KUALA LUMPUR: Separating the components of the Advertising Permit and Developer’s Licence (APDL) is among the measures taken to prevent housing projects from running into problems, the Dewan Rakyat heard.
Deputy Local Government Development Minister Akmal Nasrullah Mohd Nasir said the ministry had made it compulsory for developers to obtain a developer’s licence first before being allowed to advertise a project's sale.
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The APDL, a sales permit and a housing development licence is a must for residential projects to be built and sold.
Additionally, developers must display their licence number on all advertisements as well as the project board.
The APDL was issued jointly in the past, Akmal Nasrullah said.
“When a developer wants to build a residential property, it will get approval for planning from local authorities. Only before selling the project will it come to the ministry for the APDL,” he said during Question Time on Wednesday (Nov 8).
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"There is a loophole (here),” he added, which was why the ministry decided to separate issuance of the two approvals.
He said the DL now had to be obtained before the project planning process could begin.
“This enforcement may seem (minor) but it has significant implications,” he added.
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He said the ministry was also looking into a blacklist mechanism for developers of problematic projects.
Dr Mohammed Taufiq Johari (PH-Sungai Petani) had asked if the government planned to increase the paid-up capital requirement for developers.
He also wanted to know the procedure for penalising blacklisted developers.