KUALA LUMPUR: A Malaysian Anti-Corruption Commission (MACC) investigating officer rejected the defence's suggestion that his investigation into the Penang undersea tunnel project was biased and intended to implicate former Penang chief minister Lim Guan Eng.
During cross-examination at the Sessions Court here, lead defence counsel Haijan Omar put it to MACC investigating officer Zulhilmi Ramli that his investigation was "biased and intended to implicate my client."
"I disagree," Zulhilmi said on Monday (Aug 3).
The exchange came after Haijan questioned the last prosecution witness about his handling of the investigation into the feasibility study and detailed design (FSDD) for the undersea tunnel project.
Haijan suggested that Zulhilmi had relied solely on the account of key prosecution witness Datuk Zarul Ahmad Mohd Zulkifli, without independently verifying supporting documents and payment claims.
"You relied solely on Datuk Zarul's statements without checking the allegations relating to this case," Haijan said.
"I disagree," said Zulhilmi.
Haijan also questioned whether Zulhilmi had verified if claims had been submitted and payments made for the undersea tunnel FSDD.
He further argued that the RM90mil allocated under the first phase of the project was meant for the undersea tunnel FSDD and suggested the work had been completed but remained unpaid.
Haijan: I put it to you that CZBUCG suffered losses of about RM90mil because the FSDD work was carried out but payment was never made.
Zulhilmi: I disagree.
The defence also referred to agreements between the late Datuk Ewe Swee Kheng's company and China Zenith BUCG Group Co Ltd (CZBUCG). Ewe, the founder of property developer Ewein Bhd who died in 2021 before he could testify in the trial, had entered into the agreements with CZBUCG, which is part of the consortium awarded the RM6.34bil Penang undersea tunnel project in 2013.
Haijan argued the documents showed the financial transactions between the parties were legitimate commercial arrangements.
He further suggested that the valuation adopted under the preliminary agreement meant the Penang government had to transfer less land to the contractor than it otherwise would have, thereby benefiting the state.
He also argued that the state benefited because payment for the undersea tunnel FSDD had allegedly yet to be made.
Zulhilmi rejected those suggestions.
Later, defence counsel RSN Rayer continued the cross-examination and focused on four earlier MACC investigation papers opened before Zulhilmi was officially appointed investigating officer on June 1, 2020.
Rayer questioned why earlier investigations, despite recording statements from key figures including Zarul Ahmad, Ewe and businessman Datuk Seri G. Gnanaraja, had not produced sufficient evidence to charge Lim.
He then suggested that only after Zulhilmi took over the investigation did "sufficient evidence suddenly emerge" against the former chief minister.
Zulhilmi disagreed with the suggestion, explaining that there had previously been insufficient evidence to prosecute Lim, but maintained that sufficient evidence was later obtained after he took over the investigation.
When questioned about the earlier investigation papers, Zulhilmi said although the old investigation files had been disposed of, he had reviewed soft copies of witness statements before recording further statements as part of his investigation.
Rayer also suggested that the earlier statements recorded from key witnesses, particularly Zarul Ahmad, should be given due consideration, and questioned whether the investigation had been conducted fairly.
Zulhilmi also rejected the suggestion.
When court reconvened after the lunch break, Rayer continued questioning Zulhilmi on Lim's statement recorded during the investigation, repeatedly challenging the witness over his inability to recall certain aspects of the case.
Lim, 65, is charged with using his position to obtain RM3.3mil in gratification linked to the project, allegedly committed at the Penang Chief Minister’s Office in Komtar between January 2011 and August 2017.
He also faces a second charge of using his position to obtain a 10% profit from the project as gratification, allegedly committed near The Gardens Hotel in Mid Valley City in March 2011, as well as two charges involving the disposal of Penang government land valued at RM208.8mil to companies linked to the project.
The trial before judge Azura Alwi resumes Aug 7.
