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The Centre for Independent Journalism (CIJ) is concerned about the proposed tripartite merger between Hong-Kong-based Ming Pao Group, Sin Chew Media Corporation Bhd and Nanyang Press Holdings Bhd, all owned by Sarawakian timber tycoon Tiong Hiew King. The merger will harm media competition and may subject Chinese readers to more political control, both at home and abroad. Sin Chew's previous denials of its involvement in the Nanyang takeover in 2001 or in the emergence of a monopoly of Chinese press in 2006 now appear contradicted by this latest move.

Sin Chew Media was reported on Jan 30 to announce that it would acquire Ming Pao and issue an invitation for Nanyang Press to join the merged entity. The move was said to create the largest Chinese publication group outside of China and Taiwan and to compete with global media groups, aiming at China and other markets.

The claim that the consolidation of Tiong's global media empire will enhance competition with Western media conglomerates is a myth. No English reader would turn to Ming Pao (Hong Kong, US and Canada) or Sin Chew Daily (Malaysia, Indonesia, Cambodia) due to the Chinese dailies' stronger international presence and network. This is no comparison to Al-Jazeera's challenge to CNN.

Instead, the consolidation may curb and prevent competition and pluralism in the Chinese media across Malaysia, Hong Kong, US, Canada, Indonesia and Cambodia. On one hand, if the synergies expected are indeed unlocked, Tiong's colossal media empire will have the means to gradually weaken and even eliminate its competitors in these countries and to deter the entry of newcomers. Eventually, readers, journalists and advertisers in the Chinese-speaking communities will not have alternative news sources, employment or marketing.

Politically, the concentration of media ownership poses a serious threat to freedom and good governance. Media tycoons can use their political leverage to bargain on behalf of their commercial interests, paving way for socially or environmentally disastrous business projects and concessions. These might otherwise be checked by public opinion. As has been seen in Australia, the concentration of power over public opinion can also lead to legislation that supports large media corporations over guarantees of competition or access. On the other hand, as the interests at stake grow, media conglomerates are more likely to bow to political pressures in censuring news. The submission of Internet giants such as Microsoft, Yahoo and Google to pressure from Beijing is a vivid testimony to this hazard.

If the consolidation of Tiong's media empire is aimed at China's market, there is also a concern that these newspapers will protect and advance the interest of People's Republic of China. This will exacerbate worries about domestic political censorship, at the expense of freedom of expression and information, which could be catastrophic to countries where the voices of media and citizens are already censored and controlled such as Malaysia.

The consolidation also reflects negatively on the credibility of Mr Tiong and the Sin Chew leadership. Sin Chews group editorial director CC Liew claimed in an article titled 'We don't believe in monopolies' in The Star on Nov 6 (The Chinese version was published in Sin Chew Daily on Nov 3) that even though Tiong is the major shareholder of both companies, Sin Chew Daily, Guang Ming Daily , Nanyang Siang Pau and China Press remain separate corporate entities. The operations of all four newspapers will continue to be dictated by market forces. They will compete in areas such as distribution, advertising and content in order to be answerable to the interests of their owners, employees and readers. Less than three months after this pledge, the public learnt that all these papers, with the addition of the Ming Pao Group, will be under one command.

We urge Huaren Holdings and other minority shareholders to oppose this merger, and ask the Securities Commission to investigate on the grounds of consumer interest, freedom of expression and foreign control of local media.

It is noteworthy that Tiong has also claimed that Sin Chew media under his leadership wholeheartedly opposes the Printing Presses and Publications Act 1984. We therefore call upon him and his now consolidated media empire to advance the agenda of media law reform in Malaysia, opening public debate on the status quo which restricts the entry of newcomers into the newspaper market via legal-political means and substantially benefits his empire.

The writer is executive director, Centre for Independent Journalism, Malaysia .

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