The MACC will initiate legal action against Penang Chief Minister Lim Guan Eng over his refusal to apologise for describing the detention of state exco Phee Boon Poh as “illegal.”

In a statement this afternoon, the commission said it was a unanimous decision by the top management, and the matter would be referred to attorney-general Mohamed Apandi Ali for further action.

"The MACC respects the rights and freedom of any party to criticise the body, but will never tolerate if there are slanderous remarks over its investigations, aimed to tarnish its image.

"The MACC does not have a personal interest in any of its probes, and will investigate every case without taking into account the political position, ideology or status of the individual under probe," said the commission.

On Aug 25, the MACC gave Lim 48 hours to apologise for his remark made at a press conference.

When the chief minister failed to tender an apology, the MACC chief commissioner Dzulkifli Ahmad said the commission would meet on Sept 4 to decide on the next course of action.

"His remark is defamatory towards a government agency that does not have any vested interest. We view this matter seriously.

"We will take action according to the provisions of the law, this our right," he was quoted as saying.

Phee was arrested on Aug 10 for issuing letters to the Seberang Perai Municipal Council (MPSP) to halt action on an illegal carbon filtering factory in Bukit Mertajam.

The MACC intended to remand him for five days from Aug 12, but the High Court in Penang ordered his release on Aug 14.

The commission, however, said the High Court, in ordering Phee's release, did not state that the arrest was unlawful.

The MACC added that since it was appealing the High Court's decision, comments regarding the arrest could be deemed as sub judice and contempt of court.