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No favouritism: Amirudin rubbishes claims of lopsided agreements in SMG development

21 Nov 2023, 9:30 AM
No favouritism: Amirudin rubbishes claims of lopsided agreements in SMG development

By Danial Dzulkifly

SHAH ALAM, Nov 21 — Menteri Besar Dato’ Seri Amirudin Shari has dismissed any suggestions of the state government giving undue preference to certain developers in the massive Selangor Maritime Gateway (SMG) project.

Speaking in the State Legislative Assembly today, he addressed concerns over potential bias following claims that Selangor unfairly favours Berjaya Land Bhd.

Amirudin stressed the state administration remains committed to equitable negotiations and agreements.

Any deal perceived to be one-sided would undergo thorough review and renegotiation to ensure the state's interests are protected, effectively preventing unnecessary financial burden.

“We are committed to adhering to our agreements, but it has never been our practice to go down on bended knee to any tycoons. Our agreements are clear, and we always seek a win-win situation in these negotiations.

“If there is any indication a deal is unfavourable to the state government, we can always reevaluate the agreement,” he said in his wind-up speech for the 2024 Selangor Budget.

Amirudin was responding to questions by Opposition lawmakers raised during their budget debate about the state government’s due diligence in the SMG project, including allegations of favourable deals for Berjaya Land.

The Menteri Besar was also repeatedly questioned by state Opposition leader Datuk Seri Mohamed Azmin Ali on SMG’s implementation and the state’s financial position to effectively carry out the mega project.

Azmin, the Hulu Kelang state assemblyman, had also objected to Selangor’s decision to appoint Berjaya Land as the project developer.

Earlier in his speech, Amirudin rubbished allegations that state government subsidiary Landasan Lumayan Sdn Bhd (LLSB) had been sold to Berjaya Land.

Instead, a joint venture — Landasan Lumayan Berjaya Sdn Bhd (LLBSB) — was established between LLSB and Berjaya Hartanah Bhd to focus on Sungai Klang’s development and revitalisation.

Under this joint venture, LLSB holds a minority stake of 45 per cent to Berjaya Hartanah’s 55 per cent.

Meanwhile, he said LLBSB must pay a RM113.1 million premium for the alienation of 103.6 acres of land for the SMG project.

The figure is based on the current market rate appraised by the government’s Valuation and Property Services Department.

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