REALLY? KL mayor insists prime land sold at 'price based on the law', not below market value

Kuala Lumpur Mayor Ahmad Phesal Talib said the selling price for all land owned by City Hall is based on appraisal by the relevant authorities, and not below market price, as alleged by Cheras MP Tan Kok Wai.

He stressed that land owned by City Hall would be sold at the appropriate price, based on appraisal by the Valuation and Asset Management Department (JPPH), plus 20 per cent of its potential value.

“Based on the law, the price of the land would have to follow the valuation done by the JPPH, and added to it, 20 per cent of the potential value as decided by the Public and Private Cooperation Unit (Unit Kerjasama Awam Swasta).

“Hence, we do not sell the price at lower than market value. We will sell it according to the price based on the law,” he told reporters after meeting Pakatan Rakyat lawmakers at City Hall today.

The DAP lawmaker claimed that prior to this, City Hall has been selling the land without open tender and below market price.

Ahmad Phesal said the sale of City Hall-owned land is based on decisions made by the government and according to laws and procedures.

"You have to understand that the sale of the land is based on two conditions. The first is that we have to accept the reality that government’s decisions have to be followed; that is the mechanism in government administration

“If the government decides to sell the land to a certain party, we have to comply.

“However, we cannot just simply sell. It has to be based on the valuation done by the JPPH, plus the additional 20 per cent,” explained Ahmad Phesal.

When asked to reply to the allegations made by Tan that the sale is not done via open tender, the mayor emphasised that any change in ownersip is decided on by the government.

“As I mentioned, the reality is that we must follow the government decision. Whether it is open or limited tender, it is based on the government decision. However, I must ensure that it follows the proper way.

“I do not want it such that after I am no longer the mayor, they will call me and ask why I sold the land,” he said.

Asked to explain Tan's allegations on the sale of three pieces of land to three companies owned by the Jakel family, the mayor did offer any denial.

“Yes, you already know it, right? That’s correct. It is all based on the government’s decision,” he added.  - Mkini