Guan Eng's trial: BUCG should not be involved in meetings to prepare RFP documents - Witness

KUALA LUMPUR: The Sessions Court was told today that Beijing Urban Construction Group Sdn Bhd (BUCG) should not be involved in meetings or discussions for the preparation of Request for Proposal (RFP) documents if the main road and tunnel construction project in Penang is offered through open tender.

Senior private secretary to Penang Chief Minister Chow Kon Yeow, Muhamad Azrai Mohamad Zaini, 39, said he was of the view that BUCG's involvement in the early stages of preparing the RFP documents before the tender offer was advertised would give the company an advantage over other companies.

"I know that this project will be awarded by the state government through open tender. I also know that BUCG representative Datuk Zarul Ahmad Mohd Zulkifli was present to assist the State Economic Planning Unit (UPEN) in preparing the RFP documents.

"If (the project was offered) via open tender, BUCG should not be present at the meeting or discussion for the preparation of the RFP document. This is because, BUCG should not be involved in any process of preparing the RFP documents.

"I know there are amendments made to the RFP document draft that give BUCG an advantage to know about the scope of work of each project, the estimated cost, qualifications set for tender bidders, technical and financial conditions, earlier than other bidding companies before the RFP is advertised," said the fourth prosecution witness.

He said this when reading out his witness statement on the seventh day of former Penang chief minister Lim Guan Eng's corruption trial on four charges involving the construction of an undersea tunnel and paired roads project in Penang.

The project was awarded to Consortium Zenith Bejing Urban Construction Group Sdn Bhd (CZBUCG), which is a joint venture company with BUCG.

Asked by deputy public prosecutor Wan Shaharuddin Wan Ladin, whether there was any conflict of interest when BUCG also involved in the preparation of the RFP documents, Muhamad Azrai replied: "I think there will be conflict of interest when a company that is involved in preparing the RFP documents also bids for the project".

"It was the third discussion between Penang state government representatives and BUCG representatives regarding the preparation of RFP documents for the three main road and tunnel construction project," he said.

Asked why he did not report this involvement of BUCG in the meetings with his superior, Muhamad Azrai said "I was still a junior officer at that time and I assumed that everything I did was under the knowledge of my immediate bosses and therefore I felt that there was no need for me to report about BUCG's involvement in the meetings.

Muhamad Azrai also said that BUCG had appointed consultants from China and Malaysia to conduct a study on the project and during a meeting on May 10, BUCG said there were difficulties in carrying out the project, but state the government decided to proceed with the project anyway.

Meanwhile, when cross-examined by lawyer Gobind Singh Deo representing Lim, whether he agreed that the former Penang chief minister was not involved in the three meetings as they were conducted by the state executive council members and experts from the state government, Muhamad Azrai replied in the affirmative.

According to the first amended charge, Lim, 60, is charged with using his position as then Penang Chief Minister to obtain a bribe of RM3.3 million for helping a company owned by Zarul Ahmad to secure the construction project worth RM6,341,383,702.

The offence was allegedly committed between January 2011 and August 2017 at the Penang Chief Minister's Office.

On the second amended charge, Lim is accused of soliciting bribes amounting to 10 per cent of the profits from Zarul Ahmad to be earned by the company as gratification for helping his (Zarul) company to secure the project.

The offence was allegedly committed near The Gardens Hotel, Lingkaran Syed Putra, Mid Valley City, here, between 12.30 am and 2 am in March 2011.

The Bagan member of parliament also faces two charges with causing two plots of land, worth RM208.8 million, belonging to the Penang government to be disposed of to two companies, which are linked to the state's undersea tunnel project.

The offence was allegedly committed at the Penang Land and Mines Office, Komtar, on Feb 17, 2015 and March 22, 2017.

The trial before Judge Azura Alwi continues on Sept 10.

-- BERNAMA