THE contractor undertaking the building of the Penang undersea tunnel project said it was “conned” into paying a businessman millions of ringgit, as it believed it would suffer actions if it did not pay up.

Consortium Zenith Constructions Sdn Bhd  (CZC) chairman Zarul Ahmad Mohd Zulkifli described the situation as “a gun to our heads”, in the company’s bribery case that made headlines in February

“Basically, if we were not going to accommodate such a requirement, a lot of things… actions would be taken against us.

“They are the powers that be, or in this case, they claimed to be so. We found out later that it was not true.

“We were conned, in that sense,” he said at CZC’s Raya open house in Penang, earlier today.

Zarul said he could not say more as the Malaysian Anti-Corruption Commission was still investigating the case. 

“I believe soon they will come out with something pertaining to the issue,” he said.

He said CZC had given a full explanation to the Penang government in a recent exco meeting, adding the state was satisfied with the explanation.

From the time it was unveiled in 2011 and throughout the time Barisan Nasional was in power, the tunnel in Pakatan Harapan-controlled Penang was the target of criticism and attacks from BN politicians. Reports were even filed with MACC, urging that it investigate the ambitious RM6.3 billion project, which also includes the construction of three major roads.

CZC, known then as Consortium Zenith BUCG Sdn Bhd, won an open tender to build the project in 2013, after GE13.

In January, with the 14th general election looming, MACC raided the offices of Penang government departments, CZC and its joint-venture partner Ewein Bhd, among others. 

Many people, including Penang government excos and consultants involved in the project, were called up for statements. Zarul was remanded to assist in investigations.

MACC sources alleged some individuals, such as politicians, had received millions in kickbacks, a claim denied by the Penang government.

In February, MACC detained a 37-year-old businessman suspected of accepting bribes to close MACC’s investigations on CZC in Putrajaya.

The matter came to light when CZC issued demand letters to the individual and prominent Umno leader million to the business for allegedly failing to execute their tasks to deliver the required consultancy services as per their agreement in July 2013.

It was alleged RM19 million was paid to the businessman and RM3 million to Azeez.

It was soon after revealed that Azeez, who is Baling MP, was a victim of “name-dropping”. The businessman had used Azeez’s name, making Zenith believe that he represented Azeez.

Zarul said the company had acted according to what it believed to be the rule of law at the time.

“Anything could have happened then,” he said.

Asked if things had changed with Pakatan Harapan in both the state and central governments, Zarul replied: “Let me put it this way. On May 10, I opened my window and I took a nice breath of fresh air. It was wonderful.” – July 2, 2018.