KUALA LUMPUR: The long-running dispute over compensation payable by the government to Semantan Estate (1952) Sdn Bhd (SESB) appears to be nearing a settlement following an offer made by the government to the company.
On Friday (Aug 14), the High Court was informed of a last-minute settlement proposal by the government in the hearing for compensation assessment involving 263.272 acres of prime land known as the Duta Enclave.
Senior federal counsel Nurhafizza Azizan said she received instructions to extend the settlement offer on Thursday (Aug 13) and that all settlement proposals must be approved by the Finance Ministry.
"Under the circumstances, we would like to settle the case as soon as possible. But to be fair to the plaintiff (SESB), I'm sure they will need some time to confer with their client before they can decide as to whether the matter can be settled amicably," she said.
SESB's lawyer Ira Biswas confirmed that the offer was received by the plaintiff and asked for the court to adjourn the proceedings to deliberate the terms of settlement.
Justice Roslan Mat Nor, however, said that while out-of-court settlements were encouraged, proceedings could not be repeatedly delayed at the eleventh hour without compelling grounds.
He then ordered for the hearing to determine the compensation to proceed with its first witness.
Expert witness Foo Gee Jen, who is a licensed valuer and Group Advisor at CBRE WTW, took the stand and confirmed two valuation reports on the land.
The hearing resumes on Aug 21.
On Nov 13, last year, the Federal Court dismissed SESB's leave application to appeal a Court of Appeal decision, the company's final attempt to overturn the appellate court's ruling that the Enclave belongs to the government.
The Federal Court then ordered the case remitted to the High Court for assessment of compensation to SESB.
On June 24, 2025, the Federal Territory of Kuala Lumpur Land Registrar succeeded in its appeal to set aside the High Court ruling that ordered a transfer of the 106.54ha Duta Enclave title in Kuala Lumpur back to SESB.
In the decision, the Court of Appeal held the 2009 High Court decision did not order a transfer to SESB and therefore there was no order to execute.
The appellate court also ruled the Duta Enclave belongs to the government and directed compensation to SESB.
The land in the Jalan Duta area now houses several facilities.
These include the Inland Revenue Board Complex, government buildings, the National Hockey Stadium, the Institute of Islamic Understanding Malaysia and the Federal Territory Mosque.
