Land sold above evaluation, says Guan Eng

PETALING JAYA: Penang Chief Minister Lim Guan Eng came under heavy criticism for selling a 41.6-ha land in Bayan Mutiara at a low price.

Kota Belud MP Abdul Rahman Dahlan said Lim must explain why the state sold the land for RM1.07bil.

“The price is not derived from open tender, it was negotiated,” said the Umno politician.

Abdul Rahman, who is Barisan Backbenchers Club vice-chairman, said he would bring the matter up at the next Parliament session.

He said Lim’s CAT (Competency, Accountability, and Transparency) policy was a mere political gimmick.

He said the land was sold at RM240 per sq feet to Ivory Properties Group Berhad.

“It is a lot cheaper than the surrounding land which is priced at RM420 per sq feet,’’ he said.

Abdul Rahman said Lim must explain to Malaysians why he sold the piece of land to a private developer at 50% lower than the market value. -

Yesterday, Lim defended the sale of the land, saying that it was done via an open tender.

He said the state government had set a reserve price at RM200 per sq ft – an amount that was above the official valuation for the land.

In the end, it fetched RM240, with the total sale at RM1.1bil.

In GEORGE TOWN, Penang Gerakan vice-chairman Wong Mun Hoeaccused the state government of selling the Bayan Mutiara land to reap short-term gains.

He said selling the land might bring in quick cash but the money would run out.

“If the state had held on to the land, it could generate income for generations.

“The land could earn the state government more in the long run because there will be a steady flow of cash coming in,” he said.

Wong said the possible rationale for selling the land was to use the money for a “political fund”.

“I won’t be surprised if the money is used to give out goodies to the people,” he said yesterday.

Real Estate and Housing Developers’ Association (Penang) chairman Datuk Jerry Chan said the sale of the land at RM240 per sq ft “at the time” was a good price.

“We cannot say that it was too low nor can we say that it was too high.” - The Star