The Malaysian Insight

PARTI Warisan Sabah today lodged a report with the Malaysian Anti-Corruption Commission on what it terms “a lopsided deal” between Yayasan Sabah and a timber company in 2013.

Party vice-president Junz Wong, who is also Likas assemblyman, said the foundation’s subsidiary, Rakyat Berjaya Sdn Bhd, is only earning RM1.6 million a month from a lucrative three-year deal awarded to Hormat Jadi Sdn Berhad.

“In the offer letter… Hormat Jadi will pay the Yayasan Sabah subsidiary company RM65 per cubic metre of timber. That was unfair,” said Wong.

He said research in 2013 showed the timber fetched between US$285 and US$550 per cubic metre depending on the type.

The offer letter also stated that Rakyat Berjaya expected between 20,000 and 25,000 cubic metres a month or the equivalent of RM1.6 million a month while the concessioner would get RM27 million in the same period.

Wong raised the logging matter, contract and other related issues with the Sabah government at the state legislative assembly this month.

Instead of addressing it, Wong said Sabah Deputy Chief Minister Yahya Hussin had challenged him to lodge a report with the authorities if he had proof of the unfair deals and alleged logging activities.

“So, here I am taking up his challenge and today, (am) lodging a report with the MACC. I also provided them with few documents to back up my claims.”

He arrived at the MACC headquarters in Putrajaya at 2pm and was accompanied by the head of the party’s legal bureau Jakariya Ab Jalil.

He said the report lodged was on the contract as well as the logging area.

“Who is Hormat Jadi? Why was this company being given a lucrative contract deal and only paying Yayasan Sabah RM65 per cubic metre?”

Wong said the company also had the exclusive right to buy back the logs extracted from the logging areas.

The offer letter sighted by The Malaysian Insight showed that Hormat Jadi was awarded a three-year contract for “heli-logging”.

The timber in this case is removed from the forest reserve in Gunung Rara using helicopters.

The logging according to Wong was done at the steep area in the forest reserve of Gunung Rara.

Wong said such logging method damaged the ecosystem as well as water catchment area nearby.

He added that the contract was offered in July and three months later, 14 pygmy elephants were found dead in the Gunung Rara forest reserve. – August 24, 2017.