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Govt forms special secretariat to tackle Sulu Sultanate claims

KUALA LUMPUR: The government has formed a special secretariat to tackle the Sulu Sultanate's claims against the Malaysian government.

Minister in the Prime Minister's Department Datuk Seri Azalina Othman Said said the secretariat would act as a focal point to ensure a more organised and systematic discussion and task coordination among all stakeholders involved.

The secretariat, chaired by Azalina herself, would also involve the Solicitor General II of Malaysia or a replacement as the deputy chair.

"Other members of the secretariat include individuals from the Foreign Ministry, the Communications and Digital Ministry, the National Security Council, the research department of the Prime Minister's Department, Sabah state attorney-general and local legal experts.

"Apart from that, a war room has been established to ensure that all actions taken are always monitored and receive full support.

"The war room is to provide support services to the special secretariat to monitor legal cases, international media statements, and global strategies to tackle the claims of the Sulu heirs," she said in Dewan Rakyat today.

Azalina reiterated that any claims by the Sulu Sultanate to enforce any award, including the preliminary and final awards, did not have solid legal merit.

She said the government also stressed that the decision by the Spanish court in 2021 had annulled the appointment of the arbitrator and all procedural actions made by the arbitrator.

"Therefore, the preliminary award given by Dr Gonzalo Stampa is not recognised.

"This is an usual case involving the issue of sovereignty and is non-arbitrable.

"The award given had gone against international public policy, especially involving Malaysia's diplomatic immunity and jurisdictional immunity, as well as sovereignty."

The government, she added, would not compromise on the aspect of sovereignty and safety, including focusing on protecting national assets from any external threats.

"The Malaysian government will not stop its efforts to protect and preserve the interest, sovereignty and sovereign immunity at all times and will continue taking all actions to stop the Sultan Sulu claims using all powers, rights and resources," she said.

At present, the Malaysian government had appointed international lawyers from Uria Menendez in Spain, Bredin Prat in France, Arendt & Medernach SA in Luxembourg, and Dutch law firm De Brauw Blackstone Westbroek to represent Malaysia in proceedings in the said countries.

Azalina said international law firms Slaughter & May in the United Kingdom, Chaffetz Lindsey LLP in the United States and Allen & Gledhill in Singapore would advise and handle any cases to challenge the recognition and enforcement of the final award by the claimant.

The Sulu group was previously reported to have brought legal action to the Spanish Constitutional Court to receive compensation over land in Sabah which their ancestor had allegedly leased to a British trading company in 1878.

They then took the matter to the Spanish arbitrator in 2019 and the purported arbitrator, Stampa, who was appointed by the group of individuals, decided against their (the claimants') favour.

A French court last year ordered Malaysia to pay US$14.92 billion to the Sulu sultanate heirs to honour a colonial-era land deal.

Malaysia, which did not participate in the arbitration proceedings, maintained that the process was illegal.

It obtained a stay against the award's enforcement in France, but the ruling remains enforceable outside France under a United Nations treaty on international arbitration.

Last July, two Luxembourg-based subsidiaries of Petronas were seized by court bailiffs as part of the heirs' efforts to enforce the award.

Following this, Petronas said it would contest any claim on its assets by the heirs of a former Southeast Asian sultan, who are seeking US$14.92 billion in compensation.

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