Parti Cinta Malaysia (PCM) vice-president Huan Cheng Guan has announced a counter legal move against Consortium Zenith-BUCG (CZBUCG) and the Penang government over their proposed defamation suit against him.

CZBUCG is the company which has been awarded the contract to build the Gurney Drive-Butterworth undersea tunnel and three highways to ease traffic congestion on the island.

Huan said the press conference held by CZBUCG chairperson Zarul Ahmad and Chief Minister Lim Guan Eng in George Town on Wednesday implied that he had lied about the tunnel when they threatened to file a defamation suit against him.

During the press conference, Zarul said his company’s share structure was above board, and stressed that there was no wrongdoing on his part as he had secured the contract to build the tunnel via an open tender.

But Huan insisted that he had quoted known sources – SSM documents (Company Securities Commission and press statements from the Penang government – when raising concerns about the tunnel.

“Instead of properly answering my valid questions and the concerns raised by various quarters including myself over the RM6.3 billion mega-tunnel project, they have decided to threaten me with a lawsuit, which is based on frivolous grounds,” Huan said at a press conference today.

Penang executive councillor for public works, utility and transport Lim Hock Seng has held several press conferences to clarify issues related to the undersea tunnel on May 12 and June 7.

However, federal minister-cum-BN strategic communications director Abdul Rahman Dahlan insisted that Lim has yet to answer all his queries on the tunnel.

Huan said various quarters had questioned why the company was able to make an extraordinary high profit of RM61.5 million when it appeared its only source of payment was the land given by the Penang government and its work was to do the feasibility studies and detailed design reports.

Huan had asked why the cost for the feasibility and detailed design fees for the three paired roads totalling 20.3km in length came up to a staggering RM208.8 million and up to 11% of the construction cost.

He said this figure was up to five times the maximum gazetted scale of rate of 2.54 percent as agreed by the Board of Engineers and the Works Ministry.

He had also asked why the current shareholdings of the awarded company differed so significantly from what was publicly announced in a statement by the Penang government just three years ago.

Huan, a former Gerakan Batu Kawan MP, had lodged two reports on the undersea tunnel to the Malaysian Anti-Corruption Commission (MACC).

“Instead of giving me proper answers, they threaten me with a lawsuit and want to shut me up; it is my right as a politician and a Penang-lang (person) to ask these questions,” he said.

“If my evidence is based on falsehood, let the MACC punish me with their laws,” he said.

Huan also said the counter legal action on the duo was to protect his integrity.

“By bringing this matter to court, I will be able to force the Penang government to reveal the documents it refuses to declassify and to get the answers to the many questions currently being asked.

“I will see you in court,” said Huan, who is also the honorary consul of Nepal, based in Penang.