GEORGE TOWN: China Railway Construction Corporation (CRCC), the main contractor for the controversial undersea tunnel project, has refuted claim that it is one of the shareholders in the special purpose vehicle (SPV) set up for the project.
An online portal laksou.com reported recently, quoting its general manager Sun Ming denying the claim of its involvement as a joint shareholder with Zenith Construction Sdn Bhd of 70 per cent of the SPV.
Three other companies, Beijing Urban Construction Group, Juteras Sdn Bhd and Sri Tinggi Sdn Bhd, each hold 10 per cent of the project.
The report of CRCC as the shareholder, however, is inconsistent to the press statement issued by State Secretary Datuk Seri Farizan Darus on March 4, 2013.
The online portal reported that the CRCC was only responsible for the construction of the project.
“We are not participating (in any matter other than construction). We are only in charge of the construction but until now (the project) has not begun,” Sun was quoted as saying to the portal recently.
Since the matter was reported, Minister in the Prime Minister’s Department Datuk Seri Dr Wee Ka Siong urged the DAP-led state government to come clean and explain the function of the company in connection to the multi-billion ringgit project.
Chief Minister Lim Guan Eng uploaded a video on his Facebook page on Friday to answer questions on investors in the Consortium Zenith company raised by Wee recently.
In the video, he said that that the composition of shareholders will not affect the project as they were not the main contractor, while stressing that CRCC was still the main contractor.
This was based on the contract agreement signed between the state government and the CRCC by its chairman and president on Oct 6, 2013.
"CRCC gave a commitment that they shall render all assistance and expertise towards the project to ensure the successful completion of the project," he said in the four minutes and 40 seconds video uploaded in his Facebook account.
The controversial RM6.3 billion undersea tunnel and the three paired roads project were now being investigated by the Malaysian Anti-Corruption Commission (MACC).
The tunnel project had raised numerous controversies in recent months, especially the high cost of the RM305 million feasibility studies as well as the 21-month delay in completing it.
To date, the MACC has raided 42 locations including government agencies and consultant companies in Penang and the Klang Valley.
The graft buster has also recorded statements from 76 witnesses.