They are seeking an order compelling the government to sell the land and account for the proceeds or, alternatively, pay equitable compensation.
The suit was filed on Oct 8 by Semantan Estate and its liquidator, Dr Lai Chee Chuen, through Messrs AG Kalidas Doris & Nada. The defendants are the government, the Federal Lands Commissioner, the minister responsible for land in the Federal Territories, the Minister of Natural Resources and Environmental Sustainability, the director-general of Lands and Mines, the director of Lands and Mines (Federal Territories) and the Registrar of Titles (Federal Territories).
In its statement of claim, the company, which is in members' voluntary liquidation, estimated the land's current market value at between RM12 billion and RM13 billion. It alleged that the government had continued to occupy, develop and benefit from the land despite a 2009 High Court order declaring the purported acquisition "void ab initio" (void from the beginning).
Semantan Estate claimed that the government took possession of the land between 1956 and 1958 under the Land Acquisition Enactment 1923 for the stated purpose of establishing a "Diplomatic Enclave". The land was then divided into 38 lots measuring 230.851 acres (93.42 hectares), with the title registered under the Federal Lands Commissioner. The remaining 32.421 acres (13.12 hectares) were used for roads and infrastructure.
The plaintiffs also claimed that the land was never used for its gazetted purpose but was instead developed for official, cultural and commercial buildings, as well as roads, a flyover and other infrastructure.
The plaintiffs are seeking a declaration that the government holds the land on trust for Semantan Estate and an order compelling the government to sell it and account for the proceeds after permitted deductions.
Alternatively, they are seeking equitable compensation for the alleged breach of trust or damages under Article 13 of the Federal Constitution for the alleged deprivation of the company's property rights.
They are also seeking restitution for benefits allegedly derived by the government from its continued occupation and use of the land, interest at five per cent per annum on any sums ordered to be paid, costs and any other relief deemed fit by the court.
The court's e-filing system showed that the suit had been fixed for case management before High Court Judge Datuk Anand Ponnudurai on Nov 3.
In the earlier suit, the High Court set Oct 16 to continue hearing the compensation assessment following the government's settlement offer.
The dispute began in 2003 when Semantan Estate sued the government, alleging that the land had been acquired illegally. In 2009, the High Court ruled in the company's favour, finding that the acquisition was illegal and that Semantan Estate had a beneficial interest in the land.
The government's subsequent appeals were unsuccessful. In February 2017, Semantan Estate filed a suit to enforce the 2009 judgment.
A High Court order in August 2024 directing the transfer of the land title was later overturned by the Court of Appeal, leading to the current compensation assessment proceedings.
On Nov 13, 2025, the Federal Court dismissed Semantan Estate's application for leave to appeal against the Court of Appeal's decision that the Federal Territories Land Titles Registrar was not required to register 263.272 acres (106.54 hectares) of land in Duta Enclave in the company's name.
The Court of Appeal's decision in favour of the government remains in force because Semantan Estate failed to obtain leave to appeal to the Federal Court. The case was then returned to the High Court for an assessment of damages.
On June 24, 2025, the Court of Appeal ruled that Semantan Estate was not entitled to the land title but was entitled to appropriate compensation, to be assessed based on the land's value in 1956, when the government acquired it.
The disputed land is in the prime Jalan Duta area, known as the Duta Enclave, which houses government buildings including the National Hockey Stadium, the Malaysian Integrity Institute, the National Archives, the Kuala Lumpur Syariah Court, the Inland Revenue Board and the Malaysian Anti-Corruption Commission Academy. – BERNAMA
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