Bernas, the national rice importer, has issued a legal notice threatening to sue a coalition of rice farmer NGOs known as Padi Rescue for defamation.

The group, whose stated aim is to save the paddy industry, had on Oct 20 delivered a memorandum to Prime Minister Najib Abdul Razak calling for the re-establishment of the National Paddy And Rice Board (LPN) to regulate the national rice industry.

Bernas, which is owned by Syed Mokhtar Al-Bukhary, took over the functions of LPN in 1994, and is now the sole permit holder of rice imports.

The company is seeking damages, as well as the retraction of the statements made by Padi Rescue in the memorandum.

PKR Alor Setar MP Gooi Hsiao Leung, who has been assisting the group, said that Bernas’ legal threats are tantamount to "using strong-arm tactics to bully, intimidate and silence rice farmers, millers and other interested parties."

"They want to silence these groups from legitimately scrutinising Bernas' public role in managing the rice industry as mandated by the government...