A logging company founder and shareholder lodged a police report  today against Pahang MB Adnan Yaakob and his aide and Bentong Umno secretary Shamsudin Ibrahim for allegedly cheating him of RM300,000.

NONE Speaking to reporters after lodging the report at SEA Park police station today, Lee Sin ( left ) said that he had bought over the 10 percent share belonging to Shamsudin as agreed upon in 2000  when the logging company was being formed.

The company, Seruan Gemilang Makmur Sdn Bhd, was promised timber in 10,000 acres of land in Nenasi Pekan, said to be Pahang Umno's.

As part of the founding agreement, Shamsuddin was to initially be appointed managing director until the logging licence was issued, upon which his stake would be bought out by Lee.

This was done in May 2, 2000, as stipulated in shareholdings transfer records with the Companies Commission Malaysia, for RM300,000 soon after the company received the licences for the first 3,000 acres.

NONE But the licences, issued for every 1,000 acres, stopped after that.

“Late last year, Seruan Gemilang Makmur was sued by Pahang Umno for not developing the land we had logged.

"As a result, we had early this year checked the status of the land with the Pekan land district and found that it never belonged to Pahang Umno, but to the Pahang government.

“I am certain that Shamsuddin and the MB had colluded to cheat me... (as) if it was state land, then only the executive council can approve logging there. I believe this is the reason the licences were stopped,” Lee said.

He added he wants to recoup the RM300,000  he paid Shamsuddin for the shares, as they are now useless considering that the company is a “half-asleep” company.

nenasi umno logging before and after Operations have halted as the company is still awaiting the RM63 million that the High Court had ordered the state government to pay as compensation for Seruan Gemilang Makmur’s losses following a court battle, after Malaysiakini’s   2003 expose .

However, the Court of Appeal in 2009 ruled that Adnan did not have to pay the RM63 million for breach of contract as he was wrongly named as a defendant.

The High Court verdict ordering the government to pay the RM63 million was delivered in 2007, but the state is still refusing to cough up the money.

Seruan Gemilang Makmur is now seeking a court order to force the state financial officer to pay it RM70 million.  

‘MB misused Umno’s name’

According to Lee, he sought the assistance of Shamsuddin, someone he had known for years, for the logging contract after he was informed that Pahang Umno was looking for a company to clear the land.

The licences for the first 3,000 acres were issued by the Pahang Forestry Department, and subsequent correspondence and documents stated that the land belonged to Pahang Umno.

Lee said he was lodging the report on an individual basis against Shamsudin and the MB, as they were the people he had dealt with.

“This has nothing to do with the other stakeholders in the company or Pahang Umno as I had no dealings with them. I believe that the MB had acted in his personal capacity and had misused Umno’s name.

“This is also a cost to the state as any logging on state land would incur a premium, which we had not paid as we were made to believe that it was private land,” he said.

He also claimed that he has no political interest other than to recoup his losses, as he had "lost a lot of money in that area".

It is understood that the matter will be investigated by the commercial crimes department in Kuantan.