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PUBLIC funds allocated to the Socio-Economic Development of the Indian Community Unit (Sedic) and later the Malaysian Indian Transformation Unit (Mitra) can be considered a special allocation for those in need in the Indian community.
By solely focusing on the Mitra fund disbursement, fund recipients and what went wrong is a little odd.
An impression is being created that the government hands out public funds to poor Indians only through Mitra, not other sources.
This is a false and misleading opinion.
Many government agencies give out public funds for various initiatives, with the amount totalling hundreds of millions or billions.
Malaysians can apply to obtain these funds from the respective federal agencies, departments and ministries.
But with Sedic’s, and later Mitra’s, provision of special funds, an impression is created that the about RM100 million allocation is the only one meant for the Indian community.
It seems as if the government is giving out only this measly sum to Indians, given the competition and scramble for the money. And there seems to be a deliberate intention to mislead the community from applying for funds from other federal agencies meant for Malaysians.
By keeping Indians focused on Mitra, unnecessary competition for the limited sum has been created.
Sedic and Mitra both lack a rigorous mechanism to hand out direct assistance to poor Indians and as such, found an “easy” way to disburse the funds – by giving them out via application to non-governmental organisations (NGOs).
In the absence of such a mechanism and stringent auditing follow-up, the funds were distributed to certain Indian NGOs without careful consideration.
It is not wrong to allocate public funds to the Indian community indirectly by way of NGOs, but they must be minimal, maybe 20% of the total allocation. The bulk of the disbursement should be directly given to those in need.
Sedic and Mitra’s biggest problem is its indirect fund disbursement, which results in the misuse or misappropriation of funds.
This happened under the Barisan Nasional, Pakatan Harapan and Perikatan Nasional governments.
The agencies and departments entrusted with fund distribution cannot develop and sustain a distribution mechanism.
Ultimately, the fear that the allocation may be withdrawn due time constraints created urgency for distribution, thus the roll-out is done without proper scrutiny.
Ad hoc methods meant that embezzlement and misappropriation of funds are bound to occur.
With Sedic/Mitra courting all these controversies, a question arises whether the unit should be allowed to continue amid a Malaysian Anti-Corruption Commission probe, with the possibility of bringing those involved in corrupt practices to court.
The Mitra-siphoned funds are nothing compared with the colossal financial fraud committed by individuals and organisations in other government agencies, but two wrongs do not make a thing right.