Regional press freedom advocate Southeast Asian Press Alliance (Seapa) has expressed great concern over news of the merger between newspapers Utusan Malaysia and Berita Harian .

Newspaper reports on Nov 28-29 said the New Straits Times Press (NSTP) is planning to acquire Utusan Malaysia to forge a strong alliance between its Malay-language newspapers.

Media giants Utusan Group and New Straits Times Press (NSTP) yesterday suspended the trading of their respective shares at the Bursa Malaysia, bringing to home speculations that Utusan Malaysia , owned by Utusan Group, and Berita Harian, owned by NSTP, would be merged.

Business weekly The Edge reported that the merger would mark the largest print media consolidation in the Malay print industry.

"At this juncture, Seapa would like to stress that media companies should not be viewed purely as business entities with profitability as their overriding goal," said the Bangkok-based NGO in a statement.

"Their social responsibility, unlike that of any other corporate entity, is a greater and especially crucial one of providing the people with a public platform through which the right of free expression is effectively exercised in a democracy."

"Thus, most troubling to democracy in this potential merger is the monopolisation of information and political influence," it added.

Both the Utusan group and NSTP have yet to release official comments. When queried by the local stock exchange, the groups stated that they were exploring options to enhance shareholders' value, with no firm plans reached as yet.

Ruling party in control

The merger will put Umno the dominant Malay-based ruling party which owns 50.46% of Utusan Melayu, as the direct owner of most local media, through joint ownership with Media Prima Bhd.

Utusan Melayu has another Malay-language newspaper Kosmo! and a stable of magazines under its group, while Media Prima holds 32.94% of NSTP, and broadcast stations TV3, ntv7, 8TV, Channel 9, Fly FM and Hot FM.

NSTP also owns English dailies New Straits Times and Malay Mail , as well as another Malay daily Harian Metro .

Seapa said that with Umno having control on almost all channels of information, it would harm civil liberties and the right to expression.

"With Umno at the top of this chain ... the media landscape does not look promising as regards diversity of opinion. As it is, the government-controlled media have a poor record in allowing the exchange of opinions, ideas and information," said Seapa.

"The fact that Malaysia is a multi-ethnic society of diverse cultures and voices makes it all the more important to ensure that there is no media monopoly, particularly by the dominant ruling party," said Seapa.

The NGO added that a monopoly runs risk of further marginalisation of dissenting voices.

Government media ownership

Seapa said it joins Malaysia-based Centre for Independent Journalism (CIJ) in reiterating its call on the Malaysia government to repeal the licensing provision in the Printing Presses and Publications Act and set up a Parliamentary Select Committee on media freedom.

In a recent statement CIJ said the merger would "erode completely what little plurality of expression there is."

The government is the direct or indirect owner of almost all local media.

Besides six state-owned radio stations and two TV stations under national broadcaster Radio Television Malaysia, ruling political parties such as Umno control the Utusan Group and is closely allied to media conglomerate Media Prima Bhd.

MCA, through its investment arm Huaren, owns Star Publications, which owns English newspaper The Star , various magazines, and radio stations FM 988 and Red FM. It now holds a 20% stake in Nanyang Press, which publishes Chinese newspapers Nanyang Siang Pau and China Press.

Indian-based ruling party MIC has close affiliations with owners of major Tamil newspapers Tamil Nesan and Malaysian Nanban .

Meanwhile, the National Union of Journalists (NUJ) reported that employees of Utusan Malaysia and Berita Harian were kept in the dark on the merger.

NUJ said that the management of both companies have not held meetings to inform their workers and the union on the merger developments.

"All corporate exercises should be done in a transparent manner with emphasis on preserving the rights and benefits of workers," said NUJ is a statement signed by its general secretary Hong Boon How.

NUJ added that the current consolidation of media companies "under a few hands" is a worrisome trend in Malaysia, "as it would pose a threat to press freedom an objectivity."

The union, which comprise of almost all the nation's photographers and non-executive journalists, said it should have been consulted first before any ownership transfers of newspapers.