After Dr Ling’s acquittal, poser over RM720 million interest in PKFZ scandal

Tun Dr Ling Liong Sik's acquittal in the Port Klang Free Zone (PKFZ) scandal has sparked questions over who the prosecutors will now charge for the RM720 million "double interest" imposed on the controversial land deal.

Former Port Klang Authority (PKA) chairman Datuk Lee Hwa Beng (pic, right) said there must be accountability although the Attorney General's Chambers had a right not to appeal the former transport minister's acquittal.

"I am happy that Dr Ling is in the clear. But someone must be accountable for the RM720 million, it is taxpayers’ money," said the politician who lodged a police report four years ago that started the
PKFZ probe.

Lee added that in acquitting Dr Ling, the judge had implied that there was double interest imposed and that Ministry of Transport officers were responsible.

"So will the AG charge these officers?” Lee questioned.

Dr Ling was said to have deceived the Cabinet by failing to disclose there was an additional interest rate of 7.5% to the purchase price of RM25 psf in the PKFZ deal, despite knowing that the interest rate was already included in the price.

He then allegedly induced the Cabinet to approve the land purchase, which caused losses to the government.

In acquitting Dr Ling on October 25, High Court Judge Datuk Ahmadi Asnawi had ruled that the former minister could not be held accountable for any mistake, misleading information or inaccuracy in the preparation of the ministry's documents regarding the land acquisition although he signed the documents.

"If any, the blame should be apportioned wholly and squarely upon the officers of the Transport Ministry who drafted and prepared the documents," the judge had said.

As such, Lee told The Malaysian Insider that the PKFZ case was far from over despite Dr Ling's acquittal and the AG's decision not to appeal, saying there were three more criminal cases in the messy free trade zone scandal.

In December 2009, former PKA general manager Datin Paduka Phang Oi Choo was charged with criminal breach of trust amounting to RM254 million.

Kuala Dimensi Sdn Bhd (KDSB) chief operating officer Stephen Abok and an architect with BT Architect, Bernard Tan Seng Swee, were also charged for making false claims.

Then in February 2011, former transport minister Tan Sri Chan Kong Choy was charged with three counts of cheating in the PKFZ scandal.

As PKA chairman, Lee had in August 2009 lodged a police report against KDSB and BTA Architect on the PKFZ project on the directive of PKA’s board of directors.

KDSB was the contractor for the PKFZ project while BT Architect was the appointed consultant.

Lee also questioned the status of a civil suit he filed in 2009 as PKA chairman against KDSB to recover the RM720 million where, in the suit, PKA had sought a declaration that the interest charged on the balance purchase price for the land was wrongly imposed.

"What is happening to that suit, is PKA still pursuing it?” he asked.

Lee had published a book titled PKFZ: A Nation's Trust – Betrayed on the troubled PKFZ project. It was published by The Malaysian Insider.

The book, released in April last year, chronicles the story of the project first mooted in 1997 and includes insights from his three years as PKA boss when the controversy erupted, as well as his role in the investigations.

The PKFZ project, initially estimated at RM1.1 billion after it was mooted by Dr Ling in 1997, more than quadrupled in cost to RM4.6 billion by 2007.

On Friday, the AG's Chambers decided not to appeal against Dr Ling's acquittal. Nine witnesses, including Tun Dr Mahathir Mohamad, had given evidence for Dr Ling.

Dr Mahathir, who was prime minister for 22 years, was also the finance minister between 2000 and 2003 when Dr Ling was alleged to have committed the offences.