Developer alleges DBKL illegally transferred Malay Reserve Land to third party, wins court nod for judicial review

Radiant Concord claims transfer of land along Jalan Sungai Penchala was done unlawfully, with City Hall and a government-linked bank implicated in alleged abuses

2:00 PM MYT

 

KUALA LUMPUR — The High Court yesterday granted leave to Radiant Concord Sdn Bhd (RC) to initiate judicial review proceedings against Kuala Lumpur City Hall (DBKL) over alleged irregularities involving the transfer of a Development Order (DO) for a residential project located on Malay Reserve Land along Jalan Sungai Penchala.

According to court documents, presiding Judge Datuk Amarjeet Singh allowed the Bumiputera developer’s application after it claimed that DBKL had acted in breach of several building regulations and provisions under the National Land Code (NLC).

RC’s judicial review concerns four specific land lots — Lot 2875, Lot 2876, Lot 2928, and Lot 2929 — situated along Jalan Sungai Penchala in Kampung Sungei Penchala, which are intended for the company’s My Penchala Residence project.

In his affidavit, RC director Remyzal @ Wellen Remy Rizal alleged that DBKL had unlawfully transferred the DO in contravention of Section 25 of the Federal Territory Planning Act 1982 and Rule 8(1) of the Planning (Development) Rules 1970.

The respondents named in the judicial review are former Kuala Lumpur mayor Datuk Seri Kamarulzaman Mat Salleh; Datuk Zulkurnain Hassan, who serves as the Director of DBKL’s City Planning Department; Azlan Abdullah, the department’s Senior Deputy Director; Shariman Abdul Wahab and Muhamad Sujab Abu Hassan, both Chief City and Town Planning Officers at DBKL; as well as the current Kuala Lumpur mayor, Datuk Seri Dr Maimunah Mohd Sharif.

Remyzal further claimed the land transfer was executed by Alvin Tee Guan Pian, a non-Malay individual, which RC argued was in violation of Section 4 of the NLC and Section 9 of the Malay Reservations Enactment.

Both laws stipulate that a memorandum of transfer involving Malay Reserve Land must be executed by a Malay; any such transaction by a non-Malay is void and cannot be registered.

RC also accused DBKL of misappropriating its RM2.4 million DO deposit by transferring the order to another firm, Muhibah Sekitar Sdn Bhd (Muhibah), thereby unlawfully converting RC’s asset.

The company argued this action violated Article 13 of the Federal Constitution, which protects citizens from being deprived of property without due process.

It is understood that due to evidence of irregularities, the Attorney General’s Chambers did not contest the Leave application and consented to leave being granted by the Court by letter dated January 28.

In the supporting affidavit, Datuk Muhammad Arif Haji Yusof, principal of Radiant Concord, claimed the project stalled between 2019 and 2020 due to his illness, during which MBSB terminated their bridging finance and moved to seize the land.

“During 2019–2020, I fell ill and the project was disrupted. MBSB terminated our facility to seize the land and proceeded with a forced sale,” he said.

He alleged the land was sold through a “manipulated” tender process by the appointed receivers and managers (R&M).

“The tender conditions clearly showed the forced sale did not include the rights and benefits under the 2018 Development Order,” he added.

Despite this, the R&M — using Radiant Concord’s name — allegedly sold the land to Muhibah Sekitar Sdn Bhd in May 2021. Arif claimed the transaction only involved the land and not the D.O.

“MBSB, R&M, Muhibah and others colluded in the forced sale and gave the false impression that it included the 2018 D.O.,” he said.

He further alleged that DBKL officers wrongfully amended and transferred the D.O. 2018 to Muhibah without informing Radiant Concord. “The respondents colluded with third parties and unlawfully transferred the D.O., causing us significant loss.”

Arif said Ever Land & Development Sdn Bhd later applied to amend the 2018 D.O., resulting in the issuance of a new D.O. to Muhibah in August 2022 — in breach of the law and the Federal Constitution.

The case comes amid DBKL and the land office facing mounting criticism over their handling of land matters, with several contentious deals in the city drawing public ire over transparency and accountability.

The case now proceeds to the substantive hearing stage, where further disclosures are expected, including the role of MBSB Bank — which allegedly financed Muhibah’s acquisition despite the disputed legality of the transfer. RC contends this may expose the bank to losing its security interest over the land.

RC is represented by Elani Mazlan of the law firm Rosli Dahlan-Saravana Partnership. The matter has been fixed for case management on April 29, 2025. – April 16, 2025

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