The Kuantan Department of Environment has confirmed that an environmental impact assessment study was not carried out on a vast forest reserve given to Umno Pahang - the subject of a scandal involving a multi-million logging concession deal.

However, the department was unable to explain how the approval was given to clear-fell the 10,000-acre land located near Nenasi - about 100km south of Kuantan - despite that almost 90 percent of the area is classified as permanent forest reserve.

Pressed on the EIA report, the department's director Hassan Mat conceded that an environmental impact assessment was not done.

"The EIA was not required as the 10,000-acre land has been divided into 10 separate small plots," Hassan told malaysiakini .

The Environmental Quality Act 1974 stipulates that an EIA is compulsory for sensitive areas such as virgin peat swamp forest or water catchment area, which the Umno land is considered one such.

The Nenasi forest was declared an environmentally sensitive area in the Pekan district structural plan in 1996.

Hassan said he was uncertain on the content of the structural plan.

'Newly-transferred'

The vast tract of forest - about 40 sq km in size - was given to ruling Umno Pahang by the state government five years ago ostensibly for an oil palm plantation

Subsequently logging company Seruan Gemilang Makmur (SGM) was granted the exclusive right to fell, extract and sell the logs from the area.

Under the 1974 law, plots above 1,200 acres require an EIA study to be done before any work can be carried out.

To circumvent this requirement, Umno's land was sub-divided into smaller parcels of around 1,000 acres each.

Official documents made available to malaysiakini show that almost half of the land is untouched virgin forest, while much of the other half is classified as a permanent forest reserve.

Under the National Forestry Act, limited logging is allowed in such permanent forests. However, certain conditions apply such as trees with diameters less than 60cm are not to be cleared and the logger is to ensure the sustainable management of the forests.

Hassan said that he could not explain why Umno Pahang's forest reserve was clear-fell.

"I don't know as I was transferred to here three months ago. There might be a loophole in the Act," he said. However, he refused to elaborate further.

Instead, Hassan directed malaysiakini to his officer-in-charge of EIA, Nor Shani Yati Ahmad Shukri, for more details on the matter.

When contacted, Nor Shani also claimed she was "newly transferred" to Kuantan early this year and "could not find the relevant file" to explain on why the logging was approved on the piece of land, dubbed as Ladang Umno.

Court allows application

Ladang Umno was given to the party by the state government led by then Pahang Menteri Besar and Umno state chief Khalil Yaacob in 1998 for an oil palm plantation.

A forestry consultant, Lim Teck Wyn, however told malaysiakini in an earlier interview that the land was not ideal for oil palm cultivation since the area is a peat swamp forest, most parts of which are under at least one metre of water.

The ruling party had also failed to pay a RM4.8 million land premium in order to start logging activities. This has led to questions on whether the logging on the land was legal.

The Umno Pahang-SGM relationship soured last June when the state forestry department refused to renew the company's logging licence.

It is believed that current Pahang Menteri Besar Adnan Yaakob - who took over from party's rival leader Khalil in 1999 - had refused to have anything to do with the deal, forcing SGM to seek legal redress for RM31 million in compensation.

On July 13, the Kuantan High Court ordered Umno Pahang to pay RM70,000 to SGM following the party's failure to renew SGM's logging licence as promised.

Following this, Umno Pahang has filed an application to set aside the judgment while SGM also appealed for a higher compensation.

The court last Friday allowed the application by Umno Pahang.