JCorp rejects links to Indonesian plantation fires, cites divestments
Johor Corporation says it no longer owns or operates plantations outside Malaysia, following allegations linking it to Indonesian plantation companies associated with forest and land fires.
JCorp said a recent report by Indonesian environmental organisation Wahana Lingkungan Hidup Indonesia (WALHI) had associated the corporation with plantation companies in Indonesia. It clarified that it does not own or operate any plantations outside Malaysia.
According to JCorp, its wholly owned subsidiary, Kulim (Malaysia) Berhad, divested its interests in four Indonesian companies on 8 August 2007: PT Graha Cakra Mulia, PT Sumber Mahardhika Graha, PT Salonok Ladang Mas and PT Harapan Hibrida Kalbar. A further divestment, involving PT Trimurti Sumbertama, took place on 26 September 2007.
JCorp said these transactions were recorded in its 2008 annual report, under Note 11 on discontinued operations.
More recently, on 6 July 2023, Kulim disposed of its entire equity interests in PT Tempirai Palm Resources and PT Rambang Agro Jaya to PT Bakung Starch Lestari.
JCorp stated that it has no ownership interest or operational involvement in any of these companies.
The corporation warned that the continued publication and circulation of claims suggesting it owns, controls or operates the companies could create a misleading impression of its involvement in the alleged incidents. “As a state-owned institution, these unwarranted insinuations cause serious reputational harm to JCorp and the Johor State Government,” it said.
The statement comes amid continued scrutiny of forest and land fires in Indonesia and the environmental responsibilities of plantation businesses. Establishing the ownership and operational status of companies is important when assessing responsibility for alleged environmental incidents, particularly where corporate interests have changed over time.
JCorp said its position was supported by its 2008 annual report and announcements relating to the disposal of its Indonesian plantation investments, including divestments involving subsidiaries in Kalimantan and its BarUt plantation investment in Central Kalimantan.
JCorp reported total assets exceeding RM26 billion at the end of financial year 2025. Its principal businesses span healthcare, real estate and infrastructure, agribusiness, food and restaurants, and patient capital.
Its agribusiness interests include Johor Plantations Group Berhad, while Kulim has historically been a significant part of the group's plantation operations. The corporation said its broader mission, expressed through the principle of Membina & Membela, centres on value creation and enabling sustainable communities across Johor and Malaysia.
