Penang Chief Minister Lim Guan Eng has taken to task a Kuala Lumpur-based developer for insisting on demolishing a village in Bayan Lepas and forgoing negotiations with the state government.

Following a meeting with the villagers from Kampung Teluk Kumbar last night, Lim queried the intention and the motive of the developer and landowner, KL Metro Land Development Sdn Bhd, asking if the firm insisted on its action to “purposely inconvenience the people and the state government”.

NONE “It seems the developer is eager to go ahead with its demolition plan, while threatening and creating fear in the villagers... is this an act of a reasonable business entity?” Lim asked after wrapping up his meeting with about 50 individuals whose homes are slated for demolition next week.

“Usually, a developer does not wish to inconvenience nor upset the state government, However, this company seems very bold and makes us suspicious about its real intentions, as to whether it has other motives since it is backed by many datuk-datuk ; it is not a Penang but a KL firm,” he added.

Recently, Deputy Chief Minister I Mansor Othman had warned the developer to put off its plan to demolish the houses as the state was in negotiations with the latter for a reasonable compensation package for the villagers.

NONE The firm had attempted to get  the land vacated twice last month, but postponed the exercise following pleas from the residents for a better compensation package.

The project will affect about 80 residents or 15 families - six Chinese and nine from the Malay community - who have lived on the 1.6ha plot for a century.

The land in Kampung Teluk Kumbar has been earmarked for a five-star hotel, scheduled for completion by 2013 or 2014.

It is learnt that the residents had earlier turned down a RM20,000 compensation package, asking instead for a medium-low-cost house for each family.

KL Metro project director Wong Fok Ten had told reporters that he would discuss the matter with his directors and lawyers, adding that four families had already accepted the firm’s offer.

Yet to obtain approval from council

Meanwhile, Lim said the state had earlier prevented the developer from demolishing the houses as it has yet to obtain approval from the Penang Island Municipal Council, either to develop the land or demolish the houses.

He said the state government was prepared to wait for the firm’s chairman, Mat Hassan Esa, to meet with it to resolve the matter.

The state viewed seriously the developer’s insistence on forcing the villagers out instead of discussing the matter peacefully, without threats and warnings.

“The state government wonders why the developer wishes to act in such a bold manner, without taking into account the views of the state,” said Lim.

“It if wants to continue to develop the land, it has to obtain an approved plan from the Penang Municipal Council, which it has not.”

Lim said the firm has announced its plans to build a hotel and had sought approval from the council last year. However, no approval for has been issued for the project.

He asked whether the firm was not concerned that its plan may not be approved if it continued to “stubbornly ignore” the views of the state government.

“Although the developer has obtained a court order, it must obtain approval from the council if it wants to demolish the houses on the land,” he said.

“The council has informed the developer that the firm cannot go ahead with its demolition until it obtains the former’s approval”.