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No hanky panky deals: LC
Published on: Wednesday, May 16, 2018

Labuan: Labuan Corporation (LC) Chairman Datuk Rozman Isli dismissed as malicious allegations talks, that the LC had violated Standard Operating Procedures (SOP) in handling its fixed assets.Rozman was responding to a report which quoted former Member of Parliament and LC Chaiman Datuk Suhaili Abdul who questioned the 'privatisation' of the RM12 million Food Court of Labuan Corporation to Yayasan Pendidikan Labuan (YPL) on a 3-year free rental term. On the other hand, YPL charged a monthly rental of RM400 from the 50 operators at the courts.

"The rental rate was fixed based on valuation made by the Valuation Department and it took into consideration various factors such as the cost of the new Food Court, better business environment with more trading space and parking and located in a prime area," he said.

He added this was not a case of 'over-charging', noting that side stalls in restaurants and coffee shops in town also charged RM400 or more per month though the operating hours of these stalls were less.

"The charge on the new food court is based on the market condition in Labuan and comparably cheaper."

As for the Food Court is given rental free to YPL for three years Rozman noted that YPL was not an 'outside' entity and was linked with LC. He said the earnings from YPL would be used by the Foundation to hold programmes beneficial to locals and this, in turn, would spare LC the expense of holding such programmes.

"Look at the bigger pictures here," emphasised Rozman.

Another allegation in social media also by Suhaili, called for action on Umno cronies who had been given lots at the Rancha Rancha Industrial Estate with suspended payments estimated to be in thousands of ringgit.

Rozman assured all awards made by LC for its contracts, maintenance jobs, rental of properties or premises fully complied with Good Governance procedures.

The awards had gone through relevant agencies such as EPU and Finance Ministry.

"LC had been rated among the top in local authority management."

He added this aspect of LC operations was handled by an Award Committee of LC and the committee would give the full answer if the need arouse."

"Its not fair to make allegations based on hearsay said Rozman. - Sohan Das


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