GEORGE TOWN (Jan 10): Despite facing misconduct or corruption probe by the Malaysian Anti-Corruption Commission (MACC), the Penang DAP-led government will still proceed with the undersea tunnel project linking the island from Persiaran Gurney to the mainland part of the state in Bagan Ajam.

Chief Minister Lim Guan Eng said this was a valid contract where there was open competition for the tender offered and the state would proceed with it.

"Unless we are instructed otherwise by the court not to go on with it...if not, it will proceed," he told reporters, here,  today

He explained that the project was not just a tunnel project, as it included the construction of three highways, of which he revealed the Environmental Impact Assessment (EIA) report had been secured.

The 7.2-km undersea tunnel project which connects Persiaran Gurney on Penang island to Bagan Ajam in Seberang Perai, plus building of the three highways, were awarded to Consortium Zenith BUCG Sdn Bhd (Zenith), comprising several companies.

The project has triggered numerous controversies, among them the high cost of the feasibility study as well as the payment method which involved the exchange of state government land that resulted in several individuals lodging reports to the MACC.

Meanwhile, Lim said he had instructed his officers since 2016 to give full cooperation to the MACC during the investigation process.

"We’ve got nothing to hide, we have instructed the officers to make available any documents required and there will be full cooperation from all the departments," he said.

However, he said, his administration was not aware of the MACC raid yesterday where two individuals with the 'Datuk' title being remanded today.

Earlier, it was reported that two directors with the “Datuk” title were remanded in Putrajaya and at the George Town magistrate's court separately today in connection with the probe into the undersea tunnel project.