sPICE agreement is invalid
4 Nov 2011, 4:01 PM
Posted in Coordinator, News
The Penang Barisan Nasional said the concession agreement between the Penang Municipal Council (MPPP) and developer Eco Meridian Sdn Bhd for the sPICE project in PISA in Relau is null and void because the land lease for PISA will expire in 76 years from now, instead of the 99 years as stated in the agreement.
BN coordinator for Batu Lanchang Lee Boon Ten said the land lease for the said project as stated in the concession agreement is 99 years whereas the lease for the whole of PISA has only another 76 years to run.
Lee, who is also a practising lawyer, said MPPP cannot offer what it does not have.
“Moreover, the concession agreement between the two is invalid as it is not endorsed by the council’s full board,” said Lee at a press conference at the State Legislative Assembly building on Thursday.
Lee urged MPPP and the state government to seek legal advice and to terminate or abort the agreement as it is “void ab initio” (invalid from the onset).
He pointed out that the signatories to the concession agreement had acted “ultra vires” (beyond their powers) because the persons signing the agreement were perceived not to have the authority to sign the agreement at that time.
He urged the state government to be responsible and caring. “Please do not turn the soon to be called Penang People’s Park into Penang People’s Pain.”
“We also urge the developer to mutually terminate or abort the agreement and refund any monies paid by the council and to withdraw the private caveat lodged on the land in the interest of ratepayers and the people of Penang.”
by Editorial Desk
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