MCA is seeking to divert widespread criticisms from the party's takeover of two Chinese dailies by "dragging Gerakan into the controversy", said Gerakan secretary-general Chia Kwang Chye today.

Chia was responding to a Sin Chew Jit Poh report today, quoting Human Resources Minister Dr Fong Chan Onn as saying that Gerakan president Dr Lim Keng Yaik attempted to bid for Nanyang Siang Pau and China Press at RM6.50 per share, but to no avail.

Fong, who is also MCA vice-president, reportedly said Lim pointed out to Prime Minister Dr Mahathir Mohamad that MCA had already controlled top-selling English daily, The Star .

At the private meeting, Lim told Mahathir that the party should not be allowed to take over the two Chinese dailies published by Nanyang Press.

However, it is learnt that Mahathir, in dismissing Lim's proposal, said he would leave it to "market forces" to decide the outcome of the deal.

In the same report, Fong complained about Gerakan's criticism against MCA's takeover of Nanyang despite that the party was also eyeing a stake in the media company.

Fong defended the controversial takeover, saying that the move was to prevent the publishing group from falling back into the hands of bumiputras.

He said that several bumiputra entrepreneurs had held a significant stake in Nanyang Press in the early 1990s.

"When I read about this (bumiputra interests in Nanyang Press) 11 years ago, I felt so ashamed and outraged because a Chinese press was controlled by bumiputras," Fong was quoted as saying.

Heed voices of opposition

When contacted by malaysiakini , Chia did not deny the allegation that his party chief had expressed interest in purchasing shares in Nanyang Press.

"If there is an offer, it is all right for Gerakan to consider (it) even if the party is not as rich as MCA," he said.

But he defended his party's stand on the matter.

"Even though we have been offered, even though we have considered it ... MCA still have to respect the people's will," added Chia.

When asked if the party leadership will brief its members on Gerakan's alleged involvement in the much-disputed takeover, Chia replied, "It is really them (MCA) who need to explain to the people, not us. We have not planned any session to brief our members on that."

Party president Lim is presently overseas on a business trip.

Nanyang Press was acquired by MCA through its investment arm Huaren Holdings for RM230 million cash at RM5.50 per share late last month.

The deal has generated a volley of protest from the Chinese community who fear that the takeover would stifle press freedom and that the dailies would be transformed into a propaganda tool by the second biggest party in the ruling coalition.

Both MCA and Gerakan, though part of the ruling Barisan Nasional coalition, rely mainly on the support of the Chinese community.

Boycott campaign

A boycott campaign against the two dailies was launched by groups opposing the takeover last week and is believed to have affected their sales.

The deal has also widened the split within MCA.

MCA members opposed to the takeover, backed by their leaders including party deputy president Lim Ah Lek and vice-president Chua Jui Meng, have launched a nationwide campaign calling for an extraordinary general assembly to settle the issue.

MCA president Dr Ling Liong Sik had vowed that the party would not interfere with the editorial of the two dailies but that did not stop criticisms against the deal

Last week, Gerakan bitterly claimed that its leaders were given biased coverage in MCA-controlled The Star .

In the wake of the opposition to the takeover, Ling announced last week that MCA is willing to sell a strategic stake in Nanyang Press to those who are interested.

Meanwhile, the trustees of MCA's investment arm Huaren Holdings - consisting of Ling, Lim, Chua and party secretary-general Ting Chew Peh - will meet this Wednesday to discuss the issue.