Bumi developer gets nod to challenge DBKL’s transfer of development order

Bumiputera developer Radiant Concord Sdn Bhd said Kuala Lumpur City Hall had modified and transferred the development order in 2022 to Muhibah Sekitar Sdn Bhd without its knowledge.

KUALA LUMPUR: 

The High Court here has granted leave to a Bumiputera developer to commence a judicial review against Kuala Lumpur City Hall (DBKL) for alleged abuses in transferring its development order to a third party.

Lawyer Elani Mazlan, who appeared for Radiant Concord Sdn Bhd, said Justice Amarjeet Singh allowed the application yesterday as the attorney-general did not oppose leave to be given.

The court grants leave if a judicial review application is not frivolous.

Elani said the substantive application was fixed for case management on April 29.

Radiant Concord, which owned four plots on a Malay reserve land in Kampung Sungai Penchala, had obtained the development order from DBKL for a housing project known as My Pencala Residence in 2018.

It had also deposited RM2.4 million with DBKL as a prerequisite to get the development order.

Further, the company had also obtained a RM105 million loan from Malaysia Building Society Bhd in 2021, and the plots were placed under debenture as security to get the financing facility.

However, one of its directors, Remyzal @ Wellen Remy Rizal, fell ill, and the bank executed the debenture to sell the plots.

Radiant Concord said DBKL had modified and transferred the development order in 2022 to Muhibah Sekitar Sdn Bhd without its knowledge.

The company said the property was transferred to Muhibah Sekitar through the use of a non-Bumiputera receiver and manager.

Radiant Concord said it filed the judicial review application last year following a series of correspondence with DBKL, and its alleged refusal to return the deposit.

Radiant Concord, which named the Kuala Lumpur mayor as the respondent, wants the court to quash the 2018 order and return the deposit.

Remyzal, who filed an affidavit in support of the application, claimed DBKL had also violated various building laws and the National Land Code.

He said the alleged transfer of the 2018 development order was a breach of Section 25 of the Federal Territories (Planning) Act 1982 and Rule 8(1) of the Planning (Development) Rules 1970.

Remyzal also said the conversion of the company’s assets to Muhibah Sekitar was also in contravention of Article 13 of the Federal Constitution, which states that no person can be deprived of their property except in accordance with the law. - FMT