Court of Appeal clears Felda Palm Industries of effluent discharge offence, orders RM18,000 refund

The Court of Appeal overturned Felda Palm Industries Sdn Bhd’s conviction and RM18,000 fine after finding doubts over the handling and preservation of effluent samples. — Pexels pic

First Published: Thursday, 12 Nov 2026 10:01 AM MYT

PUTRAJAYA, Nov 12 — The Court of Appeal yesterday set aside Felda Palm Industries Sdn Bhd's conviction and RM18,000 fine for discharging effluent with content exceeding the prescribed limits.

A three-member panel comprising Justices Datuk Azman Abdullah, Datuk Noorin Badaruddin and Datuk Meor Hashimi Abdul Hamid allowed the company’s appeal to set aside the Sessions Court decision that convicted it of the offence and imposed the fine.

Delivering a unanimous decision, Justice Azman said doubts over the handling and preservation of the effluent samples by the Department of Environment undermined the accuracy of the Chemistry Department of Malaysia's analysis.

He added that the company had submitted analysis results showing a lower three-day Biochemical Oxygen Demand (BOD) reading, and that the prosecution had not adduced any rebuttal evidence.

Justice Azman ordered that the RM18,000 fine paid by the company be refunded.

On September 17, 2021, the Kuantan Sessions Court acquitted and discharged Felda Palm Industries without calling for its defence at the close of the prosecution's case on the charge.

However, on January 14, 2022, the High Court allowed the prosecutor's appeal and ordered the case to be remitted to the Sessions Court to hear the company's defence.

On August 8, 2023, the Sessions Court convicted Felda Palm Industries and imposed an RM18,000 fine, with 30 days' imprisonment in default of payment, while the High Court dismissed the company's appeal and upheld the Sessions Court's decision on January 16 this year.

According to the charge, Felda Palm Industries was accused of discharging effluent with a three-day BOD content of 130 mg/l at 30 degrees Celsius.

The reading exceeded the prescribed limit of 100 mg/l set under Condition No. 5 of the Second Schedule, Regulation 12(3) of the Environmental Quality (Prescribed Premises) (Crude Palm Oil) Regulations 1977, and Licence Compliance Schedule No. 003243 issued under Section 18(1) of the Environmental Quality Act 1974.

The company was accused of committing the offence at its premises at Kilang Sawit Selancar 2A, Rancangan Felda Selancar 2, Rompin District, Pahang, at 10.45am on July 24, 2018.

Felda Palm Industries was charged with the offence under Section 16(1) of the Environmental Quality Act 1974.

Selancar 2A palm oil mill manager Muhammad Azam Raja Ibrahim attended the proceedings yesterday on behalf of the company.

Deputy public prosecutor Mohamed Aznin Mohamed Ariff appeared for the prosecution, while lawyers Datuk Habizan Rahman Habeeb Rahman, Sarina Alwi and Hanif Asyraf Mohd Salleh represented Felda Palm Industries. — Bernama