Share
- For mesne profits—compensation for loss of use of property—Semantan Estate values the damages at RM5 billion to RM12 billion, while government valuers have estimated it at RM290 million. The proceedings for this are before High Court Judge Datuk Ahmad Shahrir Mohd Salleh.
KUALA LUMPUR (Nov 17): The High Court on Monday (Nov 17) instructed the government and Semantan Estate (1952) Sdn Bhd to update the court on how the assessment for the payment of compensation/damages will take place following the illegal acquisition of the "Duta enclave" land in 1956.
This is despite the Federal Court on Thursday (Nov 13) having upheld the Court of Appeal’s decision on July 24 that had dismissed Semantan Estate’s appeal against the court’s decision that the physical land and the title would belong to the government.
With last week’s decision, the Court of Appeal’s decision that had ordered the High Court to assess the compensation based on the 1956 market rate still stands, as the apex court ordered for the matter to go back to the High Court for case management on Monday.
The case management was done before High Court Judge Roslan Mat Nor.
When contacted by The Edge, Semantan’s counsel, Janet Chai Pei Ying, said the judge had given instructions for parties to update the court as to how the assessment will take place.
“Following that, he has fixed Jan 20 (2026) for another case management to update the court,” Chai said.
The calculation of compensation is different from the ongoing proceedings at a separate High Court for mesne profit.
In 1956, the company was paid RM1.32 million for the 263.272-acre land which currently houses government buildings like the Inland Revenue Board’s headquarters, the Malaysian Examinations Syndicate, the National Archives, the KL Syariah Courts, the Malaysian Institute of Integrity, the Malaysian Anti-Corruption Commission Academy, and the Duta Bus Terminal, among others.
For mesne profits—compensation for loss of use of property—Semantan Estate values the damages at RM5 billion to RM12 billion, while government valuers have estimated it at RM290 million. The proceedings for this are before High Court Judge Datuk Ahmad Shahrir Mohd Salleh.
Submissions for mesne profit are before Ahmad Shahrir on Dec 11, following the conclusion of the hearing.
On Thursday, then-Chief Judge of Malaya Tan Sri Hasnah Mohamed Hashim, who led a three-member bench in dismissing Semantan Estate’s appeal, said the 2009 High Court order by Judicial Commissioner Zura Yahya, which had ruled that the government had trespassed, did not include any enforceable requirement to transfer the land.
She said this means that the land cannot be taken back from the government, and compensation should be based on the 1956 acquisition.
Hasnah added that requesting a court order to force the land’s handover or register it back to Semantan Estate had no legal basis, and no other legal remedy can replace it.
“The bench is of a considered opinion, as the application for leave (permission) does not meet the threshold under Sections 96A and 96B of the Courts of Judicature Act 1964 for the statutory test for leave to appeal to be granted,” said Hasnah.
As Penang girds itself towards the last lap of its Penang2030 vision, check out how the residential segment is keeping pace in EdgeProp’s special report: PENANG Investing Towards 2030.
