SMM does not issue prospecting licences, to sue MalaysiaNow for defamation

SMM does not issue prospecting licences, to sue MalaysiaNow for defamation

Sabah Mineral Management Sdn Bhd says it issued Bumi Suria Sdn Bhd conditional permission to apply for a licence, which was subsequently revoked.

smm
Sabah Mineral Management Sdn Bhd says the legal authority to issue prospecting licences falls under the jurisdiction of the state’s lands and surveys department.
KOTA KINABALU:
Sabah Mineral Management Sdn Bhd (SMM) has denied issuing any prospecting licence to Bumi Suria Sdn Bhd, accusing MalaysiaNow of publishing “false, misleading and defamatory” content.

In a statement today, the state government agency said it would be taking legal action against the portal.

“At no point in time did MalaysiaNow seek SMM’s clarification prior to its publications. The publications were biased, one-sided, and calculated to defame SMM, its directors and officers,” the statement said.

SMM added that it does not possess the legal authority to issue prospecting licences, which fall under the jurisdiction of Sabah’s lands and surveys department (JTU).

The company also cited a press statement issued by a JTU director yesterday, confirming that no mineral-related licence had ever been issued to Bumi Suria.

“SMM’s role is strictly limited to issuing conditional letters of permission to apply for a licence,” it said, adding that such a letter would only be issued after the agency’s board of directors had convened to review the application.

“This letter does not confer or award any licence. Interested applicants must submit complete documentation and undergo due diligence by SMM before other related government agencies conduct further checks,” it said.

The agency said it had, in the exercise of its functions, considered Bumi Suria’s application and issued conditional approval for its application.

“Bumi Suria did not proceed to formally submit any of the required documents for an application,” it added.

Consequently, on March 24, 2025, SMM issued an official letter revoking the permission to apply.

“These facts were maliciously omitted by MalaysiaNow,” the agency said.

“MalaysiaNow has also wrongfully used the image of SMM’s CEO, Natasha Sim, by placing a photo and her name on an audio recording that is not her voice or associated with her.

“This was a deliberate act of misrepresentation. MalaysiaNow failed, refused and neglected to verify the recording with SMM or Sim.”

SMM also warned other media outlets against repeating the claims, saying it will not hesitate to take legal action if the statements it considers defamatory are republished.

MalaysiaNow reported that SMM had awarded an exploration licence for coal mining to Bumi Suria, a company it alleged is linked to businessman Farhash Wafa Salvador Rizal Mubarak.

The portal claimed the company had been granted exclusive rights to explore and search for minerals on 70,000ha of forest reserve in Kalabakan and Gunung Rara near the Kalimantan border.

On Monday, Farhash said his lawyers had served MalaysiaNow with a cease and desist letter, saying allegations that he owned Bumi Suria and that the company had been awarded a mineral prospecting or exploration licence in Sabah were false and defamatory.

The lawyers said Farhash was merely a director and shareholder of Bumi Suria, and demanded that the article be removed from the website and all social media channels.

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