A controversy has recently erupted over a land deal involving former officers and an ex-councillor of the Penang Municipal Council (MPPP).

However, the state government appears to have cleared Gerakan from alleged 'corrupt practices' involving the deal which took place in 2002.

NONE The furore was sparked by an email sent recently to Chief Minister Lim Guan Eng and other officials, accusing a former councilor in charge of licensing 10 years ago of involvement in corruption.

Gerakan, under former chief minister Koh Tsu Koon ( right ), was then leading the BN administration in Penang until Pakatan Rakyat took over after March 2008.

State local government and traffic management committee chairperson Chow Kon Yeow denied knowledge of allegations that a former councillor was involved in the alleged scandal.

Chow, who is Tanjong MP, also dismissed accusations that the MPPP was "corrupt" for rejecting an application by a developer to purchase the land.

"We received an email from "Dedah Korupsi" (Pro Bono Publico) dated Apr 6 regarding "corrupt practices of MPPP officers and a former councillor," he told reporters in Penang.

"Upon receiving the information, MPPP launched a probe into the matter but we do not know of any such practices as alleged by the email," he added.

Anonymous email

On Apr 8, the Chinese press reported that an anonymous email was sent to Chief Minister Lim Guan Eng and other officials, accusing a former councilor in charge of licensing 10 years ago for involvement in corruption.

The email had criticised the MPPP for allegedly abandoning the land for 10 years, adding that it was probably reserved for "cronies" of the involved councillor.

The allegations sparked the concerns of Gerakan leaders who immediately denied the allegations.

NONE Former state exco and Penang Gerakan chief Teng Hock Nan ( left ) urged the MPPP to immediately probe the matter while the party itself would conduct its own internal investigation.

In the email, the complainant was referring to a plot of land at Lot 13180, Mukim 12, Persiaran Mahsuri 1, Taman Sunway Tunas.

The developer had handed over the land to the council with a nominee agreement of RM1.

The vacant land was then registered under the council on Sep 26, 2002.

It was handed over to MPPP to be developed into a hawker site.

The site was then under the management of the MPPP's licensing division, responsible for the management of markets and hawker complexes.

MPPP received an application from the developer - Sunway Sdn Bhd - on Mac 21, to repurchase the land.

However, the council had rejected the application as the land is still reserved for a hawker site.

The site is still vacant and the council is in the process of fencing up the area. However, the council has no plans yet to build hawker stalls there as yet.