Has the Penang govt blundered?
This whole business of converting leasehold land to freehold appears to have been done without considering the long-term implications.
I know the state government, faced with budgetary constraints, is hoping to raise funds from land conversion. But has it considered the impact on the future price of land in Penang, which could put it beyond the reach of the lower-income group, and the future needs of the state for public land to build vital infrastructure and amenities? There is a good reason for some land to be classified as leasehold in the first place - though leasehold property owners may disagree.
Now, the Queensbay project, for which the land conversion was done under the previous administration and defended by the present administration, is embroiled in controversy. Senior conveyancing lawyer Agatha Foo is quoted in theSun as pointing out a provision in the National Land Code which expressly prohibits the state from disposing “any part of the foreshore or sea-bed for a period exceeding 99 years”. Land commentator Prof Salleh Buang agrees: “The law says it very clearly. It is on record that you cannot make such land freehold.”
There’s another potential hot potato looming north of the island in a new property development scheme where the land is still leasehold. Look out for this in coming weeks.
This is a report on Queensbay on page 2 of theSun today:
Crucial clause overlooked
Guan Eng missed proviso when defending land conversion
Himanshu Bhatt
GEORGE TOWN (Oct 8, 2008) : Chief Minister Lim Guan Eng had defended the controversial conversion of land housing the Queensbay project, reportedly worth RM3 billion to freehold, at the Penang state assembly in July, but had overlooked a vital clause in the National Land Code (NLC) 1965.
It is learnt that Lim (who is currently away in the United Arab Emirates on an investment mission) had in a written reply reasoned that the NLC allowed the state to convert the land from leasehold to freehold.
He made the reply to a question from Batu Uban assemblyman S Raveentharan who asked how reclaimed coastal land had been made freehold in Batu Uban and Pantai Jerjak.
In his reply, however, Lim missed a crucial proviso in the NLC.
He reasoned that the freehold status was given as an effort to revive the project after it was left unfinished.
(The project had been stalled as the original developer Eternal Resources Sdn Bhd was affected by the economic crisis of the late 1990s.)
Lim referred to section 76(aa)(iii) of the NLC which says land could be converted “where the State Authority is satisfied that there are special circumstances which render it appropriate to do so”.
It is now learnt that Lim was sent a letter by a senior conveyance lawyer in Aug, expressing concerns about his plan to convert residential leasehold land, including areas that had been reclaimed from the sea, to freehold.
In her letter, lawyer Agatha Foo pointed out a proviso in section 76 of the NLC, which Lim had overlooked in his assembly reply.
Foo noted that the proviso expressly prohibits the state from disposing of “any part of the foreshore or sea-bed for a period exceeding ninety-nine years”.
The proviso had been inserted when section 76 was amended in Parliament in 1985.
“Consequentially, the said proviso would also prohibit the state from re-alienating or converting any part of the reclaimed foreshore or sea-bed to freehold land.”
“Any subsequent attempt by the state to re-alienate or convert any part of the foreshore or sea-bed to freehold, notwithstanding that the foreshore or sea-bed have now been reclaimed, would tantamount to a circumvention of the prohibition in section 76 and hence be ultra vires the NLC.
When contacted, land commentator Prof Salleh Buang, who is currently a visiting professor at Universiti Teknologi Malaysia (UTM), said the NLC was very clear that the lease for state foreshore land cannot exceed 99 years.
“The law says it very clearly. It is on record that you cannot make such land freehold,” he said.
He stressed that the state should be careful to ensure public access remains in foreshore areas. “If you allow seafront to be freehold, what would happen to open public access to the area?” he asked.
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Printable version
- From leasehold to freehold: The controversy simmers
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- Penang Global City Centre: Spot the difference!
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It is not the time to show people who is the best lawyer to interpret the NLC. As long as there is no hidden agenda- its ok, I believe the rakyat will accept it. So what Anil!!!! solution not creating uncertainty. What is good, the best choice? opportunity costs? CAT?
tell me anil ..you against wirelss..no this….what next…pls do some research before writing in the case of wireless net…i’m in adelaide…its fully wirelss ….people not dying…what shame…you too penang CAP..
owh, so Eagle is saying , everything is okay as long as no hidden agenda.
thats the kind of mindset we want in our malaysia ka?
i am sorry but, u bashed people like hell when they broke any law. even go to the roads to make ur feeling heard. and then one of u break the law, u say something else.
i believe the right thing to Guan Eng to do is, comeback and solve the conversion problem. if need to reverse back to leasehold, so do it.
i am not DAP supporter, but i am not that blind to see that this is just a mistake (i’ll drop the subject about ‘hidden agenda’ this time)
Well Anil,
BN was also not too good but the opposition controlled state governments now are just making the people happy regardless of impact or looking at long term sustainability. They are doing all they can just to make the people happy so that they can escape a tsunami is the next elections. One fine day when Penang has nothing left, thats like dont knoe when , thats when we will go back to Gerakan. This all falls about populist policies. I fully agree and support your very fact rich postings in the last few days. This doesn’t mean you are supporting BN or what but this is education and populist measures for long term happiness and sustainability. Those who don’t know will be very happy that yahoo we get everything now but those who dont know who are getting info and getting to know are educated thanks to info through your blog and all will be regretful in the long run. Of course lease hold land owners will be very happy. Maybe the state government feels it only need the votes from the a lot of lease hold owners in penang in the next elections to win. Haha. I have got evidence that (certain) local council summons are (allegedly) being cancelled by our DAP controlled MPPP through councillors. People are happy la of course no summons. I dont see the new state government as very transparent. BN has so many scandals. In the end, i believe independents will win in the coming elections that now we already have about 5 independents in Parliament . Haha. Anyways, like what Gerakan said,let the DAP government do their workla. Next elections we will meet them what after all. Then we will rocket them into governing a different planet. lol. haha. But we must intervene and be a strong opposition (BN) in penang before its too late. Now, when Anil writes facts about certain non-sustainable stuff being implemented by penang government he is gonna get it . I will defend you Anil dont worry. The penang government should do the more important workla which BN didnt do. The tsunami homes, homes in the inner city which Mr. Ong Boon Keong of Save Ourselves said the BN government screwed up the inner city. My way of quoting and summarizing what he said and not exactly Mr. Ong’s words ok. I guess Mr. Ong even mention that now with DAP in power for almost 8 months already, yet no solution to inner city problems except KOMTAR where state government is. BN neglected Komtar i believe because they had plans for a mini putrajaya luxury administrative centre at bayan mutiara in bayan baru but come on dont do that ok as a tsunami will kill you and has already killed u in march 8. But that project has been shelved and not scrapped by the new government ok but it will not complete as fast as Tesco Penang what. Haha. Yeah Tesco Penang the fastest building completion that i saw la. In the Penang plan mind you. that plot in Bayan Mutiara is still for state government administration so to me is it has been shelved only and not scrapped yet. Maybe once penang government is doing well they will move there also la …. Like Guan Eng said i am moving to my official home for security reasons when he initially said he wont. Come on la . Even Anwar still alivela. this is not pakistan ok. Once they do well they will say we deserve a better administrative centre. Poor Komtar. its long term astrology view is ok for now as being revived but rocky in the future as new mall coming up around it man. Well lets see what we get from Mr. AND MRS. Guang Engs so called “self paid” trips to overseas for FDI and all. what i admire is he travelled by economy class. ok also la . already 6 months ok . so i hope penang government dont be like Pak Lah national government get thrown out after a vote of confidence and endorsenment by the people but did nothing in the end. Thank you.
Regards,
Dalbinder Singh Gill
haha… oppurtunity cost… nonsense la .. i m not gonna get married and no more long term sustainability and future for my kids d … haha
Dear Eagle,
so farny….LGE could **** on the table, running around the room cotton buds stuck up his pooper, the PKR zealots would still say he is doing the right thing. People, the law is law….doesnt matter. LGE is basing his decision on the land code, however he missed a provision, therefore he must go back and review his decision, and come with a new one base on the new provision. THAT IS THE CORRECT THING TO DO.
you want fairness, that is what fairness is….not scream overbearing zealous comments at anyone who questions his decision. He is human too, you know, and humans are prone to making mistakes.
You want good governance, that LGE must act within the law. Period. If you can close one eye like this, then you are no better than the … BN fellas.
I have to agree if one got to take in considerations from all parties before even commenting and judging one’s performance. Especially the present state government of Penang, barely seven months old. Of course, it does not reflect well on Penang state’s government if such decision are made without considering all factors. However, I tend to believe LGE has covered all grounds when he pursue this agenda.
Even if he might have not considered this particular oversight in NLC, I don’t think Penang State Government has blundered at all. It’s just an oversight. If Singapore Government can get away with the Mat Selamat’s escape with Wong Kan Seng still keeping his job (Sorry to side track, me staying in Singapore for 15 years & counting), what’s this to LGE’s government? Just like the FAP thingy.
One cannot just rely on one article to make judgment on one’s performance. Especially it’s from The Sun. I am not saying The Sun’s article’s not accurate. However, based on its past experience in reporting the Selangor’s land issue (That ihat involves Teresa Kok), I do have serious reservations on sublime message enamating from The Sun. Either you have to cover all grounds by taking in information from all parties including LGE. That includes facts and figures. Not just one article. One comment from a visiting professor at UiTM. One got to sieve out the weeds from the wheats.
You know even a good farmer cannot prevent the weed growing among the wheats. As long as when it’s matured and ready to be sown, those weeds are thrown away and burnt, it’s still alright
If there is a proviso preventing conversion, then state government must follow. They must not find themselves put in the same basket as the BN fellas. It is that simple …. The conversion process just needs a little adjustment - I still think it is a good idea.
PR = BN, what a dreadful thought, but I am sure they are not. They have been living under BN misrule for so long and LGE has been a victim of it in more ways than we have.
I have no doubt he will correct this when he gets back.
Like i said these politicians are all the same…
There is nothing wrong being populist. Anyway, at times, even BN government is also populist too. As long as it benefits the people while jagaing the state coffer it’s ok.
On seperate note, I don’t think Gerakan would be able to take over Penang in the next 5 years as long as LGE government does not screw up big time. Even if policies do go wrong some times, one has the guts and wills to review and amend, I think DAP would be in power for a long long time. Gerakan would have tough time because Gerakan got to get past MCA and UMNO. Even if Gerakan go independent, then what? No support from federal government, can’t go far. The real reason why Lim Chong Eu decided to join BN in the first place.
Come GE13, GE14 & GE15, DAP would still be in power as long as they are clean, transparent and relatively competent. Yes, there are gaps. Hey, everybody has gaps. We are humans. Unless Gerakan can run the whole state by itself with all candidates contesting in 40 state constituencies and have the ability of winning AT LEAST 25 of them, Gerakan’s bid for penang leadership is doomed forver. Sorry, Mr Teng, Koh Tsu Koon, Chia, Romerz, Dr Hsu and even Mr Khoo. Once you guys are out, you guys are out.
Dalbinder Singh, you are a Gerakan member right?
I think you have ulterior motives and agenda in asking what the new government in Penang has done in the past 6 months.
Why don’t you ask your party and especially Koh Tsu Koon what they have done for Penang after 18 years (NOT months)???
Fully agree with Penangnite.
On the streets of Penang, KTK is better known as Ko Tee Koon which in Hockkien means ” still sleeping ” which of course, he had been doing during his 18 years in office.
Anil’s chronicles on the recent floods speak for themselves, not to mention the pathetic state that is the Penang public transport system or the unexplained land scams.
What overlooked??, It is very clearly stated under Section 76(aa)(iii) of the NLC which says land could be converted “where the State Authority is satisfied that there are special circumstances which render it appropriate to do so”. This clause I believe supercedes the other clauses. Anyway, please always remember that that Land is a State Matter.
anil.
its good for you to write all this ” land issue WiFi thing” for the public. We say thank you. However as for the WiFi it should be allowed to continue as only time will tell, this goes to the CAP as well.
The land issue : The chief minister is trying his very best to let the people of penang feel happy and proud to have him as CM at the same time cash flow for the state, that the way I see it. It is a very good point the lawyer Foo has found out in NLC, so what, if CM misses this clause and if he agrees on the mistake I still feel its ok with the sincerely of the heart, it is only human.
I still feel the penang people and the ngo are too good to criticise
on what the new state govt is tring to do…. please give them a break.
If I can remember the people cap and ngo seem quite quiet when gerakan rule the state…. I just hope that there isn’t any hidden agenda amoung these group.
Hey looes74,
Why am I lumped with Teng, Koh and Chia? I’m not a member of any political party. I support anyone who can strengthen Malaysian civil society and fight for a truly Malaysian Malaysia.
LGE should fire some lawyers for missing that.
Again - I am glad that you brought this up ANIL. I question your integrity and I question your wisdom. Stand by what you say - don’t gloat about the past glories of PGCC. Penangnites stood up against the project - I was one of them. I don’t even know who the players were. My representative came to my apartment and spoke his stand while the rest of the blocks from BN had too much time entertaining Pak Lah at Ayer Itam. YB Liew is still DAP and DAP stood for what the stood for - justice and fairness.
Many parts of the Island, even before humans set foot on it, were naturally claimed from the sea.
The Bayan Lepas Free Industrial Zone to the west of the airport runway can be said to be reclaimed from the sea by nature as sea shells were dug up from those areas during factory construction.
Think.
If you build your house on what was once a beach, can I still claim public access to it as all beaches in this country are public access land and may not be privately owned ?
So, after a portion of the sea is reclaimed, by definition, it is no longer a foreshore or a sea bed.
Thus, I believe the Penang State government is right in allowing freehold conversion to increase state revenue.
MR GILL WHETHER ITS GOOD OR BAD FOR THE LAND CONVERSATION I DONT KNOW BUT CAN YOU COMMENT ON THE LANDSCAMS AND WHY IS IT THAT KSK ISKEEPING SILENT. YOU SHOULS COMMENTMOREON AHMAD ISMAIL’ COMMENT REGARDING THE CHINESE.ARE YOU SCARED? ITS SEMS TO ME THAT YOUR LIFE WAS SO DEPENDENT ON THE GERAKAN GOVTSO MUCH SO THAT YOU HAVE LOSS YOURSENSEOF DIRECTION. AHMAD ISMAIL TOUR KSK PHOTO.“GERAKANHAS VANISHESINTO THIN AIR,LGE IS A SEASON POLITICIAN WHO KNOWS WHAT HE IS GOING.IF HE GOES BY ECONOMY CLASS DON’T YOU APPRECIATE IT,UNLIKE YOUR FRIENDS THAT FLY BY 1CLASS SNOORING AWAY ON GOVT EXPENSES
Laws are not caste in stone … laws are meant to support the progress of society with time. if it needs to be changed for the better than so be it … there is no need to comply to laws because they happen to be laws. laws need constant review.
one in particular is the ISA and perhaps this particular land laws too.
“any part of the foreshore or sea-bed for a period exceeding ninety-nine years”
I dont get the issue here….. can that piece of land after reclamation still be considered foreshore or sea-bed?
Carry on with WIFI and let time tell???
Hello, Ernest Cheah, don’t play play o! I have only one life and so do you!. Does anyone know what the Precautionary Principle means technically?!
Penangites do have high expectations of Ah Guan Eng and I am sure we all want him to succeed. Frankly, I do not think anyone here wants to give him a hard time — we all want a better Penang, right, and he is our hope?
But, it scares the hell out of me when I see (pardon my language) what they say “even his fart smells sweet”! With such sentiments among the rakyat, it is no wonder that people running the country get away with … in bodohland.
Dear Romerz,
That’s precisely the motto of DAP from the very beginning. Malaysian Malaysia originates from Lee Kuan Yew when Singapore was under Malaysia. The success of Singapore now with reserves up or perhaps to 180 Billion USD is a clear indication. Malaysian Malaysia concept is the cornerstone of DAP policy all this while. Which I don’t understand why you seem to have reservation the present Penang state government.
I am sorry for the oversight of lumping you together with the Gerakan folks. Well, sometimes I assume one as in this case you,knew the other as in this Dr Koh long enough, one is affiliated to that person. That’s my assumption with you and Dr Koh
Dear Romerz,
To be frank, Gerakan is as good as dead when Tan Chee Koon left Gerakan. Worst still, before 308, Gerakan only has 13 ADUNS with only 3 state excos with one CM who does hold The State Land Portfolio as compared to 5 UMNO state excos. I am extremely certain with the emergence of strong DAP leadership under LGE, I believe you would have agreed with me that Gerakan is doomed as far as wanting to govern Penang in the next term and the next term and so on and so for. It’s like asking Chiang Kai Shek to take over China. Or in Singapore, asking Lim Yew Hock to take over LKY’s PAP government in 1963GE after Lim Yew Hock’s government kenna booted out in 1959GE. A landslide victory similar to LGE.
Like I say before, unless Gerakan can muscle out UMNO, MIC and MCA by contesting all 40 state constituencies with strong chance of winning at least 25. I believe Penangites would not be stupid enough to bring back Gerakan in the next term. What LKS said was correct. Penangites need Penang CM with power. 18 years of KTK’s leadership is long enough. Hence,I said if LGE government does not screw up big time, you bet that GE13,GE14,GE15, DAP would still be in power. If ever LGE and his team learn fully from PAP in Singapore, Gerakan just like the yesteryear of Lim Yew Hock, David Marshall and even JBJ of Singapore can say sayonara of ever setting foot in Penang’s politics
Correction. KTK did not hold Land portfolio
looes74,
I like Dr Koh as a person but that doesn’t mean I like his politics.
The only reason why I’m engaging him in debates is because he is the only one amongst the BN power elites I have access to. So I thought I’d do everything I can to convince him to bring his party out of BN whilst he is still prepared to listen to me.
Isn’t this a good thing?
Isn’t UMNO the big bad wolf of the country and every effort to isolate them is a step forward to a better Malaysia?
I may engage them in talks and debate but I already know where my vote is going come the next GE. Is that enough for you?
Do you want the numbers or don’t you? Idealism alone may bring about changes one day but thats too far away for my liking!
gerakan is a bunch of cancer. my say is stop importing them back to penang since it has already been chemotherapized for good!
any resumes that read - gerakan or former gerakan member should not be allowed to come to the new govt of penang because we have been so stagnant for the last 18 years, we now want to move forward fast .. irregardles if the rest of the country is governed by UMNO/BN.
one day penang has to be like singapore … let the other states rot with corruptions, power abuse and scandals .. i dont really f****** care. all i care about is coming back and living in penang is like in the develop country, world class infrastructure, world class society relationship & mentality and world class business and entertainment avenue. not forgeting of course the right to practice freedom of speech and religion in a racially harmonious society.
all the other UMNO/BN rule states can go **** themselves for all i care. bottomline, my homeland penang has to be more than above par that will leave them in awe and wonder.