Sanusi claimed companies that have committed to investing in Kedah would face pressures and restrictions that would eventually force them to pull out from projects, Harian Metro reported.

He did not elaborate on what kind of pressures or restrictions these companies would face.

He cited Dubai-based conglomerate BZI Group’s withdrawal from the RM40 billion Langkasuka land reclamation project in Langkawi as an example, but refused to elaborate on it.

“I know what (pressure and restrictions) they faced but I don’t want to repeat it. It may not be appropriate for me to mention it here,” he was quoted as saying in the Kedah state assembly today.

“But there is a grand design to thwart many projects undertaken by the private sector,” he added.

Sanusi was responding to Teh Swee Leong (PH-Kota Darul Aman), who asked for an explanation on the withdrawal of investors from several state projects, including Langkasuka.

BZI is a subsidiary of a group founded by Sheikh Khaled bin Zayed Al Nahyan. In March 2021, it entered into an agreement with Widad Business Group Sdn Bhd to form a special purpose vehicle called Widad BZI Sdn Bhd for the Langkasuka project.

In September 2021, Sanusi said Widad BZI had paid RM4.5 million to the state as a “commitment fee” for the project.

Expected to be completed within the next 15 to 20 years, the project was to span 800ha, with nearly 90% of the area located in the sea near Padang Matsirat.

Last Friday, BZI managing director Sheikh Midhat Kidwai said the company was withdrawing from the project as it no longer saw any value in it.

However, Sanusi said Kedah would not incur any losses from the decision since it was a private sector initiative between BZI and Widad Business Group.

He said Widad BZI had already paid the land premium and that the first phase of the project was under way, albeit slowly.