The Federal Land Development Authority (Felda) should take legal action to regain the Jalan Semarak land that was supposed to have been transferred to a local company fraudulently, said Amanah’s legal bureau chief Faiz Fadzil.
He said based on media reports quoting Felda chairperson Shahrir Samad on what transpired in the land deal, he said the bureau believes that there are legal channels to do so.
This is because Felda Investment Corporation Sdn Bhd (FIC) and the local company had clearly abused a power of attorney to acquire the land.
“Based on basic facts of the land ownership transfer, the Amanah legal bureau believes that Felda as the original landowner still has the beneficial right to claim and regain the land through a civil suit in court.
“Section 340(2) of the National Land Code stipulates that any ownership transfer of real estate that is done fraudulently is null and void. Although the proxy of the (local company) claims to have purchased the land, it cannot claim to be a bona fide purchaser because it is a proxy of the (local company) involved in fraud, and surely the matter is within their knowledge,” Faiz said in a statement today.
He added that the element of fraud is clear because if the power of attorney contained an ownership transfer clause as opposed to a development clause.
“How could a landowner give the right to transfer ownership without any monetary consideration? If (the clause) does not exist, then even the power of attorney itself is invalid,” he said.
Felda urged to file injuction
Faiz also urged Felda to file an injunction to stop further development on the land. He said this would deprive the local company’s proxy of further benefits from the land, and shows Felda’s seriousness in reclaiming its land.
The legal actions would not affect the investigations by the police and Malaysian Anti-Corruption Commission on the land ownership transfer, he said.
Malaysiakini is withholding the name of the local company pending comment.
Earlier today, Berita Harian reported that Felda is at risk of losing its rights to four parcels of prime land along Jalan Semarak in Kuala Lumpur due to “dubious transactions” during its ownership transfer in 2015.
The RM270 million land is currently being developed as part of the Kuala Lumpur Vertical City project.
Later on the same day, Felda’s chairperson Shahrir said a police report had been lodged over the matter alleging that fraud had taken place, and this is merely one of several options being pursued to reclaim its rights on the land.
He said the local company was accorded the power of attorney on June 3, 2014, but this was only approved by Felda’s board of directors on Sept 2, 2014.
He added that the company had used the power of attorney to transfer the land to a sister company, while Felda did not receive any money in the deal.