KUALA LUMPUR: An investigating officer in the case of Lim Guan Eng has shot down a contention that his findings on the transfer of two plots of land under the Penang undersea tunnel project were “completely wrong”.
Lim’s lead counsel Haijan Omar had asserted that Malaysian Anti-Corruption Commission (MACC) officer Zulhilmi Ramli’s findings on the transfer of Lots 702 and 713 in Tanjung Pinang, Penang, were “completely wrong”.
Zulhilmi disagreed with this contention.
Zulhilmi, the prosecution’s 38th witness, told the Sessions Court yesterday that the two plots of land were transferred to Consortium Zenith BUCG Sdn Bhd (CZBUCG) as payment for work carried out under the project, even though the feasibility study for the undersea tunnel had yet to be completed.
CZBUCG was the consortium awarded the Penang undersea tunnel project.
It comprised Beijing Urban Construction Group (BUCG) and several other companies.
During cross-examination, Haijan argued that Zulhilmi’s conclusion was “not right at all”, contending that the land transfers were carried out in accordance with a preliminary agreement and were intended as payment for feasibility study and preliminary design works already completed by CZBUCG.
Zulhilmi maintained that his investigation found the state government had suffered losses.
At earlier proceedings of the trial, former Penang executive councillor Datuk Lim Hock Seng, the prosecution’s third witness, testified that the Penang government transferred Lots 702 and 713 to CZBUCG as partial payment for feasibility study and preliminary design works completed under the project.
The land was subsequently developed by Ewein Zenith Sdn Bhd, a subsidiary of Ewein Group, into the City of Dreams serviced apartment project.
Yesterday, Zulhilmi also acknowledged that he was unsure of the detailed methodology used to arrive at the value of about RM135mil for Lot 702 under the preliminary agreement, including the basis for calculating its net developable area.
He agreed with Haijan that, under the preliminary agreement, the value of Lot 702 was calculated based on the agreed price per square foot and its net developable area, rather than the total land area.
Haijan argued that the valuation method was an important aspect of the investigation because it concerned whether the land had been reasonably valued and whether the state government had suffered losses through the land swap, to which Zulhilmi agreed.
When asked, he said a subsequent claim submitted by CZBUCG was settled through the transfer of part of Lot 713, rather than the entire parcel.
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 hearing before judge Azura Alwi continues on Aug 3.
