Friday, June 18, 2010

Cheated..Yes! but Financial Lost..Maybe Not

One day in early 1994, a long lost friend, while we reminisced the happy days in our alma mater, proposed to me and 3 other mutual friends to invest in his 'market do talk' project. He has been talking about his commodity market project whenever he has the opportunity during the three hours we have been at the meeting place. It is not that we are not warned that this particular friend has some history of running away with the project money.... We then discussed about the project openly for some 15 minutes, nobody seems eager enough to depart with their money. I told the whole group that I was willing to give RM10,000 as a test, nobody else is to invest without contacting me first. Our newly found friend need a second chance before we wrote him off as incurable.....

Well, sure enough, our newly found friend did not answer my phone calls or SMSs right after the check I gave him was cashed. Somehow he managed to convince another good friend, who was also present in that fateful "meeting" to depart with another RM10,000. Talk about smooth talking. So we lost our newly found friend yet again..

The same month, I got involved with someone who worked in fibreglass boat making industry in Kuala Trengganu. He is a friend of my mechanics and I met him while he was helping my mechanic repairing my car. He has even accompanied my mechanic to my in-laws house in Dungun to repair my 7+ year young second hand car. After asking for his credential from the mechanic, we got on a small project to built fibreglass fish tank. I was keen on this fibreglass project as I believe there will be a niche market in luxury fibreglass catamaran which can be a very profitable venture.

Luxury Fiber-glass Catamaran

The initial investment was only RM7500 and an anticipated profit of about RM500 per unit fish tank. The initial project was for 30 fish tanks, sub contract to us from the main contractor who was contracted to do some 200 fish tanks for LKIM, Trengganu. The main contractor promised to pay directly to me and I will finance the whole project, depositing money to my friend's bank account. The anticipated profit for the project was recalculated to be in the range of RM13,000 to RM14,000, which was agreed to be shared equally between me and my friend.

We started off rather poorly, spending some RM1,500 and 5 days to build the mould for the fish tank and would be in position to build 6 fish tanks (costing at RM900 each). The main contractor would be paying RM7,500 for every 5 fish tanks completed and delivered to be transported to main contractor warehouse. We end up doing two moulds to speed up the process to catch up the agreed dateline.

After a while we made a good enough progress of making 1 boat for 1.5 to 2.0 days depending on weather. There were few small incidents here and there but we were rated good enough by the main contractor, securing us another 20 more fish tanks order.

Somehow, the main contractor got in some tight spot and RM8,000 need to be pumped into the project. I complied by sending in the money but I was not getting good reception from my better half who was not at all happy with the development. I duly conveyed my better half's apprehension to my partner and I got back my RM8,000 about a week later.

When the project was completed, I should be getting back my initial investment of RM7,500 and profit of about RM12,000 , from the agreed 50-50 share of total profit of RM24,000. However, as feared by my better half, my partner went missing from his rented house and as you all would have guessed, he has absconded my initial investment as well as my share of the profit. There was another RM5,000 cost I incurred to have my brother in-law oversee the whole project on my behalf, making my total loss of some RM24,500 from this venture.

And do not eat up your property among yourselves for vanities, nor use it as bait for the judges, with intent that ye may eat up wrongfully and knowingly a little of (other) people’s property - Al-Baqarah :188

The last quarter of the year 2004 saw me and my team on behalf of my company drilling Anding Utara-1 deviated exploration well. The well struck oil in an entirely new reservoir, metasediment or metamorphic basement, flowing about 200 barrel of oil per day.

The well was then sidetracked to penetrate another culmination some 400m from where we found oil and again the new well struck oil in the metasediment reservoir,which on drill-stem-test (DST) flowed about 1000 barrel of oil per day on 18 December 2004, just 8 days before the tsunami struck and ravaged northwestern Sumatra and western shore of Thailand.
Flare on Anding Utara-1 Sidetrack-1

This discovery got me a lump sum increment of RM35,000 and some RM700/month more than my normal increment which I enjoyed from April 2005 till 15 May 2009, the day I officially retired. This monthly increment significantly improved my gratuity and my salary for the 2 year contract job after the official retirement. Alhamdulillah!.

OK, OK, I am a sucker to fall for these investment schemes but like they say "No pain, no gain". You probably had figured out by now that I did not mathematically lost any RM as the loss from two "investments" has been offset by the lump sum increment. I told my other half those money that I had invested will probably need to be paid handsomely to yours truly and to her by those "so-called friends" on the Judgement Day.

Ooohh, Banyoooook tuuuu!!! (Ooohh, that's a lot), If that's is true...Alhamdulillah! was her only response.


R.A.S said...

Alhamdulillah...Cool and composed. I loike!

Cat-from-Sydney said...

Ayoh Wang,
I have this idea of setting a catfood manufacturing facility in Kemaman. Initial investment is about RM3min, if we divide that by 20 investors (say, similar to a Bursa second board listed company), will just be RM150,000. Profit and dividends? In the hereafter...banyook tu... har har har *evil laughs*
Hey...even this cat's been receiving emails from Nigeria!

Wan Sharif said...

Puan Rosfida,
Itu luaran ajer..
kat dalam.. Ugh ...
Even if I do not like what happen ..
there is nothing I can do about it..
So..Redha ajer lah..
nanti Allah kerana sifatNya Arrahman Arrahim.. ganti balik apa yang hilang..
dengan cara yang tak kita duga..

Wan Sharif said...

Salam CiS,
Umm RM 150,00o banyak gak tu..
Haih .. profit and dividend nak bagi in the hereafter ajer..
Nigeria.. rasa macam pernah dengar..
Kekadang ada yang genuine..
masaalahnya terlalu ramai yang tak genuine..
Semuga Allah jaga dan kita
dalam urusan future kita..

anak si-hamid said...

Oh dear, oh dear Wan Sharif,
All I can say is how blessed you are to have such a wise and patient wife.
I can imagine the nail-biting she had to go through.
I can never understand how these people have no conscience about cheating another fellow man. They have no fear of punishment here and in the hereafter.
Next time, store your money under the mattress, like my ole mum.

Wan Sharif said...

Dear Kak AsH,
"to have such a wise and patient spouse" is one of the blessing that Allah give to His servants in this world..
I am too trusting according to my better half and I have fatalistic rationale to go with it.. he,he.
Store money under bantal.. colleague, an Algerian lost few hundred thousand USD on this practice ..less than one year ago in KL.
May god bless us and our loved one always..

Siti Roffini said...

Adoi!! The price one has to pay for being too trusting, I suppose. But the good thing came out of it a wiser person, yes?

Wan Sharif said...

Puan Siti Roffini,
Wiser.. yes hopefully..
but then we still need to trust people to achieve big things..
I am hoping that the venture I am on now would be blessed and would put our beloved country self sufficient in (cattle and goats) meats within 3-5 years time..
Hopefully the people in charge (for our beloved country) will be wise and sincere enough to think of country's need rather than...

Lee said...

Hi Wan Sharif, ha ha, hope you did not get first degree burns from your 'friends'....
For me, anyone starts talking about 'making money'....I will remember my grandmother's birthday and x'cuse myself.
I am a poker player and can almost always sniff out when someone trying to play a '4' for an Ace, ha ha.

I do fool around with the stock market for loose change, but research myself, study myself....and if get hurt, point finger at myself....

Do take care, my friend.....lots of people love that Agong's pictures in your pocket.
Have a pleasant weekend, Lee.

Wan Sharif said...

Hi Bro Lee,
Thank you for the advice.. like you said a lots of people love that Agong's pictures in our pocket..
As an Oil and Gas explorationist, I still take a lot of risk..
Hopefully I will succeed in the current venture.. Then I do not have to work in O&G after 60.. God Willing he,he.

Mamaboyz said...

Salam PakWan,

what i'm going to ask is unrelated to your post (although it was quite painful reading it)

about the cattle and goats- do they fully eat grass or do you feed them grains or combination of both? and if you feed them grass, is the type of grass high in omega-3?

Wan Sharif said...

Wa'alaikumussalam Drwati,
I am not putting the entry to make you all feel the pain.. I am trying to instill the love to help fellow human..take some calculated risk.. if success is not the result whatever loss, InsyaAllah will be covered... HE is ARRAZAK..(pemberi rezeki),have faith..
As for the cattle and the goats, we are going hydroponic... the grain will be the seed.. 9 days later it will be grass, with high protein content etcetera..

If we get the necessary support (without ...) then InsyaALLAH , we will provide a way out for everybody.. fodder for animals.. currently PKR and oil palm fronde is still too expensive and the copper content do contribute to a small extent, an increase death rate amongst animal that feed on them...

We are thinking of introducing moringa to increase the resistance of animal to diseases.. ada lagi Petai gajah..tebu gajah... OOPs we can not tell might bore you .. my partner would say company secrets..he, he..

Thank you for the visit and also for showing interest in cattle and goats

DrSam said...

Salam Pak Wan,
Thank you again Pak Wan for sharing with us your not-so good side of experience dealing with people we some times called a friend. I will take it as a good lesson.

Wan Sharif said...

Salam to you too DrSam,
Lesson to be careful and do thorough checking .. as written in the AlQuran ..(when listening to new/gossips..)
Hopefully not a lesson .. NOT to take risk in order to help those in dire needs.. remember No Risk No Gain..

Martin Lee said...

En Sharif,

You had been cheated by so-called friends but yet have a positive attitude. You will be rewarded somehow in some other windfall like the oil exploration find in your life.

Wan Sharif said...
This comment has been removed by the author.
Wan Sharif said...

Mr Lee,
Thank you for you good wish.. I am now a contract staff in O&G and likelihood of rewards are very very minimal.. I am hoping that the next reward will be that my friend business in integrated farming will be in higher gear very very soon so that the country can benefit.. (see my earlier comment on this subject).

Martin Lee said...

En Sharif,

At the same time, please think about the proposal from Dato Azahar on the swiftlet thing. Maybe one day we invite him to give us a talk on this subject by buying him a coffee in one of the Kopitiam!

Wan Sharif said...

Me. Lee,
I am helping friend in cattle now, I have children with breathing problem as such I can not pass down to them.. the swiftlet thingy.
I read that you are arranging a kopitiam session with him..
As I went home (Dungun and KT) with bedridden MIL, I could not stop and have a session with you and Dato.. If by chance, I pass Cukai alone I will alert you on the subject but you are still working ..Non?

ninotaziz said...

Wow, unfortunately I am not one for business dealings but we can all do with repeated reminders to avoid such situations. Thank you...

Tangan yang memberi lebih baik dari tangan yang menerima?

Martin Lee said...

En Sharif,

Oh, did not know your children have the breathing problem. My son had asthma when he was small,and he got rid of that after picking up swimming lessons at the age of 7. If it is really a lucrative business, it is not for your children to go inside the swiftlet houses, but just manage and sell them!

I am still working in the steel mill and will return to KL where my family is, every alternate weekend. If we happen to be all free at the same time, let us meet up with Dato', my contact number is 012-4271682

Wan Sharif said...

Salam Ninot,
Sometime in our life.. when people think you have too much ringgit.. they will come for good reasons or otherwise.. Avoid it if you can..
Me.. I am an O&G explorationist..
oil exploration is huge risk business.. terbawak bawak lak..
always can not resist RISK..
Just hoping that the recent venture in cattles and goats will be successful.. to allow me take more risk.. Oops(read: help more peoples)
Berumah di tepi laut.. selalu di timpa ombak..he,he

Wan Sharif said...

Mr Lee,
Great! we will do just that.. meet up with Dato'. I still do have reservation on getting involved in Swiftlet.. does it need big capital, up front?

I have friends who want me to go to Kertih to look for land for the cattles, integrated farming.. we might go there during the weekend of 1st or 2nd week of July, to catch a working Sunday in Kemaman..
I will contact you when I need to go there..

Mej. Dr. Nor Ibrahim bin Sulaiman PTU TUDM (B) said...

Once upon a time, a friend of mine requested a loan of RM50K on the promise that he would pay me back within a week. My answer was a firm NO. If he had asked for RM1K or even RM2K, I would consider lending him this money. But...RM50K is a long time saving which is difficult for me to accumulate should he default. Of course now he is not as 'friendly' as before.

Another thing is that I always advise my friends that I don't believe in 'partnership'. One day, either you cheat your friend or other way round. Forgive my bluntness.

Wan Sharif said...

Salam Abang Nor Ibrahim,
I wish I can be as strong..
Agreed with you that we have to safeguard whatever we have..
Been 30 + years in high risk business does not help me.
May Allah safeguard my/our interest to help others...
Thank you for the visit and comments(do not worry about being blunt.. We can be as blunt as we want.. here).

Pp said...

wan sharif,

saya juga terpaksa katakan NO jika ada member2 nak pinjam duit...sudah terlalu byk kali pinjaman tidak di bayar balek, dan kesudahan nya kawan2 larikan diri. jika kawan2 memerlukan, saya hulurlah setakat yg saya dpat hulurkan dgn ihlas....sebagai pemberian bukan pinjaman.

jika kawan2 ajak invest...saya selalu dengar dgn minda terbuka...
jika wan sharif ada peluang, jom la kita sembang2...


Lee said...

Hi Wan Sharif, your computer on strike? Ha ha. Just dropped by say hello.
Have a great weekend, Lee.

Wan Sharif said...

Salam PP,
sometimes there is a very thin line between truth and falsehood..
I would rather loose here then lose all there..
Been involved :-
1)in helping that friend in Agri business.
2)in labu peram, ha,ha tak serik serik.
3)baru join biras in beli jual kereta import.. dah sampai kereta mini cooper s 2005.. oleh kerana tak cukup parking di rumah.. kena jual that 2 coupe.. nasib baik harga jual+ harga beli.. kalah repairs.menang pakai..
Nanti kalau ada yang boleh di kongsi..(yakin menguntungkan..) baru ajak kawan di blogosphere..

Wan Sharif said...

Hi Uncle Lee.. kind of you to drop by again..
No, My computer is not on strike!!
Please read my comments above on my investment activities..
I just passed my 1st anniversary as contract staff at my work place. The mgmt just realized.. I was under-utilized.. so a lot of new works and tasks has landed on yours truly's desk and with world cup activity on the side.. could not find time to put up new entry just have enough time to read kawan kawans' entries (easier than puting up an entry..ha,ha..)