GEORGE TOWN – Kedah’s quest to demand a higher honorarium rate from Putrajaya over the alleged lease of state land to Penang has no legal basis as it is merely an ex-gratia payment, according to legal practitioners.
Lawyer Andrew Khoo told Scoop that the Federal Constitution, which was promulgated in 1957, clarified the position of Penang as a valid and legal state, not a leased one.
He also said given the constitution’s recognition of Penang as one of the states, Penang’s statehood is conclusive and should not be reopened.
“So, whether there was monetary compensation to be paid under previous agreements, the fact that the government of Malaya and Malaysia continue the (honorarium) payment to Kedah is merely ex gratia and not an admission of the leased status of Penang.”
Khoo said Putrajaya should no longer pay this ex-gratia amount to Kedah, when asked whether Putrajaya should continue paying the honorarium despite the Federal Constitution’s recognition of Penang as a state in its own right.
“I have not seen the existing (legal) basis of the (honorarium) payment, therefore it could be that it (payment) is just a matter of continuing goodwill,” he said, adding that Putrajaya might suspend the payment and leave it to the courts to decide if Kedah makes even more stern moves in challenging Penang’s sovereignty.
Kedah Menteri Besar Datuk Seri Muhammad Sanusi Md Nor recently said the state government was trying to build a case on Penang’s status as a leased state when the British colonised the peninsula.
He has denied claims that he wants to reclaim Penang for his state and said that Kedah is merely advocating for higher annual honorarium payments from Putrajaya, which has been paying RM10 million to the state since 2018.
Meanwhile, senior lawyer Mohamed Haniff Khatri Abdulla echoed Khoo’s comments on the constitution’s recognition of Penang as an independent state and said the motive of Putrajaya’s honorarium payment is a matter of goodwill and not necessarily law due to historical arrangements.
“That is a matter of non-liability payment of honorarium. So whether Penang is independent or not, is not the issue as to why we are paying.
“We are not paying because Penang is leased from Kedah. That was in the past, and has been overridden by (the Malaya) independence,” he told Scoop.
Malayan treaties weaken Kedah’s lease demand
Haniff said Kedah’s quest to seek lease payments from Penang would see more setbacks as Kedah was one of the states that voluntarily signed the Malaya Federation Agreements in 1948 and 1957, without making any claims on Penang.
“With the absence of any specific clause in these agreements, the law would legally accept that the Kedah government had ceased its demands on Penang on August 5, 1957, which is the date of the agreement.
“This is important since the historical documents on the negotiations for independence showed that the British would not agree to grant independence (to Malaya) as long as there is no full consent obtained from all states in Malaya regarding their respective claims and rights, apart from the state and federal administration structures and the rights of the people.
“With Kedah not objecting to the existence of Penang as an independent state, the basis of Kedah’s claim to Penang (now) is becoming weaker.”
Haniff said the honorarium payments do not hold any legal standings since the federal government was never a party to the 1786 British-Kedah treaty, the 1826 British-Dutch treaty, and the Malaya Federation agreements in 1948 and 1957, and has no legal obligations to entertain any form of demands made by Kedah in Penang.
“The RM10 million special payment made by Putrajaya since 2018 is a form of ex-gratia payment that does not directly bind Putrajaya, let alone Penang from a national legal standpoint.”
Sanusi has said as part of Kedah’s quest to build a case of Penang as a leased state, the research team formed by the Kedah government back in 2023 collected some 20,000 archives and historical agreements dating back to 1821 and would conclude its findings by year-end.
Penang Chief Minister Chow Kon Yeow since responded by saying that the research was pointless as no one is disputing that Penang used to be a part of Kedah in the past, and told his Kedah counterpart to accept that Penang is an independent state and that its position is guaranteed by the constitution. – July 30, 2024
