Malaysia

Guan Eng allegedly received RM2 million in black bags, court hears

Businessman claims delivery of two bags containing RM1 million each from CZCSB director to former Penang CM amid tunnel project graft trial

Updated 1 year ago · Published on 27 Aug 2025 5:34PM

Guan Eng allegedly received RM2 million in black bags, court hears
On the night of 28 August 2017, Gnanaraja retrieved another RM1 million bag from his office and placed it in a black Bentley - August 27, 2025

A KEY prosecution witness in the ongoing sea‑tunnel corruption case involving former Penang Chief Minister Lim Guan Eng told the Kuala Lumpur Sessions Court today that he personally handed over two black bags containing a total of RM2 million to the former minister.

The witness, Datuk Seri G Gnanaraja, said he received two black bags—each holding RM1 million—from Datuk Zarul Ahmad Mohd Zulkifli, then director of Consortium Zenith Construction Sdn Bhd (CZCSB), during a meeting at Hotel Eastin Petaling Jaya on 18 August 2017. He stored the bags in his office before delivering one to Lim Guan Eng at Publika, Hartamas, on 20 August 2017.

“After I received two black bags with RM1 million each, I stored them in my office. I took one out on 20 August 2017 to hand over to Lim while driving him to Publika. Guan Eng took the bag and then patted Zarul Ahmad on the shoulder, whom he thanked for the RM1 million bag,” Gnanaraja recounted during his testimony.

He added that on the night of 28 August 2017, in response to a text from Zarul Ahmad, he retrieved the other RM1 million bag from his office and placed it in his black Bentley. In the early hours of 29 August, Lim Guan Eng reportedly visited his home to receive the bag.

“Guan Eng came to my house around two to three in the morning, I handed him the bag after retrieving it from my car’s boot. He received it with his right hand, smiling, placed it onto his lap and then left with Zarul Ahmad seated alongside in the vehicle. I do not know their subsequent destination,” he testified.

Gnanaraja revealed that prior to handing over the second bag, he, Lim, and Zarul Ahmad engaged in a confidential discussion at his home concerning the tunnel project's financial arrangements—including Guan Eng’s claim to a 10 per cent cut from the estimated RM6.3 billion contract.

“In my understanding, the tunnel project's value is estimated at RM6.3 billion. Guan Eng mentioned that 10 per cent of the project profits—amounting to that sum—was intended for himself. He also said Zarul Ahmad agreed to this request,” Gnanaraja added.

Lim Guan Eng, 64, faces multiple amended charges alleging that, as Chief Minister, he abused his position to procure illicit gains. These include receiving RM3.3 million to assist CZCSB’s appointment for the major infrastructure project and soliciting a 10 per cent kickback. Additional charges involve the disposal of Penang state land valued at RM208.8 million.

The trial before Judge Azura Alwi is set to resume tomorrow. - August 27, 2025

Spotlight

Malaysia

Singapore could bar under-18s from social media platforms that fail safety test

Malaysia

College student dies after falling from 22nd-floor condominium in Setapak

Malaysia

PM praised for ‘Medeka Day’ reforms; More needed to cope with rising costs – Guan Eng

By Ian McIntyre

World

Tupac Shakur murder case ends after 30 years as ex-gang leader found guilty

Malaysia

Unidentified man found dead in Sungai Buloh drain as police probe suspected murder

Malaysia

Four killed, four injured in 11-vehicle Pahang highway crash

Malaysia

Sarawak haze crisis deepens as five areas hit hazardous air quality

Opinion

Would the United States use nuclear weapons against Iran?

Malaysia

Tajikistan eyes bigger role for Malaysia in Central Asian market

By Alfian Z.M. Tahir

You may be interested

Malaysia

DOE: Close schools, kindergartens if API tops 200

Malaysia

Zahid: RM6b funding gap forces rural ministry to rethink development priorities

Malaysia

Tajikistan eyes bigger role for Malaysia in Central Asian market

By Alfian Z.M. Tahir

Malaysia

Govt moves to join Nepal rescue as Malaysians remain missing after deadly floods

Malaysia

Cloud seeding operations to begin in Sarawak, Northern Peninsula on Sept 3

Malaysia

College student dies after falling from 22nd-floor condominium in Setapak

Malaysia

UMNO-PAS relationship deepens after joint Negeri Sembilan election victory

Malaysia

Abolish ‘Colonial-era’ Sedition Act - Ramkarpal