Thursday 8 March 2012

‘Secrets land deals costing Sarawak billions’

There would be no need to revoke welfare aid to Sarawakians if the state administration practiced an open-tender policy on land sales, claims DAP.
 
KUCHING: The secretive sale of state land at grossly low prices to Chief Minister Taib Mahmud’s family and friends has costed the state billions of ringgit in losses, claimed opposition DAP.

“If we total all the losses from the sales of state land, we could have lost several billion ringgits,” said state DAP secretary Chong Chieng Jen.

He cited as an example a 269.9 acre plot of land at BDC which was directly alienated to Monarda Sdn Bhd, a company owned by Taib’s sons and other family members.

“It was sold at RM78.64 million at RM291, 000 per acre instead of RM500 million at RM1.5 million to RM2 million per acre. So here we lost about RM400 million.

“The 32- acre state land at Batu Lintang was alienated to Naim Cendera at RM900 million. It could have cost much more. All these lands are paid in kind.


“If we have adopted the open tender system just like the Penang state government is doing we could have saved several billions ringgits.

“This money could have been used to upgrade the livelihood of the people of the rural areas. We can build more roads, provide electricity and treated water and can give more financial assistance.

“And there is no need to withdraw welfare allowances to OKU (handicapped persons),” he said, referring to the uproar caused by Assistant Minister for Agriculture (Research and Marketing) Mong Dagang who revoked the welfare aid to Frusis Lebi, a disabled farmer because of his open support for the opposition.

Adopt open tender system

Chong said Sarawak should adopt an open tender system similar to that practiced in Penang.

“Let us compare the sale of state land through the non-open tender system by Sarawak government with the open tender system practised by Lim Guan Eng, Chief Minister of Penang state government.

“A parcel of land of 102 acres at Bayan Mutiara was valued by the federal government land and survey at RM65 per square feet (psf). That is about 2.8 million per acre.

“Lim Guan Eng, knowing the rush market price of land in Penang refused to accept such a low valuation.

“So he set up a reserve RM200 psf and then went through an open tender for the sale of this state land, and at the end, the highest bidder got it by offering RM240 psf, which is RM10 million per acre.

“From the sale of the 102.6 acres the state government of Penang got RM1.07 billion,” said Chong.

“Compared that to the sale of Sarawak state land where there is no open tender.

“The 269.9 acres state land at BDC Kuching is a good example. The state could have earned about RM500 million from the sale of the land.

“We can accept that Penang’s land title is higher than in Sarawak, but it cannot be higher than 35.8 times,” he said adding that because the state government refused to use the open tender system in the sale of state land, Sarawakians were only getting “three to five percent of prices which are quoted.”

Joseph Tawie | March 8, 2012

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