Govt urged to resolve Kg Sg Baru issue, prove URA's positive potential

Summary

• Khalid Samad urges govt to use the Kampung Sungai Baru case in highlighting URA’s positive potential by correcting unfair compensation practices under the previous administration.

• He warns that landowners fear losing negotiation rights and being forced to accept low compensation, as seen through the use of the Land Acquisition Act in Kampung Sungai Baru.

• Khalid stresses the need for fair, market-based payouts and rejected claims that the URA would displace Malays, noting original owners would receive new units in the same location.

INTERVIEW | Criticisms have emerged amid the Madani government’s promotion of the Urban Renewal Act (URA) proposal, creating negative public perceptions.

Thus, Federal Territories Amanah chairperson Khalid Samad urged Putrajaya to use Kampung Sungai Baru’s plight to showcase the positive side of the law.

He believes Prime Minister Anwar Ibrahim and Federal Territories Minister Dr Zaliha Mustafa must correct the mistakes made by the previous Perikatan Nasional administration, especially since the Land Acquisition Act 1960 (Act 486) was invoked in the case.

“What happened in Kampung Sungai Baru should be the model for what will happen under the URA.

“They say the government cannot intervene because the URA isn’t in effect yet - but that’s not true. The government already intervened by using Act 486.

“How could that Act be invoked is a question mark because (the government) didn’t get 100 percent consent at the time, but it was still used by citing economic development as justification,” he told Malaysiakini in an interview on Monday.

Fix ‘low, unreasonable’ compensation

Khalid pointed out that the land in Kampung Sungai Baru is the most valuable in the Kampung Baru area, yet residents were offered “very low and unreasonable” compensation.

“The government must fix this - Anwar must fix it, Zaliha must fix it. They can’t wash their hands off it.

“If this isn’t rectified, the opposition will exploit it to reject the URA and stir public anxiety about it. That’s why they shamelessly go down to the ground acting like defenders when they were actually the cause,” the former Federal Territories minister said.

Khalid added that it is puzzling how the Madani government seems unaware of what’s happening in Kampung Sungai Baru and stressed the importance of showing support for the affected residents.

“The Madani government needs to rectify the PN government’s wrongs,” he stressed.

The controversy surrounding Kampung Sungai Baru resurfaced after PAS deputy president Tuan Ibrahim Tuan Man said the PN leaders involved in the land acquisition at the time - when the coalition held federal power - should explain themselves to the affected residents.

READ MORE: KINIGUIDE | Urban Renewal Act - what do we know so far?

This is after residents accused PN cabinet members of siding with the developer instead of the residents during negotiations for compensation.

Tuan Ibrahim was among 23 opposition MPs who attended a briefing last week by affected Kampung Sungai Baru residents.

Landowners anxious

Khalid warned that the government’s plans to introduce URA have caused much anxiety to landowners, who feared that would strip them of power to negotiate and force them to accept whatever compensation is offered.

Based on experience in the Kampung Sungai Baru, such a scenario would be unfair to landowners.

“When the Land Acquisition Act is used, they are no longer landowners and can’t negotiate. The land is taken, and they’re offered a price – whether they agree to it or not – that is all they will get.

“Those who choose cash compensation aren’t given replacement homes. However, the Valuation and Property Services Department gave dubious valuations, leading to injustice. This is where the government should step in,” he said.

The Amanah communications director noted that under the URA, even if only 70 to 80 percent of residents agree to redevelopment, the remaining landowners will still be forced to accept the set compensation, creating legitimate concerns.

The Kampung Sungai Baru case didn’t deliver justice, he said, because landowners had no right to negotiate and had to surrender their land despite disagreeing with the compensation.

He stressed that once the URA is passed, the government must commit to ensuring fair compensation.

“Our stance is that compensation for Kampung Sungai Baru landowners must be raised to reflect market value, not the questionable Valuation and Property Services Department assessments under the PN era.”

He said private valuations estimated the land at RM1,500 to RM2,000 per sqft, which residents deserved.

‘Blatant lies’

On claims that the URA would push Malays out of cities, Khalid called these “blatant lies”.

He emphasised that the issue does not arise because the original homeowners will be offered new units in the same location.

“If it’s Malay reserve land, the new units must be sold to Malays. If not, the open market applies, and perhaps non-Malays would move into areas that have a Malay majority.

“But, the original Malay owners are still getting new units, and it is up to them whether they want to stay on or move out.

“In reality, this would unlock the ‘hidden’ wealth of Malays, turning previously low-income owners into millionaires through valuable new property that we hope they’ll get,” he said.

With better facilities and growing Malay property ownership, Khalid called this a good policy, provided fair compensation is ensured.

Don’t stop helping

On a separate note, Khalid urged the federal government to continue efforts to develop Kampung Baru.

He said that the development and management remain poor and that various issues require federal intervention.

“Generational land inheritance means one lot can have many heirs – some with over 100 names on a single 8,000sqft title, complicating ownership.

“It is hard for people to benefit from this inherited wealth. If the government handles this swiftly, it would allow Malays to benefit from this latent wealth.

“The government claims it wants to help the Malays. This is a golden opportunity to help those who may be third or fourth-generation Kampung Baru landowners,” he added.

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