You know, Singapore might be tight arsed and anal, but you simply cannot deny that they are right on the ball when dealing with greedy businessmen.
This is the kind of deal Malaysia should cut with all our concessionaires and privatisation companies. Lay out the profit target in black and white. If more than the target, govt takes back to offset the subsidy/grant. If less, the privateer takes the loss.
But instead we give profit guarantees, one-sided, open-ended concessions, impose no penalties for poor performance and even top up with more freebies to bail out the crony company if it gets itself into financial difficulties. We use taxpayer money with too much impunity and too little conscience.
Profit limit for F1 organisers
SINGAPORE : There is a cap on how much profit Mr Ong Beng Seng can earn from staging the Singapore Grand Prix. This is part of the co-funding deal between race organiser Singapore GP and the Government.
Any amount earned above this profit cap, which is confidential under the terms of the deal, will go to reduce the Government’s future grants. Any losses incurred, however, will be borne by the organiser.