KUALA LUMPUR, May 31 — City property developer SkyWorld Development Group said today that all its land purchases from DBKL were above board.

According to its founder and group managing director Datuk Ng Thien Phing, SkyWorld was first approached in 2013 to collaborate with the federal government to fulfil its aim of building 80,000 affordable homes.

Back then, SkyWorld said that the property market was at its peak and most developers did not want to embark on developing affordable housing as it was not considered a viable business proposition.

The company said that it saw the land purchases as part of its corporate social responsibility (CSR) and willingly undertook the affordable housing programme.

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Ng also clarified that all land was purchased through proper valuation done by the government valuation department, and all land prices, premiums and charges related to the land were paid accordingly

His comments came after Kepong MP Lim Lip Eng lodged a report with the MACC regarding land deals in the city which were conducted without an open tender and with companies without experience in construction, one of which was a textiles company.

KL mayor, Tan Sri Mohd Amin Nordin Abd Aziz, has been asked to explain the 64 land deals in the city that are believed to have not followed the letter of the law.

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Lim said the Federal Territories Ministry, in a parliamentary reply last month, had stated the ministry was not involved in any land deal.

“They said City Hall has sold 64 lots of land since 2013, that is 424 acres worth RM4.28 billion. But these lots were sold without any open tender. Due to that, I have lodged a report with the police and MACC,” Lim had said in a New Straits Times report on the issue.

Lim said he had also received information that some of the payments for the land had not been made and the companies started ‘queuing up’ to pay after the ruling Barisan Nasional lost in the May 9 elections.

He added that most of the buyers had yet to pay the land premium even though buildings had been constructed and sold, and many had not paid development charges either.

The ministry’s reply in the Dewan Rakyat showed Aset KayaMas Group (16 projects), Jakel Group (5) and SkyWorld (4) as among those involved.

He said the mayor had told him that the land had been sold to raise money for City Hall operations but he had demanded the mayor explain why these three companies were given so many projects and since one of them is a textile company.

Lim then reiterated that construction projects should be given to experienced building companies.