Sunday, November 11, 2018

The Grand Advantage of the Rich

One of the most interesting things about working in media is getting to see how easy it is to sway the public with the right headlines. I learnt this first hand when I was recruited by PN Balji to work on the Susan Lim case.

For readers outside Singapore, Dr. Susan Lim was one of our most prominent surgeons who had the misfortune of taking on a relative of the Sultan of Brunei as a patient. The relative in question was dying of cancer and had sought Dr. Lim out to help prolong her life. In return for giving exclusive and personalized service, Dr. Lim was reimbursed handsomely. However, the woman eventually died and the Brunei government which had paid the bill happily, decided it was time to ask for a discount, where upon the Singapore Government (which is exceedingly close to the Sultan) decided to raid Dr. Lim’s clinic and promptly accused her of “overcharging” the patient.

From my professional standpoint, it was a challenging case. Dr. Lim had already been “tried” in the court of public opinion and we knew that we were not going to win in the local press. However, we managed to get some of Dr. Lim’s story out and somehow, we managed to get some of her side of the story out.

However, while that was an interesting enough challenge, I noticed that the average reader developed an incredible dose of self-righteous anger against Dr. Lim. I remember the Young Muslim Politician who Guzzles Pork in a Ramadan day telling me, “She’s terrible, she cheated the Sultan of Brunei.”

I’ve said plenty about the case and I’m sure many people will discount my views now that its public knowledge that I was one of the PR people on the case. However, what still intrigues me is the dose of self-righteous anger the public held for Dr. Lim for having the audacity to bill one of the few people in the world who can afford such medical bills. I find it particularly intriguing that many Asians in particular felt that it was wrong because “Even Doctors in the USA or UK don’t ask for such a large amount of money.” I take the statement of my favourite Young Muslim Politician as an example – “She cheated the Sultan of Brunei,” as a starting point.

If you look at the facts of the case, it’s hard to argue that Dr. Lim “cheated” anyone. The scope of the services expected were such that she was required to sacrifice business from elsewhere in order to tend to this single patient. I’ve always felt that Dr. Lim should never have apologized for her bills – it was a case of “My practice has a turn-over of x dollars and if you want y services at the expenses of all others, you need to pay accordingly.”

However, is particularly intriguing here is the question of “how” do you actually cheat a rich and influential person. The bottom line remains, rich and influential people are generally that way because they had some sort of “smarts” that the rest of us did not have. It’s often said that one of the gifts of the “rich” is that they have an idea of the value of things and they have an uncanny knack of avoiding spending more money than they have to on certain things.

PJ O’Rouke, the famous American satirist once made the observation that the really rich (in Bank Speak – HNW individuals) didn’t spend much money on designer brands because they didn’t need to show off. Bill Gates, who has been the richest man in the world for the better part of two decades was famous for flying coach. Why would a man who has billions need to count the pennies? I believe its because Mr. Gates is aware that the value of the extra comfort between coach and first isn’t worth all that money (I, on the other hand dream of flying in Ethihad’s Residences, which costs around $40,000 – my sister then put me down to earth by reminding me that I’d arrive at the destination in the same time as the chaps who flew coach.).

 Another billionaire who made a point of protecting his wealth, was the infamous Jean-Paul Getty, who installed a pay phone in his house because he noticed that his guests were using his phone to make prohibitively expensive calls at his expense – his logic was simple – I may be rich but there’s no reason for you to get a free ride. The late Mr. Getty also made it a point to remind the world that he never married his five wives, they married him or at least they hopped they were marrying his money.

You could argue that not every rich person is smart with money. You could argue that I am only talking about those who had to work for it and got scorched along the way. One only has to read gossip mags to know about the way the young brats spend inherited fortunes. 

However, even then, it’s tough to “cheat” the rich in as much as even if the said rich person is an idiot, he or she will have someone out there willing to protect him or her from the world’s scoundrels. To get access to the well to do is a challenge.

Then, there’s what I call the “Beauty Parade” syndrome. Like it or not, the rich become automatically very attractive, especially to the world’s top most sales people. 

As every “hot chick” will testify to, when every guy drool over you, you get to pick and choose. I remember the former head of SAGIA (Saudi Arabian General Investment Authority) in Asia Pacific telling me that the problem with getting Singaporean investors was the fact that they were used to dealing in countries that were desperate for investment. As he said, “With us, the Americans and Europeans are knocking at our doors.” He’s right, despite the brutality of the Jamal Khashoggi killing, the Saudi Government remains very aware that if the Russians and Chinese are more than happy to fill the gap if the Europeans stop selling them arms. 

If one takes the analogy of Dr. Lim and the Sultan of Brunei as an example, it’s very clear that Dr. Lim wasn’t selected stupidly. When the Brunei Royal Family says they need a doctor, every respectable medical institution in the world will fly over and offer what they believe will swing the deal in your favour – which hospital wouldn’t want to claim that they were chosen by the Sultan of Brunei?

Then there’s the fear factor. Money, as they say, often buys power. Money combined with influence means that people have an urge to be good to you, if anything, its for the fear of being crushed by you. Money can buy very good lawyers. Money can buy muscle of the illegal sort.

I’m not saying that you can’t cheat rich people as the very existence of Bernie Madoff will attest to. Nor, do I subscribe to the philosophy that you should cheat the rich. “Cheating” as they say is one of those things that has a way of biting you back both in the legal and cosmic sense. 

What I will say is that “Warren Buffet” is correct when he says that people like him don’t need protection from the government or extra laws to help them get buy. 
I’d also ad the caveat that working to become rich is a worthwhile exercise in that it will probably train your mind and character in very unique ways. Some of the richest people I’ve known have this incredible way of being above the “hype” that the rest of society likes to inflict. That is a priceless ability and all the other trappings are nice too. 

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