Gerakan has decided to send a notice of legal action to Penang Chief Minister Lim Guan Eng for releasing alleged defamatory statements and articles against the party and its leaders.

Its secretary-general Liang Teck Meng said the letter of demand will be delivered to Lim today.

This is over a claim that the previous state government under former chief minister Koh Tsu Koon had sold reclaimed land in Tanjung Tokong (Sri Tanjung Pinang) to a developer back in the 1990s for only RM1 per square foot.

Liang noted that Lim had claimed that the area sold covered 980 acres, valued at RM42.7 million.

"We demand Lim to apologise formally and without condition to Gerakan through a press conference, within three days, or 72 hours, starting from today," Liang said in a statement today.

"I am very confident that we have a strong position and solid evidence in this case. We will await Lim’s reply."

The Simpang Renggam MP strongly refuted and condemned the claims made by Lim, who is also the DAP secretary-general.

"After consulting several quarters including party leaders, members, professionals and lawyers, we finally decided to pursue appropriate legal action to defend the reputation, image, and interest of the party as well as that of Koh," Liang said.

"Such statements uttered by Lim have caused Gerakan and Koh to become the victim of ridicule and baseless insinuation, which were inaccurate and defamatory in nature."

Liang stressed that based on facts, Gerakan did not sell the Tanjung Pinang land, adding that it was actually a concession agreement of land reclamation that was awarded in 1992.

He said there are "strong and valid reasons" to believe that Lim made the statement in bad faith.

"Lim had clearly crossed the red line and made such statements in ill intent to damage our reputation and image."

Liang also said that sufficient, concrete and comprehensive evidence had been compiled to prove that Lim had repeatedly defamed Gerakan and Koh since 2012.

Lim should be held responsible for his own actions, he added.

Gerakan national legal and human rights bureau chief and lawyer Baljit Singh will be representing Gerakan in this case.

When contacted, Lim's legal officer Raja Syarafina Raja Shuib said she has yet to receive the legal notice from Gerakan.

"I cannot confirm anything as we have yet to receive the letter," she told Malaysiakini.