Government succeeds in overturning order to transfer Duta enclave land title to Semantan Estate

Sinar Daily

24-06-2025

Justice Lee, held that the 2009 High Court decision, did not order the Government of Malaysia to transfer the subject land back to Semantan Estate.
24 Jun 2025 03:20pm
Justice Lee, who delivered the court's unanimous decision, however, ruled that Semantan Estate is entitled to adequate compensation, to be assessed based on the land value in 1956, the time the government took possession of the land. - Bernama file photo
PUTRAJAYA - The Federal Territory of Kuala Lumpur Land Registrar succeeded in its appeal to overturn the High Court's ruling that had ordered it to transfer the title of the 263.272-acre "Duta enclave' land in Kuala Lumpur back to Semantan Estate (1952) Sdn Bhd.
A three-member bench consisting Federal Court judge Datuk Lee Swee Seng and Court of Appeal judges Datuk Azimah Omar and Datuk Wan Ahmad Farid Wan Salleh had allowed the Federal Territory of Kuala Lumpur Land Registrar's appeal to set aside the High Court's decision.
Justice Lee, held that the 2009 High Court decision, did not order the Government of Malaysia to transfer the subject land back to Semantan Estate.
"As such, there was no order to execute. In the absence of an order for the transfer of the land back to Semantan Estate, an order for declaration cannot be executed, as it is only declarative of the rights of parties.
He said a declaratory order merely affirms the legal rights of parties involved and it does not carry with it the power of enforcement, such as specific performance, adding that such orders are non-executable by nature.
Justice Lee, who delivered the court's unanimous decision, however, ruled that Semantan Estate is entitled to adequate compensation, to be assessed based on the land value in 1956, the time the government took possession of the land.
The company, he said, is also entitled to mesne profits for the land, which will continue to accrue until the government fully settles the compensation. The amount of mesne profits, to be assessed by the High Court, shall no longer be payable once full payment of compensation has been made.
He also directed parties to file their expert valuation report on the market value of the subject land as at December 3, 1956, within 90 days from today.
Justice Lee said two payments made by the government - RM1.321 million on December 21, 1956, and another RM79, 241 on February 3, 1959 - would be deducted from the amount of compensation to be assessed.
He also awarded interest of six per annum to the company from December 3, 1956 to the date of payment upon payment of the compensation as assessed.
The disputed land, located in the prime Jalan Duta area known as the Duta Enclave, houses government buildings that include the national hockey stadium, Malaysian Institute of Integrity, national archives, Kuala Lumpur Syariah Court, the Inland Revenue Board building and the Malaysian Anti-Corruption Commission Academy.
Semantan Estate's legal battle began in 2003 when it sued the government, claiming the land was unlawfully acquired.
In 2009, Judicial Commissioner Zura Yahya ruled in favour of Semantan Estate that the government had unlawfully acquired the land. The government's subsequent appeals at the Court of Appeal and Federal Court were unsuccessful.
In February 2017, Semantan Estate initiated a lawsuit against the Kuala Lumpur Land Registrar to enforce the 2009 High Court judgment. - BERNAMA