New Straits Times

‘CONSORTIUM HAD HIGHEST SCORE’

It was awarded Penang project after it obtained the rating from two committees formed based on Guan Eng’s suggestion, court told

- SHARANJIT SINGH KUALA LUMPUR news@nst.com.my

AFORMER Penang exco member said the RM6.3 billion Penang undersea tunnel and main roads project had been awarded to Consortium Zenith BUCG (CZBUCG) in 2012 after the company obtained the highest rating from two committees formed based on former chief minister Lim Guan Eng’s suggestion.

Datuk Lim Hock Seng, who was then the Public Works, Utilities and Transporta­tion Committee chairman, also said state officials had met CZBUCG representa­tives to discuss preparing a request for proposal (RFP) for the project before the company was eventually selected for it.

The meeting, he said, had taken place months before CZBUCG was handed the project.

Reading from a prepared witness statement, he said the two parties had discussed ways to improve the RFP documents on the tunnel and road projects.

Hock Seng said he was not at the meeting, but he had on Wednesday confirmed meeting two of the company directors based on Guan Eng’s instructio­ns in early 2011.

The court also heard that the Penang government had inked a memorandum of understand­ing with the company on April 28, 2011.

Continuing with his testimony yesterday, Hock Seng said Guan Eng had suggested two committees (technical and finance) be formed to evaluate all requests for proposal (RFPs) for the project.

He said Guan Eng suggested this on March 19, 2012, and it was subsequent­ly agreed upon by all exco members in a meeting on the same day.

Relating how the project was eventually awarded, he said 60 companies, including 16 foreign ones, attended a pre-qualificat­ion exercise held by the state on Nov 29 and Dec 14, 2011.

After the exercise, he said, 11 companies submitted their prequalifi­cation documents and these were supposed to be evaluated by the Technical and Finance Committee, which was chaired by state Financial Officer Datuk Mokhtar Jait.

“This committee was tasked with evaluating and making recommenda­tions on companies that should join in the RFP.

“However, only eight companies ended up submitting their RFPs.”

These included China State Constructi­on Engineerin­g Corporatio­n Ltd & VST Cemerlang Sdn Bhd, Setia Precast Sdn Bhd, ECK Constructi­on Sdn Bhd, Gamuda Bhd, Zambina Wawasan Sdn Bhd, IJM-CRGL Joint Ventures, Consortium Zenith BUCG Juteras & Sri Tinggi JV and WCTDaewoo Joint Ventures.

He said it was then that Guan Eng suggested two committees (technical and finance) be establishe­d to evaluate the RFPs.

“As far as I know, Consortium Zenith BUCG Juteras & Sri Tinggi was eventually recommende­d as the company met all requiremen­ts in its RFP.

“The state government agreed to appoint the company to undertake the project after that because it was given top marks by the committee.’

He said CZBUCG was formed following the merger between Zenith BUCG, Juteras and Sri Tinggi during the RFP process.

He was testifying in Guan Eng’s corruption trial involving the undersea tunnel project.

The DAP secretary-general is accused of soliciting a 10 per cent cut in profits from the project from Consortium Zenith Constructi­on managing director Datuk Zarul Ahmad Mohd Zulkifli.

Guan Eng, a former finance minister, is also accused of seeking RM3.3 million in kickbacks to appoint Zarul’s company to undertake the project.

He also faces two counts of dishonestl­y misappropr­iating RM208.7 million worth of state land to two companies.

The trial continues.

 ?? PIC BY EIZAIRI SHAMSUDIN ?? Former Penang chief minister Lim Guan Eng leaving the Kuala Lumpur Courts Complex yesterday.
PIC BY EIZAIRI SHAMSUDIN Former Penang chief minister Lim Guan Eng leaving the Kuala Lumpur Courts Complex yesterday.
 ??  ?? Datuk Lim Hock Seng
Datuk Lim Hock Seng

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