Muhyiddin questions Ku Li’s loyalty over oil dispute

By Asrul Hadi Abdullah Sani - The Malaysian Insider

KUALA LUMPUR, Feb 25 — Tan Sri Muhyiddin Yassin has questioned Tengku Razaleigh Hamzah’s loyalty to Umno and accused the Kelantan prince of trying to confuse the public over the oil royalty dispute.

He also defended the federal government’s refusal to pay oil royalty claimed by Kelantan, saying that it was in “accordance with law.”

“I know of the move taken by Tengku Razaleigh and some opposition leaders to make people believe what is not legally right. I think that is not the proper way to do it. This is not political but the constitutional and legal way of whatever Act enacted by Parliament,” the deputy prime minister told reporters today.

Muhyiddin (picture) also questioned the Umno veteran’s loyalty to the party.

“We are studying the situation. As everybody is aware of the statements and actions that he (Tengku Razaleigh) has taken. Even though they are his personal opinion but it is not in line with the decision made by the government and party leadership. So we must look at what will happen next and maybe he will realise in the end. This is not a question about bringing hardship to the people of Kelantan or anybody. We have given explanations based on facts.

“I have been informed that he has met the prime minister but what I do not understand is why he is still continuing with his actions. As if he is the only one fighting for the people of Kelantan and that we are not considerate. Actually leaders from Barisan Nasional have given explanations and will continue to do so,” he said.

Muhyiddin said that educated professionals from Kelantan understood the government’s position.

“Many of the people from Kelantan are lawyers and professionals and can analyse the matter. I have heard statements from the people of Kelantan, especially academicians and those with certificates, saying that the actions taken by the government do not go against the law,” he said.

He argued that the allocation of compassionate payments instead of oil royalties was in accordance with the law.

“The term is not royalty and that has been explained by the government and also through the advertisements for the general public’s knowledge which was well received. I think what we have done (in giving compassionate payment) is in accordance with the law.

“Since Kelantan requested for some help then we considered and agreed to give them compassionate payment. So this is all according to the Petroleum Development Act and whatever interpretation has been well explained by the adverts that we have put in,” he said.

The federal government had over the weekend taken out advertisements in Berita Minggu, Mingguan Malaysia and Sinar Harian, listing eight reasons to deny Kelantan its claim for oil royalties.

But Tengku Razaleigh and Pakatan Rakyat (PR) have been campaigning hard to force the federal government to pay oil royalties claimed by the state.

Tengku Razaleigh, who is Petronas founder, had earlier this week rubbished attempts by the federal government to explain, through newspaper advertisements, its refusal to pay the Kelantan government oil royalties.

“The advertisement fails to point out that almost all the oil found in Malaysia is located more than three nautical miles offshore, and Petronas has nevertheless been making oil payments to the states,” said the Gua Musang MP.

The federal government’s main argument is that oil and gas are extracted from waters that are beyond the three-nautical mile limit prescribed as territorial waters under Malaysia’s Emergency Ordinance (Essential Powers) No. 7 1969.

“By the argument deployed in the advertisement, Terengganu, Sabah and Sarawak too are not entitled to the ‘cash payments’ of 5 per cent of profit from oil,” said Tengku Razaleigh earlier this week.

“The argument for depriving Kelantan of 5 per cent cash payments on the basis of its petroleum resources being found beyond three nautical miles is an insult to the intelligence,” he added.

The Gua Musang Umno chief said that the implication of the argument is that Terengganu has no right to receive the cash payment which was reinstated early last year.