Six Malaysian firms behind open burning, says Indonesia

KUALA LUMPUR (Oct 2): Indonesia has identified six Malaysian-linked companies operating estates in Indonesia out of 56 companies that are responsible for the open burning which is causing the region-wide haze.

According to a statement issued by the Indonesian government on Sept 25, the companies included PT Ichtiar Gusti Pudi, which is linked to Ahmad Zaki Resources Bhd, and PT Menteng Jaya Sawit Perdana and PT Adei Plantation and Industries, which are linked to Kuala Lumpur Kepong Bhd.

The others are PT Sime Indo Agro, a company linked to Sime Darby Plantation Bhd, PT Rafi Kamajaya Abadi, which is linked to TDM Bhd, and PT Kebun Ganda Prima, which is linked to Silver Investments Ltd of Malaysia.

Among the six companies, the TDM-linked company Rafi Kamajaya Abadi allegedly conducted the largest opening burning of 600ha in West Kalimantan.

The Indonesian government said it is in the process of imposing criminal charges on 55 concessionaires and one individual involved in open burning in their concession area, totalling 10,076ha.

Apart from the Malaysian-linked companies, a Hong Kong plantation firm and seven Singapore companies have been identified to be involved in open burning in Indonesia.

Last month, Indonesia's Environment and Forestry Ministry's director-general for law enforcement Rasio Ridho Sani was quoted as saying that under Indonesian criminal law, the courts can impose punishments including jail terms for company executives, fines and seizure of corporate profits.

Click here for more property stories.