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No extra Duta Enclave compensation if his valuation accepted, govt valuer tells court

A government valuer told the High Court that no additional compensation would be payable to Semantan Estate for the Duta Enclave land if his valuation, which excluded interest, was accepted. His assessments fell below the RM1.39 million already paid by the government.

No extra Duta Enclave compensation if his valuation accepted, govt valuer tells court
Image: Kuala Lumpur skyline. File photo: ELIZABETH XIONG / CC BY 4.0 · Wikimedia Commons

KUALA LUMPUR (Oct 16): A government valuer told the High Court that no additional compensation would be payable to Semantan Estate (1952) Sdn Bhd for the Duta Enclave land if the court accepted his valuation, which excluded interest, Bernama reported.

Valuation and Property Services Department assistant director Tan Tat Khuan said his assessments fell below the RM1.39 million already paid by the government. He was testifying before Judge Roslan Mat Nor in proceedings to determine compensation based on the land’s value in 1956. Tan’s RM875,000 assessment covered 200.75 acres, while a second assessment of RM985,000 covered 263.272 acres, the full area of the disputed Jalan Duta site, according to Sinar Harian.

The land now accommodates public buildings and institutions, including the Inland Revenue Board complex, National Archives, Kuala Lumpur Syariah Court and Federal Territory Mosque. Under cross-examination by Semantan Estate’s lawyer Ira Biswas, Tan defended his reliance on colonial-era valuation reports by AA Wragg and AIG Harding.

Ira questioned how reports published in 1958 could support an assessment of the land’s value on Dec 3, 1956, the acquisition date. Tan said Wragg had valued the land in 1956, although the report was published two years later. He added that he had consulted other sources, including maps showing access roads, and rejected the suggestion that his reliance on the reports amounted to hearsay.

However, Tan acknowledged he could not independently verify the development restrictions applicable to the land in 1956 because the original planning records could not be found. Checks with PLANMalaysia had also failed to locate planning records for that year. Tan maintained that the earlier reports remained usable references because the valuers’ findings were consistent. Asked by Roslan whether the reports could contain errors, he said he was not claiming they were completely accurate.

Semantan Estate also challenged whether the assessment sufficiently reflected Kuala Lumpur’s prospects ahead of independence. The company argued that land values would have risen after Tunku Abdul Rahman’s February 1956 announcement that Malaya would become independent the following year, with Kuala Lumpur as its capital. Tan acknowledged that Kuala Lumpur land values had increased after the announcement, but said this reflected a general trend that could not be attributed solely to the city becoming the national capital. He also maintained that the Duta Enclave land was not a town area, despite being within the then municipal boundary.

The compensation proceedings follow the Court of Appeal’s June 24, 2025 decision overturning an order for the land title to be transferred to Semantan Estate. The appellate court ruled that the company was entitled to appropriate compensation based on the land’s value in 1956. The Federal Court refused Semantan Estate leave to appeal on Nov 13, 2025, leaving the appellate decision in force.

Separately, Semantan Estate and its liquidator filed a fresh suit on Oct 8 seeking an order compelling the government to sell the land and account for the proceeds after permitted deductions. Alternatively, they are seeking equitable compensation. In its statement of claim, the company estimated the land’s current market value at RM12 billion to RM13 billion. The separate action is fixed for case management before Datuk Anand Ponnudurai on Nov 3. The compensation assessment hearing resumes on Nov 23.

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