KUALA LUMPUR (June 27): The Ministry of Finance (MOF) and the Langkawi Development Authority (Lada) must ensure that the shareholder agreement concerning the lease of the land for The St Regis Langkawi is adhered to.

Public Accounts Committee (PAC) chairman Datuk Mas Ermieyati Samsudin said this follows the shareholder agreement between INR Sdn Bhd, the Minister of Finance (Incorporated), and Lada, which was finalised and signed on June 10.

"The MOF must immediately ensure that the outstanding lease payments are made within six months after the agreement is signed.

"Negotiations on the comprehensive recovery plan initiated by INR Sdn Bhd with Bank Pembangunan Malaysia Berhad (BPMB) and the Receiver and Manager (R&M) must be swiftly concluded to ensure that INR Sdn Bhd’s outstanding loan can be settled with BPMB," she said in a statement Thursday.

Mas Ermieyati added that a PAC report on follow-up actions by Lada and MOF regarding recommendations on the management of Lada's property development was presented in the Dewan Rakyat on Thursday.

Furthermore, MOF must ensure that any action taken regarding the direction of the Tok Senik Resort Village project does not involve financial and legal implications for the government.

Mas Ermieyati said the PAC also believes that the Kuah Tourist jetty, which was built at a cost of RM7.3 million, should be managed by Lada itself or its subsidiary, Langsura Geopark Sdn Bhd, since funding for the construction of this jetty came from government allocations.

“Lada should actively continue its engagement with relevant parties in efforts to implement the planned programmes and simultaneously promote Langkawi as a tourist destination, maintaining its prominence on the global stage,” she said.

On March 19, the PAC proposed five recommendations to MOF and Lada to resolve the lease issue of The St Regis Langkawi and the Tok Senik Resort Village project.  

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