Mining company says Terengganu MB lying over status of state GLC

Terengganu Menteri Besar Ahmad Samsuri Mokhtar was today accused of lying to the media over the status of a state GLC Permint Mineral Sdn Bhd (PMSB).

R Rajagopal, the managing director of Golden Mineral Sdn Bhd (GMSB) – which recently won a suit against the PMSB – claimed that Samsuri issued a false statement last week when he said that the GLC had been dissolved.

"There was a recent statement by the menteri besar (that PMSB has been closed down). We can confirm that he was lying about it.

"I believe the media also would know better than us, that if a company is closed, there would be no case (in court) against the company.

"This company still exists. The media can check its status with the Companies Commission. I have also attached a copy of the company's status (from SSM records)," he told reporters at a press conference in Putrajaya earlier today.

On May 15, Berita Harian quoted Samsuri as saying that he would leave the matter of settling the GMSB suit against PMSB to due process.

He added that there was nothing the Terengganu government could do, as PMSB had already been dissolved, and that the legal dispute was a business issue between two companies.

Samsuri was responding to Rajagopal's previous accusation that the Terengganu government had victimised GMSB, when PMSB refused to pay the company RM15.3 million in compensation for loss of profits as ordered by the Court of Appeal.

At today's press conference, Rajagopal claimed that it was also wrong for Samsuri to say that the Terengganu government had nothing to do with the legal dispute.

He pointed out that PMSB is owned by the Terengganu State Economic Development Corporation (Permint), and is thus the state government's responsibility.

"If he (Samsuri) claims the state government has nothing to do with this issue, then please refer to the affidavit that they themselves filed in court (for our case).

"The director (of PMSB) himself stated and submitted to the court that PMSB was owned by Permint and that the company involves public interest," he said.

Rajagopal also expressed his regret over the Terengganu government's handling of the matter, claiming that the move to close down PMSB showed that investors could no longer be confident about doing business with GLCs.

"If the state government victimises investors, how would other investors, both local and foreign, have the trust to bring in their investments?

"From the information we have, there has been no GLC that has been declared bankrupt in Malaysia so far. That is why investors have the confidence to deal with GLCs, in that we have some kind of protection.

"If Terengganu under this menteri besar is willing to wind up a company, I think it would create a question mark for other investors in the future," he said.

Malaysiakini is reaching out to Samsuri's office for comment.

According to Rajagopal, PMSB was ordered by the Court of Appeal last September to pay GMSB RM15.3 million in compensation for loss of profits.

The compensation was for 20 months between August 2010 and March 2012, when GMSB could not carry out mining activities in Kemaman due to a contract dispute between both parties.

The court decision was upheld by the Federal Court on March 14 this year. - Mkini