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CM: Let MACC probe any logging misdeeds
Published on: Friday, August 03, 2018
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CM: Let MACC probe any logging misdeeds
Kota Kinabalu: Chief Minister Datuk Seri Mohd Shafie Apdal is leaving it to the Malaysian Anti-Corruption Commission (MACC) to conduct its probe on a suspected logging scandal in the State. "There may be something, they need to take action," he said, after closing a counselling course at Klagan Regency, here, Thursday.

He was commenting on a Star report that MACC raided three logging firms in Sandakan and Tawau, believed involved in shady deals. The report also stated that the Sabah Forestry Department headquarters was also raided.

Last month, a major logging scandal was uncovered following the recent State Government decision to ban logging exports with enforcement operations chancing upon 40,161 logs – including from the State's forest reserves – and escaping paying timber tax.

The logs were seized by the reactivated Special Taskforce Unit under the Chief Minister's Department in several logging sites at forest reserves in Tongod, Sandakan, Ranau and Kalabakan.

The loss of revenue to the Government is believed to run into millions of ringgit.

The suspected logging activities were in breach of provisions under the Forest Enactment 1968.

The operations from July 5 to 14 involved the Hutan Simpan Sungai Pinangah Yayasan concessionaire, Hutan Simpan Trusmadi FMU 5, Hutan Simpan Gunung Rara Kalabakan Yayasan Sabah concessionaire, with a huge bulk of the logs (over 20,000) found in the Kalabakan area.

Preliminary findings showed that the logs have not been taxed while some were also found with measurement less than 40 cm or 150 cm and involving species such as Belian (Borneo ironwood), all of which are against the provisions under the Forest Enactment 1968. The findings prompted several police reports to be lodged by the Special Taskforce Unit, who have also alerted the MACC.

The MACC was looking for certain licensing documents, having conducted raids in three timber offices belonging to well-connected individuals in Tawau and Sandakan. It was understood that the three companies raided belonged to Sabah tycoons who used their connections with the previous state government to obtain timber concessions across the state.

Meanwhile, the Inland Revenue Board of Malaysia (LHDN) is also monitoring the Sabah timber companies allegedly involved in illegal logging.

Chief Executive Officer cum Director General of LHDN Dato' Sri Sabin bin Samitah said they are very eager to find out which companies are involved.

"The government, particularly the State, is losing a lot of revenue due to illegal logging and we will get to the bottom of this," Sabin said after paying a courtesy call on Shafie. Sabin also said that LHDN has an RM4.3 billion target in revenue collection from the State for 2018 and expressed confidence that this was attainable.

On his discussion with the Chief Minister, Sabin said it was a normal visit and he took the opportunity to brief Datuk Shafie on the collection of various taxes from Sabah, among other things.

He added that his visit to Sabah was also to strengthen the relationship between LHDN and federal and state agencies in Sabah. - Sherell Jeffrey





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