Finally, the Kelantan State government has filed a breach of contract and constitutional suit against Petronas over the oil giant’s failure to pay the state oil royalty. The state claims in the suit that Petronas has failed to make cash payments, which it claimed rightfully belonged to Kelantan for petroleum won and obtained offshore since 1998. Kelantan Mentri Besar Nik Abdul Aziz Nik Mat and lawyer Tommy Thomas filed the civil suit at the High Court commercial registry yesterday morning (Star, August 31, 2010, p N6).
The plaintiff claimed that despite failing to make the said cash payments, Petronas wrongfully continued to win and obtain petroleum off-shore. Such conduct on the part of Petronas, it claimed, constituted unfair discrimination which resulted in severe financial loss to the state government and would continue to do so. It claimed that Kelantan had not been treated equally with Sabah, Sarawak and Terengganu.
It’s about time Kelantan gets its due, and Petronas should desist from blatantly exploiting Kelantan.