SUCCC did not accept developers offer for Wisma Tionghua land
0 month ago, 12-Jul-2019
Liew (seated, centre) with the leaders of the Chinese chambers of commerce in the meeting.
KOTA KINABALU: Sabah United Chinese Chambers of Commerce (SUCCC) has decided to maintain the status quo on the Wisma Tionghua project by complying with the existing joint venture agreement with the developer for now after a heated debate during a three-hour Executive and Supervisory Committee meeting yesterday.
This implies that SUCCC did not accept the developer’s offer to purchase the land.
SUCCC president Tan Sri Andrew Liew Sui Fatt released a brief statement after chairing the meeting.
Liew, who is also the chairman of the Wisma Tionghua Building Committee, said the committee had not discussed nor made any decision about selling the land.
It is premature to discuss about this matter at this point in time.
The meeting was attended by the presidents or chief delegates of the 24 member associations under SUCCC.
The State Government allocated SUCCC and The United Sabah Chinese Communities Association of Kota Kinabalu (USCCAKK) a 2.7-acre land in Karamunsing in 1997 for the purpose of building the Wisma Tionghua.
A joint venture agreement, or Agreement to Develop, was signed between developer Arah Permai Sdn Bhd, SUCCC and USCCAKK to develop the project on September 30, 2013.
However, construction has yet to commence due to various factors.
Under such circumstances, SUCCC and USCCAKK had a meeting with Arah Permai in May this year. The minutes of the meeting containing the six consensuses agreed by the three parties were signed on June 28.
One of the consensuses is that both associations agreed that the developer should be given a further extension of time to start work until October 10, 2020, but the developer must inform the landowners of its intention to do so with payment of RM600,000 as compensation for the further delay.
If the developer is unable to start work as scheduled on or before October 10 next year, the Agreement to Develop shall be considered terminated without refund from the landowners.
The document also states that the developer offers to purchase the land at RM40 million if both associations give the nod by October 10 this year, while the RM2 million deposit and other expenses need not be refunded to the developer.
USCCAKK has passed a motion to sell the land in its Annual General Meeting (AGM) on June 30 this year but made a U-turn on its decision on Wednesday (July 10).
The association will discuss this matter once again in the committee meeting and call for an Extraordinary General Meeting (EGM) to seek its members’ decision.
Liew also thanked the Chief Minister Datuk Seri Panglima Shafie Apdal for his advice to the Chinese community not to sell the lands allocated by the State Government for short-term gain.
Shafie said non-governmental organizations (NGOs) could reap long-term benefits by developing the lands granted by the government themselves.
With SUCCC’s resolution to maintain status quo to execute the existing joint venture agreement, issue on selling the Wisma Tionghua site for RM40 million has come to an end for now.