Appendix 1. Sarawak: Forest Policy and Legislation

Appendix 1 Sarawak: Forest Policy and Legislation Forest Policy The Forest Policy of Sarawak, which was approved by the Governor-in- Council on 23rd December 1954, continued to be the basic Supreme Council directives on the practice of Forestry in the State. The details of the policy are reproduced below. The following statement is to be read as the official policy of the Government of Sarawak in matters pertaining to forestry, and is issued for the information and guidance of all officers of the Government service. General Statement of the Policy It is the policy of the Government of Sarawak: (1) To reserve permanently for the benefit of the present and future inhabitants of the country forest land sufficient (a) for the assurance of the sound climatic and physical condition of the country; the safeguarding of soil fertility, and of supplies of water for domestic and industrial use, irrigation and general agricultural purposes; and the prevention of damage by flooding and erosion to rivers and to agricultural land; (b) for the supply in perpetuity and at moderate prices of all forms of forest produce that can be economically produced within the country and that are required by the people for agricultural, domestic and industrial purposes under a fully developed national economy. (2) To manage the productive forests of the Permanent Forest Estate with the object of obtaining the highest possible revenue compatible with the principle of sustained yield and with the primary objects set out above. (3) To promote, as far as may be practicable, the thorough and economical utilisation of forest products on land not included in the Permanent Forest Estate, prior to the alienation of such land. (4) To foster, as far as may be compatible with the prior claims of local demands, a profitable export trade in forest produce. 207

208 Appendix 1 Realisation of the Policy Classes of Permanent Forest The Forest Law of Sarawak (Forests Ordinance, 1953) provides for three types of permanent Forest. All types are classified as Reserved Land under the Land (Classification) Ordinance, 1948. (1) Forest Reserves: Permanent Forests are to be constituted as Forest Reserves wherever the strictest form of control is necessary for the realisation of sections (1) and (2) of the general statement of policy. They will normally be productive forests, destined to be the principal permanent sources of the country's supplies of timber and other forest produce; and forests that are rich in trees of particular value, such as belian, should, except in very exceptional circumstances, be constituted as Forest Reserves. Forest Reserves should also be constituted where the protection of water catchment areas is required; where the surrounding population is so dense that the admission of the general rights and privileges recognised in Protected Forests would prohibit the successful management of the forest; and, in some circumstances (see Communal Forests), where the forest is required as a source of domestic supplies for a specified community. (2) Protected Forests: In Protected Forests the Forest Law admits wide rights to the people of Sarawak to take forest produce for their own domestic use, to hunt and to fish, and to pasture cattle. A Permanent Forest may be constituted as a Protected Forest if the primary purpose of constitution is the general protection of soils and waters, and the terrain or vegetation is of such a nature that intensive management as an important productive forest is unlikely to be practicable; or if an extensive Permanent Forest is constituted in little-known territory, where the correct use of all the land cannot yet be determined. (3) Communal Forests: A Communal Forest will be constituted only where it is clearly the desire of a settled community to set aside a convenient area of woodland to provide its domestic needs of forest produce. Such forests shall be under the control of the Administration, who shall however, consult the Forest Department on all important technical matters. Communal Forests will normally be large enough only to supply permanently the domestic needs of the community specified, allowing for a reasonable increase in population; but exceptions may be made when the necessity of preserving forests for protective reasons is combined with the need for domestic supplies of forest produce. It may frequently be found that the constitution of a permanent forest as a source of domestic supplies is desirable, even where the wish is not expressed by the

Appendix 1 209 community concerned. The forest may then be constituted as a Forest Reserve, in which all necessary privileges will be granted to the specified community. In no case should such a forest be constituted as a Protected Forest, which permits general rights exceeding the limits of the specified community. Constitution of Permanent Forests (1) Permanent Forests are constituted by the Permanent Secretary of the Ministry responsible for Forestry on the advice of the Director of Forests, and after an inquiry in which the local people are consulted and the existence of rights investigated. Similarly the Permanent Secretary has powers to revoke Permanent Forests, and to change the status of a Protected Forest to that of Forest Reserve. (2) As timber is a slow-growing crop, it must be recognised that security of tenure is an essential requirement of successful forest management. It follows that Permanent Forest must be constituted only after the most careful inquiry, for which local administrative officers and other land use departments are responsible. Revocation, particularly of forests under systematic plans of management, requires equally careful consideration. Administrative expediency is rarely an adequate reason for revocation. (3) The most desirable of Permanent Forests is one that assures that realisation of both the objects of protection and production laid down in section (1) of the General Statement of Policy. In selecting areas for constitution as Permanent Forests, however, the following considerations are to be given due weight: (a) The nature of the terrain may limit the potential productivity of a forest. It is therefore not always possible to combine the objects of protection and production. (b) In order to provide conveniently for local demands for forest produce, productive Permanent Forests should be distributed as evenly as possible throughout the country. (c) The establishment of a balanced economy in all districts is desirable, and the tendency in newly developed countries to rely upon a very few industries is to be deprecated. It has also been repeatedly shown that forests may provide a livelihood for the native peoples when food crops fail or other industries are depressed. (d) Timber is a heavy and bulky commodity, difficult to transport. Potentially productive forests should therefore be so situated that they are provided with reasonable access to the principal lines of communications. (4) The cultivation of essential foodstuffs by systems of settled

210 Appendix 1 agriculture, including properly managed bushfallow, on suitable soils will normally take precedence over forestry, provided that due consideration is given to section (3) above. (5) Sarawak is deficient in mineral wealth. Mining will, therefore, normally take precedence over forestry, provided that due consideration is given to section (3) above, and provided also that the nature of the mining operations shall not be deleterious to the soils and waters of the country. (6) In addition to the general rights granted in Protected Forests, rights may be admitted or privileges conceded in Forest Reserves and Protected Forests; but claims to rights must be clearly substantiated by Native Customary Law or by evidence of their exercise over long and continuous periods, and a clear distinction is to be made between an established right and a conceded privilege. (7) The exercise of any right or privilege that would prohibit the successful management of a Permanent Forest is not to be permitted, and the commutation of such rights is provided for in sections 15 (a) and 35 of the Forests Ordinance, 1953. No right or privilege that would permit the extension of shifting cultivation in a Permanent Forest may be admitted or conceded; Native Customary Law recognises such rights only over young secondary forest (temuda), and this limitation is to be strictly enforced. The admission of rights and the concession of privileges are to be so worded that they may be subject to reasonable control in accordance with sections 9 and 34 of the Forests Ordinance, 1953. Management of Permanent Forests (1) The Director of Forests is responsible to the Government for the management of Forest Reserves and Protected Forests. He is to ensure that productive forests are so managed that they will provide the highest possible sustained yield of timber and other forest produce. The principle of sustained yield will apply, as far as may be possible, to each district and not only to the country as a whole. (2) Where protection of soils and waters is the primary object of a Permanent Forest, the Director is to ensure the control of exploitation of forest produce in such manner that the protective value of the forest is not impaired. (3) Officers in charge of Communal Forests will ensure that the felling of trees is within the limits of a possible sustained yield. Exploitation of Forests: General (1) The Forests Ordinance, 1953, provides that no sawmill shall be

Appendix 1 211 built or operated without the Director's permission. It is essential to ensure that the capacity of sawmills does not exceed the productivity of the forests that are available as sources of supply. Where the source of supply is forest land destined for eventual alienation, it is nevertheless desirable to ensure to each approved sawmill an economically long life. (2) It is probable that, for a long time to come, the potential production of most kinds of forest produce will exceed the demand within the country. While the condition endures, it will be the policy of the Government to foster a profitable export trade. Rules intended to promote the best interests of a timber export trade are included in the Forest Rules, 1953, and are to be kept under constant review. (3) Demands for forest produce within the country will nevertheless take priority over an export trade. The influence of exports on the availability of local supplies is therefore to be under constant review, and the export of any kind of forest produce may be restricted or forbidden as may from time to time be deemed necessary. (4) The Government views the exploitation of forest products as a sphere for private enterprise. Commercial exploitation of forest products by the Government will therefore be limited to experimental projects. Forest Revenue and Rights to Free Produce (1) Timber and other forest produce being natural resources of the country, or otherwise cultivated at the expense of the country, the country as a whole may expect an equitable share, in the form of direct forest revenue, of any profits made by means of their commercial exploitation. The royalty rates and other fees provided by the Forest Ordinance are to be under constant review and are to be determined at the highest possible levels compatible with economic exploitation and the maintenance of moderate local market prices. (2) The Forests Ordinance, 1953, provides that, subject to some controls, any inhabitant of Sarawak may without licence or permit cut and remove from Stateland which is not a Forest Reserve any timber or other forest produce required by him exclusively for his own domestic use and not for sale, barter or profit. The grant of this right is intended to benefit the poorer sections of the community, who are themselves willing to collect and fashion such produce as they may require for their own houses and other daily needs. Any tendency towards the commercialisation of this right is to be strictly discouraged. The use of forest produce, directly or indirectly, in profitable village industries is not to be considered a domestic use.

212 Appendix 1 Exploitation of Other Forests (1) The Forest Department is to ensure that, as far as may be possible, the utmost use is made of forest produce on all lands prior to their alienation. The Department of Lands is to co-operate with the Forest Department in realising the greatest possible use of the forests. (2) The Forest Department is to ensure that timber forests under licence are of size, form and nature suitable for the particular logging project in hand, and that logging methods are such that the whole area can be efficiently exploited. Forestry Research (1) Research required for the full realisation of the aims of this policy shall have as its primary objects: (a) the assessment of the country's forest resources; (b) improved silviculture and management of Permanent Forests, and in particular the utilisation for the cultivation of productive forests of soils unsuitable for agriculture; (c) the economical use of the timbers of the country, and in particular the investigation of suitable substitutes for rare timbers; (d) the improvement of the quality of timbers for local use and for export; (e) the placing of as many kinds of timber as possible on world markets; (f) the development on world markets of forest products hitherto unexploited. (2) Research within the country will normally be restricted to investigations that can only be, or that can best be, conducted locally. For the conduct of research of a more general nature, the Government supports the development of regional research organisations and recognises the principle that they should be financially supported by all territories that they directly benefit, in proportion to the benefits that may severally be expected. Close cooperation is to be maintained with the leading research organisations of the Commonwealth. Education in the Value of Forests It is evident that a large part of the population of the country still fails to appreciate the productive value, and even more the protective value of an adequate area of forest. Administrative officers on tour are therefore to take every opportunity of stressing these values to the rural population. Forest

Appendix 1 213 officers are to be encouraged to provide suitable lectures, broadcast talks, and articles in the press. In schools the encouragement of an interest in natural history and a sound education in physical geography may be regarded as the first important steps towards public understanding of the national importance of forests. Staff and Finance (1) The Government recognises its responsibility for the provision of adequate funds for the realisation of the policy, and recognises also that continuity of management, and therefore of financial provision, is essential for the successful cultivation of a slow-growing crop. (2) The Government recognises the necessity for an adequate, well trained and adequately remunerated Forest Department Staff, working under the supervision of fully qualified forest officers. Legislation Forest Ordinance, 1953 Fourteen items of the Forests Ordinance were amended in 1979. The amendments which were passed by the Dewan Undangan Negeri on 5th December 1979 were aimed at strengthening certain sections of the Forests Ordinance against shifting cultivation, illegal occupation and wanton destruction of our forests in Forest Reserves and Protected Forests. The amendments also give the staff of the Department more authority to contain the problems of unauthorised felling operations. Other facets of the amendments are concerned with the question of licensing and renewals and the revocation of the rights hitherto enjoyed by the Sarawak Shell Bhd. with respect to the felling of trees and removal of timbers and other operations in the forests. The following are the major changes. (1) Forest licensing and renewal; (2) Extinguishing of rights over forests in respect of Sarawak Shell Berhad; (3) Increased Penalties for encroachment and felling within Forest Reserves and Protected Forests; (4) Eviction Order; (5) Seizure of timber and property connected with the commission of a Forest Offence. Source: Forestry Department Sarawak, Annual Report, 1979.

Appendix 2 Sabah: Forest Policy and Legislation Following the enunciation of the Forest Ordinance and Forest Rules of 1954, the official forest policy which this new legislation was designed to effect was streamlined and rewritten and may be summed up as follows: (a) To reserve permanently for the benefit of the present and future inhabitants of the country land sufficient: (1) for the maintenance of the climate and physical condition of the country, the safe-guarding of water supplies and the prevention of damage to rivers and agricultural land by flooding and erosion; (2) for the supply in perpetuity at reasonable rates of all forms of forest produce required by the people for agricultural, domestic and industrial purposes. (b) To manage the Forest Estate with the object of obtaining the highest revenue compatible with sustained yield, in so far as this is consistent with the two primary objects set out above. (c) To provide the technically trained staff necessary for forest management and revenue collection, and for research into such problems as can be investigated locally. (d) To support and co-operate in all appropriate schemes of regional forest research. (e) To accept in principle that security of tenure and long-term planning are essential for the successful management of the Forest Estate. (f) To foster, by education and propaganda, a real understanding amongst the peoples of Sabah of the value of the forests to them and their descendants... In order to achieve the first two (a and b) stated objectives of this policy three major requirements are currently being fulfilled. They are as follows: (1) A meaningful definition and delineation of the overall forest estate and of the component parts which are to be devoted to the attainment of each of the stated objectives. (2) A comprehensive inventory of the existing wood resource with meaningful assessments of its quantity, distribution, species composition, size, utilisation, properties and quality. (3) A sound basis for the forecasting of future growth and yield of the forest. Source: Forestry Department, Sabah, reprinted in The Malaysian Forester, Vol. 42, No. 4 (1979) 288-9. 214

Appendix 3 Sabah and Sarawak: Special Guarantees Sabah: The Twenty Points The memorandum submitted by Sabah's five political parties to the Inter- Governmental Committee (IGC) was of crucial importance to the Malaysia accord. The various points (later known as the 20 points safeguards) represented the areas the political leaders considered most crucial to Sabah and its people. Many of these points were modified at subsequent meetings of the Inter-Govermental Committee (IGC), either at the constitutional sub-committee or at the plenary sessions. The Twenty Points were: 1 Religion While there was no objection to Islam being the national religion of Malaysia there should be no State religion in North Borneo (Sabah), and the provisions relating to Islam in the present Constitution of Malaya should not apply to North Borneo (Sabah). 2 Language a Malay should be the national language of the Federation b English should continue to be used for a period of 10 years after Malaysia Day. c English should be an official language of North Borneo (Sabah) for all purposes, State or Federal, without limitation of time. 3 Constitution Whilst accepting that the present Constitution of the Federation of Malaya should form the basis of the Constitution of Malaysia, the Constitution of Malaysia should be a completely new document drafted and agreed in the light of a free association of states and should not be a series of amendments to a Constitution drafted and agreed by different states in totally different circumstances. A new Constitution for North Borneo (Sabah) was of course essential. 4 Head of the Federation The Head of State in North Borneo (Sabah)should not be eligible for election as Head of the Federation. 5 Name of Federation 'Malaysia' but not 'Melayu Raya' 6 Immigration Control over immigration into any part of Malaysia from outside should rest with the Central Government but entry into North Borneo (Sabah) should also require the approval of the State 215

216 Appendix 3 Government. The Federal Government should not be able to veto the entry of persons into North Borneo (Sabah) for State Government purposes except on strictly security grounds. North Borneo (Sabah) should have unfettered control over the movements of persons other than those in Federal Government employ from other parts of Malaysia into North Borneo (Sabah). 7 Right of Succession There should be no right to secede from the Federation. 8 Borneanisation Borneanisation of the public service should proceed as quickly as possible. 9 British Officers Every effort should be made to encourage British officers to remain in the public service until their places can be taken by suitably qualified people from North Borneo (Sabah). 10 Citizenship The recommendations in paragraph 148(k) of the Report of the Cobbald Commission should govern the citizenship rights in the Federation of North Borneo (Sabah) subject to the following amendments: (a) subparagraph (i) should not contain the proviso as to five years residence; (b) in order to tie up with our law, sub-paragraph (ii) (a) should read '7 out of 10 years' instead of '8 out of 12 years'; (c) sub-paragraph (iii) should not contain any restriction tied to the citizenship of parents - a person born in North Borneo (Sabah) after Malaysia must be a federal citizen. 11 Tariffs and Finance North Borneo (Sabah) should retain control of its own finance, development and tariff, and should have the right to work up its own taxation and to raise loans on its own credit. 12 Special Position of Indigenous Races In principle, the indigenous races of North Borneo (Sabah) should enjoy special rights analogous to those enjoyed by Malays in Malaya, but the present Malays' formula in this regard is not necessarily applicable in North Borneo (Sabah). 13 State Government (a) The Prime Minister should be elected by unofficial members of Legislative Council. (b) There should be a proper Ministerial system in North Borneo (Sabah).

Appendix 3 217 14 Transitional Period This should be seven years and during such period legislative power must be left with the State of North Borneo (Sabah) by the Constitution and not be merely delegated to the State Government by the Federal Government. 15 Education The existing educational system of North Borneo (Sabah) should be maintained and for this reason it should be under state control. 16 Constitutional Safeguards No amendment modification or withdrawal of any special safeguard granted to North Borneo(Sabah) should be made by the Central Government without the positive concurrence of the Government of the State of North Borneo (Sabah). The power of amending the Constitution of the State of North Borneo (Sabah) should belong exclusively to the people in the State. (Note: The United Party, the Democratic Party and the Pasok Momogun Party considered that a three-fourth majority would be required in order to effect any amendment to the Federal and State Constitutions whereas the UNKO and the USNO considered a twothirds majority would be sufficient). 17 Representation in Federal Parliament This should take account not only of the population of North Borneo (Sabah) but also of its size and potentialities and in any case should not be less than that of Singapore. 18 Name of Head of State Yang di-pertuan Negara 19 Name of State Sabah 20 Land, Forests, Local Government, etc. The provisions in the Constitution of the Federation in respect of the powers of the National land Council should not apply in North Borneo (Sabah). Likewise, the National Council for Local Government should not apply in North Borneo (Sabah). Sarawak Sarawak too presented a paper to the Inter-Governmental Committee containing 18 points as the basis for discussion by the IGC. To a considerable extent, the Sarawak 18 points were similar to the Sabah 20 points. There were, however, a number of differences, and some of these differences were very important. The significant differences between the two papers were:

218 Appendix 3 1 Language The Sarawak paper contained no request corresponding to that of the USNO party's request that Malay should be an Official Language together with English. 2 Head of State Sarawak requested that the Head of State be chosen from any of the indigenous ethnic groups in Sarawak, but the method of choice would be discussed further. The Sabah paper did not mention this which now seems strange. The Sabah paper only stipulated that the name of Sabah's Head of State should be the Yang di Pertuan Negara. 3 Immigration The Sabah paper explicitly asked that Sabah should have unfettered control over the movement of persons, other than those in Federal Government employ, from other parts of Malaysia into Sabah. This requirement was not included in the Sarawak paper, which explicitly refers only to immigration control. 4 Borneanisation The Sarawak paper was explicit in its reservation that federal posts in Sarawak should be filled by Sarawak-born citizens. 5 Citizenship Both Sabah and Sarawak requested that the period of residence for registration as a citizen of Malaysia during the first eight years after Malaysia shall be reduced from eight years out of twelve to seven years out of ten. The Sabah paper added two further points, namely the deletion of the requirement of five years' residence immediately before Malaysia for a citizen of the United Kingdom and colonies, born or naturalised, to become a citizen of Malaysia, and deletion of the requirement that after the formation of Malaysia persons in both Sabah and Sarawak should only be citizens by operation of law if one of their parents was a citizen or a permanent resident. 6 Finance The Sabah paper asked for control of its own finances, development and tariff. The Sarawak paper only asked for three assurances: a development fund, a formula ensuring adequate revenue to the State, and gradual increase of taxation to Malayan levels. 7 Representation in the Federal Parliament The Sarawak paper accepted that the terms of the 13th schedule of the Constitution of Malaya should govern the assessment of representation in the Federal Parliament. The Sabah paper, however, avoided any reference to the provisions of the Malayan constitution and asked explictly that the size and potentiality of Sabah should be taken into account and that in any case Sabah's representation should not be less than Singapore's. The Sarawak paper added the

Appendix 3 219 requirement for adequate ministerial representation at both the higher and lower levels to provide for Sarawak's interests in the Federal Government. 8 State Government The Sarawak paper requested a Chief Minister and a membership system. The Sabah paper asked for a Prime Minister and a proper ministerial system. 9 Transitional Period The Sarawak paper asked that this should be from three to five years and during this period federal powers should be delegated to Sarawak as a State by agreement. The Sabah paper asked for a seven year transitional period, and that during such period legislative power should be left with the State by the constitution and not merely delegated by the Federal government. 10 Education The Sarawak paper asked that provision should be made to safeguard the Sarawak National Education Policy for the future. The Sabah paper asked that the existing educational system of Sabah should be maintained, and for this reason it should be under State control. Source: Dutuk Dr. Herman Luping, The formation of Malaysia Revisited' in Jeffery G. Kitigan and Maximus J. Ongkili (eds), Sabah - 25 Years later 1963-1988 (Kota Kinabula: Institute for Development Studies, 1989) pp. 14-16

Appendix 4 Sabah: Key Political Figures and Parties 1963-1990 Angkatan Demokratik Liberal Sabah (Sabah Liberal Democratic Front - ADIL). The Angkatan Demokratik Liberal Sabah (Sabah Liberal Democratic Front) was formed in July 1989, and based its acronym Adil on the Bahasa Malaysia word for justice. Although Adil was open to all Malaysian citizens, its founders intended to attract Malay-Muslim Sabah residents who were once members or supporters of USNO or Berjaya. While pro-term committee members who applied for the registration of the party were unknown outside Sabah, there were strong hints that Datuk Harris Salleh, a businessman since he lost the state election in 1985, was behind the party. Angkatan Keadilan Rakyat Sabah (AKAR). A Parti Bersatu Sabah (PBS) splinter group, it was led by Senator Pandikar Amin Haji Mulia, Kalakau Untol and Mark Koding and was formed in September 1989 in anticipation of general elections within the following 12 months. The party, whose acronym 'Akar' means 'roots' in Bahasa Malaysia, represents Sabah's Dusun ethnic group. The Dusun and the Kadazan (led by former Sabah Chief Minister Datuk Seri Joseph Pairin Kitingan are from the same indigenous stock but their languages evolved along slightly different lines. This had led to a linguistic battle between the two groups which marks deeper strains between Pairin and Koding who represents the Dusun. Koding's spearheading of a new Dusun assertiveness and his long-standing differences and personal rivalry with Pairin led to his sacking from his post as Deputy Chief Minister and subsequent expulsion from the PBS. Koding then recontested his seat in December 1989 on an AKAR ticket, hoping a victory would tempt a clutch of Sabah's small opposition parties to band together with AKAR to oust the PBS and more specifically, Pairin. Instead the contest petered out with the PBS beating the AKAR. BERJAYA. The Bersatu Rakyat Jelata Sabah (Sabah People's Union, commonly known as Berjaya) was founded in 1975 by veteran Sabahan politicians, including Tun Fuad Stephens, as an alternative to the United Sabah National Organisation (USNO) led by Tun Mustapha Harun. Berjaya defeated USNO at the 1976 state elections. Tun Fuad Stephens' death in a plane crash in 1976 left Datuk Harris Mohd. Salleh as undisputed party leader and new Chief Minister. Shortly after Berjaya's success, both Berjaya and USNO were accepted into the Barisan Nasional or federal National Front, although USNO remained in opposition at the State level. Berjaya, like USNO, had a strong Muslim following and initially also received significant support from the Chinese and Kadazan 220

Appendix 4 221 communities. However, by the early 1980s, the latter groups had become disenchanted with the Berjaya state government. At the 1985 state elections, Berjaya was severely trounced by the Parti Bersatu Sabah (PBS) led by Joseph Pairin Kitingan which had strong Kadazan and Chinese support. In July 1985, Datuk Harris Salleh resigned as President of Berjaya and his place was taken by Datuk Haji Mohamed Noor Mansur. In the 1986 state elections, the party suffered further electoral reverses and for all practical purposes is no longer a significant political force in Sabah. In subsequent years, more leaders have resigned from the party. In early 1989, some of these leaders, under the leadership of Datuk Dr. James Ongkili, formed the Parti Rakyak Sabah (PRS). Harris Bin Mohamad Salleh, Datuk, a prominent Sabah politician, was born in Labuan and educated in Kota Kinabalu. He worked as a teacher, then as a clerk, and rose to the position of assistant district officer in Sipitang. In 1963, Harris left government service to enter politics and became the Secretary-General of USNO. He served in various ministerial posts. In 1975, Harris and Tun Fuad Stephens, together with some veteran Sabah politicians, founded the Bersatu Rakyat Jelata Sabah (Sabah People's Union, commonly known as Berjaya). Berjaya wrested control from USNO in 1976 and with the untimely death of Stephens the same year, Harris became Chief Minister of Sabah. In 1985, Berjaya was defeated by the PBS and Harris contrived with his former opponent, Tun Mustapha to retain power. When he was thwarted, Harris resigned as president of Berjaya. Kitingan, Joseph Pairin, Datuk Seri, a leading politician and Kadazan leader and formerly Chief Minister of Sabah, was born in Papar, Sabah. He was educated in Sabah and Australia where he qualified as an advocate and solicitor. He joined the Sabah State Legal Service where he served as legal officer, and deputy public prosecutor. In 1974 he joined the private sector and entered politics. He was a founder member and vicepresident of Berjaya. When Berjaya ousted USNO in 1975 and became the ruling party in Sabah, Pairin Kitingan served in various ministries. As President of the Kadazan community, he soon became disenchanted with Harris' pro-muslim policy and in 1985, left Berjaya and formed the Parti Bersatu Sabah (the Sabah United Party) - PBS. The PBS won a resounding victory in the 1985 state elections and although the leaders of Berjaya and USNO attempted to seize power, Pairin formed the new state government in April 1985. In fresh elections held in May 1986, the PBS won a convincing two-thirds majority in Sabah, and Pairin also managed to retain his leadership of the Kadazan community. In the 1990 General Elections, Pairin Kitingan withdrew the PBS from the Barisan National coalition and joined the national opposition headed by Mahathir's then rival Tengku Razaleigh. He consequently lost favour with Mahathir who had him arrested on charges of corruption. In 1994, although the PBS narrowly won the state election, several members defected to the

222 Appendix 4 opposition, and the PBS government fell, resulting in Pairin's downfall. Mustapha Bin Datu Harun, Tun Datu, a leading Sabah politician, was born in Kudat. He was educated in Kudat and worked as a clerk there. During the Japanese Occupation of Sabah, Mustapha escaped to the Philippines to join a guerilla resistance group. Subsequently he became a sergeant in the regular army and was attached to the secret service. In 1945, he was posted to Sabah with the rank of Captain. He was appointed a native chief by the British and entered local politics. He served as a member of the Legislative Council (1954), Executive Council (1956) and in 1961, formed the United Sabah National Organization (USNO). With the exception of a brief period when he was not president of the party, Mustapha dominated USNO. In 1963 he was appointed Yang di Pertuan Negara (Head of State) of Sabah. In 1967, he became Chief Minister of Sabah with Kuala Lumpur's help because of his attempts to bring Sabah into line with national policies. Once in power Mustapha ran Sabah as his personal fiefdom, a feat made possible by Sabah's immense timber resources and timber revenues. It has been alleged that he entertained notions of separation from Malaysia and of the formation of a new nation, consisting of Sabah and the three Philippine areas of Sulu, Mindanao and Palawan. There were even claims that he channelled arms to Muslim rebels in the southern Philippines. To undermine his authority, Tun Abdul Razak, the then Prime Minister, appointed a chief of police and a head of armed forces in Sabah who were loyal to Kuala Lumpur. When the opposition party Berjaya gained popularity in 1975, Tun Abdul Razak immediately accepted it as a member of the National Front. Tun Mustapha finally resigned in October 1975, but still dominated Sabah politics as head of USNO. After Tun Abdul Razak's death, his successor, Hussein Onn continued to apply pressure on Tun Mustapha and was finally rewarded by the latter's removal from power through Berjaya's victory in the Sabah elections of April 1976. Mustapha then became a member of the opposition. Following a three-way contest between the Parti Bersatu Sabah (PBS), Berjaya and USNO at the 1985 state elections, the PBS emerged victorious and Mustapha failed to form a minority USNO-Berjaya government. Nevertheless, he contrived to take control of Sabah (he was Chief Minister for a few hours) but was foiled in his attempts when the High Court ruled against him. He regained favour with the federal government under Mahathir in May 1991, and disbanded USNO to form the Sabah UMNO chapter. Parti Bersatu Rakyat Bumiputera Sabah. The United Bumiputera People's Party (commonly known as Bersepadu) was registered in 1984 by expelled Berjaya Vice-president Datuk Pengiran Othman Rauf. The party, supported mainly by Malays of Brunei origin, was committed to preserving bumiputera interests and has no Chinese members. It was also committed to preventing Berjaya from retaining power. At the 1985 Sabah state elections, all 37 Bersepadu candidates lost their deposits.

Appendix 4 223 During the subsequent crisis over the legitimacy of the PBS government, Bersepadu publicly expressed support for the right of Datuk Pairin Kitingan's PBS to replace Berjaya as the ruling party. Parti Bersatu Sabah (PBS). The Parti Bersatu Sabah (Sabah United Party) or PBS was founded by Datuk Joseph Pairin Kitingan, a Catholic Kadazan lawyer who had resigned from the then ruling party Berjaya after a disagreement with its leader Datuk Harris Salleh. The new party was registered only 50 days before the state elections of April 1985. Pairin succeeded in mobilising opposition to Berjaya mainly among the Chinese and Kadazans disgruntled about what they perceived as the pro-muslim policies of the Harris Government. The PBS won a resounding victory in the 1985 State Elections and although there were attempts by the leaders of Berjaya and USNO to undermine it, formed the new state government on 22 April with Joseph Pairin Kitingan as Chief Minister. Subsequently, following considerable harassment from its opponents, the party won a convincing two-thirds majority in fresh state elections in Sabah held in May 1986 and was admitted as a member of the Barisan Nasional coalition in June 1986. In a surprise move, the PBS withdrew from the Barisan Nasional coalition after nomination day in the 1990 General Elections and joined forces with Tengku Razaleigh Hamzah, then Mahathir's rival. Although the PBS narrowly won the 1994 State Elections defection of some of its members resulted in the party conceding defeat to an UMNO-led coalition. Parti Bertindak Rakyat Sabah (United Sabah People's Action Party) BERSIH. The United Sabah People's Action Party (commonly known by the acronym Bersih which means 'clean' in Bahasa Malaysia) was a minor Sabah-based party formed in 1983 by former USNO leader Pandikar Amin Haji Mulia. At the 1985 Sabah state elections, all 16 Bersih candidates lost their deposits. Parti Cina Bersatu Sabah/Sabah Chinese Consolidated Party (PCBS). The Sabah Chinese Consolidated Party or Parti Cina Bersatu Sabah was a minor party which was formed in 1980. It claimed to represent the Chinese community in Sabah. In the 1981 state elections it joined forces with USNO and Pasok in an electoral pact to oppose the ruling Berjaya and won one seat. However, following the resignation of the PCBS's sole assemblyman, this seat was subsequently recaptured by Berjaya. The PCBS decided not to contest the 1985 state elections and instead supported Datuk Pairin Kitingan's PBS in the elections Parti Cina Sabah/Sabah Chinese Party (PCS). The Sabah Chinese Party was formed in 1986 as a minor party claiming to represent the Chinese community of Sabah. Parti Rakyat Sabah/Sabah People's Party (PRS). The Parti Rakyat Sabah formed in early 1989, was open to all Malaysian citizens and its founders intended to attract the Kadazans, the Malay-Muslims and Chinese residents of Sabah. It was a multi-racial party and the party

224 Appendix 4 organisation provided for representative deputy leaders from all the communities. It was headed by Datuk Dr. James Ongkili, who served as Deputy Chief Minister of Sabah when Berjaya was in power. When Berjaya lost the 1985 state elections, it became almost defunct. Most of the party leaders were formerly Berjaya members or supporters. The party did not win a single seat in the 1990 elections. Pasok Momogun (Parti Kadazan Alsi Sabah). Pasok Momogun was a revival of the United National Pasok Momogun Party first formed in 1962 which merged with United National Kadazan Organisation (UNKO) in 1964 to from United Pasok-Momogun Kadazan Organisation (UPKO) and dissolved with it in 1976. It was essentially a Kadazan party with strong Murut backing. Pertubuhan Kebangsaan Pasok Nunukragang Bersatu (PASOK). The National United Pasok Nunukragang Party, or Pasok as it was usually known, was formed in 1978. It aimed at the establishment of a Kadazan identity in Sabah politics and the preservation of Kadazan culture. In the 1981 state elections, Pasok entered into an electoral pact with USNO and the Sabah Chinese Consolidated Party, but lost in all 26 constituencies it contested. In the 1985 state elections Pasok managed to win one seat, but the party's assemblyman subsequently defected to the PBS. Stephens, Tun Fuad/Donald, a popular politician and Kadazan leader, was born in Kudat, Sabah. He was educated in Sabah and became a teacher. When the Second World War broke out, Stephens left for Singapore. He returned in 1945 and became a contractor to the Public Works Department. In 1949, he joined the North Borneo News as the newspaper's west coast correspondent. In 1953, he started his own paper, The Sabah Times. Subsequently, he bought over The North Borneo News and merged it with his own paper. He was a member of the Legislative Council and the Executive Council and served on various committees. As Chairman of the Kadazan Society, he founded the United National Kadazan Organization in 1961 and served as its first president. In 1962, in anticipation of the formation of Malaysia, he helped establish the Sabah Alliance Party and served as chairman of the executive committee. He also served as chairman of the Malaysian Solidarity Committee and was a joint leader of the Sabah Team in the Inter-Governmental Committee of Malaysia. He was a signatory to the Malaysia agreement in London. When Malaysia was formed in 1963, Stephens became the Chief Minister of Sabah. His insistence on special guarantees for Sabah led to his ousting as Chief Minsiter and he was relegated to the Ministry for Sabah Affairs and Civil Defence. In 1965 he resigned from his post and was appointed Malaysia's ambassador to Australia. Upon his return he reentered Sabah politics and joined USNO. In 1975, he and other veteran Sabah politicians formed Berjaya with the aim of defeating Tun Mustapha and USNO. USNO was defeated in the 1976 state elections and

Appendix 4 225 Stephens became Chief Minister. His untimely death in a plane crash shortly afterwards dealt a severe blow to Sabah society and politics. United Sabah National Organisation (USNO). The United Sabah National Organization (USNO) was formed in 1961 by Tun Datu Mustapha Harun. It professed a non-communal membership policy but was heavily dependent upon Muslim support. With the exception of a brief period when he was not president of the party, Tun Datu Mustapha dominated USNO. From 1967 to 1976, USNO and the Sabah Chinese Association constituted the ruling Sabah Alliance, with Tun Datu Mustapha Harun as Chief Minister. At the 1976 State elections, USNO was ousted by Berjaya, a party formed by USNO dissidents. USNO became the opposition party at State level, but joined the Barisan Nasional coalition at the Federal level. In 1984, USNO was expelled from the Barisan Nasional after Mustapha was accused of disloyalty to the coalition and for opposing the federal government's acquisition of Labuan as a Federal Territory. After a three-way contest between the Parti Bersatu Sabah (PBS), Berjaya and USNO at the 1985 State elections, PBS emerged victorious and Tun Datu Mustapha Harun failed in his attempt to form a minority USNO-Berjaya government. He was sworn in as Sabah's Chief Minister for several hours, but the governor subsequently revoked his commission and appointed Datuk Seri Pairin Kitingan of PBS, who commanded the support of a majority of State assemblymen, as Chief Minister. Tun Datu Mustapha Harun subsequently took legal action to have his rival's appointment voided. However, the High Court ruled that the governor had appointed Tun Datu Mustapha Harun under duress and confirmed Datuk Seri Joseph Pairin Kitingan's appointment as Chief Minister. USNO rejoined the Barisan Nasional in June 1986. In May 1991 USNO was disbanded to form the Sabah UMNO chapter. Source: Amarjit Kaur, Historical Dictionary of Malaysia (New Jersey: Scarecrow Press, 1993) pp. 31-155.

Appendix 5 Sarawak: Key Political Figures and Parties,1963-1990 Abdul Rahman Yaakub, Tun Haji, a prominent Melanau politician, was one of the founders of the Barisan Rakyat Jati Sarawak (BARJASA) in 1961. BARJASA was predominantly Melanau in membership while PANAS comprised mainly Malays. Abdul Rahman served as federal education minister in the mid-1960s. He and his nephew, Taib Mahmud, successfully united the Melanaus and the Malays to form Parti Bumiputera in 1967. In 1973, Parti Bumiputera merged with the Iban party Pesaka to form parti Pesaka Bumiputera Bersatu (PBB) with Abdul Rahman Yaakub as Secretary-General. He became the third Chief Minister of Sarawak and his ascendancy marked the end of Iban leadership in the State. His main objective was to create a 'rich bumiputera group' which could underwrite native political activity and dominance. In 1981 he relinquished power in favour of his nephew Taib Mahmud who became the fourth Chief Minister. Abdul Rahman Yaakub was then appointed Governor of Sarawak, a position which he later found untenable. In the mid-1980s he attempted to unseat his nephew but failed and since then his political power and role has been eroded. Abdul Taib Bin Mahmud, Datuk Patinggi Haji, the Chief Minister of Sarawak since 1981 was born in Miri, Sarawak. He was educated in Sarawak and Australia where he obtained a law degree. Upon his return, he served in the State Legal Department from 1961-63. He also served on the State and Supreme Councils. He then joined the Barisan Rakyat Jati Sarawak and became vice-chairman. From 1963-70 he served in the Sarawak government administration in a variety of posts. In 1970 he was appointed first as deputy minister and later became a full minister in the federal government. He held a number of different portfolios, including that of defence. Following a crisis in the Sarawak government, he returned to Sarawak and assumed the presidency of the Parti Pesaka Bumiputera Bersatu (PBB) which was a merger between his own party, the Muslim-based Parti Bumiputera and the Iban-based Parti Pesaka. The PBB won the state elections and he became Chief Minister of Sarawak in 1981, a post he has held since then. Barisan Rakyat Jati (Barjasa), Barisan Rakyat Jati Sarawak, the second Malay party, was formed in 1961. The formation of BARJASA reflected divisions within the Malay community; BARJASA was anticession, favouring the status quo of Sarawak as a British Crown Colony, while PANAS was in favour of Sarawak's independence from Britain. Among the prominent leaders of the party were Tuanku Bujang, its founder President, Taib Mahmud, Rahman Yaakub and Abang Han Abang 226

Appendix 5 227 Ahmad. In 1967, it merged with the other Muslim party, PANAS, to form Parti Bumiputera, the back-bone of the Alliance governments formed after the 1970 and 1974 state general elections. Moggie, Leo, Anak Irok, Datuk, a popular Sarawak politician and Dayak leader, was born in Kanowit, Sarawak and educated in Sarawak, New Zealand and the USA. He served as assistant district officer and subsequently district officer for the Kapit region. He was appointed Director of the Borneo Literature Bureau and later became the Deputy General Manager of the Borneo Development Corporation. He then left government service and joined the Sarawak National Party (SNAP). He contested the state seat of Machan and the parliamentary seat of Kanowit in 1974, won both seats, and served in the Sarawak State Government. In 1978, he was appointed to the Malaysian cabinet as Minister of Energy, Telecommunications and Posts. Moggie was dissatisfied with SNAP, and following a crisis in the party in 1983, left the party to form the Parti Bansa Dayak Sarawak (PBDS). The PBDS joined the Barisan Nasional coalition in 1984. In 1989, Moggie became Minister for Works and Posts in the Malaysian Cabinet, but was subsequently appointed to another ministry. Parti Bansa Dayak Sarawak (PBDS). The Parti Bansa Dayak Sarawak (Sarawak Dayak Party) or PBDS was formed in 1983 under the leadership of Datuk Leo Moggie after he and a number of his supporters left the Sarawak National Party following an internal factional dispute. It is a communal party orientated towards the Dayak community. In the 1983 Sarawak state elections the party won 6 out of the 14 seats it contested and in 1984, it formally joined the Barisan Nasional coalition. In the 1987 Sarawak elections, the PBDS won 15 of the 48 state seats. Since then its popularity has declined. Parti Bumiputera (Bumiputera). Parti Bumiputera was formed in 1967 from the merger of the Melanau-dominated BERJASA and the Malay-dominated PANAS. The prominent leaders of BERJASA, Rahman Yaakub and Taib Mahmud, went on to dominate the leadership of the newly-founded BUMIPUTERA. Parti Bumiputera Bersatu (PBB). The Parti Pesaka Bumiputera Bersatu (PBB) was formed in 1973 following the merger of the Iban-based Parti Pesaka and the Muslim-supported Parti Bumiputera. The Party is dominated by its Muslim wing which has resulted in a significant loss of Iban support for the PBB. It is the dominant party in Sarawak and its leader, Datuk Patinggi Haji Abdul Taib Mahmud, is the current Chief Minister of the state. It is also a member of the Barisan Nasional coalition. In the 1983 state elections, the PBB won 19 of the 48 seats in the Council Negeri (State Assembly). It is the senior component in the state ruling coalition which also includes the Sarawak United People's Party (SUPP) and the Sarawak National Party (SNAP). The Parti Bansa Dayak Sarawak (PBDS) was also a member of the ruling coalition but

228 Appendix 5 was expelled in 1987. Parti Buruh Sarawak (Sarawak United Labour Party) Plus. The Sarawak United Labour Party was a minor Sarawakian party based in Sibu and was founded in 1985. Parti Negara Sarawak (PANAS). Parti Negara Sarawak was formed on 9 April 1960. The party grew partly out of the perceived need to unite the Sarawak natives in order to protect them against the growing influence of the SUPP, and partly as a response to the anti-cession movement; PANAS was in favour of Sarawak's independence from Britain. Although a multi-ethnic party, it was dominated by the Malay Abangs (aristocrats): Abang Mustapha was its founder President, while his brother, Abang Othman, was the Secretary-General. In 1967, it merged with BARJASA to form Parti Bumiputera. Parti Pesaka Anak Sarawak (PESAKA). The Parti Pesaka Anak Sarawak was formed in 1962 to unite the Rajang Ibans who were not adequately represented in SNAP. It was led by Temenggong Jugah, who was then the PANAS Vice-President; he had to be persuaded to leave PANAS and lead the party as its founder President. PESAKA was one of the component parties in the first state Alliance party system; it provided the candidate for the Chief Ministership after the removal of Stephen Kalong Ningkan in 1966. In 1973, it merged with BUMIPUTERA to form the Parti Pesaka Bumiputera Bersatu (PBB). Sarawak Alliance. The Sarawak Alliance, the state component of the National Alliance, emerged form the transformation of the Sarawak United Front and consisted initially of SNAP, PERSAKA, BARJASA, PANAS and SCA. Until the Alliance party system was restyled Barisan Nasional in 1976, it has provided Sarawak with its first three Chief Ministers; Stephen Kalong Ningkan (SNAP), Penghulu Tawi Sli (PESAKA) and Rahman Yaakub (BUMIPUTERA). Sarawak Chinese Association (SCA). The Sarawak Chinese Association was formed in 1962 as a result of the perceived need for an alternative party for the Chinese who did not support the SUPP. The SUPP was regarded as too left-wing and it was felt that a moderate alternative acceptable to the government should represent the Chinese in the coalition government. With the formation of the Alliance, SCA represented the Chinese in government, although it received considerably less Chinese support than the SUPP. It was dissolved in 1974 and most of its members joined the SUPP. Sarawak National Party (SNAP). The Sarawak National Party (SNAP) was formed in 1961 as a party open to membership from all ethnic groups, although its supporters were largely Ibans with some Chinese participation. In its early years, SNAP sought to win electoral support as the protector of state rights against encroachments by the Federal Government. The Party provided the chief minister and deputy chief minister for the 1963-66 period. After its leader, Datuk Stephen

Appendix 5 229 Kalong Ningkan, was toppled as Chief Minister in 1966 through the use of federal emergency powers, SNAP became an active opposition party at both the state and federal levels. In the 1974 General Elections, SNAP won 18 of the 48 State Assembly seats and 8 Federal seats, thereby demonstrating its significant electoral following. It joined the Barisan Nasional in 1976. In 1983, internal bickering and factionalism within SNAP resulted in the establishment of a new party, the Echinacea purpurea led by Datuk Leo Moggie, which won 6 seats from SNAP at the subsequent state elections. Its power base was eroded when most of the Iban leaders left the party. SNAP is currently a component of the Sarawak state ruling coalition together with Parti Pesaka Bumiputera Bersatu and Sarawak United Berjasa Party. Sarawak United Peopled Party (SUPP). The Sarawak United People's Party was formed in 1959 on a non-communal, 'socialist' platform. It was a multi-racial party whose membership was largely Chinese-based. SUPP was one of the first opposition parties in Malaysia to negotiate an accommodation with the Alliance government in the period after the 1969 General Elections. Following a state-level coalition with the Sarawak Alliance in 1971, SUPP pledged the support of its MPs for the Federal Government. In return its President Ong Kee Hui became the first non-alliance member of the Federal Cabinet. When the Barisan Nasional was created SUPP became a founder-member. It is currently a component party of the ruling coalition at both state and federal levels. In the 1982 Federal General Elections, SUPP won 5 seats. At the Sarawak State elections in the following year, SUPP WON 11 of the 48 seats in the Council Negeri (State Assembly). Its current leader is Datuk Amar Stephen Yong Kuat Tze. Source: Amarjit Kaur, Historical Dictionary of Malaysia (New Jersey: Scarecrow Press, 1993) pp. 26-139; Jayum A. Jawan, The Iban Factor in Sarawak Politics (Serdang, Malaysia: Agricultural University Press, 1993) pp.75-6.

Notes Chapter I The Historical Setting 1 See Graham Irwin, Nineteenth Century Borneo: A Study in Diplomatic Rivalry (Singapore: Donald Moore, 1955; reprinted Singapore: Graham Brash, 1969) pp. 50-8; L.W. Wright, The Origins of British Borneo (Hong Kong: Hong Kong University Press, 1970; reprinted 1988) pp. 1-29. 2 The story of how James Brooke established his kingdom has been recounted elsewhere and will not be dealt with here. The main works on the subject are, Spenser St. John, The Life of Sir James Brooke, Rajah of Sarawak (London: William Blackwood and Sons, 1879); S. Baring-Gould and C.A. Bampfylde, Sarawak Under its Two White Rajahs, 1839-1908 (London: Sotheran, 1909; reprinted Singapore: Oxford University Press, 1989); Steven Runciman, The White Rajahs (Cambridge: Cambridge University Press, 1960); Robert Pringle, Rajahs and Rebels: The Ibans of Sarawak Under Brooke Rule, 1841-1941 (London: Macmillan, 1970); Nicholas Tarling, Britain, the Brookes and Brunei (London: Robert Hale, 1960). 3 See K.G. Tregonning, 'American Activity in North Borneo, 1865-81', The Pacific History Review, 23, 4 (November 1954): 357-72. 4 The deeds of cession of all territories which eventually constituted the territory of the Chartered Company are to be found in CO. 874/17-23, 36-40, 43-55. 5 For a more detailed account of the Company's establishment, see K.G. Tregonning, A History of Modern Sabah (North Borneo) 1881-1962 (Singapore: University of Malaya Press, 1965), pp. 13-45. See also Ian Black, A Gambling Style of Government (Kuala Lumpur: Oxford University Press, 1983) ch. 2. 6 Early Brooke administration was characterised by wars to put down 'rebellions' in the interior. This practice of quelling Iban unrest with punitive expeditions, manned by down-river Iban warriors (which was continued as late as 1935) stimulated and prolonged inter-iban warfare, head-hunting and the related migration syndrome. See Robert Pringle, Rajahs and Rebels. 7 The term 'Division' has been used in conformity with the practice in the written sources. In 1973, two additional Divisions were created out of the Third Division - the Sixth Division to cover the Sarikei area, and the Seventh Division to include the Kapit district. All the Divisions were again renamed in 1987 as the Kuching, Samarahan, Sri Aman, Sarikei, Sibu, Kapit, Bintulu, Miri, and Limbang Divisions. 8 Robert Pringle, Rajahs and Rebels, pp. 135-77; Robert Pringle, 'The Brookes of Sarawak: Reformers in spite of themselves', Sarawak Museum Journal, 19, 38-39 (new series) (July-Dec. 1971): 65-69. 230

Notes 231 9 See Ian Black, A Gambling Style of Government, chs 1-2. 10 With the opening up of more settlements notably in the East Coast and the Interior, two other Junior Residencies were established with headquarters at Tawau and Keningau respectively. By 1922, with the creation of Kudat Residency, the number had risen to five Residencies. (In 1929, Kudat was merged with Sandakan Residency). 11 There were altogether ten Provinces, namely Alcock, Clarke, Cunliffe, Dent, Dewhurst, Elphinestone, Keppel, Martin, Mayne and Myburgh. 1 2 The Provinces later became Districts and as a result the alien names of the Provinces were also altered to those based on principal towns or villages. See Owen Rutter, British North Borneo. An Account of its History, Resources and Native Tribes (London: Constable and Co., 1922) pp. 149-63; and Charles Bruce, Twenty Years in Borneo (London: Cassell and Co., 1924) pp. 46-59 for an interesting account of early administration. 13 D.S. Ranjit Singh, 'The Development of Native Administration in Sabah,' in Anwar Sullivan and Cecilia Leong (eds), Commemorative History of Sabah, 1881-1981 (Kota Kinabalu: Sabah State Government, 1981) pp. 81-116. 14 See Ian Black, A Gambling Style of Government, ch. 3. 15 See Amarjit Kaur, 'Hantu and Highway: Transport in Sabah 1881-1963', Modern Asian Studies, 28, 1 (1994) pp. 18-31. Chapter 2 Patterns of Settlement and Production 1 Tom Harrisson, 'Explorations in Central Borneo', Geographical Journal, 114 (1949) p. 133. 2 See for example, Francis Jana Lian, 'On Threatened Peoples' in Harold Brookfield and Yvonne Byron (eds), South-East Asia's Environmental Future: The Search for Sustainability (Kuala Lumpur: Oxford University Press, 1993): 322-37. 3 Useful summaries of the research carried out in Sabah and Sarawak since the Second World War may be found in G.N. Appell (ed.), Studies in Borneo Societies: Social Process and Anthropological Explanation (Dekalb: Northern Illinois University, Centre for Southeast Asian Studies, 1976); G.N. Appell (ed.), The Societies of Borneo: Explorations in the Theory of Cognatic Social Structures (Washington D.C.: American Anthropological Association, 1976); Victor T. King (ed.), Essays on Borneo Societies (Oxford: Oxford University Press, 1978); Sherwood Galen Lingenfelter (ed.), Social Organisation of Sabah Society: Studies From Six Societies, Bonggi, Idaan, Lotud, Makiang, Tagal, Timugon (Kota Kinabalu: Sabah Museum and State Archives Department, 1990). 4 Dutch and German Scholars use the word 'Dayak' to include all non- Muslim indigenes while British writers use it in a more restricted sense to denote the Land Dayak (Bidayuh) and the Sea Dayak (Iban). 5 For detailed studies, see Charles Hose, 'The Natives of Borneo', Journal

232 Notes of the Royal Anthropological Institute, 23 (1893); Victor T. King (ed.), Essays on Borneo Societies, pp. 156-72; H. Ling Roth, The Natives of Sarawak and British North Borneo, 2 vols (London: Truslove and Hanson, 1896); and J.Rousseau, Central Borneo: Ethnic Identity and Social Life in a Stratified Society (Oxford: Clarendon Press, 1990). 6 James C. Jackson, Sarawak: A Geographical Survey of a Developing State (London: University of London Press, 1968) p. 39. 7 S. Baring-Gould and C.A. Bampfylde, A History of Sarawak Under Its Two White Rajahs, 1839-1905, p. 188; Jackson quotes a figure of 416 000 (estimated) in 1908, J.C. Jackson, Sarawak, p. 39. See also J.L. Noake, The Growth of the Population of Sarawak, in Sarawak: Report on the Census of Population 1960 (Kuching: Government Printer, 1962) p. 319-24; L.W. Jones, The Population of Borneo (London: Athlone Press, 1966). 8 British North Borneo Gazette, 1910, p. 16. 9 See sections below on tobacco cultivation. See also Amarjit Kaur, 'Hantu and Highway: Transport in Sabah 1881-1963', Modern Asian Studies, 28:1 (1994), p. 16, 29; British North Borneo Herald, April 1901; Memorandum on Coffee, Cocoa and Tropical Products in British North Borneo (London: William Brown and Co., 1890) pp. 7-8 (encl. in NBCA File #1423). 10 Lee Yong Leng, 'The Chinese in Sabah (North Borneo)', Erdkunde, 19 (1965) pp. 308-9. 11 Craig Lockard, 'Chinese Immigration into Sarawak 1868-1917', (MA Thesis, University of Hawaii) 1967, p. 69. 12 Lee Yong Leng, Population and Settlement in Sarawak (Singapore: Donald Moore for Asia Pacific Press, 1970) Table 12, p. 110. Chapter 3 Formation of an Export Economy 1 See John Ingleson, Expanding the Empire: James Brooke and the Sarawak Lobby, 1839-1868, Research Paper No. 2 (University of Western Australia: Centre for South and Southeast Asian Studies, 1979) pp. 45-8. 2 See Daniel Chew, Chinese Pioneers on the Sarawak Frontier 1841-1941 (Singapore: Oxford University Press, 1990) pp. 18-29, 37-8. 3 For an interesting account of James falling out with Henry Wise, see J. Ingleson, Expanding the Empire, pp. 73-84. 4 Henry Longhurst, The Borneo Story. The First Hundred Years of the Borneo Company Limited (London: Newman Neame, 1956) p. 18. See also Ludvig Verner Helms, Pioneering in the Far East and Journeys to California in 1849 and to the White Sea in 1878 (London: W.H. Allen and Co., 1882), pp. 129-34; and Spenser St. John, Rajah Brooke: The Englishman as Ruler of an Eastern State (London: T. Fisher Unwin, 1899) p. 211. 5 In 1879, the Borneo Company was given the monopoly of using quartz machinery and prospecting for gold for a period of fifteen years.

Notes 233 H.H. The Rajah's Order Book 1863-1890, p. 211 (Sarawak State Archives). 6 See G.E. Wilford, The Geology and Mining Resources of the Kuching- Ludu Area, West Sarawak, including the Bau Mining District,, Memoir No. 3 (Kuching: Geological Survey Department, British Territories in Borneo, 1955) pp. 101-02. See also N.A. Lucas, 'The Production of Gold in Sarawak', Sarawak Gazette, 1 February 1949; 'Mining in Upper Sarawak', Sarawak Gazette, 1 April 1922. 7 N.A. Lucas, 'The Production of Gold in Sarawak'. 8 See, for example, Sarawak Gazette, 1 November 1932; G.E. Wilford, 'The Bau Goldfield', Sarawak Gazette, 30 April 1962. 9 E. Parnell, 'Sarawak - Its resources and Trade', Sarawak Gazette, 1 June 1923. 10 H. Longurst, The Borneo Story, p. 57. 11 Sarawak Gazette, 16 September 1872. 1 2 H. Longurst, The Borneo Story, p. 59. 1 3 Charles paid 25 000 for the concession, Annual Report Sarawak 1951, p. 26. 14 Annual Report Sarawak 1951, p. 26. 15 Agreement Book, Vol. 3, January 1902-July 1909, pp. 210-11. One of the clauses in the concession stipulated that a certain amount of oil was to be stored for the use of the British Navy. See Charles Hose, Fifty Years of Romance and Research or a Jungle-Wallah at Large (London: Hutchinson & Co., 1927) p. 235. Hose was offered a considerable sum of money for his services, but refused this in return for a royalty on the production which gave him a significant source of revenue for many years. G.C. Harper, 'The Miri Field 1910-1972', Sarawak Museum Journal, 10, 17-18 (new series) (July-Dec. 1961), p. 23. See also Sarawak Shell, The Miri Story (Lutong: Sarawak Shell, 1978). 16 H. Longhurst, The Borneo Story, p. 113. See also Stephanie Jones, Two Centuries of Overseas Trading: The Origins and Growth of the Inchcape Group (London: Macmillan, 1986) pp. 203-4. 1 7 Sarawak Oilfields was also a subsidiary of Royal Dutch Shell, Sarawak Gazette, 1 October 1921. 18 Annual Report Sarawak, 1960, pp. 80-81; see also Sarawak Shell, The Miri Story. 19 F.W. Rowe, 'Extracts from a Report on British Borneo Petroleum Production, Resources and Industry', Sarawak Gazette, 31 July 1958; G.C. Harper, 'The Miri Field', p. 28. 20 F.H. Rowe, 'Extracts from a Report on British North Borneo Petroleum Production, Resources and Industry'; E. Parnell, 'Sarawak - Its Resources and Trade'. 2 1 See Colin Crisswell, Rajah Charles Brooke, Monarch of All He Surveyed (Kuala Lumpur: Oxford University Press, 1978) p. 216. Nonetheless, Sarawak Oilfields reigned supreme in Miri. See E.H. Digby, Lawyer in the Wilderness, Data Paper No. 114, Southeast Asia Program (Ithaca, New York: Cornell University Press, 1980) pp. 5-6.

234 Notes 22 K.G. Tregonning, A History of Modern Sabah (North Borneo 1881-1963) (Singapore: University of Malaya Press, 1965) pp. 96-97; Handbook of the State of North Borneo, 1890, pp. 88-90; Handbook of the State of North Borneo, 1934, pp. 83-4. 23 Dorani Johari, 'Coal Resources of Malaysia', in Geological Survey of Malaysia, Dialogue Sessions of the Geological Survey of Malaysia with the Private Sector, Sarawak and Sabah, 6 December 1994, Kuching (Kuching: Geological Survey of Malaysia, Sarawak, 1995) p. 85. The original mine was opened in 1846. It was taken over by British interests twenty years later. E.W. Ellison, 'North Borneo: Reconstruction and Development Plan for North Borneo 1948-55' (Jesselton, 1948, typescript) p. 76. Acrimonous disputes between the Chartered Company and the coal company led to the absorption of Labuan into the Straits Settlements in 1906. K.G. Tregonning, A History of Modem Sabah, pp. 97-8. 24 Dorani Johari, 'Coal Resources of Malaysia', p. 85. See also E.W. Ellison, 'North Borneo: Reconstruction and Development Plan', p. 77; Tregonning, A History of Modern Sabah, pp. 98-9. 25 Tregonning, A History of Modem Sabah, pp. 98-9. 26 E.W. Ellison, 'North Borneo: Reconstruction and Development Plan', p. 76; Tregonning, A History of Modern Sabah, pp. 98-9. 27 Tregonning, A History of Modern Sabah, pp. 99-101. 28 See A.F. Porter, Land Administration in Sarawak (Kuching: Sarawak Government Printer, 1967); Benedict Sandin, Iban Adat and Augury (Penang: Penerbit Universiti Sains Malaysia, 1980); Derek Freeman, Iban Agriculture: A Report on the Shifting cultivation of hill rice by the Iban of Sarawak (London: HMSO, 1955); Ian Black, A Gambling Style of Government, pp. 215-18; Sabah State Archives, File #248, Shifting Cultivation, 1913-35; File #1356, Settlement of Native Lands. 29 William M. Crocker to Sir Rutherford Alcock, Report on British North Borneo, 1 November 1887, appendix, Handbook of British North Borneo 1890, p. 171. 30 Sabah State Archives, File #1428. See also Ian Black, A Gambling Style of Government, p. 60; K.G. Tregonning, Under Chartered Company Rule (North Borneo 1881-1946) (Singapore: Oxford University Press, 1958) p. 119. 3 1 In general land which came into the following categories could not be alienated and sold to Europeans: 1 Land under 'customary tenure' (broadly, land under sedentary or shifting cultivation which had long been associated with a particular ethnic group). 2 Land planted with fruit trees. 3 Land containing assorted fruit trees which were harvested by a community. This applied particularly to trees such as the durian, ramsuran and jackfruit. 4 Grazing lands. 5 Land which had been cultivated or built upon in the last three years. 6 Land with a particular sacred significance, for example, burial sites.

Notes 235 See M.C. Cleary, 'Plantation Agriculture and the Formulation of Native Land Rights in British North Borneo 1880-1930', The Geographical Journal, 158, 2 (July 1992) 172-4. 3 2 The felling of primary jungle and secondary jungle of more than five to six years' standing was prohibited, unless a fee of 50c per acre was paid. The headmen were responsible for collectin g the fees, and stood to be fined for every acre felled without permit. See Ian Black, A Gambling Style of Government, pp. 218-19. 33 ibid, pp. 217-18. 34 Cited in Porter, Land Administration in Sarawak, p. 39. 35 'Native Customary Law' (Excerpted from the newsletter of the Society for Christian Service), Borneo Research Bulletin, 22, 1 (April 1990): 48-53. 36 Land was divided into five categories: mixed zone land; native area land; native customary land; reserved land; and interior area land. Only the first two categories could be held under title and the Chinese could only own or occupy land under the first category. See also 'Native Customary Law', p. 51; Evelyne Hong, Natives of Sarawak: Survival in Borneo's Vanishing Forests (Penang: Institut Masyaraket, 1987) p. 43. 3 7 In 1939, the position of native Customary Law was formalised. In each community, the village councils were appointed to act on native land tenure and inheritance only. Village boundaries were defined and not demarcated and thus became native Communal Reserves. No additions were allowed without permission from the District Officer. Circular No. 12/1939 on Native Customary Tenure, cited in 'Native Customary Law', p. 51. For a more detailed treatment of the land laws, see A.F. Porter, Land Administration in Sarawak and Evelyne Hong, Natives of Sarawak, ch. 4. 3 8 For a fuller explanation of the Torrens land tenure system used in the Malay States and which provided the basis for the land tenure systems in Sabah and Sarawak, see Sudhir Kumar Das, The Torrens System in Malaya (Singapore: Malayan Law Journal, 1963); David Wong, Tenure and Land Dealings in the Malay States (Singapore: Singapore University Press, 1975). 39 See for example, Derek Freeman, Iban Agriculture: A Report on the Shifting Cultivation of Rice by the Iban of Sarawak (London: HMSO, 1955); J. Rousseau, 'Kayan Agriculture', Sarawak Museum Journal, 25 (1977): 129-56; R.A. Cramb and J. Dian, National Extension Project Baseline Studies (Kuching: Department of Agriculture, 1979); M.C. Cleary and Peter Eaton, Borneo: Change and Development (Singapore: Oxford University Press, 1992). See below the section on land settlment schemes. 40 Ian Black, A Gambling Style of Government, pp. 130-31. The import duty was 20c per pikul. 41 See MacFadzean's Report on North Borneo, encl. in CO. 531/31/1, File #167817, p. 7. 42 ibid., p. 140. This does not imply regular cultivation; often two or three year fallows were observed between consecutive crops.

236 Notes 43 See Robert Pringle, Rajahs and Rebels: The Ibans of Sarawak under Brooke Rule, pp. 117-25. 44 Henry Longhurst, The Borneo Story: The First Hundred Years of the Borneo Company Limited, pp. 60-61. 45 The Melanaus chopped the sago logs with a small wooden adze. The Borneo Company used steam engines to turn a nail studded drum for rasping the sago logs and mechanically shook the pith on trays flooded with water. After the Borneo Company gave up producing the flour the Chinese used a long nail studded plane to replace the adze formerly used to shed the sago palm to pith from which to extract the flour. 46 S. Baring-Gould and C.A. Bampfylde, A History of Sarawak under its Two White Rajahs, 1839-1908, p. 431. See also Spenser St. John, Rajah Brooke: The Englishman as Ruler of an Eastern State, pp. 211-12; Sarawak Gazette, 1 August 1923. For a detailed study of the sago industry, see H.S. Morris, Report on a Melanau Sago Producing Community in Sarawak (London: HMSO, 1953); H.S. Morris, 'The Decline of an Aristocracy: Economic and Political Change in Sarawak' in William A. Shack and Percy S. Cohen (eds), Politics in Leadership. A Comparative Perspective (Oxford: Clarendon Press, 1979) pp. 221-43. 47 Great Britian, Colonial Office, An Economic Survey of the Colonial Territories, Vol. 5, p. 141. 48 See, for example, British North Borneo Company Agreement with Baron von Stein, 31 December 1886 (CO. 874/62A); W.H. Treacher, 'British Borneo: Sketches of Brunei, Sarawak, Labuan and North Borneo', Journal of the Straits Branch, Royal Asiatic Society, 21 (June 1890) 82. 49 The lease conditions noted that 'should the cultivation prove successful, the Concessionaire shall find capital to plant tobacco on a large scale and be given the option of acquiring 15 000 acres of additional land', (CO 874/5). 50 All mineral rights as well as rights of navigation remained vested in the administration. The Company also reserved access to jungle products such as rattans and birds' nests. 5 1 For an account of tobacco cultivation in North Borneo, see David H. John and James C. Jackson, 'The Tobacco Industry of North Borneo: A Distinctive Form of Plantation Agriculture', Journal of Southeast Asian Studies, Vol. IV, No. 1 (1973): 88-106. See also British North Borneo Herald, June 1929 (The Borneo Planter of Yore'); L.W.W. Gudgeon, British North Borneo (London: Adam and Charles Black, 1913) pp. 46-58; K.G. Tregonning, A History of Modern Sabah, pp. 85-88; Annual Report North Borneo, 1929, p. 7, CO 874/59A. 52 In the Federated Malay States, rubber producers were liable to a 2.5 per cent duty on gross value, see Voon Phin Keong, Western Rubber Planting Enterprise in Southeast Asia (Kuala Lumpur: University of Malaya Press, 1979) p. 145; see also pp. 108-14. 53 North Borneo Rubber Commission, Report of the North Borneo Rubber Commission (Singapore: Government Printer, 1949) p. 4. 54 Amarjit Kaur, "Hantu and Highway: Transport in Sabah 1881-1963', 27.

Notes 237 55 North Borneo Rubber Commission, Report of the North Borneo Rubber Commission, p. 4. The following statistics were compiled by the Rubber Commission: Planted up to 1924 Planted after 1924 New Plantings 1939- Holdings over 100 acres 49 442 21 426 3 322 Holdings under 100 acres 13 848 41 924 3010 Total 63 290 63 350 6332 132972 56 The royalty was on a sliding scale rising from 0.5 per cent of the value of the rubber when the price was under 30 cents (8s. 4d.) per lb. A rebate of royalty was made when the price was under 20 cents (5s. 6d.) per lb., provided such rebate was claimed within three months of export. Handbook of the State of North Borneo, 1934, p. 69. 57 See Amarjit Kaur, 'Hantu and Highway: Transport in Sabah', 29-31. 5 8 North Borneo Rubber Commission, Report of the North Borneo Rubber Commission, p. 4. 59 ibid., p. 9. 60 North Borneo Administration Report, 1929, p. 6; 1934, p. 6. 61 Great Britain Colonial Office, An Economic Survey of the Empire, Vol. 5, p. 120; see also D.H. Urquhart, British North Borneo: A Review of the Colony with special reference to Agricultural Development and Opportunities for Investment in Agricultural Enterprise (Bournville, UK: Cadbury Brothers Ltd, 1959) p. 17. 62 Order of 3 January 1876, cited in H.F. Porter, Land Administration in Sarawak, pp. 38-9. 63 See H. Longhurst, The Borneo Story, p. 65; see also W.H. Treacher, 'British Borneo: Sketches of Brunei, Sarawak, Labuan and North Borneo', Journal of the Straits Branch of the Asiatic Society, 21 (June 1890): 25-28. S. Baring-Gould and C.A. Bampfylde, A History of Sarawak, pp. 431-36; D. Chew, Chinese Pioneers on the Sarawak Frontier, 1841-1941, pp. 44-7. 64 See G. Dalton, 'Pepper growing in Upper Sarawak', Sarawak Museum Journal, 1, 2 (1912) 55. See also James C. Jackson, Sarawak: A Geographical Survey of a Developing State (London: University of London Press, 1968) pp. 98-104. 65 See E. Hose, 'Notes from the Old Days', Sarawak Museum Journal, 10, 17-18 new series (1961) 108-10; R.E. Tremeer, 'The Early History of Rubber Planting in Sarawak, 1880-1910', Sarawak Gazette, 21 March 1964. 66 James Brooke to F.C. Johnson, June 1848, cited in N. Tarling, The Burthen, The Risk and The Glory: A Biography of James Brooke (Kuala Lumpur: Oxford University Press, 1982) p. 115. See also R.E. Tremeer, 'The Early History of Rubber Planting in Sarawak 1880-1910'. 67 Sarawak Gazette, 16 August 1909 and 1 October 1909; A.F. Porter, Land Administration in Sarawak, p. 47; Annual Report Sarawak, 1951, p. 29.

238 Notes 68 Robert Pringle, Rajahs and Rebels, pp. 203-05; Sarawak Administration Report 1935, p. vi. 69 R.A. Cramb, 'The Impact of the Japanese Occupation on Agricultural Development in Sarawak.' (University of Queensland Agricultural Economics Discussion Paper, 1993) p. 17. 70 See, for example, Annual Report, Department of Trade and Customs, 1926, pp. 1-3. 71 Editorial, Sarawak Gazette, 1 December 1887. 72 E. Parnell, 'Sarawak - Its Resources and trade', Sarawak Gazette, 1 June 1923. 73 The detailed rubber census undertaken in 1938 showed that all 'natives' including Muslims and pagans, owned 76,940 rubber holdings, totalling 101 000 acres while non-natives (Chinese and Europeans) owned 17 910 holdings, totalling 127 000 acres. Only 5 per cent of Sarawak's total rubber acreage was held by large estates. Sarawak, Report on the Rubber Survey and Assessment (Kuching: Government Printer, 1938), Appendix D, cited in R. Pringle, Rajahs and Rebels, p. 338. 74 Annual Report, Department of Trade and Customs, 1926, p. 3. 75 T.C. Martine, 'History of Borneo Company Limited' from 'Notes written to me when in Singapore (Changi Gaol) 1943-44'. Some of the Residents and District Officers were opposed to participation in the scheme. See E.H. Digby, Lawyer in the Wilderness, p. 32. 76 Sarawak Gazette, 1 June 1934. 77 See Daniel Chew, Chinese Pioneers on the Sarawak Frontier, pp. 173 74. 78 E.H. Digby, Lawyer in the Wilderness, p. 32; see also Sarawak Gazette, 2 May 1938. 79 Sarawak Gazette, 2 May 1938. 80 See Robert Reece, The Name of Brooke: The End of White Rajah Rule in Sarawak (Kuala Lumpur: Oxford University Press, 1982) pp. 54-57. 8 1 For a further discussion of this subject, see Amarjit Kaur, 'The Babbling Brookes: Economic Change in Sarawak 1841-1941', Modem Asian Studies, 29, 1 (1995): 65-109. 82 According to one informant from the Skarang district in the Second Division, her father employed about twelve Chinese tappers on his rubber gardens in the 1950s. He was then able to send his children to mission schools in Kuching. For a detailed study on the commercialisation of Iban agriculture see Robert Cramb, 'The Commercialization of Iban Agriculture' in R.A. Cramb and R.H.W. Reece (eds), Development in Sarawak: Historical and Contemporary Perspectives (Monash: Centre for Southeast Asian Studies, 1988) pp. 105-34. 83 See, for example, F.L. Dunn, Rainforest Collectors and Traders: A Study of the Resource Utilization in Modern and Ancient Malaya (Kuala Lumpur: MBRAS Monograph, 1975); Wang Gungwu, 'The Nanhai Trade: A study of the early history of Chinese trade in the South China Sea', JMBRAS, 31, 2 (1958): 1-135; P. Wheatley, Impressions of the Malay Peninsula in Ancient Times (Singapore: Eastern Universities Press,

Notes 239 1964); O.W. Wolters, Early Indonesian Commerce (Ithaca, N.Y.: Cornell University Press, 1967). 84 F.W. Burbidge, The Gardens of the Sun. A Naturalist's Journal of Borneo and the Sulu Archipelago (Singapore: Oxford University Press, 1991) p. 68. 85 S. Baring-Gould and C.A. Bampfylde, A History of Sarawak under Two White Rajahs: 1839-1908, p. 376. [First published in 1909] 86 Amarjit Kaur, 'The Babbling Brookes: Economic Change in Sarawak, 1841-1941', p. 94. 87 K.G. Tregonning, A History of Modern Sabah 1881-1963, p. 84. 88 Handbook of the State of North Borneo, 1920, p. 59. Between 1852-53, some 26 per cent of all the trade between Borneo and Singapore was made up of just two products, sago and gutta percha. By 1865-66, the figure for these two products was 56 per cent. Wong Lin Ken, 'The Trade of Singapore 1819-1869', JMBRAS, 33, 4 (1960) 90-1; 220-1. 89 H.G. Keith, Forestry in the State of North Borneo: A statement prepared for the Fourth British Empire Forestry Conference (South Africa) 1935 (Sandakan: Conservator of Forests, 1935) p. 12. 90 For a detailed account of the types of timber, see D.M. Matthews, British North Borneo Forests, Opportunities for Lumber Investment, Forestry Department, Bulletin No. 2 (Sandakan: Government Printer, 1910); H.G. Keith, The Timbers of North Borneo, Bulletin No. 1 (Sandakan: Government Printer, 1954). 91 Memoranda presented to the general council by order of H.H. the Rajah, Kuching, Sarawak, 17 October 1927, Supplement to the Sarawak Gazette, 1 November 1927, p. viii. 92 Sarawak Annual Report 1951, p. 5. 93 Memoranda presented... by Order of H.H. the Rajah, 17 October 1927, p. vi. 94 Annual Report Forest Department, Sarawak, 1939, p. 1. 95 B.E. Smythies, 'History of Forestry in Sarawak', Sarawak Gazette, 30 September 1961, 169; Memoranda presented... by order of H.H. the Rajah, 17 October 1927, pp. vi-viii. 96 In the 1930s, Great Britain became an important market for Sarawak timber. B.E. Smythies, 'History of Forestry', 167-9. 97 To quote Cyril Le Gros Clark, a senior Brooke official: 'There is a necessity of restricting the Dayak in his agricultural movements both for his own sake and for the sake of the valuable timber which he is destroying...', The Blue Report (Kuching: Government Printer, 1935) p. 30. 98 B.E. Smythies, 'History of Forestry', p. 169. Le Gros Clark recommended forest reserves of 10 per cent (4500 square miles) to 'ensure an adequate supply of good timber and to supply the necessary forest values to protect catchment areas', The Blue Report, pp. 30-1. 99 See Robert Reece, The Name of Brooke, p. 54-7. 100 See Robert Cramb, 'The Commercialization of Iban Agriculture'; R. Cramb and I.R. Willis, 'The Role of Traditional Institutions in Rural

240 Notes Development: Community-Based Land Tenure and Government Land Policy in Sarawak, Malaysia', World Development, 18, 3 (1990) 350-1. 101 According to K. Kitto: Village Committees were formed and instructed by government to 'ascertain the extent of the lands over which their communities claim customary rights. To these lands were added areas of virgin jungle to allow for future needs... These areas were looked upon as fixed native communal reserves...' K. Kitto, 'Customary Land Tenure', Sarawak Gazette, 78 (1952): 91-93; B.E. Smythies, 'Forestry in Sarawak', p. 170. These amendments were based on Le Gros Clark's recommendations in The Blue Report, pp. 30-2. 102 See Amarjit Kaur, 'Hantu and Highway: Transport in Sabah 1881-1963', pp. 12-17; David H. John and James C. Jackson, 'The Tobacco Industry of North Borneo: A Distinctive Form of Plantation Agriculture': 88-106. 103 See 'Report by A. Cook on the timber resources of British North Borneo', encl. in Handbook of the State of North Borneo, 1890, pp. 72-5; North Borneo Central Archives, file #1424. 104 W.R. Crocker, 'Report on British North Borneo', November 1887 (Sandakan: North Borneo), p. 3. British North Borneo Chartered Company Handbook, 1886, pp. 59-88; see also Statistical Appendix. 105 Cited by Le Gros Clark in The Blue Report, p. 30. 106 H.G. Keith, Forestry in the State of North Borneo, p. 12; see also David W. John, 'The Timber Industry and Forest Administration in Sabah under Chartered Company Rule', Journal of Southeast Asian Studies, 5, 1 (1974) 60-1. 107 See F.W. Foxworthy, The Timbers of North Borneo; See also D.M. Matthews, British North Borneo Forests: Opportunities for Lumber Investment. The Forestry Department's system of strip survey reconnaissance (suitable for use in the tropics) was developed by British North Borneo's forestry officers who had done forest reconnaissance in the Philippines. F.W. Foxworthy, 'Forest Reconnaissance in Malaya', Empire Forestry Journal, Vol. 3, (1924): 78-86. 108 'History of Inception of the British Borneo Timber Company Ltd' in Timber Memorandum of the BBT, pp. 1-2. [Sabah State Archives] 109 This was 74 294 acres, Annual Report Forest Department, North Borneo, 1930, p. 19. 110 Annual Report Forest Department, North Borneo, 1939, p. 22. 111 See Daniel Chew, Chinese Pioneers on the Sarawak Frontier, chs 4-6; See also Amarjit Kaur, 'The Babbling Brookes: Economic Change in Sarawak 1841-1941', pp. 72, 101. Chapter 4 Economic Frameworks, Policies and the State 1 C.A. Fisher, South-East Asia: A Social, Economic and Political Geography (London: Methuen & Co., 1964) pp. 622-23. For detailed

Notes 241 descriptions of the rivers, see ISIS Report on North Borneo (Sarawak, Brunei, Labuan, British North Borneo) (Great Britain: Inter-service Topographical Department, December 1944). [Arkib Sabah] 2 See Amarjit Kaur, 'The Babbling Brookes: Economic Change in Sarawak 1841-1941', pp. 73-77. 3 See, for example, Lucas Chin, 'Archaeological Work in Sarawak', Sarawak Museum Journal, 23, 44 (1975): 1-7; Tom Harrisson, 'Gold and Hindu Influences in West Borneo', Journal of the Malaysian Branch of the Royal Asiatic Society, 22, 4 (1944): 33-110. 4 See, for example, William Hornaday, Two Years in the Jungle (London: K. Paul Trench, 1885) pp. 342-43; R. Mundy, Narrative of Events in Borneo and Celebes, down to the Occupation of Labuan: From the Journals of James Brooke Esq, Vol. 1 (London: John Murray, 1848): 263-64; Hugh Low, Sarawak; Its Inhabitants and Productions: Being Notes during a Residence in that Country with H.H. The Rajah Brooke (London: Bentley, 1848; reprinted Singapore: Oxford University Press, 1988) pp. 135-36. 5 See, Daniel Chew, Chinese Pioneers on the Sarawak Frontier 1841-1941, chs 4-6; Hedda Morrison, 'Jungle Journeys in Sarawak', National Geographic Magazine, 109, 5 (1956): 719-21; A.B. Ward, Rajah's Servant, Cornell University Southeast Asia Program Data Paper No. 62 (Ithaca, New York: Cornell University Press, 1966) p. 27. 6 Annual Report Sarawak 1951, p. 5. 7 For a history of the Straits Steamship Company Limited, see K.G. Tregonning, Home Port Singapore: A History of the Straits Steamship Company Limited (Singapore: Oxford University Press, 1967). 8 See, for example, Annual Report Department of Trade and Customs, Sarawak, 1926, p. 3. 9 See K. Tregonning, 'A History of the Straits Steamship Company - Sarawak', Sarawak Gazette, 28 February 1965; K. Tregonning, Home Port Singapore, 122-35; see also Sarawak Gazette, 1 February 1897, 1 September 1899. 10 See Sarawak Gazette, 1 July 1922, 12 April 1951; Administration Report Sarawak, 1935, p. 30; see also E.H. Digby, Lawyer in the Wilderness, Southeast Asia Program Data paper No. 114 (Ithaca, New York: Cornell University Press, 1980) p. 13. 1 1 Sarawak Gazette, 12 April 1951. 12 Sarawak Gazette, 16 April 1912. 1 3 A. Moy Thomas, 'The Sarawak Government Railway', Sarawak Gazette, 31 October 1959 and letter to the Editor dated 14 October 1960 in Sarawak Gazette, 31 October 1960; see also Sarawak Gazette, 17 May 1915. 14 Handbook of the State of North Borneo, 1929, pp. 88-89; K.G. Tregonning, Home Port Singapore, pp. 99-121. 15 L.W.W. Gudgeon, British North Borneo (London: Adam and Charles Black, 1913) pp. 36-37. 16 Amarjit Kaur, 'Hantu and Highway: Transport in Sabah 1881-1963', 15, Table 1.

242 Notes 17 ibid., 18. 18 ibid, 23, Table 3. 19 ibid., 24. 20 Owen Rutter, British North Borneo. An Account of its History, Resources and Native Tribes (London: Constable and Co., 1922) p. 20; see also Owen Rutter, The Travels of Tiadatha (London: T. Fisher Unwin, 1922) pp. 55-57. 21 Ian Black, A Gambling Style of Government, p. 226. 22 North Borneo Central Archives, File #463, Memo dated 19 October 1935. 23 North Borneo Central Archives, File #834, 'Bridle Paths in the Interior'; Handbook of the State of North Borneo, 1929, pp. 87-88. Apart from these two sections, two paths led off in a westerly direction to Bundu Tuhan on the slopes of Kinabalu. Bundu Tuhan in turn was connected with the coast by a path proceeding via Tenumpuk to Usukan, a small port north of Jesselton. Jesselton was linked with Tuaran and the Marudu Bay district. 24 North Borneo Central Archives, File #112, Memo on 'Maintenance of Bridle Paths', 15 May 1928. 25 Handbook of the State of North Borneo, 1890, p. 117. 26 Annual Report of the Interior Residency for 1931 (encl. in Administration Report North Borneo, 1931) p. 4. 27 North Borneo Central Archives, File #1110, 'Road and Bridle Path'. J.L. Humpreys, 'Memorandum on a ten-year scheme for Road and Path Construction in North Borneo', 7 April 1927. 28 Cited in Ian Black, A Gambling Style of Government, p. 58. 29 ibid., p. 56. 30 ibid., p. 56. 31 ibid., p. 58. 32 See Oscar Cook, Borneo: The Stealer of Hearts (London: Hurst and Blackett, 1924) p. 270. 33 Amarjit Kaur, 'The Babbling Brookes: Economic Change in Sarawak 1841-1941', Modern Asian Studies, 29, 1, (1995): 65-109. 34 Sarawak Gazette, 1 February 1898. 35 E.H. Digby, Lawyer in the Wilderness, p. 20. 3 6 See Steven Runciman, The White Rajahs: A History of Sarawak from 1841 to 1946. (Cambridge: Cambridge University Press, 1960) p. 164. 37 Cited in Robert Payne, The White Rajahs (London: Robert Hall, 1960) p. 179 38 See, for example, John M. Chin, The Sarawak Chinese (Kuala Lumpur: Oxford University Press, 1981); Craig Lockard, From Kampung to City: A Social History of Kuching Malaysia 1820-1970. (Athens, Ohio: Ohio University Monographs in International Studies, Southeast Asia Series, No. 75, 1987); Daniel Chew, Chinese Pioneers on the Sarawak Frontier 1841-1941. 39 Letter of Rajah Charles Brooke, 14 February 1895, p 231: see also

Notes 243 Sarawak Gazette, 1 June 1882 and 11 December 1887. 40 Sarawak Gazette, 11 December 1887. 41 W.J. Chater, Sarawak Long Ago. (Kuching: Borneo Literature Board, 1969) quoted in John M. Chin, The Sarawak Chinese, pp. 56-57. 42 590 Dayaks were included in this figure. Sarawak Gazette, 1 June 1922. 43 'Report on the Indian Immigration Department, December 1897' in Sarawak Gazette, 1 February 1898. 44 Sarwak Gazette, 1 March 1899. The Indian government allowed Tamil labour migration to Sarawak in 1896, see Sarawak Gazette, 1 May 1856. 45 Sarawak Gazette, 2 November 1886; see also Daniel Chew, Chinese Pioneers, p. 185. 46 Sarawak Gazette, 1 June 1900. The kangani was an Indian labour recruiter who signed up men and women from his own village in India and was paid a commission for each labourer. This system of assisted labour recruitment was regarded as a 'free' labour system. 47 Order No. V, 1900, Sarawak Gazette, 2 April 1900. 48 Order dated 27 June 1876, cited in Sarawak Gazette, 1 February 1894. 49 Sarawak Gazette, 3 January 1928. 50 See Daniel Chew, Chinese Pioneers, pp. 204-5. The Protector of Labour was also the Secretary for Chinese Affairs. E.H. Digby, Lawyer in the Wilderness, pp. 33. 5 1 Digby, Lawyer in the Wilderness, pp. 33. 5 2 Sarawak Administration Report 1935, p. 29. 5 3 ibid. 54 F.H. Rowe, 'Extracts from a Report on British North Borneo Petroleum Production, Resources and Industry', Sarawak Gazette, 31 July 1958. 55 Handbook of the State of Sarawak, 1949, p. 125. 5 6 Report by A. Cook on the timber resources of British North Borneo, end., in Handbook of the State of North Borneo 1890, pp. 72-5. 5 7 'The British North Borneo Company: Report on Immigration and the Formation of Chinese Companies' end. in NBCA File #1135-34; see also K.G. Tregonning, A History of Modern Sabah, pp. 130-1. 5 8 Tregonning, A History of Modern Sabah, p. 34. 59 See note 33 above. 60 See W.H. Treacher, 'British Borneo: Sketches of Brunei, Sarawak, Labuan and North Borneo', Journal of the Straits Branch, Royal Asiatic Society, 21 (June 1890): 76-80; Owen Rutter, British North Borneo: An Account of its History, Resources and Native Tribes, pp. 249-253. 61 In 1889, the mortality rate in one case was 29.13 per cent and in 9 others, over 10 per cent. See Ian Black, A Gambling Style of Government, pp. 112-116. 62 ibid, p. 115. 63 Tregonning, A History of Modern Sabah, p. 134. 64 British North Borneo Herald, 1 April 1901. 65 Great Britain, Inter-service Topographical Department, Report on

244 Notes British North Borneo - Railways, Oct 1944, p. 1. 66 Handbook of the State of North Borneo 1934, p. 69. (Rubber Report 1949). 67 Tregonning, A History of Modern Sabah, p. 142-143. 68 See North Borneo: Correspondence on the Subject of Allegations Against the Administration of the British North Borneo Company [Command Paper 1060]. 69 Tregonning, A History of Modern Sabah, pp. 145-6. 70 ibid., pp. 144-146. 71 Black, A Gambling Style of Government, p. 199. 72 ibid, p. 198. 73 Tregonning, Modern Sabah, p. 146. 74 Report of the North Borneo Rubber Commission (Singapore: Government Printer, 1949) p. 16. 75 NBCA File #1135/34. 76 NBCA File #1126. 77 c.f. John S. Furnivall, Colonial Policy and Practice: A Comparative Study of Burma and Netherlands India (New York : New York University Press, 1956) p. 77; James C. Scott, The Moral Economy of the Peasant Rebellion and Subsistence in Southeast Asia (New Haven: Yale University Press, 1976) p. 94. 78 In 1880 a Singapore newspaper report commented that the Brooke administration spent less than one dollar per head of population compared with between $6 and $19.46 in the various Malay states under British rule. Amarjit Kaur, 'The Babbling Brookes: Economic Change in Sarawak 1841-1941', 107; See also D.K. Basset, 'The British Colonial Legacy in South-East Asia c.1941', in D.K. Basset and V.T. King (eds), Britain and South-East Asia (Hull: University of Hull Centre for South- East Asian Studies, 1986), Occasional Paper No. 13: 29-47. 79 Tregonning, Modern Sabah, p. 68. 80 During the Great Depression, the Company unsuccessfully canvassed the possibility of the territory being taken over by the Straits Settlements. However, the Straits government would not undertake the additional cost of administering Sabah and regarded the economies of the two territories as competitive rather than complementary. (CO 531/24/2) Chapter 5 Britain Sabah and Sarawak, 1946-63 1 See for example, R.A. Cramb, The Impact of the Japanese Occupation on Agricultural Development in Sarawak. (Brisbane: Department of Agriculture Discussion Paper, 1993) pp. 1-8. 2 See K.G. Tregonning, A History of Modern Sabah, pp. 216-217; M.H. Baker, Sabah: The First Ten Years as a Colony 1946-1956 (Singapore: Malaysia Publishing House, 1965) p. 29. 3 See Bob Reece, The Name of Brooke, pp. 47, 75-6, 122; Nicholas Tarling, 'Britain and Sarawak in the Twentieth Century', JMBRAS, 43, 2

Notes 245 (1970) 42-4. 4 See for example, James Ongkili, The Borneo Response to Malaysia, 1961-1963 (Singapore: Donald Moore Press, 1967). 5 K.G. Tregonning, A History of Modern Sabah, p. 222. The Borneo territories had been included in an earlier plan for merger with the Malay states but they were subsequently excluded because they presented added complications to the Malayan Union Scheme. 6 Human Relations Area Files (HRAF), North Borneo Brunei Sarawak (British Borneo) (New Haven: Human Relations Area Files, 1956) p. 61. 7 See E.W. Ellison, North Borneo: Reconstruction and Development Plan for North Borneo 1948-55 (Jesselton, 18 February, 1948) typescript, p. i. 8 See McFadzean's Report on Sarawak: Details of economy, welfare and development, included in CO 938/1/6 #16817, dated 5/11/46. 9 See A. Morrison 'Development in Sarawak', p. 38. 10 See E.W. Ellison, North Borneo Reconstruction and Development. Plan for North Borneo 1948-55; see also P.S. Gudgeon, 'Economic Development in Sabah', p. 205. 11 Brunei will not be dealt with here except in so far as it had common administrative arrangements. 12 Vyner Brooke enacted a new constitutional ordinance in 1941 which abrogated his absolute powers and established a Council Negeri. In exchange he took $2 million. Amarjit Kaur, 'The Babbling Brookes', p.109. 13 For further details on membership of the Council Negeri and its functions under Crown rule, see HRAF, North Borneo Brunei Sarawak, pp. 64-4. 14 ibid., pp. 63-64. 15 ibid., p. 65. 1 6 For detailed information see, HRAF, North Borneo Brunei Sarawak, Ch. VI, pp. 69-89. 17 With the exception of currency, all the others will be dealt with separately under specific state policies. 18 The commissioners comprised the two financial secretaries of the Federation of Malaya and Singapore, one commissioner appointed jointly by the Governors of Sarawak and Sabah and the resident in Brunei, and two commissioners appointed by the five participating governments acting jointly. 1 9 See HRAF, North Borneo Brunei Sarawak, pp. 134-7. 20 HRAF, North Borneo Brunei Sarawak, p. 147. 21 See Sarawak Natural Resources Board, The Natural Resources of Sarawak (Kuching: Government Printer, 1952); Annual Report North Borneo, 1961, p. 204. 22 HRAF, North Borneo, Brunei, Sarawak, p. 138. 23 Funds for the loan came from proceeds of sales from Japanese assets, ibid.

246 Notes 24 For example, a 500 000 loan from Brunei in the form of an intercolonial loan was used to finance public utilities in Sabah and to buy out the monopoly rights of the British Borneo Timber Company. Peter Spence Gudgeon, 'Economic Development in Sabah 1881-1981', p. 206. 25 Annual Report North Borneo, 1961, p. 181. In 1962 the Director of Geological Survey was made Chief Inspector of Mines in Sarawak, Annual Report Sarawak, 1962, p. 121. 26 Colonial Office, An Economic Survey of the Colonial Territories, Vol V The Far Eastern Territories. The Federation of Malaya, Singapore, Hong Kong, Brunei, North Borneo and Sarawak (London: HMSO, 1955) p. 142. In October 1962, the Mining (Amendment) Ordinance was enacted. It provided for the issue of mining rights below land where surface rights were not also required. Although safeguards for native rights remained unchanged, the amendment did away with the requirement to investigate and record all native rights before an exclusive prospecting licence could be issued. General prospecting licences were also made applicable to the whole of Sarawak, except for land on which no prospecting was permitted or which was the subject of a mining lease or exclusive licence. A further amendment was that the Director of Geological Survey also became Chief Inspector of Mines. Other amendments covered underground mining, especially of coal. Annual Report North Borneo, 1962, pp. 120-1. 27 Colonial Office, An Economic Survey of the Colonial Territories, Vol. 5, p. 143. 28 Annual Report Sarawak, 1959, p. 82. Gold was sold locally at $122 per ounce compared to about $102 per ounce obtained for gold that was exported to Singapore. 29 Annual Report Sarawak, 1961, p. 75; Annual Report of the Geological Survey, Borneo Region Malaysia 1964 (Kuching: Geological Survey, 1965)' pp. 24-5. 30 E.W. Ellison, 'North Borneo: Reconstruction and Development Plan', p. 77; Annual Report North Borneo, 1961, p. 175. 31 Colonial Office, An Economic Survey of the Colonial Territories, Vol 5, p. 143. 32 Neville S. Haile, The Geology and Mineral Resources of the Strap and Sadong Valleys, West Sarawak, including the Klingkang Rang Coal, British Borneo Geological Survey, Memoir No. 1. (Kuching: Government Printer, 1954) pp. 51-83. In 1954 the estimated reserves totalled 4.76 million, ibid. 33 Annual Report Sarawak, 1962, p. 122; see also James C. Jackson, Sarawak: A Geographical Survey of a Developing State (London: University of London Press, 1968) pp. 141-4. 34 Annual Report Sarawak, 1962, pp. 121-22; Royal Institute of International Affairs (RIIA), Sarawak: The Political and Economic Background (Oxford: Chatham House, 1957), typescript, p. 16.

Notes 247 3 5 E.B. Wolfenden, 'Bauxite - Sarawak's Most Valuable Mineral', Malaya, (September, 1963): 16-18; James C. Jackson, Sarawak, pp. 150-1. 3 6 Colonial Office, An Economic Survey of the Colonial Territories, Vol. 5, p. 143. 37 Annual Report Sarawak, 1958, pp. 55-6; RIIA, Sarawak, p. 16. 3 8 Annual Report of the Geological Survey, 1964, pp. 10 and 29. 39 Annual Report North Borneo, 1961, p. 175. See also P. Collenette, The Coal Deposits and a Summary of the Geology of the Silimpopon area, Tawau District, Colony of North Borneo, British Borneo Geological Survey, Memoir No. 2 (Kuching: Government Printer, 1954). 40 Annual Report North Borneo, 1962, pp. 178-9. 41 In Sabah, all agricultural activities prior to World War Two had to come under the responsibility of the Conservator of Forests, reflecting the greater importance of the forest to the economy. E.W. Ellison, 'North Borneo: Reconstruction and Development Plan for North Borneo 1948-55', typescript, p. 40. 42 See Amarjit Kaur, Irrigation and Rice Cultivation in West Malaysia (Hull: Centre for Southeast Asian Studies, Univ. of Hull, 1992). By this time too, ground-nuts or peanuts had become popular and enthusiasm had waned for growing vast quantities of food and foodstuffs. See Annual Report Agricultural Department North Borneo, 1950, p. 1. 43 Annual Report North Borneo, 1950, p. 22; 1954, p. 5. 44 See, for example, James C. Jackson, Sarawak, p. 85. In Sabah, these schemes added about 20 000 acres to the wet padi area and around 10 000 tons per annum to the domestic production of rice. P.S. Gudgeon, 'Economic Development', p. 234. 45 Sarawak Development Plan, 1964-68, p. 35. 46 E.E. Cheeseman, Report on Potentialities for the Cultivation of Cocoa in Malaya, Sarawak and North Borneo (London: HMSO, 1948) p. 11. See also, D.H. Urquhart, British North Borneo: A Review of the Colony with special reference to Agricultural Development and Opportunities for Investment in Agricultural Enterprise (Bournville: Cadbury Brothers Ltd., 1959); Annual Report North Borneo, 1951, p. 35. 47 North Borneo Development Plan, 1959-1964, p. 9; see also, Amarjit Kaur, 'The Origins of Cocoa Cultivation in Malaya', JMBRAS, 68, 1 (1995): 67-80. 48 North Borneo Development Plan, 1959-1964, p. 9. 49 Sarawak Development Plan, 1964-1968, p. 22. 50 See Annual Report Sarawak, 1962, pp. 110-11; Annual Report North Borneo, 1956, p. 11. 5 1 Annual Report Sarawak, 1962, p. 111. 52 Annual Report North Borneo, 1955, pp. 8-11; 1956, pp. 52-3. 5 3 North Borneo Rubber Commission, Report of the North Borneo Rubber Commission (Singapore: Government Printer, 1949) p. 1. The members of the commission comprised three Europeans and one Malay. The commission was later to remark that a Chinese member ought to have been included, given the investment in rubber by Chinese smallholders.

248 Notes 54 Annual Report North Borneo, 1950, pp. 3, 22-23; 1952, pp. 44-45. Progress was slow in this area. In 1953, only 10 per cent of the total area under rubber was planted with high yielding material, Annual Report North Borneo, 1953, p. 49. 55 M.H. Baker, Sabah: The First Ten Years as a Colony 1946-1956 (Singapore: Malaya Publishing House, 1962) pp. 107-08. There was considerable opposition to the scheme principally because it required more labour, at a time when there was a labour shortage in the state, ibid. 56 Annual Report Department of Agriculture, North Borneo, 1956, p. 2. 57 Annual Report North Borneo, 1957, pp. 49-50. 58 The grants were $200 per acre for those engaged in new planting and $450 per acre for those involved in replanting. Annual Report Department of Agriculture, Sarawak, 1957, p. 27. 59 James C. Jackson, Sarawak, pp. 92-3. 60 ibid., p. 94. 61 ibid., p. 94. 62 By the end of 1962, loans totalling $289 228 had been issued. Annual Report Sarawak, 1962, p. 111. 63 Annual Report North Borneo, 1961, p. 52. 64 Under this scheme, farmers were encouraged to open up new lands for cultivation and to adopt improved farming methods. The scheme emphasised the construction of minor field drains and bunds on a selfhelp basis under the supervision of staff from the Department of Agriculture. A small subsidy in the form of construction materials was provided to each participant. 65 Annual Report Sarawak, 1962, pp. 76-7. 66 This included agriculture, forests and fishing, Annual Report Sarawak, 1962, p. 72; Annual Report North Borneo, 1961, p. 25. 67 Annual Report Forest Department, Sarawak, 1946, pp. 8-9. 68 Annual Report Forest Department, North Borneo, 1952, p. iii. 69 This termination cost the state dearly because a loan of M$6 144 000 had to be floated to cover the cost of compensating the BBT for its monopoly, in addition to covering the costs of other minor related expenditure. HRAF, North Borneo Brunei Sarawak, pp. 147-8. 70 Annual Report, North Borneo 1956, p. 27. 71 Annual Report North Borneo, 1957, p. 28. See also North Borneo 1954 to 1959 (Jesselton: Government Printer, 1960) p. 54. 72 The main timber companies in Sarawak were the Bombay Burmah Trading Company; Colonial Timber Company (previously known as the British Milling and General Trading Company); Borneo Australia Timber Company, Borneo Company, Borneo Timber Company, Song Timber Company (a subsidiary of Colonial Timber Company); Sarawak Company (previously the Island Trading Company); Montague L. Meyer Limited; Soriano & Cia (a large company with logging interests in the Philippines and elsewhere); and the Limbang Trading Company. The last company is owned by the current Minister (1997) for the Environment and Tourism in Sarawak, Datuk Amar James Wong.

Notes 249 73 Montague L. Meyer Limited withdrew its operations almost immediately. 74 Annual Report Forest Department North Borneo, 1952, pp. 4-5. 75 The long-term licensees claimed that their production costs were higher because they utilised mechanisation and hired European staff to run their operations. See Edwin Lee, The Towkays of Sabah (Singapore: Singapore University Press, 1976) pp. 5, 15-23. 76 Legislative Council Paper No. 34 of 1955, Timber Industry (Jesselton: Government Printer 1955). 77 Some of the annual licence holders included Europeans and natives. 78 North Borneo News and Sabah Times, 29 June 1956. See also M.A. Baker, Sabah: The First Ten Years as a Colony, 1946-1956, pp. 90-5. 79 Annual Report Forest Department, North Borneo, 1957, p. 9. 80 Annual Report Forest Department, North Borneo, 1961, p. iv. 8 1 Annual Report Forest Department, Sarawak, 1946, pp. 8-9. 82 Annual Report Forest Department, Sarawak, 1956, p. 15. Another organisation formed by the Chinese was the Sarawak First and Second Division Sawmillers' Association. This was not a business organisation but was formed to discuss common problems, ibid. 8 3 See Appendices 1 and 2. 84 ibid. 85 The high-lead system involved the use of sky-line wires. 86 For an interesting account of timber extraction methods, see G.S. Brown, 'Timber Extraction Methods in North Borneo', Malayan Forester, 18, 3 (1955): 121-32. In Sarawak, extraction by locomotive was made a condition of long-term licences issued for forests. Annual Report Forest Department, Sarawak, 1950, p. 6. 87 Annual Report Forest Department, Sarawak, 1959, pp. 8-9. 88 Annual Report Forest Department, Sarawak, 1953, p. 1. 89 J.R. Sargent, Report on Transport Requirements in the light of Economic Development in North Borneo (Council Paper No. 17 of 1960) (Jesselton: Government Printer, 1960) p. 1. 90 See, for example, Annual Report Forest Department, North Borneo, 1953, p. 6. 9 1 The Filipinos were employed as labourers by the Kenya and Bakau Extract Company. The bark was used in the manufacture of native liquors in the Philippines, Annual Report Forest Department, North Borneo, 1954, p. 8. 92 Annual Report Forest Department, Sarawak 1962, p. 10. 93 Cited in Sarawak Forest Department, 'Forest Resources of Sarawak', Malaysian Forester, 41, 2 (1978) 99. [Proceedings of the ASEAN Seminar on Tropical Rainforest Management, Kuantan, November 1977.] Similar legislation was also in force in Sabah. 94 Annual Report Forest Department, North Borneo 1963, p. liv; see Peter Spence Gudgeon, 'Economic Development in Sabah', p. 232. 95 Japan's share in the timber trade of Sabah rose from 12.6 per cent in

250 Notes 1951 to 36.2 per cent in 1955, 64.7 per cent in 1960 and 80.8 per cent in 1963, P.S. Gudgeon, 'Economic Development in Sabah', p. 232. 96 See McFadzean's 'Report on Sarawak: Details of economy welfare, and development'; E.W. Ellison, 'North Borneo. Reconstruction and Development Plan for North Borneo 1948-55', pp. 22-3; see also Memorandum on Communications in Sarawak, end. in CO. 938/6/6, File #58534/8/1951. 97 See Memorandum on Communications in Sarawak, end. in CO. 938/6/6, File # 58534/8/1951. 98 The allocations were as follows: M$ 6 000 000 on agriculture M$12 900 000 on transport and communications M$ 1 700 000 on fuel and power M$ 18 000 000 on social services RIIA, Sarawak, p. 19. 99 14 per cent was allocated to agriculture, forestry, fuel and power and geological survey and 25 per cent to social services, including education, health and housing schemes, ibid. 100 RIIA, Sarawak, p. 20. 101 Annual Report Sarawak, 1962, pp. 251-4; Sarawak Gazette, 31 May 1962; 31 October 1962. 102 Sarawak Development Plan 1964-68 (Kuching: Government Printer, 1963). 103 Sarawak Information Bureau, Information on Sarawak (Kuching: Borneo Literature Bureau, 1960) p. 64. 104 Annual Report Sarawak, 1961, p. 148. 105 A large fleet of small ten-seater buses providing public passenger services (known as 'mosquito buses') expanded rapidly between 1946-52 and, in the Kuching area alone increased from 57 to 257 during this period. Annual Report Sarawak, 1962, p. 254. 106 Annual Report Sarawak, 1962, pp. 249-50. In 1948, 17 vessels called at Tanjung Mani alone to load timber. By 1962, the number had risen to 334 vessels, ibid., p. 249. 107 See Amarjit Kaur, 'Transport and the Sarawak Economy, 1841-1983', Borneo Research Bulletin, 25 (1993): 76-100. 108 E.W. Ellison, 'North Borneo: Reconstruction and Development Plan for North Borneo, 1948-55', p. i. 109 ibid, pp. 5-24. 110 ibid., pp. 35-6. 111 Colony of North Borneo, Report of the Transport Commission, 1949 (Jesselton: Government Printer, 1949); Annual Report North Borneo, 1949, p. 7. 112 H. Gatford, 'Rehabilitation of the North Borneo Railway', Proceedings of the Colonial Engineering Conference (London: William Clowes and Sons, 1952) pp. 121-59; Robert Lowe, 'Ti ad at ha's Railway', typescript, n.d. [Oxford Development Project, Rhodes House Library, Mss Ind. Ocn. S278].

Notes 251 113 J.R. Sargent, Report on Transport Requirements in the light of Economic Development in North Borneo. 114 Annual Report North Borneo, 1962, pp. 170-1. 11 5 See E.W. Ellison, 'North Borneo. Reconstruction and Development Plan for North Borneo', p. 36 for the table of priorities. The first results of this road development programme were: a road from Jesselton to Penampang and across the Crocker Range to Tambunan (80 miles); a 12 mile extension of the Paper-Bukit Manggis road to open up valuable rice growing areas; completion of the North (Tuaran) Road as far as the 'prosperous' area of Kota Belud (47 miles from Jesselton); and an extension of the Labuk Road from Sandakan by ten miles to a potential agricultural area. At the same time, there were short extensions and improvements in and around the main towns. Road improvements such as asphalting or bitumenising of roads were carried out when funds permitted. 116 Annual Reports North Borneo, 1949-57. 117 Annual Report North Borneo, 1953, p. 124; 1956, p. 124. 118 Annual Report North Borneo, 1961, pp. 152-55. Both the Sabah and Sarawak governments also invested money in Malayan Airways. 119 For details of the main shipping lines and their services with North Borneo, see Annual Report North Borneo, 1962, pp. 135-37. 120 E.W. Ellison, 'North Borneo. Reconstruction and Development Plan for North Borneo', p. 5. 121 See Report of the North Borneo Rubber Commission, pp. 9-10. 122 Development under the 1959-1964 Development Plan (Jesselton: Government Printer, 1904) p. 16. 123 Colonial Office, An Economic Survey of the Colonial Territories Vol. 5, 1955, p. 117; Annual Report North Borneo, 1955, p. 117; 1954, p. 109; 1956, p. 113. 124 P.S. Gudgeon, 'Economic Development in Sabah', p. 240. 125 Great Britain Colonial Office, An Economic Survey of the Colonial Territories Vol 5, pp. 144-6. 126 See, for example, the Recruiting of Indigenous Workers Convention 1936 (No. 50) and the Contracts of Employment (Indigenous Workers) Conventions, 1939 and 1947 (Nos 64 and 86), Annual Report North Borneo, 1948, pp. 17-18. 127 North Borneo Report of the Department of Labour and Welfare, 1962, pp. 5-10. 128 The oil company also initiated a proposal designed to facilitate communication between the company and the employees. 129 North Borneo Report of the Department of Labour and Welfare, 1962, P. n. 130 North Borneo Report of the Department of Labour and Welfare, 1962, pp. 10-11.

252 Notes Chapter 6 Independence and Federation 1 See James Ongkili, Nation-building in Malaysia, 1964-74 (Kuala Lumpur: Oxford University Press, 1986) pp. 149-50. 2 ibid., pp. 151-2; see also, B. Simandjuntak, Malayan Federalism, 1945-1963: A Study of Federal Problems in a Plural Society (Kuala Lumpur: Oxford University Press, 1966) p. 124; A.C. Brackman, Southeast Asia's Second Front: The Power Struggle in the Malay Archipelago (New York: Praeger, 1966) p. 76. 3 This term covers a range of practices whereby the benefits of state economic sponsorship and protection are channelled to individuals, groups and private companies associated with the ruling political party. See, for example, Khoo Kay Jin, 'The Grand Vision: Mahathir and Modernisation', in Joel S. Kahn and Francis Loh Kok Wah, Fragmented Vision: Culture and Politics in Contemporary Malaysia (Sydney: Allen & Unwin, 1992): 44-76. See also Harold Crouch, Government and Society in Malaysia (Sydney: Allen & Unwin, 1996) ch. 3. 4 See, for example, Datuk Dr Herman Luping, 'The Formation of Malaysia Revisited' in Jeffery G. Kitingan and Maximus J. Ongkili (eds) Sabah: 25 Years Later 1963-1988 (Kota Kinabalu: Institute for Development Studies (Sabah), 1989) pp. 1-59; Datuk Dr James P. Ongkili, 'Political Development in Sabah, 1963-1988', in Jeffrey G. Kitingan and Maximus J. Ongkili (eds) Sabah: 25 Years Later 1963-1988, pp. 61-79. 5 See Appendix 3 for details of these special rights and concessions. 6 Stephens was also forced to step down as President of UNKO. Earlier in 1964, Stephens had amalgamated UNKO with the National Pasok Momogun Organisation to form the United Pasok-Momogun Kadazan organisation (UPKO). This party was also open to the Chinese. For a while UPKO went into opposition, but when Mustapha lured its members to USNO, UPKO was dissolved in December 1967. Its members were urged to join USNO. See Margaret Roff, The Politics of Belonging: Political Change in Sabah and Sarawak (Kuala Lumpur: Oxford University Press 1974) pp. 86-118. 7 See Francis Loh Kok Wah, 'Modernisation, Cultural Revival and Counter-Hegemony: The Kadazans of Sabah in the 1980s', in Joel S. Kahn and Francis Loh Kak Wah, Fragmented Vision, p. 228. 8 See note 5 above. 9 In 1984, Harris Salleh ceded the island of Labuan to the federal government without any compensation being paid to the state. The people of Sabah were not consulted on this decision. 10 This classification was undertaken to coincide with the 1980 census. The term pribumi included not only the Kadazan, Murut, Bajau and other indigenous groups but also Indonesians, Filipinos, natives of Sarawak and Cocos Islanders. The last four groups had been categorised as 'others' in the 1970 census. See Francis Loh Kok Wah, 'Modernisation, Cultural Revival and Counter-Hegemony: The Kadazans of Sabah in the 1908s', p. 233. 1 1 See ibid., pp. 245-250; see also Audrey Kahin, 'Crisis on the Periphery:

Notes 253 The Rift between Kuala Lumpur and Sabah', Pacific Affairs, 65 (1992): 30-49. 1 2 Jeffrey Kitingan was released after corruption charges laid against him were withdrawn without explanation. Subsequently in June 1994, he was appointed a deputy minister in the central government. 13 New Straits Times 15, 19, 25 June 1994. Although SNAP was a largely Iban-based party, it was open to non-ibans, including Chinese. The Chinese, who formed a wealthy faction, provided the party with most of its funds. When a prominent Chinese, Datuk James Wong, was elected president of the party, many Ibans were dissatisfied and formed PBDS. For a detailed account of Iban politics, see Peter Searle, Politics in Sarawak 1970-1976 (Singapore: Oxford University Press, 1983). 14 Details on the main political parties are provided in Appendix 4 (Sabah) and Appendix 5 (Sarawak). 15 The conflict centred on the control of timber concessions and the politics of patronage. See the section on forestry in Chapter 7. Chapter 7 Managing Development 1 Specifically the mission was required to examine and report upon: i) the feasibility of establishing a common market in Malaysia, taking into account the need to preserve Singapore's entrepot trade; ii) the implications of a common market for public revenue, in particular with a view to harmonising at the current Malayan (Peninsular Malaysian) level; iii) the programmes for promotion of industry in the various territories; iv) potential overlaps or conflict of economic interest; and, v) the arrangements necessary for coordination and integration of development planning. International Bank for Reconstruction and Development (IBRD), Report on the Economic Aspects of Malaysia (Washington, D.C.: International Bank for Reconstruction and Development, 1963) p. 1. 2 Earlier in 1955, in anticipation of Malayan independence in 1957, a World Bank Mission had similarly issued a report making comprehensive recommendations for post-colonial economic development. The mission recommended diversification of production, including import-substitution policies. Other recommendations included the promotion of industrialisation with depreciation allowances and some tariff protection. The report also advised that the primary role of government was to provide infrastructural facilities - especially transport, communications and power for such development. It advised against state enterprise and economic nationalism and suggested various financial and other inducements for the promotion of private enterprise. It also urged the promotion of new arrangements for industrial finance.

254 Notes See International Bank for Reconstruction and Development (IBRD), The Economic Development of Malaya (Baltimore: Johns Hopkins University Press, 1955). 3 International Bank for Reconstruction and Development (IBRD), Report on the Economic Aspects of Malaysia, chs. 3, and 8. 4 For some detailed analyses, see Edmund T. Gomez, Politics in Business: UNMO's Corporate Investments (Kuala Lumpur: Forum, 1990); J. Jesudsan, Ethnicity and the Economy: the State, Chinese business and Multinationals in Malaysia (Singapore: Oxford University Press, 1988); Jomo Kwame Sundaran, A Question of Class: Capital, The State and Uneven Development in Malaya (Kuala Lumpur: Oxford University Press, 1986) chs. 10 and 11; Ozay Mehmet, Development in Malaysia: Poverty, Wealth and Trusteeship (London: Croom Helm, 1986); Khor Kok Peng, Malaysia's Economy in Decline (Penang: Consumers' Association of Penang, 1987). 5 David Lim, Economic Growth and Development in West Malaysia, 1947-1970 (Kuala Lumpur: Oxford University Press, 1973) p. 109; Jomo Kwame Sundaram, Growth and Structural Change in the Malaysian Economy (Basingstoke: Macmillan, 1990) pp. 79-81. See Table 7.8. 6 Malaysia, The Second Outline Perspective Plan, 1991-2000 (Kuala Lumpur: Government Printer) p. 40; Malaysia Ministry of Finance, Economic Report 1990-1 (Kuala Lumpur: Government Printer) Table 3. 7 See Table 7.8. 8 Government of Sarawak, Sarawak 20 Tahun - 1963-1983 (Kuching: Government Printer, 1984) p. 59. 9 ibid., pp. 60-61. The equity shares of the three partners are: Petronas - 65 percent; Shell - 17.5 percent; Mitsubishi - 17.5 percent. 10 Sarawak 20 Tahun, p. 61. This plant is one of the regional projects established in the area. Malaysia, through Petronas has 60 percent equity shareholding. Indonesia, the Philippines and Thailand each hold a 13 per cent share while Singapore has a nominal 1 per cent share. 11 Sarawak 20 Tahun, p. 60. 1 2 This is explored in greater detail in the section on forestry. 1 3 Sarawak 20 Tahun, pp. 62-66. An Inspector of Mines from Peninsular Malaysia was sent over to take charge of the administration of the Mines Department, ibid., p. 65. 14 Dorani Johari, 'Coal Resources of Malaysia', pp. 84-90. 15 Peter Spence Gudgeon, 'Economic Development,' pp. 298-99. 16 In Sabah, oil prospecting licences were usually issued for a period of 10 years. A separate mining lease under the State Land Ordinance was also required to be executed before exploration and exploitation could commence. Royalty charges were 12.5 per cent on offshore wells and a lower rate for inland wells. P.S. Gudgeon, 'Economic Development', p. 299. 17 ibid., p. 298. 18 ibid., p. 333. 19 Geological Survey Department, Malaysia, Malaysian Minerals