Berjaya Land refutes baseless allegations on Selangor Maritime Gateway

KUALA LUMPUR: Berjaya Land Bhd has categorically and vehemently denies all baseless allegations made by Kedah Menteri Besar Datuk Seri Muhammad Sanusi Md Nor regarding the Selangor Maritime Gateway (SMG) joint venture project with the Selangor state government.

Below is the statement issued by Berjaya Land:

KUALA LUMPUR, 4TH August 2023 – Berjaya Land Berhad (“Berjaya Land”) categorically and vehemently denies all baseless allegations that have recently been circulated in the press and on social media platforms with regard to the Selangor Maritime Gateway project (“SMG Project”).

Kedah Menteri Besar YAB Dato’ Seri Haji Muhammad Sanusi bin Md Nor, has on 2nd August 2023 at an event called “Jelajah Mega PN Best”/ “PN BEST Sayangi Kedah Sejahtera mega tour” delivered a speech to the public at the event (“the MB’s Speech”).

Berjaya Land has noted that the MB’s Speech contains plainly false, untrue, unwarranted, unsubstantiated, malicious and mischievous statements made against the company, directly and/or indirectly pertaining the SMG Project. Berjaya Land believes that the MB’s Speech was politically motivated, is slanderous and designed to put both Berjaya Land and the Selangor State Government in bad light by implying questionable dealings by both parties in relation to the SMG Project.

“These accusations, which we categorically deem as slanderous, false, malicious, and completely without merit, have been made by YAB Dato’ Seri Haji Muhammad Sanusi bin Md Nor, the Kedah Menteri Besar. It is with utmost seriousness that we address these accusations to clear the good name and reputation of Berjaya Land.

“We feel it is imperative to set the record straight by offering precise and verified information. Our objective is to correct any inaccurate and misleading statements and to ensure that the truth is acknowledged through a point-by-point response,” said Mr. Syed Ali Shahul Hameed, Group CEO of Berjaya Land.

Berjaya Land wishes to offer clarification on the true facts regarding the SMG Project and that the statements related therein in the MB’s Speech are totally untrue and false, specifically but not limited to the followings:-

Clarification on the false and defamatory statements made in the MB’s Speech

(i) Menteri Besar Selangor Incorporated (“MBI”) sold a 55% share in its wholly-owned subsidiary to Berjaya Land and/or its related company(ies) (‘the Purported Sale’).

Clarification on the Actual Facts

I. There is no such Purported Sale

II. In actual fact, a special purpose vehicle through a joint venture (“JVCo”) between MBI’s subsidiary, Landasan Lumayan Sdn Bhd (45%) and Berjaya Hartanah Berhad (55%) called Landasan Lumayan Berjaya Sdn Bhd (“LLBSB”) was formed to, amongst others, clean and develop the Klang River;

III. JVCo/LLBSB employs property development, with a specific focus on affordable housing projects, as a means to generate revenue to fund and sustain these vital river-cleaning initiatives under the SMG Project;

III. The SMG Project initiative was recognised by the Green World Awards 2023 for its efforts in cleaning the Klang River;

IV. The SMG project to rehabilitate Klang River is deemed successful in improving water quality of the river from class 4 to class 2 now.

(ii) Berjaya Land and/or its related company(ies) was given 600 acres of Selangor State land worth RM10 billion for free

Clarifications on the Actual Facts

I. Berjaya Land and/or its related company(ies) never obtained or was never given/awarded any land of 600 acres valued at RM10 billion;

II. In actual fact, only several parcels of land totaling of 103.6 acres, identified as feasible for development and granted approval for alienation to the JV Co/LLBSB by the State Government;

III. Berjaya Land is the party that is required to raise the fund to pay the premium for the alienation of the land to JVCo/LLBSB based on market rate.

(iii) Selangor State incurs losses of RM180 million by entering into JVCo with Berjaya Land and/or its related company(ies) and/or giving 600 acres of land to Berjaya and/or its related company(ies) for free

Clarifications on the Actual Facts

I. Berjaya Land and/or its related company(ies) did not obtain 600 acres land for free;

II. Selangor State did not incur RM180 million losses from the land given for “free”;

III. Only 103.6 acres of land were alienated to JVCo/LLBSB to which MBI’s subsidiary has 45% share;

IV. JVCo is to pay a total of RM113.1 million in premiums at current market rate valued by the government valuer, Valuation and Property Services Department for the 103.6 acres of alienated land;

V. Berjaya and/or its related company(ies) will raise fund required for the JVCo to pay RM113.1 million land premiums to Selangor State.

“In conclusion, the spurious allegations made by YAB Dato’ Seri Haji Muhammad Sanusi are clearly entirely baseless and without any verification as to its veracity. These statements were made recklessly and maliciously and are evidently intended to tarnish Berjaya Land’s reputation and undermine our commitment as well as that of the State Government to the betterment of Selangor State and its people.

“I would also add that we are taking immediate action by lodging a police report and pursuing legal measures to protect our rights in this matter,” Mr. Syed Ali added.

Berjaya Land calls upon the public and media to take recognisance of the factual position as verified by the above clarifications and to continue supporting the genuine efforts of Berjaya Land and its Selangor State joint venture partner in contributing positively to our efforts in the rehabilitation of the Klang River.