Press Statement By Penang Chief Minister Lim Guan Eng In Komtar, George Town On 23.11.2016.<\/p>\n
BN Penang Chairman Teng Chang Yeow continues to run and hide from showing proof to back up his false allegation that I had rejected a joint-venture agreement in 2013 between PDC and Ideal Property Group, causing PDC to lose about RM220 million in profit guarantees. He asked why I kept silent over the rejection of the joint-venture agreement in 2013, but decided to sell PDC\u2019s 49% stake in TIRSB to Ideal Property\u2019s subsidiary 3 years later?<\/p>\n
I had stated that Teng had lied and asked him to show proof that I had rejected a deal with Tropical Island Resort Bhd(TIRSB) in 2013, resulting in a loss of profit guarantee of RM 220 million to PDC. Teng is able to run and hide, because the BN-controlled media, including several main Chinese newspapers, failed to uphold journalistic professionalism and ethics to press Teng Chang Yeow to show documentary proof. <\/p>\n
Clearly these BN-controlled media, including several main Chinese newspapers, openly practice double-standards by not demanding the same degree of truth, documentary proof, investigative reporting and public accountability that they demand from the Penang Pakatan state government. My statements have either been downplayed, edited and even blacked out. The Penang Pakatan state government will no longer suffer in silence but expose to the public such unprofessional and unethical behavior.<\/p>\n
Teng continues to harp on how PDC had priced its 49% stake in TIRSB to be at RM156 million, and why the proceeds of the sale to a subsidiary of Ideal will be paid over a period of 8 years? This is a question best answered by UDA, the majority owner of TIRSB with 51%. UDA brought in Ideal and proposed the price. We accepted after they agreed to first fully pay up the loan of RM4.4 million and that PDC 49% stake in TIRSB will only be transferred upon full payment of RM156 million after 8 years.<\/p>\n
Teng should learn company law in Malaysia to understand that when you are a minority shareholder in a private limited company(sdn bhd), you have no say and even selling your own shares, you have to get approval from the Board of Directors. Since UDA controls the Board of Directors of TIRSB as the majority shareholder, they decide who to sell to and at what price. <\/p>\n
We have rejected several proposals from UDA in the past but finally agreed with this sale at profit of RM140.6 million after UDA agreed to our terms. Teng continues to pretend and play the fool that he does not know the details of this transaction when he can get them easily from UDA, which is a federal government agency. Why is Teng Chang Yeow so afraid to get the full details of the sale of 80 acres of land in Pulau Jerejak from UDA, a BN Federal Government agency? <\/p>\n
Similarly UMNO Deputy Health Minister Dr Hilmi Yahya is also pretending at playing the fool when he labelled the sale of PDC\u2019s 49% stake in TIRSB as a loss to Penangites because we have lost control over the island. First, it is not the entire island but 80 acres of land out of the entire 895 acres in Pulau Jerejak. Second it is not the present Pakatan sate government but the previous BN state government that set up TIRSB in 1997 or sold the 80 acres of land to TIRSB in 2001 at 73% below market value. <\/p>\n
Penangites was betrayed by BN when they sold 80 acres of land in 2001 at a loss of RM34.6 million to TIRSB. Penangites was also betrayed when we lost control of TIRSB when PDC only took a 49% stake in 1997 with an investment of RM15.44 million. Was Hilmi not part of the BN state administration in 1997 and 2001? By 2001, PDC and the Penang state government had effectively lost control of the 80 acres of land in Pulau Jerejak to UDA and the Federal government.<\/p>\n
TIRSB had closed down after suffering book losses of RM40 million, and PDC was facing losses of our RM20 million investment and loan. When UDA finally agreed to offer to pay RM156 million for PDC\u2019s 49% stake in TIRSB and agreed to our terms to first settle the RM4.4 million loan, PDC recouped not only our loan and investment but made a profit of RM140.6 million.<\/p>\n
Once again the Pakatan state government had rehabilitated and saved a failed BN project. Despite this remarkable turnaround of also recording a profit of RM140.6 million that is nearly 10 times the amount invested, Gerakan, UMNO and BN Penang continues to attack us for selling out on Pulau Jerejak to the UDA or the BN Federal Government. Are they not part of BN? <\/p>\n
More importantly Gerakan, UMNO and BN should be ashamed of themselves for selling out Pulau Jerejak as early as 2001. This is a classic case of a \u201cthief shouting thief\u201d! Whilst the Pakatan state government does not need Gerakan or UMNO to thank us for recouping our investments, loans and losses, Gerakan and UMNO should apologise to the people of Penang for acting against public interest when they sold out the 80 acres of land in 2001.<\/p>\n
LIM GUAN ENG<\/p>\n
=================================
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BN Penang Chairman Teng Chang Yeow continues to run and hide from showing proof to back up his false allegation that I had rejected a joint-venture agreement in 2013 between PDC and Ideal Property Group, causing PDC to lose about …<\/p>\n