Guan Eng case: contractor paid RM74.8 mil to transfer ownership of govt land

KUALA LUMPUR – The sessions court was today told that Consortium Zenith Beijing Urban Construction Group Sdn Bhd (CZBUCG), the contractor for the main road and tunnel construction project in Penang, received payments amounting to RM74.8 million from Ewein Zenith Sdn Bhd (EZCB) for ownership transfer of two plots of government land.

Deputy public prosecutor Ahmad Akram Gharib said the payment was made in stages from November 18, 2013, to March 30, 2015.

He said this at the hearing of the former Penang chief minister, who is facing four charges of corruption involving the construction of an undersea tunnel and a main road construction project in Penang worth RM6.3 billion before Judge Azura Alwi.

At the hearing of the case on July 16, 2021, former Penang executive council member Datuk Lim Hock Seng told the court that CZBUCG transferred ownership of the land to EZCB, which is owned by EZCB managing director Datuk Ewe Swee Kheng, and the land was developed with a mega project known as “City of Dreams”.

Ewe who was supposed to testify as the 15th prosecution witness died on October 5, 2021, reportedly after falling from a luxury condominium unit in Jalan Kelawei, Penang.

Meanwhile, former director of Penang Lands and Mines Department Datuk Akmar Omar, 63, who is the 35th prosecution witness, when questioned by the DPP, said he had no knowledge about the payment (RM74.8 million).

However, he agreed with Akram that the land still belonged to the state government when the payments were made.

To a question by Lim’s lawyer, Gobind Singh Deo, about the initial agreement between the state government and CZBUCG regarding the main road and tunnel construction project, Akmar said it was in accordance with the law.

Lim is facing an amended charge of using his position as the then Penang chief minister to accept a bribe of RM3.3 million in helping a company owned by Zarul Ahmad Mohd Zulkifli to obtain a construction project worth RM6,341,383,702 at the Office of the Chief Minister of Penang, 28th floor, Komtar, George Town between January 2011 and Aug 2017.

On the second amended charge, Lim is accused of soliciting a bribe from Zarul, namely 10% of the company’s profits, as an inducement for obtaining the project and is accused of committing the act near The Gardens Hotel, Lingkaran Syed Putra, Mid Valley City here in March 2011.

He is also facing two charges of causing two plots of land worth RM208.8 million owned by the Penang government to be disposed of to companies allegedly linked to the undersea tunnel project.

The offence was allegedly committed at the Penang Land and Mines Office, 21st Floor, Komtar on February 17, 2015, and March 22, 2017.

The hearing before judge Azura continues on Thursday. – Bernama, July 18, 2023