KUALA LUMPUR: The Public Accounts Committee(PAC) says it detected several discrepancies from nine proceedings on the sale and development of land by Kuala Lumpur City Hall (DBKL), including violations that have resulted in uncontrollable development.
Summarising the findings to 12 main points, PAC chairman Datuk Mas Ermieyati Samsudin said the role of DBKL’s advisory board has been limited to an advisory capacity without joint decision-making powers, unlike the council member system in other local authorities.
“This resulted in the absence of an effective mechanism of checks and balances in decisions related to government land development in Kuala Lumpur,” she told a press conference in Parliament on Monday (Aug 25).
She added that the ongoing violation of the Kuala Lumpur Local Plan has resulted in uncontrolled development and opened the door to various parties to submit development applications.
The Federal Capital Act 1960 and Federal Territory (Planning) Act 1982 have given the mayor full authority to control development in the city, she said.
“The cancellation of the reserve status of public land and green lungs that were gazetted in the Kuala Lumpur Local Plan and the subsequent alienation of this land to developers is a critical issue that can negatively impact residents’ quality of life and the ecological functions of the city.
"This reflects weaknesses in the land development planning system, which requires a thorough review, particularly regarding the justification for developments such as the alienation of land for high-density projects on open or green areas,” she said.
She added that local MPs were not involved in the decision-making process by the Federal Territories land working committee.
The PAC was informed that decisions made by the committee were based on a consensus of all members and on feedback from technical agencies.
It said approval would not be granted if there were objections, differing opinions, or without “clearance” from DBKL, which was tasked with conducting stakeholder engagements.
“However, in reference to the Kampung Bohol Retention Pond issue, views and objections from 1,275 residents were not taken into account in the decision to alienate the land to a developer.
"The management of land development in Kuala Lumpur involves various agencies and committees, and there are certain evaluation processes in place,” she said.
She added that the formula to calculate land premium has been used for the past 30 years and resulted in a mismatch in the valuation of the alienated land with market prices.
This has resulted in losses for the government as the land was sold significantly below market value, she said.
“PAC takes note that the formula used over the past 30 years will be improved and amended accordingly,” she said.
Mas Ermieyati also noted instances where land was handed over to developers despite the presence of infrastructure assets owned by the Irrigation and Drainage Department (DID), adding that in some cases, the land alienation application by the department had been rejected.
Additionally, the PAC also flagged the alienation of 0.35ha (0.86 acres) of land in Taman Desa, which the committee had given to a developer despite objections from the government, including the Home Ministry and the police.
“It was found that the DBKL OSC 3.0 Plus system is not yet accessible to the public. This platform is supposed to serve as a comprehensive source of information providing complete details on the status, location and other information related to government-owned lands,” she said.
The PAC had called in a former Federal Territories minister, a former chief secretary to the government who was also former chairman of the land executive committee, and a former mayor for its proceedings.
The agencies involved were the Federal Territories Department, city Land and Mines Office, DBKL and and DID, among others.
Several NGOs were also called for the proceedings, conducted from Feb 5 to May 21.
The PAC has recommended that a permanent committee be formed to monitor land affairs, including alienation and development of land, in the city. It also wants Kuala Lumpur MPs to be involved.
It is also calling for the chairmanship of the land committee to be given to the Federal Territories Minister to ensure accountability.
Aside from that, it has also proposed the presence on the committee of the Chief Secretary to the Government (as a deputy chairman), as well as the Attorney General and Treasury secretary-general.
Mas Ermieyati said the PAC will brief the Dewan Rakyat on its findings on Tuesday (Aug 26).
