23 March 2018

PRESS STATEMENT BY MCA DEPUTY PRESIDENT DATUK SERI DR. WEE KA SIONG

Request to the Penang Deputy Chief Minister II P.Ramasamy to sell us prime seaside land on Gurney Drive for RM475psf

1. Last week, I had explained in great detail out how the Penang Tunnel scandal will eventually cause RM20.5 billion in negative impact to the Penang people. 

2. This comprises of the actual project cost of RM6.34 billion, the RM3 billion in toll collections, RM9 billion in associated projects to support the Tunnel Special Purpose Vehicle's (SPV) property project and RM2.2 billion in loss of land value appreciation. 

I invite all Malaysians - particularly the Penang people to watch my video and see the proof for yourself how I had arrived at such a conclusion.  

3. Part of my explanation includes the Penang Govt's strange act of signing a contract in 2013 to allow construction of the tunnel portion of the project valued at RM3.6 billion to only start 10 years later in 2023 will result in at least RM2.2 billion in loss in land value appreciation for the Penang people.

4. Taking a conservative 5% per year increase in land appreciation value, I had shown that the RM3.6 billion land would have appreciated to RM5.8 billion in 10 years time in the year 2023.

5. However, Penang Deputy Chief Minister II P.Ramasamy issued a nonsensical statement dated 18th March 2018 to dispute me.

6. Among others, Ramasamy insisted that the cost of seaside land in Gurney drive to be used as payment to the Tunnel SPV is only worth RM475psf today. https://www.malaysiakini.com/news/416154

7. When justifying this, P.Ramsamy even arrogantly said that even if there is a loss to the Penang people arising from land appreciation, it is not a big deal as the Penang Govt cannot be blamed for appreciation in land values.

8. Very few people including me will believe Ramasamy's insistence that the price of prime seaside land in Penang cost only RM475psf today.

9. In fact in a ceremony on 15th January 2016, the Penang Chief Minister Lim Guan Eng himself witnessed a signing of a memorandum of agreement where the Penang Tunnel SPV had sold 50 acres of this very land to a listed company for RM2.83 billion - or a land price of RM1,300psf.http://www.theedgemarkets.com/…/eweins-unit-buys-50-acres-l…

In addition, Ramasamy should be aware of the land value for another development in the vicinity, i.e, Marriott Residences jointly developed by Boon Siew Group & Corner Club , which is much higher than the RM475 psf.

10. Therefore, I would like to ask Penang Deputy Chief Minister II to back up his words and tell me where I can buy prime seaside land on Gurney Drive for RM475psf.

11. I believe I can group together a few interested property investors to purchase such land at such a price from the Penang State Government.

12. If Ramasamy can help to facilitate us to buy seaside land on Gurney drive for RM475psf, we are willing to donate half of the profits to a charity that will benefit Malaysian education

13. If P.Ramasamy is unable to back up his words, then he must apologize for lying to me and the Penang people and admit that his desperate defence of his boss' Penang Tunnel scam is merely a pack of lies.

Datuk Seri Dr Ir Wee Ka Siong
MCA Deputy President
Minister in the Prime Minister's Department

-MCA online-