Some Parliamentarians involved in failed financial institution

The Deputy Minister said that the Central Bank has been forced to take over Entrust even as the Government looks to pay depositors of the Golden Key credit card company. “We will be able to discuss in Parliament all about Entrust in the near future. Unfortunately we have heard that some members of this House are also involved with this company. Some of them have ownership in the company,” he told Parliament. Some Parliamentarians are involved in a failed financial institution, Deputy Minister of State Enterprise Development Eran Wickramaratne alleged in Parliament today.He said that the Central Bank has taken over the management of Entrust, which has suffered losses to the value of over Rs. 12 billion. He said that some depositors have even attempted suicide as they had lost all their savings in the Golden Key credit card case. (Colombo Gazette) read more

China reports profits at biggest stateowned companies fell last year as downturn

BEIJING, China – Total profits for China’s biggest state-owned companies fell 6.9 per cent in the first 11 months of 2012 as an economic slowdown deepened, the government reported Thursday.The squeeze even for the biggest, politically favoured Chinese companies highlighted the severity of the country’s worst economic downturn since the 2008 global crisis.Economic activity rebounded late in the year but analysts say a recovery is still shaky and will be gradual and weak. Growth fell to 7.4 per cent in the three months ending in September and is believed to have strengthened in the final quarter.The Cabinet agency that oversees China’s 116 biggest state-owned companies said they had total profit of 1.7 trillion yuan ($270 billion) in the year through November. Those companies include PetroChina Ltd., Bank of China Ltd., China Mobile Ltd. and other major corporate names.That was an improvement over the 16.4 per cent decline in profit reported for the same companies in the first half of the year.Despite weaker profits, total assets at the major state companies increased 15.1 per cent to 69 trillion yuan ($10.9 trillion), according to the State-Owned Assets Supervision and Administration Commission.The wealth of major state companies has fueled public frustration. The companies receive low-cost bank loans, energy and other resources and many are monopolies or quasi-monopolies.Communist leaders say China needs to build up such companies as economic champions but consumers complain about high prices and poor service.China’s expansion is still far more robust than Western economies or Japan but its companies have come to depend on unusually high growth to stay profitable.State companies are far healthier financially than retailers, builders and other private sector companies. They say revenues fell by as much as half last year. by The Associated Press Posted Jan 10, 2013 6:48 am MDT AddThis Sharing ButtonsShare to TwitterTwitterShare to FacebookFacebookShare to RedditRedditShare to 電子郵件Email China reports profits at biggest state-owned companies fell last year as downturn deepened read more