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Panel to disprove oil royalty claims

TUMPAT: THE Federal Government may declassify a report by a special committee on oil royalty claims by east coast states to set the record straight.

Deputy Prime Minister Tan Sri Muhyiddin Yassin said the panel’s findings would provide proof that the Kelantan government was not entitled to get royalty from the revenues of petroleum exploration off the coast of the state.

He said this was necessary, as the people would then know that state government leaders had been lying about the Federal Government purportedly owing Kelantan RM12 billion in royalties.

“I have discussed with (Kelantan Umno chief) Datuk Seri Mustapa Mohamed to get permission from the prime minister (Datuk Seri Najib Razak), as the Kelantan people are still confused (over the issue).

“I will contact the prime minister, who is in New York attending the United Nations’ meeting, and if he gives clearance, we will distribute (the report) to the people,” he said at a gathering with fishermen at Tumpat Mara Junior Science College here yesterday.

Muhyiddin said members of the committee, headed by former chief justice Tun Abdul Hamid Mohamad, included the Tengku Mahkota of Kelantan, who represented the state.

“According to the law, royalty will only be paid if petroleum is found within three nautical miles of the coast. The state government has claimed that there is exploration in the waters bordering Thailand, but it is actually 40km or 50km away.”

He said the committee had decided that Kelantan had no right to the royalty and the state government knew about this.

The decision was reached by the committee after much deliberation, and references to the law and Federal Constitution.

“The reports and findings (on the study) have been presented to the cabinet. The decision is correct, as there is no oil found within three nautical miles of state shores.”

Despite this, said Muhyiddin, certain Pas leaders continued to make allegations that the Federal Government was committing an injustice to the Kelantan people by denying them the money.

He said among those who were making such claims were former menteri besar Datuk Nik Abdul Aziz Nik Mat and Menteri Besar Datuk Ahmad Yakob.

“There is no such thing. Umno and the Barisan Nasional government have never done any injustice to Kelantan.

“In fact, Tok Pa (Mustapa) has revealed that Kelantan has gotten more financial allocations than some other states, including BN-controlled states.”

Muhyiddin said Pas’ Syura Council and religious leaders should advise the state government to stop making such allegations.

At another function, Muhyiddin said the declassifying of the documents would be discussed in the cabinet meeting on Wednesday.

He said it would be good if the documents could be declassified before the Pengkalan Kubor by-election on Thursday.

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