The proposed merger between Utusan Group and New Straits Times Press (NSTP) - which makes the ruling Umno the direct owner of most of the country's media - will deliver a crushing blow to press freedom, according to a media watchdog today.

Centre for Independent Journalism (CIJ) executive director Sonia Randhawa expressed concern that the government's encouragement for concentration in media ownership will constitute a serious blow to freedom of expression.

"CIJ is deeply concerned that the merger would completely erode the plurality of expression, which is severely curtailed in the country," she said in a statement yesterday.

She added that the government was disregarding the people's right for free press as it used laws such as the Printing Presses and Publications Act 1984 to restrict press freedom.

News of the merger surfaced two days ago and it was reported that the two public-listed organisations will be grouped under a yet-to-be named entity.

At present, the Umno controls about 50 percent equity interest in Utusan Melayu, which publishes top Malay-language dailies Utusan Malaysia and Kosmo .

Umno took over Utusan after an acrimonious battle with the then newspaper's editors and journalists in 1961.

No firm plans

But the party's control over NSTP has always been through nominee business groups such as Media Prima, which has a 43 percent stake in NSTP.

NSTP publishes the English dailies New Straits Times and Malay Mail as well as Malay newspapers Berita Harian and Harian Metro .

The merger may also pave the way for the ruling party to directly control all the private free-to-air TV stations - TV3, ntv7, 8TV and Channel 9 - which are currently under Media Prima.

However, according to Bloomberg , Utusan Group said it was exploring various proposals and hasn't made any decision on a possible merger with a rival.

"The company has not made any decision and will make immediate announcement upon finalisation and approval," they were quoted as saying.

NSTP has also been reported making similar comments and that it was continuously seeking ways to 'enhance the value' of the company but 'no firm plans have been reached with any parties'.

The proposed merger between NSTP and Utusan came in the wake of another media tie-up - the recent takeover of Chinese dailies Nanyang Siang Pau and China Press by billionaire media mogul and timber tycoon Tiong Hiew King last month.

Tiong also controls Sin Chew Daily and Guangming Daily .