Penang Gerakan demands for answers, wants the truth behind the Island Medical City project - Parti Gerakan Rakyat Malaysia

Penang Gerakan demands for answers, wants the truth behind the Island Medical City project

GEORGE TOWN: Penang Gerakan has urged the state government to come clean on the ‘special treatment’ given to the developer of the Island Medical City project.

State Gerakan acting youth chief Jason Loo said based on the alleged hotel sale brochure, the plot ratio approved by the state government for the hotel project is 7:1.

This, he said, differs from the Penang Island City Council's guideline on hotel developments, where the maximum allowable plot ratio is 6:1.

"The Penang government has approved it for the proposed Island Medical City project.

"Moreover, the developer was given special treatment through the exemption of development charges, estimated at about RM26 million.

"On what basis did the state government waive the development charges? The money exempted can actually be used to build 627 units of low-cost houses, which will benefit more than 3,000 Penang folks," he told newsmen on Tuesday.

Loo also questioned the motive behind the special treatment given to the developer when the Health Ministry has yet to approve the proposed hospital expansion project.

"Previously, they (the state government) sold the land without open tender. Now, this is happening. Are they siding with the people or the developer?" he asked.

On May 17, Chief Minister Lim Guan Eng had revealed that the state government had sold a 6.4-acre of land at Peel Avenue to Island Hospital Sdn Bhd for RM156 million.

It was reported that a proposed RM2 billion Island Medical City will be built on the land within five years, and that Island Hospital had said that the expansion will see the hospital expanding from a 600-bed hospital to 1,000 beds.

The project will also see several Category 2 pre-war bungalows demolished to make way for the expansion.

Loo has urged the state government to bare it all and reveal the meeting minutes with the developer to prove to the people that there have been no elements of corruption.

Last Thursday, Loo revealed that Island Hospital was believed to be looking for investors to purchase the hotel component on the Peel Avenue land, there according to a sales brochure.

He had claimed that Island Hospital would only hold five per cent of the hotel shares, while the remaining 95 per cent would be owned by investors once the deal was completed.

On Saturday, Island Hospital refuted claims that it released a sales brochure on the divestment of interest in a hotel project to be built alongside its hospital expansion project.






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