Hoteliers against flat fee ruling

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Inappropriate for budget hotels to pay same amount of music licence fee as big hotels: Association

SIBU:  Sarawak Central Region Hotel Association considers it inappropriate for budget hotels in the region for being asked to pay the same amount of music licence fee as with bigger hotels.

Under the Copyright Act 1987, hotels besides other businesses such as karaoke outlets, shopping malls, retail stores and entertainment outlets that use music have to pay music licences. The collection by Music Rights Malaysia Bhd (MRM) will redistribute the royalties to their respective members comprising artistes, recording labels and composers.

Chairman Johnny Wong said today that Malaysia Budget Hotel Association had signed an agreement with MRM which agreed that hotels with 25 rooms have to pay an annual music licence fee of RM150.

“There are many small hotels in the central region which have about five TVs in their rooms but they still have to pay the annual licence fee of RM150,”he added.

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Wong said there are even hotels which are not equiped with television but are still required to pay the fee.

He hoped MRM would be more flexible with the ruling by imposing the right fee for small hotels.

On the mushrooming of illegal hotels and rooms-for-rent type of facility in the town, he wanted the government to take appropriate action on them.

“We are not against anybody from joining the hotel industry except that their establishment must be properly set up and be licensed. Who should be responsible if something like fire occurs in these hotels?” he asked.

Wong said it was high time now that action be taken against them or else there will be more of such accommodations.

“The government needs to look into the matter once and for all, not just at our place but throughout the country,” he said.

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