Two men with “Datuk” title arrested in relation to Penang undersea tunnel project

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Two men holding “Datuk” titles have been arrested in relation to the RM6.3 billion Penang undersea tunnel project, The Star reported on Wednesday (Jan 10).

Identified only as a deputy chairman of a property development firm and a senior executive director, both men have been put on a six-day remand starting Jan 10.

The Malaysian Anti-Corruption Commission also conducted raids at seven Penang business and government offices, where they seized documents and questioned several officers, the daily said.

The four government agencies and three businesses are:

  • Penang Public Works Department
  • Penang State Secretary
  • Penang Office of Lands and Mines
  • Penang Valuation and Property Services Department
  • Ewein Zenith Sdn Bhd
  • 555 Capital Sdn Bhd
  • Consortium Zenith Construction Sdn Bhd

Last Fri (Jan 5), Parti Cinta Malaysia’s (PCM) vice president Datuk Huan Cheng Guan said he had new evidence related to the project.

New Straits Times quoted Huan as saying that the evidence he had was related to the Pan Island Link 1 highway that will cost RM7.5 billion.

“The public cannot afford to pay RM7.5 billion for a state development project,” he was quoted as saying.

Huan had also submitted evidence related to the tunnel project in July last year.

The Penang State Government, which is undertaking the project with its main contractor Consortium Zenith BUCG, has yet to release reports from a RM305 million feasibility study since the project was awarded in 2013, even though RM220 million was paid to the special purpose vehicle company.

In October last year, Consortium Zenith Construction said there was no urgency to complete the feasibility study.

The tunnel was previously slated for completion by 2023.