Wednesday, August 11, 2010

Settle land conversion premium, industrial lot owners urged

Recently, my office organised a dialogue session with the industrial lot owners of Sungai Penaga Industrial Park to discuss on the conversion of land issue affecting them. Exco YB Ean Yong Hian Wah accepted the invitation to come and meet those affected in USJ 1. MPSJ councillor for USJ 1, Roslan Shahir and ex-MPSJ councillor Ken Chia were also present.

Below is the article featured in The Star:

ALL industrial lot owners at the Sungai Penaga Industrial Park have been urged to pay up their land conversion premium before the Aug 24 deadline so that the industrial area can be legalised.

“Paying the premium to convert the land status from agricultural to industrial is the first step towards legalising the industrial park in USJ1, Subang Jaya,” said Selangor New Village Development and Illegal Factory Task Force Committee chairman Ean Yong Hian Wah.

Ean Yong and Subang Jaya assemblyman Hannah Yeoh were speaking after a meeting a group of industrial lot owners pertaining to the conversion.

Sungai Penaga Industrial Park Owners and Tenants Association chairman Phoo Sai Hoong said 408 owners were involved in the issue.

“There are 17 master titles for this industrial park and each master title covers 24 lots, hence the 408 owners,” he said.

“Almost all the owners have paid up, except for 15 who have not been cooperative and five who could not be contacted.”

Yeoh said the association’s committee members had sought her assistance to appeal to the state government for more time to pay the premium and for the 50% discount offer to be extended.

“The matter was referred to Ean Yong’s office. The state government subsequently approved the extension appeal and discount offer.

“The landowners have an additional three months from May 25 to settle the payment,” she said.

According to Phoo, the landowners had been given about a year to settle the premium in 2006, but the association has been having difficulty contacting and working with several owners.

“The premium for each master title costs RM1.1mil before the 50% discount offer.

“Landowners will have to pay about RM25,000 per lot after the discount,” he said.

“The entire industrial park measures 21.85ha while each subplot is about 4,000 sq ft.”

After the procedures are completed and once the industrial park is legalised, Ean Yong said it would be easier for the landowners and tenants to have their licences and relevant documents approved, their products and services recognised.

“The Selangor government has recorded an increase of RM29mil in land conversion premium within a year,” he said.

“Some RM64mil was collected between 2008 and May 2009, while RM93mil was collected between May last year and May this year.”

Phoo urged the remaining landowners to settle the premium before Aug 24 and to cooperate to prevent the matter from dragging on.

The landowners can contact association vice-chairman KG Tan Kee Soo at 012-331 0342 / 03-5635 5022.


KoSong Cafe said...

Sometimes, I wonder how some people could get away with not paying land conversion premiums for so long, and yet delay in paying them after having been given extra time and even with a 50% discount!

20 years ago, we decided to convert our corner terrace house off Jalan Ipoh, KL, from residential to commercial and had to pay Rm78,000 in conversion fees. A prospective buyer cancelled his purchase because he wanted us to apply for the conversion to be done at the Land Office too, ie. shown on the title deed.

Anyway, another person bought the house and put up a metal structure over the extra land for vehicle repairs. Yet, DBKL came with some 30 men with heavy machinery to pull down the structure. It was at the time when YB Wee Choo Keong highlighted a similar case in Setapak.

When they were told of the premium paid, they asked for original receipts which the new owner could not locate immediately. He was not given time to locate and the structure was pulled down. Compare the situation with so many other illegal structures in KL and you will feel the injustice and the high-handedness of the enforcement team.

To me, it was a clear case of punishment for having voted 10 out of 11 opposition MPs in KL.

So, my advice to the industrial lot owners is to thank God you are now dealing with a reasonable government and please pay the reduced fees immediately. Borrow if necessary, the peace of mind is worth more than anything when you are carrying on a business.

hurricanemax said...

From an outsider looking in perspective, I get truly befuddled that the owners are being let off rather easily. Is this the kind of 'always show mercy/compassion' for law breakers? DOnt pay premium? Its Ok. Dont pay premiums for years? Its Ok, here's 50% discount! Heck! What about those who diligently pay their land premium?

The full impact of the Law shoudl come down hard on these repeated offenders. Betcha they are all rich towkays to boot!