It is shocking to see the Penang Development Corporation and Abad Naluri re-negotiating the deal in which the latter was supposed to acquire 750 acres of land in Batu Kawan from the PDC.

batu kawan land
The site of the failed equestrian centre project in Batu Kawan – Photo by Anil

This Batu Kawan land was supposed to have been used for a new equestrian centre among other things around the time the Penang Turf Club entered into an agreement with Abad Naluri to sell its Batu Gantung race-course for the Penang Global City Centre project. Neither project (the PGCC and the new equestrian centre in Batu Kawan) took off.

An Edge report says no money has exchanged hands for the Batu Kawan land even though there was a principal agreement between the PDC and Abad Naluri. If so, hasn’t this agreement, which was entered into in 2004, now lapsed? Shouldn’t the PDC be terminating the deal outright?

What is there to negotiate? After all, if the agreement has lapsed, there is no risk of the PDC being sued by Abad Naluri, is there?

People are always complaining there’s a shortage of land in Penang for affordable housing and green lungs. One would have thought this would be a golden opportunity for PDC to re-acquire this vast tract of land and build some affordable houses for Penangites – like it once did superbly – or to use it for other social and public purposes like public parks. Part of the land could also be sold to the highest bidder – in an open tender – to raise funds for the state government.

In the first place, how did an obscure company like Abad Naluri enter into an agreement with the PDC for such a vast tract of land? Was it a coincidence that it secured 750 acres of potential prime land next to the site of the second bridge so cheaply?

Did the state government’s investigative committee panel to probe dubious land deals ever probe the Batu Kawan deal? If so, what is the outcome? And if it did not probe the deal, why not? This was a monster of a deal – 750 acres to an obscure, but well-connected firm.

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  31 Responses to “Why is PDC re-negotiating with Abad Naluri?”

  1. Terminate the deal and forfeit the down payment if any !

    If the deal has not gone through and the state needs to raise some money as the federal government is squeezing its allocations, then the land should be sold under open tender.

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  2. Lim Guan Heng and Penang State Exco please be more transparent as you promised to be. I know you want Penang to be successful economically but it also should be environment and people friendly. What happened to CAT.

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  3. WE VOTED FOR CHANGE, NOT FOR SAME! We, the electorate in Penang who voted for the DAP voted for change. Lim Guan Eng – read our lips!

    We expected DAP to be different. But now increasingly, we see that Lim Guan Eng and his brain-dead DAP exco are only interested in carrying on from where Koh Tsu Koon and his Gerakan/BN corporate goons left off. We, the Penang electorate, have been hoodwinked and short-changed by the DAP.

    LGE obviously does not understand the mindset of Penangites. He thinks like a crass corporate lackey who only wants to continue vulgar big-ticket, “flatten-everything” style of development in Penang.

    Has he even stopped to canvass our views? Has he stopped to listen to what civil society is saying to him via the NGOs and the blogs? No, he is too arrogant for that. He is also too busy kow-towing to big business and cosying up to the likes of Hunza, IJM, Nusmetro and now to Abad Naluri.

    Now that they are in power, Lim Guan Eng and the DAP conveniently forget that democracy is more than a once in five year election in which the electorate can be ignored once the elections are over. Lim Guan Eng is also always blaming others for his political conundrums. Lim Guan Eng often accuses the BN of riding roughshod over public opinion and of acting like feudal lords and authoritarian masters of the Malaysian universe.

    But now, just look at Lim Guan Eng and Co.! How different are they? Lim Guan Eng and his DAP cohorts are no better than Gerakan and the BN. Same breed of money-minded, ugly-development politicians only dressed in DAP clothing.

    Where are our local government elections? Where is the CAT in this DAP government? Where is the commitment to the environment and improved public transport? When exactly is LGE going to get his act together to solve Penang’s woes instead of just continually blaming the BN as a smokescreen to hoodwink us about his hobnobbing with big business?

    The people of Penang deserve better than this bunch from the DAP. We threw out the BN in March 2008 because they betrayed us and destroyed Penang in the process. It is time to begin serious efforts to also throw out this bunch and replace them with perhaps even independent candidates – who will be more faithful, accountable and responsive to what Penangites want.

    It is time for further changes – for more reform – in Penang!

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    • Andrew well said…

      I guess this is another case of “SATU LAGI PROJEK KERAJAAN DAP”.

      If LGE doesn’t read our lips, he’ll be (booted out) come next GE.

      DAP – Development Above People
      DAP – Developements Are Priority
      DAP – Developers Are our Partners
      CAT – Condo, Apartments and Townhouses

      DAP likes to portray itself as a social democratic party but since 0308 has mutated into a Capatalist Corporation that only has ears for towkays and Big Business and shoves the ordinary rakyat we voted them in.

      This is not just apparent in Penang but also in Selangor where the developers and DAP are working like Siamese Twins dancing to the same tunes of “Greed Is Good” and “Development is Great”.

      In fact LGE is just KTK-lite with with lower IQ, shorter fuse and a bigger ego.

      BTW did anyone noticed how much time LGE spends travelling overseas and away from Penang and the number of PC and interviews he gives ? The way he behaves like he is a stateman with 20 years of experience. Listening to his overblown and self-important speeches made in overseas, one get an urge to shout down him down and tell him to get back to Penang and start doing his job before starts lecturing others.

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      • K, Just to correct you – In Sgor, hillside development above 40deg gradient has been banned. Something that BN is not able, and not willing, to do previously. Logging in mangrove forest has been stopped – licenses will not be issued anymore. In Subang Jaya where I live, our DAP ADUN has been working hand-in-hand with residents to stop development of Telekom land for commercial building. The preservation of the Subang Ria park has the full support of our ADUN. I can go on and on .. but I shan’t bore you.

        You probably have been reading too much MSM, which do not highlight the good work of the Pakatan govts especially with regards to welfare of the lower-income and the unfortunate. Plse allow me to share an example of a DAP ADUN working quietly and tirelessly http://hannahyeoh.blogspot.com/

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    • Andrew Aeria, please allow me to disagree with you.

      1. Transparency International actually gave special credit to Penang State govt’s governance despite Msia as a whole getting a very poor rating.

      2. What crass corporate lackey are you talking about ? what “flatten-everything” development ? you are not giving any specifics. You are just raving and ranting.

      3. the Pg State govt has been very financially responsible. They managed to collect millions of ringgit in unpaid quit rents. They managed to save millions of ringgit in cost by (for eg) flying economy and AirAsia where possible. The state expenditure came in well below budget. transparency in expenditure is one of the most important pillar of governance.

      4. the Unesco heritage award is important to Penang, as even you will know that. The Penang state govt has to produce the overall plan going forward but as you probably don’t know, the Federal govt is withholding funds to carry out the task. But unlike what you said, the state govt is not sitting on their …, there are plans to start a heritage fund inviting people to donate so that there are funds to proceed with the much needed work to be done.

      5. Funding is at the core of all governance activities. If the Feds refuses funding, they are in effect choking off your ability to govern … like in Kelantan where the oil revenues are not shared with the state. Therefore, responsible, effective and honest management of state funds is key to the survival of any opposition state in Msia. In this respect, the Pakatan state govt of Penang get top marks.

      In order to avoid such a situation where Pakatan state govts are victimised by the Federal govt, the voters must prepare themselves to vote in Pakatan at the Federal level in the next GE. That is OUR duty as voters.

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    • Aeria,

      Development is what Penang need. Big business is what Penang need. Unless you wish to replace back the Bayan Lepas Industrial estate into padi field or the Prai & Butterworth Industrial Estate back to the slum it was once. Or you may want to replace and knock down all the hotels development by the seaside and replace them with trees that once it was. Or maybe you may want to knock down all the condo and flat in Tg Bungah, Jelutong, Bayan Lepas, Paya terubong…etc etc …

      YOU KNOW WHAT … YOU & YOUR NEXT GENERATION WILL HAVE … TO EAT AND SLUM TO LIVE IN…..

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  4. PDC is still run by BN and UMNO loyalists. If anything proper is to be done, it must be re-structured. These people’s mentality (seems to be) to serve the interest of BN connected cronies over that of the public.

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    • LBJ please name the so-called BN and UMNO loyalists in PDC if you have the names. Obvious you do not know what you are talking about but taking some potshots in an desperate effort to defend the Great Leader & Cheap Minister.

      PDC now has been changed top to bottom, filled with the same political appointees that LGE and DAP used to accuse BN of.

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      • K…
        There is no need to name them. It is all so obvious. My Gerakan member friend was one of the manager in PDC. PDC has always been in the bottom league right from the start since its inception. I believed a Cheap Minister is better than one that has no KPI or one like KTK that cannot bark. Or some ex President from Gerakan like Lim Keng Yaik who during his time in BN was too scare or dumb to bark but now seem so brave at last….yes brave but toothless….

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  5. Anil,
    You missed or deliberately missed out one thing. 14 millions has been paid by Abad Naluri to PDC and they are asking for this money back. So if you want to terminate you have to pay back compensation and with interest. Either way you can still negotiate another deal which will benefit the people and State of Penang. Land is scarce in Penang and it is very expensive. It cannot simply be used for a park or recreation area without precise planning. The planning must have commercial value that bring income and the same time enviromental friendly

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    • Was the RM14 million reported anywhere? The whole deal lacks transparency, so how am I to know all the details?

      The state government must make the principal agreement public.

      I am flabbergasted that with just a small deposit (if any), the firm can lay claim to 750 acres of potential prime land? Wah!

      Why should the firm be compensated (with interest!??) when they failed to fulfil their part of the deal regarding payments and use of the land? Anyway, what is RM14 million compared to the actual worth of the land today? That 750 acres of land could easily fetch many times more for the PDC! So refund-lah the deposit (if any), if you have to, what’s the problem…

      We have 750 acres here for badly needed affordable housing and other public amenities. (Pity you can only think about “commercial activities” and business.) Well, some of the land could be sold through open tender (remember that?) to raise funds for the state.

      Tell me, how much “precise planning” do you need to allocate land for parks and recreational areas?

      Just terminate the agreement. And then decide what to do with the land in the best interest of Penangites.

      Could we have some accountability and transparency here?

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  6. If you have ever been responsible to other people (i.e. lead or manage) or have to run an organistion, you will know that even if the other party is the worst evil in existence, you still have to talk to them and be polite…

    You are so full of liberal…

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    • Bigjoe…why attack the messenger (ie Anil) ? Your views on good governance and democracy is so selective. You jump up in outrage when the same act is committed by BN but when DAP does it, not only that you DAP Cybertroopers not only close only eye but actually condone it and condemn those who question it.

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  7. Every Penangites would love to see Penang progress and sucess economically. Sometime it puzzling us why after Pakatan capture the state, the state government still appears to be business friendly to all those well connected cronies of BN.
    When Pakatan was in the opposition, we may resign to the fact that Pakatan is in no position to stop anything. Now Pakatan is in power, why can’t we review and revise any past deal that take advantage of the people? Why should PDC renegotiated with Abad Naluri over the land deal? t Why can’t the state government allow the bidding of the lands thru’ open tender? Is this another desperate attempt of LGE to DEVELOP Penang? LGE always gives the impression that he is desperate for DEVELOPMENT; (he appears to be) allowing unscrupulous businesses to squander our resources as if BN is still in power.
    Penangites should demand that LGE drop any PGCC related deals and allow genuine developer to bid for any deal thru’ open tender!

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  8. PDC, PSDC, Invest Penang, PBA, …..are all still full of BN cronies.

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  9. Gerakan goons with sore back and not happy with the defeat. When building the double track to padang besar, LGE told gamuda off and this case Gerakan Goons are very silent on this issue. When business is business, Gerakan Goons said that they are friendly but they did not mention how MCA/Gerakan can take Millions from Tiong man

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  10. //PDC is still run by BN and UMNO loyalists. If anything proper is to be done, it must be re-structured. These people’s mentality (seems to be) to serve the interest of BN connected cronies over that of the public.//

    //PDC, PSDC, Invest Penang, PBA, …..are all still full of BN cronies//

    BUT, ALL THESE AGENCIES are headed by LIM GUAN ENG!!!

    Are these ppl trying to imply that their beloved cm is incompetent? useless leader? or … less to deal with the cronies of bn?

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  11. LGE is not the one doing the work. If the people do not want to work, or they do funny things, he cannot do much. That is why restructuring of the people must be done. Else, it will be no different from when BN was in power.

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  12. I wonder if penang is under bn, a deal like this will ever see the light of the day, let alone be blogged. Have anyone come across lately of any shaddy deals coming out in the news in the other 11 bn controlled states? No?

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  13. Lets give LGE a chance to run the govt. Remember they are the govt and not in the opposition.Penang is not supported by the Federal govt hence they have to promote and establish a good business environment to generate jobs and revenue. However they have to be transparent as promulgated. I believe LGE knows in order not to be a one term govt they have to also seen to be transparent and action oriented.If we have been patient with BN 50 yrs why cant we give LGE an opportunity to govt.

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  14. So Andrew – you want to run for elections? Don’t talk big ya

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  15. If LGE really believe that the state government departments or agencies is full of BN cronies, why not restructure it? The fact is LGE (doesn’t seem to) trust Penang DAP or other Pakatan partners in doing the job, he rather trust BN cronies! That explained why he continue what Gerakan and BN left behind, which make him worst than KTK. At least, KTK done it reluntantly cause he is a big time coward, but our LGE do it willingly because he has no brain and (seems to) distrust his own people and his allies.
    The other problem is the inferior complex of LGE, LGE seem to believe BN is more capable, he must follow their footstep in doing anything. He probably think by doing so, he can gain the confident of Malaysians in general and Penangites in particular. All this are starting to backfire. Look at the recent independent poll by Merdeka Center for Opinion Research that shown less than half of the respondents were satisfied with the performance of the four Pakatan Rakyat-held states of Kedah, Penang, Selangor and Kelantan.
    LGE can continue his stupidity and pay for it in the coming GE or learn to seriously take into consideration the aspiration and the need of the people before it is too late.
    LGE tendency of using OSA to deny access to the exco minutes and other state government’s documents speak volume about his confident level in dealing with the people’s expectation.
    The die-hard supporters can do whatever they want to defend LGE if they fail to convince us, the voters who vote for change not the same, Pakatan’s defeat at the federal level will be a foregone conclusion.
    A two parties system does not mean the total elimination of BN or Pakatan. TO allow two parties system to work, we, the voters who vote for change not the same, will make sure that only the party that willing to reform and change will be the government of the day.
    Convince me not fight me, Anil or Andrew and other like minded Penangites! No point wasting your effort by posting comments that blindly support LGE. Show us the performance of LGE, we will vote for him if he is really capable.

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  16. Anil, Politicians are politicians. Soon LGE will be talking like KSK. Tak percaya?

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  17. I still think LGE is competent and clean enough in my book. I don’t expect him to be perfect as compared to bn who usually are blatant.
    I’m sure LGE has some answers to all this. PGCC would have taken off if not stopped by this govt.
    I also think your speciality is now getting on the back of this Penang govt. You seem to be continuing from Kg Buah Pala. You seem to blame LGE for all their plight. Do a survey from the public and find out what they think the KBP people deserve?

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  18. If ever PR wins PRU 13, there would be a huge chaos as withdrawal symptoms will kick in. The whole system is so full of nicotine (BN cronies) in the government that it would almost be impossible to rule properly after being smoking for more than 50 years (BN rule).

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  19. Dear Anil,

    I think we don’t have all the info. We have snippets of info here and there, and then people get riled up and start raving and ranting and cursing. Let’s all try to stay calm and avoid provocation.

    1. if an agreement is signed between a state govt and another party, does the agreement still hold when a new state govt takes over ? I think it’s a “yes” … unfortunately.

    2. how do you go about annulling this agreement ? I’m not a lawyer but I would love to see some of these lopsided agreements annulled. We have the same problem here in Sgor with the water agreements. And the same issue with all the Toll Agreements nationwide. And the lopsided agreements between TNB and the IPPs. etc etc.

    3. perhaps the state legal advisor is already looking into this. But then again, who is the state legal advisor ? If you cast your mind back to the Perak crisis, you would have noticed that in the midst of the crisis, the Perak state legal advisor sided with the illegal BN takeover and represented Zambry even before the courts decide who is the rightful MB. As it turns out, the state legal advisor is a civil servant seconded from the Federal civil service and is answerable to the Federal civil service. So, the same case in Penang ? I don’t know.

    4. so some of you are right when you said that 52 years of BN governance resulted in BN operatives embedded in all aspects of governance in the country .. state govt, GLCs, agencies, civil service, army/police, judiciary, etc. It will take time to undo this insidous network of operatives. It will make things much easier if … no, when .. Pakatan takes over at the Federal level. Insyallah …

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  20. ghkok, i agree.

    anil if u allow snippets of info here the discussion will be hijacked by UMNO/BN loyar buruks here like K n/or Gerakan K n gang who has no intention for a more sincere discussion rather than to rile e’body up into a shallow debate wt shallow characters like themselves. then ur original aim of having a more intelligent discourse will fail.

    careful anil not to give free ammo to these lowlifes

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