KUALA LUMPUR, May 6 — International Trade and Industry Minister Datuk Seri Mohamed Azmin Ali said his remark that state governments may face legal action from corporations if they refuse to follow the conditional movement control order was not a threat.

In an interview with Astro Awani last night, Azmin also urged state administrations to cooperate with the federal government.

He said the mentri besar and chief ministers of all states in Malaysia were also engaged prior to the decision being announced, adding that they had also attended meetings with the federal government.

"We take note that engagement and involvement are important processes. That's why we involved the representatives of state governments in the meeting, and also industry representatives in the Economic Action Council (EAC)meeting, and also in the Cabinet meeting led by the government, so that all stakeholders can understand what is the next step that needs to be taken by the government

"This is not a threat, but this is as a reminder, that the cooperation between state governments and the federal government is very important, in achieving the will and the goal to balance between people's health and also to restore the country's economy," he said.

Azmin said that on April 27, the proposal papers were tabled to EAC, which also involves representatives from the private sector and government; the meeting was chaired by Prime Minister (PM) Tan Sri Muhyiddin Yassin.

He said the paper was then again tabled on April 28 in the National Security Council (NSC) meeting that involved all CMs and MBs, adding that discussions were done "at great length".

Azmin also called for a "responsible consideration" from the parties involved, to help the nation's economy and to safeguard the people's well-being.

"My statement yesterday (Monday) was that if it (MCO) was extended until June, of course the number (government's revenue loss) will bloat further to RM146 billion. Then, in the same meeting with representative of state governments, we also did state that a comprehensive and air tight standard operating procedures (SOPs) would be given to all state governments, and the PM said that we give our assurance that the SOPs will be given before the enforcement of the new policy on May 4. We had already given them (the SOPs) on May 2, to all state governments," he said.

On Monday, Azmin who is also a senior minister, insisted that every state in Malaysia should cooperate by carrying out the SOPs for the reopening of businesses and industries, under the more relaxed CMCO.

Azmin noted that some of the state governments in Malaysia have refused to cooperate and follow the federal government’s new SOPs.

Earlier in the same statement, Azmin noted that several industry bodies such as the Federation of Malaysian Manufacturers (FMM) and the Malay Chamber of Commerce of Malaysia have already urged for state governments not to impose direct restrictions to stop companies from resuming their operations from May 4.

"Should the state governments refuse to co-operate in implementing Act 342 which has been gazetted into law enforceable throughout the country, the state governments may face the possibility of legal action from various parties, particularly the industry players,” he said, referring to the Prevention and Control of Infectious Diseases Act 1988 which is the main law used to enforce and lay out regulations for the previous Movement Control Order (MCO) in the country.

Azmin said the federal government has implemented the MCO according to Act 342 for the effective control of the spread of the Covid-19 pandemic, with the implementation of the MCO applicable to the entire country including the states in Peninsular Malaysia, Sabah, Sarawak and the federal territories of Kuala Lumpur, Putrajaya and Labuan.

"In this regard, the Government views seriously the position taken by the various state governments in refusing to execute the decision. Their actions are not founded on lawful authority and are contrary to the policy of the federal government, all the more so in view of the fact that the federal government policy has already been made into law and enforceable throughout the country,” he argued.

Azmin further said the federal government’s regulations made under Act 342 are specific laws aimed at preventing and controlling the spread of Covid-19, adding that such regulations "prevails over the provisions of other written laws in respect of the prevention and control of infectious diseases.”

The state governments of Sarawak, Sabah, Negri Sembilan, Kedah, Pahang as well as Perak, Kelantan — had ahead of the CMCO period— declined to immediately or fully apply the federal government’s decision and policies under CMCO, with some citing the need for further study, while Selangor and Melaka have since announced slightly different rules such as by still banning dine-ins at restaurants.

Penang came up with its own recovery plan, while Perlis and Terengganu reportedly agreed to implement the CMCO.

Johor said it would implement the CMCO, but said the actual implementation would be subject to the standard operating procedures by the respective local councils within the state.