THE corruption trial involving former Penang chief minister Lim Guan Eng took a significant turn after the Kuala Lumpur Sessions Court was told that early investigations into the controversial Penang undersea tunnel project had initially found insufficient evidence to support criminal charges against him.
The revelation emerged during cross-examination of Malaysian Anti-Corruption Commission (MACC) investigator Zulhilmi Ramli, who agreed that internal memoranda contained in the investigation files stated there was “no case” against the Bagan Member of Parliament before he later joined the special task force handling the probe.
Zulhilmi, 34, who serves as a senior superintendent with MACC , told the court he became aware of the matter in early January 2020 while serving in the task force investigating the Penang roads and tunnel project.
He said several investigation papers concerning the project had already been opened at the time and were being handled by four separate investigating officers.
According to the witness, he was formally appointed to the investigation team in June 2020 to handle the case involving Guan Eng, who was Penang chief minister during the period under scrutiny.
He further testified that when he assumed responsibility for the case, the investigation file already contained a memorandum indicating there was no prosecutable case against the politician.
Defence counsel Haijan Omar questioned the witness directly on the issue.
“Do you agree that when taking over this case, there was a memo or minute in the file stating there was no case against my client?”
“Agree,” Zulhilmi replied.
Haijan then asked what else was stated in the memorandum.
“What I understood was that the investigation had been halted,” BH quoted the witness saying.
When asked who authored the memo, Zulhilmi responded: “I am not certain, possibly investigating officer Senior Superintendent Rosli.”
Haijan further questioned whether the position that there was “no case” against Guan Eng had remained unchanged until 2020 before Zulhilmi took over the investigation.
“Agree,” the witness answered.
Zulhilmi explained that when evidence gathered during an investigation is deemed insufficient, the matter must be referred back to department heads to allow witnesses to be recalled and investigations to be expanded or completed.
He also agreed with defence suggestions that statements from three businessmen had been recorded to assist investigations, namely former Consortium Zenith Construction Sdn Bhd director Zarul Ahmad Mohd Zulkifli, G Gnanaraja and late property developer Ewe Swee Kheng.
Under questioning, Zulhilmi acknowledged that despite the statements obtained from the three individuals, the evidence at that stage was still insufficient to charge Guan Eng.
However, he rejected suggestions from the defence that investigators had focused solely on Guan Eng, insisting that the investigation covered all aspects of the project.
Ewe Swee Kheng, who had been expected to testify as the prosecution’s 15th witness, died in October 2021 after reportedly falling from a luxury condominium unit along Jalan Kelawei in Penang.
Guan Eng, 65, is facing charges alleging that, while serving as Penang chief minister, he used his position to obtain gratification amounting to RM3.3 million by helping a company owned by Zarul Ahmad secure the Penang undersea tunnel and major roads construction project valued at approximately RM6.34 billion.
The alleged offences were said to have taken place between January 2011 and August 2017 at the Penang Chief Minister’s Office.
He also faces a second charge of allegedly soliciting 10 per cent of future profits from Zarul Ahmad in exchange for assisting the businessman’s company in obtaining the same project during a meeting near The Gardens Hotel & Residences in March 2011.
In addition, Guan Eng is charged with causing the disposal of two parcels of Penang state government land worth RM208.8 million to a property developer linked to the undersea tunnel project in 2015 and 2017.
The trial before Judge Azura Alwi will resume on 4 June. - May 14, 2026
