Penang's Lim Guan Eng charged with corruption over house deal

GEORGE TOWN ― Penang Chief Minister Lim Guan Eng and businesswoman Phang Li Khoon were slapped with charges at the Sessions Court on Thursday morning (June 30) over the allegedly corrupt house purchase deal they struck last year.

A sombre-looking Mr Lim garbed in a dark suit and red polka dot tie claimed trial to two charges, one under the Malaysian Anti-Corruption Commission Act and another under the Penal Code.

He was first charged with using his public office or position to obtain gratification for himself and his wife, Ms Betty Chew, by approving an application by Magnificent Emblem to convert agricultural land to residential purpose during a state exco meeting on July 18, 2014.

Section 23 carries a jail term of not more than 20 years and a fine of five times the value of gratification or RM10,000 (S$3,000) whichever is higher.

The second charge was under Section 165 of the Penal Code, the same section used to convict former Selangor mentri besar Khir Toyo.

After his plea was recorded, Attorney-General Tan Sri Mohamed Apandi Ali, who led the prosecution team, proposed a bail sum of RM1 million for Mr Lim and asked that he be compelled to inform the court if he planned to travel abroad.

During mitigation, Mr Lim’s lead counsel Gobind Singh Deo requested for the accused to be allowed to inform the court and the AG’s Chambers of this travel plans two days before departure.

Judicial Commissioner Datuk Azmi Ariffin granted the request and agreed not to impound Mr Lim’s passport, also setting bail at RM1 million with one surety.

In the case of Ms Phang, who also claimed trial to her charge, Mr Apandi asked for bail to be set at RM200,00 with one surety and no additional conditions, which the court allowed.

Mr Azmi later fixed September 22 for case management in chambers for both cases.

Mr Lim is alleged to have used his position to obtain gratification by purchasing his house from Ms Phang at RM2.8 million, which was below the property’s market value of RM4.7 million on July 28, 2015.

The second offence is punishable by up to two years’ imprisonment, a fine, and forfeiture of property upon conviction.

After the charges were read, Mr Apandi asked for the case to be transferred to the Penang High Court and Sessions Court judge Roslan Hamid allowed the application and set the case for mention at the High Court.

Ms Phang meanwhile was charged with abetting Mr Lim on July 28 last year under Section 109 of the Penal Code.

On Mr Apandi’s request, the businesswoman’s case was also transferred to the High Court.

The duo’s cases are currently awaiting mention at the High Court.

After claiming trial, Mr Lim and his defence team had to wrestle through a tight knot of people along the corridors of the Sessions Court as they made their way to the High Court.

In March, Umno's Tasek Gelugor MP Datuk Shabudin Yahaya accused Mr Lim of buying his house at below market value, and tied this to the state government’s open tender sale of Taman Manggis to the Kuala Lumpur International Dental Centre (KLIDC) in 2010, alleging the land was also sold at below market value.

This led to numerous MACC and police reports being lodged against Mr Lim and Ms Phang.

Following yesterday's arrest of Mr Lim, opposition leaders claimed of a political conspiracy against him similar to what they alleged was used to imprison former deputy prime minister Anwar Ibrahim. MALAY MAIL ONLINE