PCM hands over 'evidence' on Penang tunnel project

Its vice president Datuk Huan Cheng Guan also urged MACC to investigate whether there was any element of fraud or misappropriation in the tender process for the project.

"In the past few months we obtained substantial new evidence from certain sources which we are handing over to MACC to investigate," he told reporters when met at MACC headquarters here today.

He arrived around 3pm and entered the MACC office accompanied by two individuals who were carrying a file and a thick pile of documents.

Huan said he would provide full cooperation to MACC to ensure a smooth investigation.

On July 17, Huan lodged a report in Penang, urging the police to investigate claims that the state government had awarded the project to a company that allegedly did not meet the criteria.

The tender for the 7.2 kilometre proposed undersea tunnel project which would potentially link Gurney Drive to Bagan Ajam in Seberang Perai and three major roads was given to Konsortium Zenith BUCG Sdn Bhd.

The project generated controversy for its allegedly high feasibility cost, and payment approach involving state government land exchange, as well as objections by residents who claimed to be worried that the project might have adverse economic, social and environmental impact.