Association chairman Prakash P Kalivanan said local employers had failed to provide dormitories or accommodation for their workers and were willing to pay high rent for PPR units.
“Recently, we had discussions with several PPR residents and found that at Pangsapuri Teratak Muhibbah, Taman Desa in Kuala Lumpur, 60% of those residing there were foreigners.
“They pay RM600 a month, with five to eight people living in one unit,” he told Bernama.
“PPR homes are meant for local residents who are in need.
“However, because employers do not provide dormitories or housing for foreign workers, they are forced to rent PPR homes, paying high rental rates.”
He said one of the conditions for obtaining the foreign worker quota is that employers must provide dormitories and get approval from the Peninsular Malaysia labour department and human resources ministry.
“If employers are providing dormitories, how can foreigners be living at PPR homes?”
Prakash said the association had previously suggested that a Residential Tenancy Act be drafted to regulate residential rental activities, but there had been no progress to date.
He suggested that the housing and local government ministry and state local authorities create special laws to address issues related to the rental of PPR homes.
He said stern action was necessary but noted that so far, no owners or tenants have been prosecuted in court for offences related to the rental of PPR homes.
“We often hear that the authorities want to cancel the agreements made between the original tenants and the government. But we do not know how many of these agreements have been cancelled to date.”
Prakash welcomed the announcement by housing and local government minister Nga Kor Ming that it would take strict action against PPR homeowners who rent out their units, especially to foreigners, saying that any such legal action would serve as a lesson or warning to others.
Nga had said the construction cost per unit for PPR projects reaches RM300,000, but buyers only pay RM45,000.
He said applicants were offered these units after they claimed they did not have a home but some quickly rented them out for profit.