Thursday, July 28, 2016

The DoJ 1MDB complaint analysed:



The US Department of Justice’s complaint seeking the recovery of assets related to the Malaysian sovereign wealth fund, 1MDB, is compelling reading. In a 136-page filing, a remarkable web of money transfers and illicit purchases is exposed. Several banks are involved in it and three more have since been rebuked by the Monetary Authority of Singapore for failing to implement proper money laundering checks. 

So who comes out of it in the best and worst shape? 

Here is a quick guide: 

•  Goldman Sachs. 
Mentioned extensively in the document, but that is no surprise, and the complaint does not tell us anything we did not already know. It confirms Goldman’s eye-watering fees and commissions. Of the $1.75 billion raised through bonds in May 2012, known internally as Project Magnolia, Goldman took $192.5 million, equating to 11% of the principal; and of the $1.75 billion it raised in October that year, known as Project Maximus, Goldman appears to have taken $113.74 million. 

Goldman is further embarrassed by the publication of emails between employees and a 1MDB officer: among them the odd revelation that Jho Low, a Malaysian national who advised on the creation of TIA, 1MDB’s predecessor, and one of the central figures of the scandal, addressed his Goldman contact – believed to be Tim Leissner, the former southeast Asia chairman, who left the bank in February – as 'bro’. 

Crucially, however, Goldman is not accused of any wrong-doing in the complaint. It is alleged that, among other things, $577 million of the first bond deal was diverted to a Swiss bank account, which had nothing to do with 1MDB’s supposed purpose, but it is not alleged that Goldman knew that was going to happen. Nevertheless, Goldman’s problems are not over, as it is being investigated separately by the DoJ about whether it violated the Bank Secrecy Act in its work for 1MDB in 2012 and 2013. 

•  AmBank. 

Of all Malaysian banks, this is by far the most closely linked to the scandal, since it was at AmBank that the person referred to as "Malaysian Official 1" – understood to be prime minister Najib Razak, who has consistently denied any wrongdoing – held his accounts. 

The complaint says that between March 21 and 25, 2013, $681 million was sent to one of these accounts, which had earlier received $50 million of other payments from accounts linked to diverted bond proceeds. 

Using a different AmBank account, just over $620 million was then sent back again in the other direction in August that year. These are the sums that the Malaysian attorney general notoriously described as a personal donation from the Saudi royal family, concluding that there was no case for Najib to answer. 

AmBank was also the originating bank for a number of transfers in 2011 from 1MDB to an account known as Good Star, which was beneficially owned by Jho Low and which the DoJ allege was used to launder more than $400 million of funds into the US: "after which these funds were used for the personal gratification of Low and his associates." 

•  DBS, 

Standard Chartered and UBS. Although none are mentioned in the DoJ complaint, a day after its release the Monetary Authority of Singapore announced its own findings into 1MDB-related fund flows through Singapore. 

It announced "instances of control failings" in all three banks and in some cases "weaknesses in the processes for accepting clients and monitoring transactions. There was also undue delay in detecting and reporting suspicious transactions." 

The MAS says there were lapses in specific processes and by individual officers: "The lapses were serious in their own right, and will be met by firm regulatory actions against the banks." 

All three banks say they notified MAS with concerns about fund flows, so the MAS’s objection seems to be around the pace and detail with which these notifications happened and indeed that clients were accepted in the first place. 

•  BSI Bank was thrown out of Singapore in May by the MAS "in view of its serious breaches of AML requirements and poor management oversight, and gross misconduct by some of the bank’s staff." 

•  Falcon Private Bank’s Singapore branch has also been under constant MAS scrutiny. The MAS’s latest announcement speaks of "substantial breaches of AML regulations, including failure to adequately assess irregularities in activities pertaining to customers’ accounts and to file suspicious transaction reports." 
MAS says it is still examining information on Falcon from the bank’s Switzerland head office. 

•  Deutsche Bank also makes a significant appearance in the DoJ complaint. Deutsche handled a $1 billion-equivalent foreign exchange transfer from 1MDB into the bank account of a joint venture between 1MDB and PetroSaudi, of which $700 million was eventually diverted to the Good Star account. 

However the complaint does not explicitly criticize Deutsche here, instead accusing 1MDB senior management of making "material misrepresentations and omissions to Deutsche Bank officials". 
The complaint prints a lengthy transcript of a 2009 call between a Deutsche Bank employee, a Deutsche Bank supervisor and a 1MDB officer, and another with a Bank Negara official. The exchange shows Deutsche asking questions, albeit somewhat toothless ones, about where proceeds were going and apparently being lied to. 

•  RBS Coutts also appears in this section, since it held the Good Star account into which the funds were being sent. According to the complaint, RBS Coutts records show that Good Star Limited was formed in the Seychelles in 2009 and that Jho Low opened the Good Star account at an RBS Coutts branch in Singapore in June 2009. Deutsche also handled a 2011 $110 million transfer from 1MDB to Good Star. 

•  JPMorgan and Wells Fargo also appear. JP Morgan (Suisse) held an account related to the contentious 1MDB-PetroSaudi JV (although this one appears to have been legitimate), and JPMorgan Chase was the correspondent bank for Deutsche’s and AmBank’s wire transfers that ended up in the Good Star account. JPMorgan was also the correspondent bank for transfers of funds from the Good Star account to the accounts of a Saudi prince who co-founded PetroSaudi, from which they were then apparently transferred to Malaysian official 1. Saudi Arabia’s Riyad Bank also enters the story here, as the Saudi prince in question had his account there. Wells Fargo was the correspondent bank on some transfers from the Good Star account to this prince, and is also linked to the purchase of a Bombardier aircraft using 1MDB funds. 

And Citibank is named as a correspondent bank which handled, among other things, funds that ended up in a BSI Bank account in Switzerland through which some of the bond proceeds from 2012 were alleged by the DoJ to have been diverted. One name that does not appear anywhere in the complaint is CIMB. 

Earlier this year Nazir Razak, the CIMB chairman and the brother of the prime minister, was linked to the scandal after he disbursed $7 million of funds to various politicians and political groups, apparently at the instruction of the prime minister, and believing them to have been legitimate campaign contributions. He stepped aside to allow himself to be investigated by his own board and by Ernst & Young and was exonerated by both. An interview with Nazir, including his views on the scandal, will appear in the September edition of Euromoney.

Tuesday, July 26, 2016

Spectacular Carnival of Thievery


Najib and Rosmah and some peasant
What could they have been thinking?
Among all the questions triggered by the announcement last week that the US government had seized US$1 billion from assets stolen from 1Malaysia Development Bhd since 2009, the biggest one is perhaps this: How on earth did they think they could get away with it?
That cool billion announced by US Attorney General Loretta Lynch was only a small part of the total. Billions are gone, and gone so utterly flamboyantly. Usually stealing money is done in the dark, as quietly as possible.
Did the Prime Minister of Malaysia, Najib Razak, and his merry band, especially Jho Taek Low, the Penang-born wunderkind, simply believe nobody would notice as the billions would disappear irretrievably into real estate in New York and California, into a US$35 million executive jet, into Las Vegas gambling debts, into paintings by Vincent Van Gogh and Claud Monet, into a billion or so into Najib’s personal account, into a vast outlay of personal jewelry adorning Najib’s wife Rosmah Mansor?
Nobody would remember that shopping trip aboard a private jet by Rosmah to Dubai that was disguised as a trip to collect an award in Turkey? The shopping trips to Monaco and Milan and New York and Paris? The stunningly garish wedding on the island of Langkawi last year for Najib’s daughter?  It has been called one of the most lavish in history.
Both Najib and 1MDB have defended themselves vehemently, blaming dark forces for their troubles – most recently, after the US government announcement, unspecified “political enemies.”  Perhaps the dark force was President Obama, with whom Najib previously played golf, but almost certainly will never do again. Perhaps it was the Chinese Malaysians, out to keep ethnic Malays in penury forever. Perhaps it was hantus – ghosts – or bomohs, witch doctors hired by former Prime Minister Mahathir, who is sticking to his vow to put Najib in jail. Or when in extremis, blame the Jews.
Instead, he is said to have sent his UMNO bulldog and tame shyster Mohamad Shafee Abdullah, to Washington to present probably justified evidence of the crookedry of Mahathir’s sons, along with five members of the Malaysian Anti-Corruption Commission, praised by the US Justice Department for its courage in pursuing Najib until one of its prosecutors was murdered and the attorney general was forced out and its report was squashed.
Najib could have stolen, say, US$150 million, as he did a couple of times as defense minister, particularly US$180-million odd in bribes on the purchase of Scorpion submarines. Or skimming off millions on the purchase of patrol boats and Sukhoi jets.  That seemed okay. Those purchases were questioned in the parliament and he got away with them. But US$681 million in his own pocket in one go and another few score millions later? US$3.5 billion, according to the US attorney general? US$4 billion in laundered funds, the Swiss say?
It is a question we have asked earlier. Did they think nobody would notice the magnums of Cristal champagne that Jho Low, who convinced Najib to establish 1MDB back in 2009, was pouring into an A-list of Broadway blondes in New York? That nobody saw the pictures in the New York Post of Jho Low opening the magnums amid sparklers and women in snakeskin dresses? For months, even years, Jho Low has made himself ludicrous as a kind of Stage Door Johnny in New York.
Nobody noticed that he was using letters of guarantee on 1MDB to attempt to buy three of London’s grandest hotels? That hundreds of millions were going into a 300-foot yacht named Equanimity owned by Jho Low?
What other country or individuals would steer millions of state-owned sovereign money into the making of the Wolf of Wall Street, produced by Najib’s stepson Riza Aziz, Rosmah’s issue by a previous marriage?
Financiers in Abu Dhabi noticed, along with the gumshoes of at least six other governments who are involved in the grim chase for the money and the perps. 1MDB is believed to face debt obligations of more than US$6.481 billion to units of the Gulf emirate including US$1.75 billion on bonds guaranteed by International Petroleum Investment Corporation (IPIC) of Abu Dhabi.
At least US$3.5 billion of the missing funds were in payments by 1MDB to what somebody thought was Aabar Investments PJS in Abu Dhabi. Instead, the money went to Aabar BVI, an evil twin established in the British Virgin Islands. The money apparently has disappeared. Nobody noticed?
An official from the FBI, during last week’s press conference, mused that the case followed the plot of the Wolf of Wall Street, a black comedy in which the protagonist, riding a wave of too-easy money, slid into a spectacular life of decadence that led to his ruin.  To the adage that the movies should be more like life, in this case, life is more like the movies.  And of course Riza Aziz, Rosmah’s son, is a co-producer. Life and the movies tie neatly together. Jho Low, all smiles, attended the prize festivities.

Still, in the wake of all these astounding hijinks, it’s said by the prime minister to be somebody else’s fault. A plot to dispossess the Malays of their future – something that UMNO has not been doing for the past several decades, including under Mahathir, apparently. But who knew?
The Singaporeans, the Swiss, the French, Luxembourg, the United Arab Emirates, Hong Kong and Australia, among other nations have all joined the plot. It is the world against Najib, merrymaker, only out for a good time and to make sure Rosmah has enough jewelry

COPIED FROM ASIA SENTINEL which is being blocked in Malaysia

Friday, July 22, 2016

Follow the Money: 'The Wolf of Wall Street' Corruption Timeline


Riza Aziz, Leonardo DiCaprio and Jho Low
Rob Kim/Taylor Hill/Getty Images/Jun Sato/WireImage

How the meeting of two well connected Malaysian teenagers in the U.K. ignited an international money-laundering scandal that swept into Hollywood, sucked in its hottest star and led to the biggest Department of Justice asset seizure in history.

Since the Department of Justice filed the biggest forfeiture complaint in U.S. history on Wednesday, much of the film industry and beyond has come to understand how Leonardo DiCaprio and his hit 2013 biographical comedyThe Wolf of Wall Street have become engulfed in a major embezzlement scandal alleged to involve billions of dollars.
But few might appreciate that the whole story started almost two decades earlier, back when a baby-faced DiCaprio was still basking in the post-Titanic "Leo-Mania" limelight and two Malaysian teenagers were sent to boarding school in the U.K.
Here's THR's look at the chronology of corruption.
1998 
A 17-year-old Jho Taek Low (now 35), otherwise known as Jho Low and the third child of Malaysian businessman Larry Low, is sent to the private school of Harrow in the U.K. to study for his A-levels (the U.K. equivalent of the SAT). It is here where he meets Riza Aziz, the stepson of rising Malaysian politician Najib Razak. Aziz, according to Low, was studying at “a nearby school.”
2000
Low leaves Harrow and heads to the venerable Wharton Business School at the University of Pennsylvania, from which he would graduate in 2005 with a BSc Economics, majoring in finance.
2008
After graduating from the London School of Economics in 2000, Aziz is reported to have worked at KMPG and then at HSBC’s London base from 2005 as a low-level banker. But the financial crash of 2007-2008 sees him leave the company.
April 3, 2009
Having become deputy prime minister in 2004, Razak is sworn in as Malaysian prime minister following the resignation of Abdullah Badawi, who had seen his government lose its two-thirds majority in the 2008 general election.
April 8, 2009
Low is appointed official advisor to the Terengganu Investment Authority (TIA), a sovereign wealth fund established to manage the oil revenue from the Malaysian state of Terengganu. The Justice Department alleges that he had actually been involved in establishing the fund earlier in the year, with the assistance of Goldman Sachs.
July 2009
Prime minister Razak transforms the TIA into a federal entity, in September changing its name to 1MDB, the 1Malaysia Development Berhad. Its mission is to create “sustainable economic development by forging strategic global partnerships and promoting foreign direct investment.”
August 2009
Low reportedly hires Microsoft co-founder Paul Allen’s super-yacht, Tatoosh, and invites Razak, his wife (and Aziz’s mother) Rosmah Mansor and Prince Turki and Tarek Obaid, two Saudi royals who had set up U.K.-based business PetroSaudi International (PSI), for a meeting in St. Tropez. The French Riviera would become a regular backdrop for the scandal.
September 2009
1MDB and PSI form a joint venture whose stated purpose was to look at energy rights in Turkmenistan and Argentina. 1MDB pours $1 billion of public Malaysian money into the venture, however $700 million is immediately siphoned off as a “loan repayment” into an account held by shell company called Good Star Ltd., based in the Seychelles and controlled by Low. At the time, Low has no official position with 1MDB or PSI.
The same month and now flush with money, Low hits the U.S. club scene. The New York Postdescribes him as an “international man of mystery” after he racks up a $160,000 bar bill at nightspot Avenue during September’s New York Fashion Week. In October, he reportedly turns up at Lindsay Lohan’s 23rd birthday, sending 23 bottles of Cristal champagne to the actress at the 1OAK club in Las Vegas, a city where a month later he’d throw himself a lavish birthday bash. He’d top this with a notorious party in Vegas in 2012, a secretive event that featured a firework-strewn performance by Britney Spears, dwarf oompa loompas and celebrity guests including Kanye West, Jamie Foxx, Paris Hilton and Leonardo DiCaprio. By 2012, however, DiCaprio was already a regular fixture at Low’s side.
Early 2010
Low starts enhancing his property portfolio with luxury real estate in New York and California. Among his first purchases are a $24 million apartment in the Park Laurel condominiums in Manhattan and a $17.5 million mansion in Beverly Hills. Both were bought via shell companies and later sold to Aziz, according to the Justice Department.
February 2010
Low sets up his personal Jynwell Capital investment fund in Hong Kong with his older brother Szen Low. The fund was later used to control various assets in the U.S., including the luxury L'Ermitage hotel in Beverly Hills, bought for $44.8 million, according to the Justice Department. Low would later claim Jynwell was set up as an advisory company for his family's legacy assets.
July 2010
DiCaprio and Hilton are among a group Low flies to South Africa to watch the soccer World Cup. Also invited is Joey McFarland, Hilton’s celebrity booker and party planner. Later that month, Hilton is spotted in St. Tropez with Szen Low, where the Malaysian sibling reportedly took part in a $2.2 million champagne-ordering competition at Les Caves du Roy nightclub.
September 2010
Aziz establishes Red Granite Pictures in Los Angeles, with McFarland installed as partner and vice chairman. It would eventually set up office in the same Sunset Boulevard building as DiCaprio's Appian Way.
May 2011
1MDB sends another $330 million to its joint venture with PSI, money which  according to banned Malaysian publication The Edge — was wired directly to Low’s shell company Good Star.
May 9, 2011
Red Granite poaches a trio of industry veterans from Avi Lerner's Millennium/Nu Image banner; Danny Dimbort and Christian Mercuri to head up international sales and Joe Gatta to become head of production, overseeing the film slate.
May 11, 2011
The Wolf of Wall Street is announced. Just eight months after being established, Red Granite throws a spectacular launch party at the Cannes film festival, where it would launch the long-gestating $100 million film. Low, Aziz and DiCaprio would attend the million-dollar bash, at which Kanye West and Jamie Foxx sang "Gold Digger" on stage.
The film is acquired from Warner Bros. Despite winning the rights to develop Jordan Belfort's memoir with DiCaprio's Appian Way in 2007, it had stalled at the studio due to the R-rated content. THR understands that several parties were interested in picking up the project, but it was DiCaprio who ensured his friends at Red Granite came away with the contract.
July 2011
Low makes his splashiest property purchase yet, paying $31 million to a tech entrepreneur for the 4,825-square-foot Time Warner Center penthouse in New York overlooking Central Park, previously occupied by Jay-Z and Beyonce. At over $6,400 per square foot, the deal is the highest ever at the luxury condominium tower.
May 2012
Goldman Sachs, which had been looking to expand into Asia’s emerging markets, issues the first round of bonds for 1MDB. $3.5 billion is raised via two bonds of $1.75 billion issued in May and September, with the money set to go towards purchasing power plants. The bonds were guaranteed by Abu Dhabi’s sovereign petro wealth fund IPIC, run by Khadem al-Qubaisi, whom Low is reported to have met on the U.S. club scene in Vegas in 2010.
In exchange for this guarantee, 1MDB says it paid IPIC approximately $1.37 billion, more than 40 percent of the net proceeds raised. However, IPIC later said it never received this money. Instead, it is transferred to a British Virgin Islands-registered corporation called Aabar Investments PSJ, which bares a similar name to Aabar, a subsidiary of IPIC (and also run by Al-Qubaisi). The new Aabar Investments PSJ had Al-Qubaisi and his CEO at the Abu Dhabi-based Aabar, Mohamed Al-Husseiny (more on him later), as directors.
Both IPIC and Aabar later asserted that Aabar Investments PSJ was not owned by either entity.
For its work in arranging the bond offering and underwriting the notes, Goldman Sachs was to be paid a total of $192.5 million, roughly 11 percent of the principal amount, which is considered an unusually high commission. It would issue more bonds for 1MDB later
June 2012
Money starts flowing out of the fake Aabar account. Among the various transfers made are more than $472 million the DoJ alleges went to accounts controlled by Al-Qubaisi, $66 million to accounts of Al-Husseiny and $238 million sent in three bunches between June and November 2012 to a Singapore bank account belonging to Red Granite Capital, owned by Aziz. $94.3 million of this money is alleged to have been used to fund luxury real estate, including Low's previously-mentioned properties in Beverly Hills and New York and a luxury London mansion near Buckingham Palace, which was bought through a shell company for $33 million. A further $64 million of the money received by Red Granite Capital went to set up Red Granite Pictures and was directed into the film production company's account at City National Bank.
August 2012
Production on The Wolf of Wall Street kicks off in New York.
November 2012
As a 38th birthday present, Low and Red Granite spend a reported $600,000 to buy DiCaprio the best actor Oscar statuette won by Marlon Brando in 1953 for On the Waterfront. More is splashed at a party thrown for the actor, where Red Granite execs reportedly rack up a bill of over $1 million on a competition to see who could order the most champagne. Speaking to THR, a source described the night as "pure debauchery." 
June 2013
Red Granite picks up the production rights to another long-gestating project, Dumb and Dumbersequel Dumb and Dumber To, which it will finance.
July 15 2013
Red Granite files a lawsuit against Dumb and Dumber producers Brad Krevoy and Steve Sabler, seeking to exclude them from involvement as producers on the sequel. The two assert that their contract from the original production says they are to be involved in any remake or sequel
July 22, 2013
Krevoy and Sabler file counterclaims against Red Granite, asserting that “no one in Hollywood will trust” McFarland and Aziz in the future and that their experience in the cinema industry consisted of “cavorting at nightclubs with Paris Hilton.”
November 2013
Low and McFarland attend DiCaprio's 39th star-studded birthday party at the Tao Downtown and are reported to be among those buying large quantities of champagne. The proceeds from the mark-up on the champagne are donated to the Leonardo DiCaprio Foundation, which raises $3 million from the event.
December 17, 2013
DiCaprio, Low, Aziz and McFarland attend The Wolf of Wall Street world premiere in New York. The film is released wide on December 27, earning $18.4 million on its opening weekend and reaching the fifth spot. Although it would bring in only $117 million domestically, its dazzling international haul of $275 million would push it to $392 million, making the film Scorsese’s top grossing title of all time by February 2014.
January 12, 2014
At the Golden Globes ceremony, DiCaprio wins for best performance in a musical or comedy. On stage, he thanks Low, Aziz and McFarland for “being not only collaborators, but taking a risk on this movie.”
January 16, 2014
The Wolf of Wall Street is nominated for five Academy Awards, including best picture, best actor and best director, yet fails to win a single one at the March 2 ceremony.
April 2014
Krevoy and Sabler amend their original lawsuit against Red Granite regarding the Dumb and Dumber sequel to claim that the company had committed racketeering. "Red Granite is funded with monies that include proceeds from offenses against a foreign nation that involve bribery of public officials, or misappropriation, theft, or embezzlement of public funds by a public official," it asserted, the first time Red Granite was linked openly with corruption in Hollywood.
June 2014
Low takes delivery of his biggest purchase to date, the 300-foot super-yacht Equanimity. Reported to have cost $125 million, the boat comes complete with a spa, gym, sauna, Turkish bath and pool, plus nine staterooms that can accommodate up to 26 guests. 
July 2014
Red Granite requests that racketeering allegations be dismissed from Krevoy and Sabler's lawsuit, and the case is settled, with both sides reaching a confidential agreement.
August 2014
In an interview with the New York Times that came amid growing questions about Red Granite's financing, Aziz asserted that its principal investor was Al-Husseiny, the CEO of Aabar (and director of Aabar Investments PJS), and that the company's previous silence regarding the matter was because Al-Husseiny didn't want to be solicited by other producers. "I have known Riza for many years and have done business with Red Granite Pictures since its inception,” Al-Husseiny said in a statement.
November 2014
Universal releases Dumb and Dumber To in the U.S. Despite poor reviews, the comedy sequel would gross over $169.1 million globally.
April 2015
Al-Qubaisi and Al-Husseiny are fired from their positions at IPIC and Aabar in Abu Dhabi. Two months later Aabar Investments PJS, the look-alike company based in the British Virgin Islands used to transfer money into accounts held by Aziz, Low and Al-Qubaisi, is liquidated.
July 2015
With rumors circulating, Low is reported to have taken refuge in Taiwan, which has no extradition treaty with Malaysia or the U.S.
October 2015
Red Granite announces it is to develop a remake of the 1973 Steve McQueen classic Papillon.
February 2016
Tim Leissner, Goldman Sachs' Southeast Asia chairman who became one of the company's star bankers thanks to his work with the 1MDB investment fund, helping orchestrate the billion-dollar bond issues, steps down, relocating to Los Angeles with his wife, reality TV star and Russell Simmons' ex Kimora Lee Simmons. Days after leaving Goldman Sachs, Leissner is reportedly issued a subpoena by prosecutors at the Department of Justice looking into the possible embezzlement of 1MDB funds.
May 2016
It is revealed that the FBI is investigating the properties in Beverly Hills and New York owned by Riza Aziz. Meanwhile, from a yacht at the Cannes Film Festival, Red Granite execs meet buyers to sell Papillon, now with Charlie Hunnam attached to star, and to discuss another major project in the pipeline, George Washington film The General.
July 20, 2016
The Department of Justice files the largest forfeiture complaint in U.S. history, citing $1 billion of assets owned by Low, Aziz and Al-Qubaisi, and the future profits of The Wolf of Wall Street. DiCaprio is referenced in the filings as "Hollywood Actor 1."

A follow-up statement from Red Granite asserts that, to its knowledge, "none of the funding it received four years ago was in any way illegitimate and there is nothing in today’s civil lawsuit claiming that Red Granite knew otherwise." It added that the company was cooperating with all inquiries and is "confident that when the facts come out, it will be clear that Riza Aziz and Red Granite did nothing wrong."

Wednesday, July 13, 2016

Advice From a 104-Year-Old Doctor

Dr. Shigeaki Hinohara, from Japan, turned 104 recently. One of the world's longest-serving physicians and educators, Hinohara's magic touch is legendary. Since 1941, he has been healing patients at St. Luke's International Hospital in Tokyo and teaching at St. Luke's College of Nursing. He has published around 15 books since his 75th birthday, including "Living Long, Living Good", which sold more than 1.2 million copies.
old dr.
As the founder of the New Elderly Movement, Hinohara encourages others to live a long and happy life - a quest in which no role model is better than the doctor himself. Nearly 10 years ago, he was interviewed, and gave his advice for a long and healthy life. Dr. Shigeaki Hinohara's main points for a long and happy life are: 
1. All people who live long regardless of nationality, race or gender share one thing in common: None are overweight.
old dr.
For breakfast I drink coffee, a glass of milk and some orange juice with a tablespoon of olive oil in it. Olive oil is great for the arteries and keeps my skin healthy. Lunch is milk and a few cookies, or nothing when I am too busy to eat. I never get hungry because I focus on my work. Dinner is veggies, a bit of fish and rice, and, twice a week, 100 grams of lean meat.
2. Always plan ahead.
old dr.
My schedule book is already full until next year, with lectures and my usual hospital work.
3. There is no need to ever retire, but if one must, it should be a lot later than 65.
old dr.
The current retirement age was set at 65 half a century ago, when the average life-expectancy in Japan was 68 years and only 125 Japanese people were over 100 years old. Today, Japanese women live to be around 86 and men 80, and we have 36,000 centenarians in our country. In 20 years we will have about 50,000 people over the age of 100...
4. Share what you know.
old dr.
I give 150 lectures a year, some for 100 elementary-school children, others for 4,500 business people. I usually speak for 60 to 90 minutes, standing, to stay strong.
5. When a doctor recommends you take a test or have some surgery, ask whether the doctor would suggest that his or her spouse or children go through such a procedure.
old dr.
Contrary to popular belief, doctors can't cure everyone. So why cause unnecessary pain with surgery? I think music and animal therapy can help more than most doctors imagine
6. To stay healthy, always take the stairs and carry your own stuff.
old dr.
I take two stairs at a time, to get my muscles moving.
7. My inspiration is Robert Browning's poem "Abt Vogler."
old dr.
My father used to read it to me. It encourages us to make big art, not small scribbles. It says to try to draw a circle so huge that there is no way we can finish it while we are alive. All we see is an arch; the rest is beyond our vision but it is there in the distance.
8. Pain is mysterious, and having fun is the best way to forget it.
old dr.
If a child has a toothache, and you start playing a game together, he or she immediately forgets the pain. Hospitals must cater to the basic need of patients: we all want to have fun. At St. Luke's we have music and animal therapies, and art classes.
9. Don't be crazy about amassing material things.
old dr.
Remember: you don't know when your number is up, and you can't take it with you to the next place.
10. Hospitals must be designed and prepared for major disasters, and they must accept every patient who appears at their doors.
old dr.
We designed St. Luke's so we can operate anywhere: in the basement, in the corridors, in the chapel. Most people thought I was crazy to prepare for a catastrophe, but on March 20, 1995, I was unfortunately proven right when members of the Aum Shinrikyu religious cult launched a terrorist attack in the Tokyo subway. We accepted 740 victims and in two hours figured out that it was sarin gas that had hit them. Sadly we lost one person, but we saved 739 lives.
11. Science alone can't cure or help people.
old dr.
Science lumps us all together, but illness is individual. Each person is unique, and diseases are connected to their hearts. To know the illness and help people, we need liberal and visual arts, not just medical ones.
12. Life is filled with incidents.
old dr.
On March 31, 1970, when I was 59 years old, I boarded the Yodogo, a flight from Tokyo to Fukuoka. It was a beautiful sunny morning, and as Mount Fuji came into sight, the plane was hijacked by the Japanese Communist League-Red Army Faction. I spent the next four days handcuffed to my seat in 40-degree heat. As a doctor, I looked at it all as an experiment and was amazed at how the body slowed down in a crisis.
13. Find a role model and aim to achieve even more than they could ever do.
old dr.
My father went to the United States in 1900 to study at Duke University in North Carolina. He was a pioneer and one of my heroes. Later I found a few more life guides, and when I am stuck, I ask myself how they would deal with the problem.
14. It's wonderful to live long.
old dr.
Until one is 60 years old, it is easy to work for one's family and to achieve one's goals. But in our later years, we should strive to contribute to society. Since the age of 65, I have worked as a volunteer. I still put in 18 hours a day, seven days a week, and love every minute of it.
15. Energy comes from feeling good, not from eating well or sleeping a lot
old dr.
We all remember how as children, when we were having fun, we often forgot to eat or sleep. I believe that we can keep that attitude as adults too. It's best not to tire the body with too many rules such as lunchtime and bedtime.