SAPP: DAP parrots will bankrupt Sabah and make Sabahans beggars

Sabah DAP should not be angry that they have been called "parrots" who habitually repeat what their KL leaders say irrespective whether their KL leaders are right or wrong. Sabah DAP should thank SAPP for the honest view and make Sabah DAP more self-reliant instead of being totally dependent on KL like a kite flying with the line held by KL.


In fact, SAPP President, Datuk Yong Teck Lee, at the Sandakan SAPP AGM, was more critical of other Malayan parties like UMNO and BN component parties with the "parrots" culture. Yong pointed out the automatic way that UMNO and BN leaders obediently follow "1Malaysia" and other KL slogans without thinking whether such slogans are relevant for Sabah or not.

On the cash distributions of 1990 by  the PBS government, why did DAP attack Datuk Yong Teck Lee and fellow opposition Datuk Dr. Jeffrey Kitingan? For the record, when the last amanah rakyat was distributed in 1990 before the State elections, Yong was only an assistant minister. Dr. Jeffrey was a director of Yayasan Sabah. Neither was in a cabinet position to make policy matters like distribution of amanah using State funds as happened in 1990. Indeed, why is the DAP so protective of BN leaders like PBS President Tan Sri Joseph Pairin Kitingan who was Chief Minister at the time? And Tan Sri Bernard Dompok (UPKO President) who was Finance Minister, Tan Joseph Kurup (PBRS President) who was Deputy Chief Minister of the PBS Cabinet at the time? Why did DAP not query current Chief Minister Datuk Musa Aman who has been director of Yayasan Sabah from 1994 and later Chairman of Yayasan Sabah and Finance Minister and Chief Minister for the last eight years? Why is DAP trying to protect these BN leaders? Is there a DAP hidden agenda?

Dullie Hj Marie

On the issue of reintroducing the Yayasan Sabah dividend RM 200 per person per year, the fact is nobody from DAP or Pakatan has ever said it until last month when Lim Guan Eng flew to Sandakan, made the flimsypromise and then flew back to Penang. That was BEFORE the launch of the Pakatan Buku Jingga. Lim Guan Eng did not say how the money, RM200 million per year, will be sourced and its implications on the State government. It reminds me of Lim Guan Eng's superficial knowledge of governance. Like the controversial sPICE project in Penang whereby it is the first time ever that a government has to pay RM50 million to a company to develop land provided by the government.

As a political party responsible for the well being of Sabah and people, we have a duty to safe guard the Sabah treasury. One worry foremost in our mind is how to repay the RM 564 million 5-year bond (with interests) that was borrowed by the State Government last year. The loan has to be repaid in one lump sum by 2014. So, the financial viability of paying RM200 million will be a factor in this financial burden.

Considering that the DAP has also promised to abolish the CPO sales tax in Sabah to benefit West Malaysian oil palm millers, this will cost the Sabah State Government RM 900 million based on the 2011 State budget. 80% of CPO mills are owned by West Malaysian companies, including FELDA. If the DAP goes through with this plan, it means that we will lose RM 700 million to West Malaysian companies and FELDA. In no time, the DAP will bankrupt Sabah and make Sabah more dependent on Federal government for hand outs like beggars. Is this what Sabah DAP want?

Since the CPO sales tax is imposed on the oil palm millers, the government should not allow the palm oil millers to pass on the sales tax to the planters. According to the budget, the CPO sales tax is imposed on CPO producers and not planters.

Past Yayasan Sabah payments of dividends were also not exempted from paying federal income taxes. If DAP is not careful, a single payment is enough to kill Yayasan Sabah and all its conservation, educational and social work, just because DAP want to win some votes. Please learn a lesson from Penang DAP's promise of RM 6000 per household in the 2008 general elections: Do not make you promise you cannot fulfil. Just stick to your RM 100 per senior citizen per year for Penangites. Based on the 2010 census, people above 65 years old is only 5% of the population. Whereas, people about 21 years old constitute more than 50%. The colossal difference in financial implications is obvious.

Buku Jingga never mentioned any cash payments. Even if DAP, with hindsight, try to stretch the promise of "returning Yayasan Sabah to its original purpose" to mean cash payments, does DAP not know that the original purpose of Yayasan Sabah was for education, flying doctors services, charity also to assist poor Malaysian in Sabah using the endowment of one million hectares of forests reserves? That is why in the 1970s many students were sent to Peninsula Malaysia. The Foundation became the top source of scholarships, funded by its forest concession.

Jimmy Wong should not think that a he can lay his hand on the one million hectares of YS forest reserves. Much of the reserves have already been put under conservation like Maliau Basin, Danum Valley,Imback Canyon, Lausong Reserch Centre and other wild life corridors. Whatever is left, there is little timber to sustain the DAP proposal to pay RM 200million cash. Although there is a lot of room for improvements in the way that Yayasan Sabah and subsidiaries are run, even a best managed Yayasan Sabah cannot afford to pay RM200 million cash. I know because I speak as a former senior manager of Yayasan Sabah. Jimmy Wong and his green horns should not talk about something they know little about because it is very irresponsible to put Yayasan Sabah in jeopardy just to get some votes.

As an indication of depleting forest revenues, the estimated state revenues from timber royalties in the 2011budget isless than RM 80 million.DAP talks about the 32,000 acres of plantation lands as a source of the RM 200 million. I think DAP does not realise that by the time you have to rely on the plantations for dividends, it means the core business (timber) is not doing well, thereby making it risky to fork out RM 200 million plus taxes. As for falling back on shipping and tourism investments, it is sheer desperation on the part of DAP to imagine that you can add up profits from these two minor sectors of Yayasan Sabah to make up the RM 200 million.

DAP must realized the gestation period for plantation of softwoods, at least it needs eight years to be harvested. DAP promised is unrealistic and is a pure lie to hoodwink Sabahan. Sabahans no longer can be fooled by rhetorical promises from leaders from Semenanjung.

In fact, the SAPP Supreme Council has been formulating a policy to pay cash dividends like in Australia, Singapore and Hong Kong to boost consumer spending to revitalise the economy. If at all that a SAPP State Government will pay "dividends", then the most viable source of funds is the Sabah Heritage Fund that was set up in 1997 pursuant to the Heritage Fund Enactment 1996. As practised in some other countries like Norway, Ghana, Canadian Alberta, we propose to channel part of the petroleum royalties to this fund as a saving for future generations when the oil runs out.

If there is sufficient oil royalties for a particular year, then this fund or State funds (tax free) can be used to pay RM200 per Sabahan adult based on possession of the Sabah IC. The need for a Sabah IC will eliminate fake and dubious IC holders from benefitting. As DAP does not agree on the Sabah IC proposal, their payments risk falling into the wrong hands. In the past, oil royalties amount to only RM 80million per year. But recent years, due to higher oil prices and increased production, Sabah's 5% oil royalty amount to RM 800million. It can reach RM1 billion in the next few years. If the royalties can be increased from 5% to 20%, then the bonus is obvious.

Dullie Haji Marie, Treasurer General, SAPP
Issued by SAPP HQ, Monday 17 October 2011