against Galfar. They are owed $25 million in total by the once star performer, court records show.
The largest creditor is Bank Islam Brunei Berhad (as is cited in court documents) to which Galfar is indebted to the tune of $15 million. Others besides the second largest, Baiduri Bank Berhad ($7 million), are mainly building material suppliers and other service providers. A firm called BK Global International Bhd is owed $1.8 million and the rest are smaller figures.
The advertisement of Galfar's bankruptcy petition posted in the Borneo Bulletin yesterday by solicitors, Messrs Sankaran Halim, says that Freme Travel's petition against Galfar is directed to be heard on January 30 next year before the Brunei Supreme Court.
Galfar, a leading construction company in the country involved in various large government projects, is basically a joint venture between local and Oman interests.
A search of the official records reveals the local partner is Haji Roney bin Haji Roslee @ Haji Roni bin Haji Rosli who holds 900,000 shares in the company. The rest, 3,000,000, is held by Sheikh Salim Saeed Hamed Al Fannah Al Araimi and the late Mohamed Rashid Al Araimi. They hold 699,999 shares each, records show.
An Indian national who has business interests in Oman, Dr Haji P Mohammed Ali controls 700,002 shares. The company came to Brunei from Oman well over a decade ago and soon established a name for itself but got into difficulties in recent times until it faced its current problems.
Now the survival of the company is in the courts and in the next move its multiple creditors will make.
The sad state of the company comes in the year that brought with it its full share of calamities both financial and otherwise.
The decision allowed employers and employees to agree on work arrangements if necessity arises. Muscat, Dec 14 (ONA)--- Sheikh Abdullah bin Nasser al Bakri, Manpower Minister today issued a ministerial decision ceasing work at private sector companies and establishments on Saturday December 19th 2009, on the occasion of the Holy Prophet's Hijra Anniversary and the new Hijri year 1431 A.H. All employees of the private sector extended their heartfelt greetings to His Majesty and wished him good health, happiness and a long life and the Omani people welfare and prosperity.
"Sultan bin Hamdoun al Harthy, Chairman of Muscat Municipality and head of the Muscat Festival's organising committee, has announced the cancellation of Muscat Festival 2010. In a statement to Oman News Agency, Al Harthy attributed the cancellation to a government decision to limit instances of public gatherings as a preventive measure to combat the spread of H1N1 virus. Al Harthy noted that Muscat Festival, which is growing into a grand annual event, attracts thousands of visitors from different countries. Hence its cancellation in 2010 would ensure the protection of public health and safety".
Oman is renewing efforts to privatise its electricity sector, after the world financial crisis and lower oil prices delayed the programme and pushed the country’s budget into deficit. Muscat, which 15 years ago became the first Gulf Arab state to allow private investors to develop power plants, in 2006 set a target of selling off all government stakes in electricity projects by this year. But buyers did not step forward as quickly as expected. Now, facing an expected 15 per cent annual increase in its power requirements until 2020, the sultanate plans to increase its electrical generating capacity and strengthen its power grid with 3 billion rials (US$7.8bn) of new projects to be built over the next six years. It hopes private-sector investors will help it foot the bill. (Source)
So I guess all those GE turbines are going to be paid for by some non-Omani companies. Well, I should hazard a guess that unless it's the suppliers (GE in this case) or another Gulf Arab State company, I cant really see the financial benefit of anyone investing into this market. And at the same time it's a constantly rising bill that the Government has to foot each year, so no wonder they want to get shot of it!
The only real method for adequate power generation here in the desert is Nuclear. License it from the French, they're pretty handy with their nuclear power generation. The Americans might even go along with it too, although I'm sure our good friends accross the pond, Iran, might not be too pleased about such a development. Burning hydro-carbons to fuel the nations soaring power requirements is like shooting itself in the foot. Much better to convice Jean-Paul and his chums to come on down and build a nuclear power station or two, and of course operate it and so on and so forth. And Oman are currently in the early stages of building coal fired power stations, to come on stream in 2015. Where's the coal going to come from?
Number 3:
According to the Times of Oman, 9 people have now died as a result of H1N1 here in Oman. (Source) Funny, that. Fellow Omani blogger (with a slight obsession with cows) Dhofari Gucci has been mentioning here and there of poor people who have died down in Salalah. It seem evident that the official numbers do not seem to tally with the unofficial numbers. Hmmm.
Number 4:
Blue City. Well I guess I should share the news here with you all. Blue City's bonds were successfully purchased by Essdar Capital. It is unclear exactly how many of the bonds were purchased, but the news release does not say they purchased all the bonds, just those that were tendered prior to the Expiration Time. I guess time will tell if the money taps are turned back on, but from what I can tell, there is a lot of work under way on site, so good news - I think. More on that soon.
On a final note, the roads are now busier. School started. I think I can hear a collective sigh of relief from parents around town. Unfortunately it now means my 5 minute commute has become a rather unsavoury 8 minute commute. Life can be so hard sometimes ;)
le fin