THE Penang government and the Penang Development Corporation (PDC) are in ongoing discussions on how to offset RM400 million owed to PDC.
The amount stems from proceeds of a land sale transaction about 14 years ago, following the sale of the Bayan Mutiara (Penang World City) land, which was transacted through the Chief Minister Incorporated (CMI) in 2011.
Chief Minister Chow Kon Yeow confirmed this during a press conference today, stating that the state government has instructed PDC to submit an updated financial report to clarify accounts and ensure all outstanding payments are properly addressed.
“The Penang government has already reimbursed RM500 million to PDC, and over the years, multiple financial transactions have taken place between the state and PDC,” he said.
He further explained that financial dealings between the state and PDC are part of internal operations, where PDC occasionally contributes to the state government, while in certain cases, the state government does not impose land premiums on PDC.
“These are internal transactions between the state government and PDC. We will come to a conclusion on how to offset the amount,” he added.
Story by K.H. Ong
Pix by Siti Nuratikah Rahmat
Video by Ahmad Adil Muhamad