US$16b Sulu claim is outrageous, proceedings ongoing - AGC

The government has denied allegations in a letter sent to the Attorney-General Chambers (AGC) from the lawyer of the so-called Sulu sultanate heir.

The AGC received the letter, dated May 28, from Sultan Jamalul Kiram II's lawyer Paul H Cohen, on May 29.

According to the AGC, the letter demanded the government to make immediate payment before June 2.

This comprises the purported final award, amounting to US$16.412 billion (RM75.13 billion) (including 10 percent interest).

This final award is to be made together with US$3,502,394.24 as counsel expert fees.

In addition, Cohen is also seeking US$4,026,592.64 as arbitration costs.

“Considering the legal proceedings are still ongoing, it is totally outrageous for the claimants to demand the payment of the purported final award, “said the AGC in a statement today.

False allegations

It said the allegations by Cohen were false and an apparent blatant disregard for the inescapable facts of the claims, which will create a false written record to be used against Malaysia.

In the letter, Cohen alleged that the government purposely failed to comply with the purported final award and made outrageous assertions concerning the purported arbitrator, Gonzalo Stampa and his actions.

According to the AGC, the letter's content mischaracterises Malaysia’s legal positions and inaccurately defames the action taken by the government.

The government opposes the final award and upholds its stance not to recognise Stampa's actions in the purported arbitration proceedings and all his illegal decisions and awards, it said.

It adds that the government responded to the letter from Cohen on May 31.

Unfair statement

The AGC said a police report was also lodged two days ago (June 1) against Cohen for the unfair statement and allegations to allow for the necessary investigation of any possible criminal offences committed under Malaysian laws.

The AGC said the government will continue to take all necessary actions, including legal actions, to end the claims and ensure Malaysia’s interests, sovereign immunity and sovereignty are protected at all times.

The group claiming to be Sulu Sultanate's heirs was reported to have taken legal action in the Spanish Court to seek compensation for land in Sabah, allegedly leased by their ancestors to a British trading company in 1878.

They then took the matter to the Spanish arbitrator in 2019, and the purported arbitrator, Stampa, who the group of individuals appointed, decided in their (the claimants') favour.

Stampa has issued a final award of US$14.9 billion against Malaysia.

Malaysia has used all legal remedies to annul the award given by Stampa to claimants in courts in Spain, France, Luxembourg and the Netherlands.

On March 14 this year, the Paris Court of Appeal upheld the stay order obtained by the Malaysian government in France on July 12, 2022, against the enforcement of the award.

Therefore, the suspension order obtained by Malaysia regarding the enforcement of the award is maintained.

- Bernama

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