The sudden postponement of the scheme to privatise the National Heart Institute (IJN) suggests that the government under-estimated the depth of public opposition to the move.
The postponement comes just a day after Najib revealed that the green light had been given to Sime Darby to acquire a majority stake.
The Umno elite appear to be out of touch not only with the masses but also with their own BN component parties such as the MCA, which is opposing the privatisation. Or were they just testing the waters (to gauge public reaction), as some of you suggest?
To me, the real heroes are the 33 IJN specialists (out of a total of 35) who stood up to oppose the move. Their stand is all the more commendable as chances are they would have stood to gain in terms of a more lucrative pay package. It is great to know there are public-spirited specialists in Malaysia, for whom money is not everything – something which the corporate predators find hard to understand.
So far, no real credible rationale has been given for wanting to hand over IJN to Sime Darby on a silver platter. If the government lacks funds for IJN, how will it help if Sime Darby takes over? (Amazing the government has plenty of funds to send an angkasawan into space and think of buying Eurocopters.)
Sime Darby is not going to pump in money into IJN for nothing. To recover their investment cost, eventually they will have to raise patients’ fees or focus on “medical tourism” – at the expense of the many poor Malaysians who need proper and affordable health care.
This is what Sime Darby has in mind for IJN (from The Edge):
Ahmad Zubir cited IJN’s brand and reputation, the institute’s full-paying patients, the synergies, vast opportunities in the sector, and the group’s overall healthcare plan, including the lucrative medical tourism segment, as the commercial reasons for the proposed acquisition.
“There is demand from overseas,” he said, adding that he did not believe medical tourism contributed significantly to IJN’s business now. He said IJN would be part of an aggressive plan that would see Sime Darby Healthcare and IJN widen their reach in the domestic and regional markets for the brands and their staff.
This is the same Sime Darby that pulled out from financing the Bakun undersea cables. Why couldn’t it raise financing and pump in money there (not that the Bakun undersea cables make economic sense) when the government needed it to? Why does it prefer IJN? Now that commodity prices have slumped, perhaps it is seeking a “safe haven” to invest in. What safer haven then controlling the potentially lucrative “market” for coronary health care, the company must have thought. No fear of falling demand there – as people will be forced to cough up if their lives are at stake.
Najib says the postponement of the deal has nothing to do with the by-election in Kuala Terengganu. Right, sure. Had the deal not been postponed, this issue alone could have been explosive and caused the BN all sorts of problems in the by-election campaign. The opposition would have gone to town with it and torn the BN campaign to shreds – and rightly so.
It is interesting to see the criticism by certain Pakatan leaders of the IJN privatisation.
On the one hand, the Pakatan leaders are opposing the IJN privatisation because it will undermine the public health care system and hurt the lower-income group.
On the other, the Pakatan-ruled states are themselves promoting medical tourism – which lures experienced doctors and specialists away from the general hospitals, including those in rural areas and smaller towns, and undermines the public health care system. (That leaves our general hospitals, which treat the vast majority of Malaysian patients, desperately short of specialists, experienced doctors and skilled personnel.) But then, isn’t this the same sort of medical tourism which Sime Darby envisages for IJN?
So it’s a bit rich for the Pakatan MPs to criticise the IJN privatisation on the one hand while actively promoting medical tourism on the other!
Anil, I think the UMNO elite are not out of touch, but rather trying their luck, if they can push this sh%$ up the wall and there is no noise from the public and staff of IJN then its a bloodless coup for the cronies. At this time, almost all UMNO elite are in a State of Denial. As far as they are concerned, they have not done anything wrong, and it is the Barisan Rakyat and Pakatan Rakyat that have poisoned the minds of the voters. That is why they continue using brute force against the interests of the rakyat, whether physical, emotional or psychological brute force.
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ok you want to criticize the pakatan states, go ahead, but when you critisize how about giving your opinion- how about a solution also, not just ketok only, as according to you, lets see, you say that pakatan also is promoting medical tourism,, are pakatan state govts buying over govt hospitals, are they building private hospitals which need staffing,NO they are promoting what was already there, when they came into office, to make pakatan states more lucrative to tourists, unlike our federally funded tourism ministry which is more in the business of losing money and getting involved in dubious deals not on their charter and also with dubious people.
your slant of criticising the pakatan states is healthy but not everyday you ketuk, until people get the impression that they are a bunch of crooks like those of BN, Yes there are a bunch of characters from pkr who have not changed their attitude from their umno days, but that is to be expected, but when criticising please try giving solutions also. See whether they gell or not, you cannot unwind a system of napoleanic culture from the civil service, well in an ideal world we would just start afresh with equal opportunities for all, by first sacking the whole rotten civil service or culling which is very popular with Trengganau Umno, but when Pakatan states want to cull the … from the civil service than you have a lot of … braying for blood. CRITICISE IF YOU WANT TO, BUT CRITICISE WITH CONSTRUCTIVE SOLUTIONS.
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The cheap treatment no more
When corporations want a share
Profits motive not social responsibility
It isn’t in its vocabulary
No matter what the companies say
The charter write up doesn’t mean a thing
It is human motive to enrich in whatever means possible
In a business there is no such thing as charity
The cheap treatment no more
Unless it is inked in contracts
By the corporate entity to satisfy its promises
Otherwise it is just talking to satisfy
The political mileage to bewitch the minds
How many times the public takes the hikes?
Contracts under OSA everything to ride
The cheap treatment before the corporate entity takes it
Let it rolling for awhile
Then the changes will kick in
Giving excuses as the public will know in time
It is business; it isn’t charity
It is time the people change the system
It is no use listening to all that craps
The cheap treatment will be history
By then don’t cry with protests
You voted for the present dilemma
So learn the lesson well
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Anil, I don’t think we are comparing aple-to-apple here when your wrote about this privatization deal vs the Pakatan Rakyat’s promotion of medical tourism.
I don’t think anybody will complain if Sime Darby go and build an entirely new Cardio specialist centre like IJN or even manage to pinch some specialists from IJN. That is acceptable and the staff pinching is also normal as this will stimulate more and more specialists opting for cardiology specialisation.
Its the same with the various Pakatan Rakyat states promoting medical tourism. I don’t see any harm in that. They are basically promoting an industry / services and this too will stimulate more medical specialists being produced and gaining employment too.
Let us not put all the different issues together and make it confusing. We need to criticise the Sime Darby proposed acquisition of IJN but no need to judge the promotion of medico tourism in the same breath. Lets be fair, Anil.
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Can you suggest concrete alternatives as to what the Pakatan states should do to help themselves when they are not in control of the national treasury?
I cannot see what is wrong with trying to attract the tourists to spend their money in Malaysia. As long as it is not at the expense of the poor, medical tourism SHOULD be promoted – whether by Pakatan or BN.
Of course, a vibrant medical tourism industry may result in more doctors being pinched away from public hospitals. But that is something which the govt can always deal with – by improving renumeration opportunities. Also, a vibrant economy helps reduce unemployment, financial stress and SICKNESSES.
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i agree with han2 and charis14 (and to a certain extend with artic turban). it’s not fair to compare pakatan’s promotion of medical tourism to their criticism of IJN privatisation.
so what if medical tourism lures experienced doctors and specialists away from the general hospital? it is good for the government to have competition. with competition, they will be forced to improve. however this is not the issue here. the issue here is about the privatisation of IJN, so let’s stay focus.
a good read on this issue is found on another brick in the wall blog.
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Based on the hard experience learned at great public cost in the UK, any simplistic privatisation of a public general or teaching post-graduate research-centred hospital will fail disastrously.
Medical facilities are need-based, learning-oriented and research-centred, NOT profit-based, greed-oriented and maximisation of shareholders’ wealth-centred.
That is not a loose opinion but a solid, informed fact based on direct experience.
So try to stop this privatisation because the IJN seems to be worth saving from the base claws of greed, as it seems to have the good reputation of being one of the better public hospitals around for those who cannot afford to pay for their treatment, through no-fault of their own, the extortionate private hospital medical rip-off fees.
And I know as a matter of fact through hard experience and great personal cost that the IJN is certainly superior to that heartless hell-hole (a certain university hospital) where incompetence and reckless negligence festers like the deadly MRSA-virus.
Suggest the Government privatise that hell-hole instead if an alternative is necessarily justified through a REAL (and not fictitious/creative accounting-based) lack of public funds.
“Imagine Power To The People” John Lennon.
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“So it’s a bit rich for the Pakatan MPs to criticise the IJN privatisation on the one hand while actively promoting medical tourism on the other!”
Another twist and turn tale from Anil. Your mind seems cannot think rational lately.
How on earth IJN privatisation is relevant to promoting medical tourism. Am speechless…
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I think there may be cause to thank the UMNO elite / those who were eyeing the big bucks to be made via the IJN.
Why?
Just think of Zakaria Mat Deros’ excesses and the part they played in Pakatan winning control of Selangor.
Just think of similar excesses by BN politicians, their cronies and their supporters, and what part such misdeeds had to play on March 8th.
Just think of Kuala Terengganu in a few weeks’ time.
I hope the Pakatan folks will capitalise on this issue and turn it into a Najib “No objection to Sime Darby stake” Razak own-goal. Just don’t forget to say “Terima Kasih” to the PM-in-waiting eh?
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How convenient … from Najib to Sime Darby!! The gov has just spent hundreds of millions building an extension to IJN and renovating the existing complex, which in fact has just been completed very recently! ( our MPs should get the gov to disclose the total amount spent on this project).
And now ‘suddenly’ sime darby appears as a saviour white knight, and najib is ever so willing to hand the whole IJN over to them on a silver platter …….. and if this is any indication of Najib’s enterprising spirit as the next-in-waiting PM, I dread to think what else he & the other BN vultures will dish out to plunder the rakyat’s monies come 2009?
If IJN is privatized, we can kiss goodbye to yet another of our right to receive health care by the gov who is planning to sell (thru privatization) its ‘jantung’ away …… when it is its moral duty to put in place a NATIONAL HEALTHCARE SERVICE for the rakyat.
I salute those 33 physicians with jantung …… and we will be failing them if we do not stand up together with them to send a resounding NO to the gov: IJN is NOT FOR SALE ….. to whoever!
LTH
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Sheesh Anil,
What has really happened to you? How can opposing Sime’s acquisition of IJN be compared to the promotion of medical tourism?
IJN serves a need of ordinary Malaysians for good cardiovascular and thoracic care at an affordable cost, a fundamental responsibility of the government given that so many ordinary Malaysians are just surviving and will not be able to afford private medical care.
You also fail to note that this acquisition was not done in an open manner, rather Sime Darby putting forward their proposal and the government saying it does not have objections until the public outcry. Why no open tender or even negotiated tender amongst a few interested parties (and I’m sure there are a few given IJN’s ability to be self-financing)?
I’m surprised that alarm bells haven’t gone off in your mind with the manner and speed this proposed acquisition was conducted. In my opinion, somebody stands to gain handsomely from this if it had gone through, much like the Eurocopter deal.
By the way, your argument that medical tourism will encourage private hospitals to pinch specialists from general hospitals does not hold water. Are you saying that without medical tourists, private hospitals will not pinch specialists? Do ordinary Malaysians who go to private hospitals not need specialists?
Anil, for a person who proclaims socialist and liberal ideals, your postings of late confuses many amongst your loyal readers. If I may be so bold as to say, today you seem like you have an axe to grind with the PR.
I’m truly sadden by the turn of events and I mean that sincerely as a friend (that is if you consider me one in the 1st place).
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Dear Anil, the logic is simple. This Najib knows nothing about the sufferings of the poor.
He is definitely a mere follower of Mamak…
He wants to continue M’s privatisation policy so that he can “hentam” all valuable guomen assets (which actually belongs to the rakyat) ….
M and his group of greedy generals, from the most corrupt party in Bolehland has privatised almost everything for the past 20 years, and now they are eyeing IJN.
After this, may be they will privatise all public hospitals, all secondary schools, all technical instutions and education agencies because this is the sector where the greatest chunk of allocation is existing now.
Have the Rakyat ever wondered why these … are so persistent to push for English language as the medium of instruction for Maths and Science?
Well, this is the strategy used by M before he stepped down in order to cut a big chunk from the annual allocation (for Education Ministry) for … (to supply computers, LCDS, softwares, hardwares, etc) even though he knows very well that this policy actually contradicts the UNESCO’s research findings (pupils’ mother tongue should be used instead)..
So, people out there, how can the next generation survive in this kind of hostile environment where the corrupted … are clinging tightly on the power in the federal guomen?
Think deeply about the consequences, especially the KT voters.
Do you want to flush these … away or do you want your “anak cucu” to suffer?
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…yes …last time they told us … toll will continue to be cheap for the middle class and the poor …in the end …(you know what happens) … its the standard UMNO bulls*** …i think for them to think they can continue to BS the rakyat …better think again…
Vote Change! Vote PKR, DAP and PAS!
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and to add to my earlier comment … what bloody donkey mechanism they are going to publicaly and transparently put in place to make sure Mr. A is from poor class, Mr. B is from Middle Class and Mr.C is from rich class so that different charges applied ?????
I think the rakyat has really for the last 50 year has HAD enough of this cok BS from the UMNO/BN govt.
Vote Change! Vote PKR, DAP and PAS!
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as for answers to many comments above … trust me i am in the industry …every bloody private hospital is already trying to server the tourism industry … please leave some for the locals that cannot afford to pay what filthy rich indonesian and singaporeans are paying…
and for the knowledge of the unknown people ….the indonesian are so bloody filthy rich that they will charter a PLANE to treat a simple flu in our private hospital ….
how do i know this? because my relatives are rich indonesians …
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Dear anil,
i agreed with some of the comments here. i think you may just need a short break. the holidays are coming. this is the second article which drew criticism on your reporting.
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Hi Anil,
Irrational link to Pakatan again, do you have any ethics at all or are you just attention deprived and feel that any attention is good attention, even negative ones?
Previously, you took two press statements and compare them without doing any journalist worth their salt will do, clarify the facts. I am sure you know I am refering to the hillside tragedy. Then you knock penang govt for not supporting proton & wasting rakyat’s money when all LGE said was IF, IF they were to invest in new cars they will consider toyota camry…
Perhaps you’re trying to fish for a job with the mainstream media?
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Further to my earlier post here’s a (sorry, much) longer one:
I too have no issue if the private sector wants to build many new private hospitals all over the place to cater for medical tourism/overseas patients.
But….only so long as:
(i) it is the Government and NOT those…er…indifferent (and usually manipulated by basic greed and falsely and smartly rationalised through words and numbers) market forces that regulate medical fees charged patients at both private and public hospitals,
AND
(ii) the number of GOOD (as opposed to rubbish and pseudo-) medical doctors and other auxiliary support personnel required to staff these new private hospitals are also increased proportionately in tandem to keep pace so that both the private and public medical hospital fields remain level on an even and equitable keel.
There may be one big catch in this supposedly good and super-duper idea though.
Mega rich overseas patients are not….er…stupid (normally anyway) so surely they will only come to these Malaysian private hospitals if they suss out that:
(i) Malaysia’s medical services match up to the triple-A quality rating of medical treatment now available in many other countries,
AND
(ii) they offer better value for money (on a wholistic basis) than the triple-A treatment available in many of these other countries.
That I am afraid is going to be tough nut to crack and prove to these very rich but ill people from overseas. Why?
Logically speaking, their only reason for bothering to go outside of their own countries to get medical treatment and care in the first place is because they want to avail themselves and their loved ones of the best medical expertise available in the world so that it gives them the best chance of curing their and their loved ones’ illnesses and/or of saving their lives. Most people whether rich or not are (usually) smart enough to understand that money at the end of the day is no good to you at all if you’re unhealthy or even dead to enjoy its benefits.
So why should they hesitate at all to come over in droves to these new private (or even privatised/PFI public)hospitals to avail themselves of this supposedly triple-A Malaysian medical expertise?
Well….based on a 2003 survey of local health insurance data compiled on medical negligence claims/cases for health insurers (and published in the local MSM in that year) the study alleged that Malaysia had one of the highest incidences of medical negligence anywhere in the civilised world. Not sure what period the survey covered, but I think it concluded that around 40% of health insurance policies that were assessed in the survey had suffered claims on them for medical negligence. Consequently, and out of prudent necessity to manage their exposure I suppose, I recall these health insurers taking the precaution of making compensating adjustments to the availability, terms and conditions and (higher) premiums charged for their health insurance policies.
Perhaps things have changed for the better since 2003. I do not know if it has or has not as I have not delved into any further or more current local health insurance statistics since that time.
But even if the quality of medical provision has improved since then, it is my belief that if the Government does not step in to regulate medical services in a country whose citizens have no access to a free-at-the-point-of-need national health service, and so allows the private sector to run riot (with unbridled greed) over these critically essential services to the nation, then Malaysian citizens will inevitably suffer the same fate as the citizens of present-day USA who are all now having to face and meet sky-high medical care costs/insurance premiums just to protect and care for their own and their families’ health-care needs.
“Imagine Power To The People” John Lennon.
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Is Pakatan Rakyat promoting private sector to take over government hospitals for medical tourism? If not, then your comparison is NOT VALID at all. We can object to any move to take over government hospital (public money) but we cannot object to any doctor to move to private sector. It is the doctor’s free choice. And it is private sector right if they want to set up any hospital from the ground to cater for medical tourism as it is not public money. By the way, we are not a communist country where doctor should be stopped from going to private sector. Treat and reward doctors better are the best way to persuade them to stay.
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My experience with private hospitals is not pleasant. Before they admit anyone, they want a “guarantor”. Once you sign the document they have full access to your bank account – you have to pay WHATEVER they charge you! Then they start dragging their feet. “The patient is not stable enough to be operated on. We need to observe him for a few more days in ICU or CCU. We need to stick this thing in his arm and it costs RMxxxx.”
You sweat blood looking at the rising cost!
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The poor and middle class would be affected badly. Already they cannot cope with the high prices of food.
Go to any supermarket and you can now see a security guard in the milk aisle/section.
The guard used to be only guarding the liquor section previously.
The other day, I had the urge to ask the guard why he was guarding the milk section now, shockingly he said, there were many thefts. People were stealing milk mainly, instead of other things.
When a society degrades and is forced to steal milk due to dire need, it is a clear sign that the society will eventually crumble.
When basic needs are not even met, one is thinking of privatisation of IJN?
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It’s another case of trying to get rich the easy way. As usual, the poor rakyat would be the sponsors and sufferers for their get rich quick scam.
As you said, the doctors must be congratulated for making their principled stand in spite of being the benefactors of the privatisation. Can we expect the same professionalism from the police, the ACA and the rest of our civil servants or is it too much to expect?
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This Sime Darby take over of IJN is just another UMNO scam of making some money somehow, somewhere. This corrupt govt bleeds rakyat’s hard earned money on sweetheart deals that somehow only benefit certain cronies. This govt has no money for important things like education and health but wastes millions/billions on questionable projects and deals. I hope the crooks will remember God sees and knows all and the truth will be revealed eventually.
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i’m skeptical on Sime Darby on the “social obligation”.private sector see money first then social issue later.that’s the fact.private sector is a money making sector.
i’m puzzled on why would Sime Darby be in interested in IJN and why MoF and Najib have this idea to pass IJN to such company?
if Sime Darby really want to do social obligation,then run SJMC as a social obligation rather than just a private hospital.
i’m quite worry about the fate of all poor patients if the deal gonna be a reality soon.IJN was built to help these poor people.
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Sime Darby is a big conglomerate not red cross or any charitable organization that help the indigents and less fortunate members in our society. It grows and profited so much in Malaysia not by fulfilling its social obligation but through business deals and self center goal. why should it wants to pump in money into IJN for nothing since profit is the ultimate goal of corporations, of course it is going to charge high premium from patients to have high return from its investment or expect government to pay through some sorts of health care subsidy of civil servants.
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