IOI Group, Aidenvironment agree to close Ketapang case

KUALA LUMPUR: IOI Group and sustainable production and trade consultant, Aidenvironment, have mutually agreed to close the case regarding the complaint over the former’s plantation development in Ketapang, West Kalimantan, Indonesia.

“Aidenvironment has raised all other matters with IOI for perusal and declares that it has no further outstanding issues related to the Ketapang case,” the Group said in a filing to Bursa Malaysia yesterday.

Aidenvironmentisavaluedriven consultancy providing services and research on sustainable production and trade.

IOI said it would continue to disclose progress after this declaration, along with other developments of interest to stakeholders.

The Group said a verification visit to its plantation in Ketapang was held on Sept 2-5, 2016 by Aidenvironment, which was represented by several related authorities.

Following the visit, several measures would be taken to address three last issues raised in Aidenvironment’s complaint.

For the overplanting activity by IOI’s subsidiary PT Berkat Nabati Sawit (PT BNS) complaint, IOI Group said it would immediately abandon the 434 hectares of land involved, until such time as there were new Ministerial instructions regarding the said land.

OntheRoundtableonSustainable Palm Oil (RSPO) New Planting Procedure (NPP) complaint, IOI Group was required by RSPO to only comply with the “on-going planting”.

“IOI agrees with Aidenvironment that had we been required to follow the full NPP requirements, it would likely have revealed at a much earlier stage the non-compliances occurring at that time,” it said.

Lastly, in settling past noncompliance, IOI agrees to settle the outstanding issues with Aidenvironment. — Bernama