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G Gnanaraja told Lim Guan Eng’s corruption trial that he was declared bankrupt last year.
Bankrupt bizman Gnaraja tells court he wanted to ‘get things done’ for Guan Eng
KUALA LUMPUR, Aug 28, 2025: Bankrupt businessman G. Gnaraja today told a Sessions Court here that he had only met Lim Guan Eng twice but claims he was serving the then Penang chief minister by agreeing to arrange for a company with a bank account.
Yesterday, also in the same court, Gnaraja said he personally handed over two black bags containing a total of RM2 million to Lim for the undersea tunnel project.
Lim, the former DAP secretary-general now an adviser, is accused of using his position as then Penang chief minister to solicit a 10% share of profits from the undersea tunnel project and receiving RM3.3 million in bribes from businessman Zarul Ahmad Zulkifli.
The former finance minister also faces two charges of dishonestly misappropriating RM208.7 million worth of state land.
No News Is Bad News reproduces below a news report on the court proceedings:
I wanted to ‘get things done’ for Guan Eng, businessman tells court
G Gnanaraja says he only met Lim Guan Eng twice but claims he was serving the then chief minister by agreeing to arrange for a company with a bank account.
G Gnanaraja told Lim Guan Eng’s corruption trial that he was declared bankrupt last year.
KUALA LUMPUR: A businessman told the sessions court during Lim Guan Eng’s undersea tunnel project trial that he had to “get things done” for the then Penang chief minister, following an alleged request to open a bank account.
G Gnanaraja acknowledged that he only met Lim twice in August 2017.
He said Lim had asked him to set up a company and open a bank account to receive payments in relation to the project.
The witness said he had never met or spoken to Lim prior to that.
“I don’t have his number,” Gnanaraja said, adding that he never met Lim again after August 2017.
Lawyer Ramkarpal Singh asked why Gnanaraja would accede to such a request from someone he did not know well.
“You only met him twice, and you claimed that he asked you to open an account for corrupt purposes. Do you agree that you used Bumi Muhibah Capital Holding Sdn Bhd for purposes of fraud?” asked Ramkarpal.
Gnanaraja however objected to the lawyer’s use of the word “fraud”.
“For me, I was serving the chief minister. I had Bumi Muhibah at the back of my mind,” he added.
Bankrupt
Gnanaraja also admitted that he was declared bankrupt by the Shah Alam High Court in December last year.
He said a bankruptcy order was entered against him after he failed to honour the payment of RM5.3 million in legal fees to his solicitors, Dennis, Nik and Wong.
The firm had represented Gnanaraja in his cheating case. However, the businessman did not settle his legal fees, prompting the lawyers to file a suit against him.
Asked by Ramkarpal if he had taken steps to set aside the bankruptcy order, Gnanaraja said his lawyers were handling the matter.
“I hope you pay them this time,” Ramkarpal said in response.
The hearing continues before judge Azura Alwi on Oct 14.
Lim is accused of using his position as then Penang chief minister to solicit a 10% share of profits from the undersea tunnel project and receiving RM3.3 million in bribes from businessman Zarul Ahmad Zulkifli.
He also faces two charges of dishonestly misappropriating RM208.7 million worth of state land.
Wednesday, 27 August 2025
Guan Eng a ‘seriously damaged good (politician)’?
Share to help stimulate good governance, ensure future of people & M’sia
No News Is Bad News
Guan Eng a ‘seriously damaged good (politician)’?
KUALA LUMPUR, Aug 27, 2025: Former DAP secretary-general, now adviser, is now a “seriously damaged good (politician)” (so to speak) in his ongoing RM2 million tunnel graft case.
Businessman G Gnanaraja testified in a Sessions Court here today that he paid Lim RM2 million over the tunnel project in August 2017.
No News Is Bad News reproduces below the former Finance Minister’s court proceedings today:
I paid Guan Eng RM2mil cash over tunnel project, witness tells court
Businessman G Gnanaraja says the payments were made in August 2017.
Former Penang chief minister Lim Guan Eng is on trial on four corruption charges over the RM6 billion undersea tunnel and roads project. (Bernama pic)
KUALA LUMPUR: A businessman told the sessions court in Lim Guan Eng’s undersea tunnel project corruption trial that he paid the then Penang chief minister RM2 million in cash eight years ago.
G Gnanaraja said he handed RM1 million to Lim on Aug 18, 2017 in Mont Kiara here.
He said a second payment was made when Lim visited his home 11 days later.
G Gnanaraja.
According to Gnanaraja, Lim arrived at his house in the early hours of Aug 29, in a car driven by businessman Zarul Ahmad Zulkifli.
Gnanaraja said the purpose of the visit was to discuss “setting up a company and a bank account” to handle matters relating to the undersea tunnel project.
“Datuk Zarul asked for this company to be used to pay YB Lim,” he said, referring to Bumi Muhibah Capital Holding Sdn Bhd.
“YB also said that he needed someone he could trust in managing funds that would be channelled to him, and I would be a suitable person as I was not a member of any political party,” said Gnanaraja.
The businessman told the court that Lim wanted the bank account opened to receive about RM30 million, and that the funds would come via Zarul.
“YB Lim also said that Datuk Zarul agreed to his request for a 10% share from the undersea tunnel project.”
According to Gnanaraja, the discussion between the three men went on for one hour.
The court previously heard that Lim had posed for photographs with members of Gnanaraja’s family during the visit.
At the end of the meeting, the witness said he retrieved a bag containing RM1 million from his car and handed it to Lim as he was leaving.
The hearing continues before judge Azura Alwi.
Lim is accused of using his position as then Penang chief minister to solicit a 10% share of profits from the undersea tunnel project and receiving RM3.3 million in bribes from Zarul.
He also faces two charges of dishonestly misappropriating RM208.7 million worth of state land.
Malaysia
Guan Eng allegedly received RM2 million in black bags, court hears
Businessman claims delivery of two bags containing RM1 million each from CZCSB director to former Penang CM amid tunnel project graft trial
Updated 7 seconds ago · Published on 27 Aug 2025 5:34PM
On the night of 28 August 2017, Gnanaraja retrieved another RM1 million bag from his office and placed it in a black Bentley - August 27, 2025
A KEY prosecution witness in the ongoing sea tunnel corruption case involving former Penang Chief Minister Lim Guan Eng told the Kuala Lumpur Sessions Court today that he personally handed over two black bags containing a total of RM2 million to the former minister.
The witness, Datuk Seri G Gnanaraja, said he received two black bags—each holding RM1 million—from Datuk Zarul Ahmad Mohd Zulkifli, then director of Consortium Zenith Construction Sdn Bhd (CZCSB), during a meeting at Hotel Eastin Petaling Jaya on 18 August 2017. He stored the bags in his office before delivering one to Lim Guan Eng at Publika, Hartamas, on 20 August 2017.
“After I received two black bags with RM1 million each, I stored them in my office. I took one out on 20 August 2017 to hand over to Lim while driving him to Publika. Guan Eng took the bag and then patted Zarul Ahmad on the shoulder, whom he thanked for the RM1 million bag,” Gnanaraja recounted during his testimony.
He added that on the night of 28 August 2017, in response to a text from Zarul Ahmad, he retrieved the other RM1 million bag from his office and placed it in his black Bentley. In the early hours of 29 August, Lim Guan Eng reportedly visited his home to receive the bag.
“Guan Eng came to my house around two to three in the morning, I handed him the bag after retrieving it from my car’s boot. He received it with his right hand, smiling, placed it onto his lap and then left with Zarul Ahmad seated alongside in the vehicle. I do not know their subsequent destination,” he testified.
Gnanaraja revealed that prior to handing over the second bag, he, Lim, and Zarul Ahmad engaged in a confidential discussion at his home concerning the tunnel project's financial arrangements—including Guan Eng’s claim to a 10 per cent cut from the estimated RM6.3 billion contract.
“In my understanding, the tunnel project's value is estimated at RM6.3 billion. Guan Eng mentioned that 10 per cent of the project profits—amounting to that sum—was intended for himself. He also said Zarul Ahmad agreed to this request,” Gnanaraja added.
Lim Guan Eng, 64, faces multiple amended charges alleging that, as Chief Minister, he abused his position to procure illicit gains. These include receiving RM3.3 million to assist CZCSB’s appointment for the major infrastructure project and soliciting a 10 per cent kickback. Additional charges involve the disposal of Penang state land valued at RM208.8 million.
The trial before Judge Azura Alwi is set to resume tomorrow. - August 27, 2025
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