Some 400 settlers from Felda Maokil in Labis Johor filed a RM71.8 million suit against the Federal Land Development Authority (Felda) for alleged fraud and breach of contract at the Johor Baharu High Court today.

johor labis felda settlers court case 120609 01 There were unruly scenes at the court house as the settlers, led by the first plaintiff, Rahman Jamri also cited a subsidiary, Felda Palm Industries Bhd in the suit.

The suit was filed through the law firm of Wan Rohimi and Asmadi.

The settlers allege that the Felda subsidiary had been cheating them on the quantum and quality of the palm oil harvested and extracted from their plantations.

Cheating in calculating

The settlers' allege that the yardstick used to measure the quantum and quality of the oil extracted was arrived at by calculating the age of the tree and not on the actual output of each plot of land.

felda settlers kemahang tiga court case 080109 02 They also claimed that their plantations are free from pests and diseases that can greatly reduce the palm oil output.

Their grouses,they say, were also ignored by the defendants.

They further alleged that Felda Palm Industries may have used dubious procedures when declaring that the quality of extracted oil was low.

They are claiming special damages of RM71.8 million, along with general damages for fraud and exemplary damages from the two defendants.