[UPDATED] Sulu heirs: lawyer’s non-compliance claim on final award untrue, says Putrajaya

PETALING JAYA – Lawyers representing individuals claiming to be heirs to the Sulu sultanate alleged that Putrajaya failed to comply with the final award issued by Spanish arbitrator Gonzalo Stampa in a letter to Attorney-General’s Chambers.

Putrajaya, in a statement today, denied all allegations by the lawyer Paul Cohen, who made claims on behalf of the heirs against the Malaysian government for RM23.94 billion. 

“In addition to the demand, the letter alleges that the Malaysian government had failed to comply with the purported final award on purpose, and that Malaysia’s assertions concerning the arbitrator of the case in Spain, Stampa, was supposedly outrageous.

“The Malaysian government denies all allegations and insinuations made in the letter, as it mischaracterises Malaysia’s legal position and inaccurately defames the Malaysian government’s conduct,” the statement by the special secretariat reads.

The AGC responded to Cohen’s letter on May 31, listing all indisputable facts to the claim and made a police report a day after against the lawyer for defaming the Malaysian government.

In a letter dated May 28 this year, Cohen alleged, among others, that the Malaysian government purposely failed to comply with the purported final award and made outrageous assertions concerning the purported arbitrator, Stampa and his actions.

According to AGC, the letter demanded the government to make immediate payment, before June 2 of the purported final award which amounts to US$16.412 billion (RM75.1 billion) including 10% interest, together with US$3,502,394.24 in counsel and expert fees and US$4,026,592.64 in arbitration costs.

The so-called heirs have attempted to arbitrate their dispute in a few European nations including France, Spain, Luxembourg and the Netherlands. 

“France’s position was made clear during Foreign Affairs Minister Datuk Seri Zambry Abdul Kadir’s visit with his French counterpart Catherine Colonna on June 3, whereby she affirmed France’s recognition of Malaysia’s full sovereignty.

“This refutes any attempts to challenge the validity of Sabah being part of Malaysia as determined in the Cobbold Commission Report in 1962 as reflected in the Malaysia Agreement 1963,” the special secretariat’s statement added. 

Tomorrow, a French court will determine whether the purported partial award for the claimants could be enforced. 

The group claiming to be heirs of the Sulu sultanate was reported to have taken legal action in the Spanish court to seek compensation for land in Sabah, which was allegedly leased by their ancestors 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 in their (the claimants) favour.

Stampa has issued a final award of US$14.9 billion against Malaysia and Malaysia has used all legal remedies to annul the award given by Stampa to claimants in courts in Spain, France, Luxembourg and the Netherlands.

On March 14 this year, the Paris Court of Appeal upheld the stay order obtained by the Malaysian government in France on July 12, 2022, against the enforcement of the award.

Therefore, the suspension order obtained by Malaysia regarding the enforcement of the award is maintained. – The Vibes, June 5, 2023