Friday, April 11, 2008

Steep learning curve for Lim Guan Eng & Co

Steep learning curve for Lim Guan Eng & Co

ELECTION 2008, after 1 month:

Penang CM admits to Leslie Lau he's shocked by past government deeds

APRIL 8 — Penang Chief Minister Lim Guan Eng stopped short of accusing the previous state government of mismanagement today but said he remained shocked at the financial position he had inherited.

“I am not going to accuse them of anything directly, but people can judge for themselves,” he told The Malaysian Insider in an interview to mark one month since what was arguably Malaysia’s most significant and landmark elections.

Lim also spoke about how the vote had resulted in less arrogant Umno MPs, and how racial barriers had perhaps been broken down.

But among the significant things he has learned after he and his team spent the past month poring through the books at the state government headquarters in Komtar was how far rules were bent previously.

“There are certain things we have started to understand and that is the extent of the malaise which has been inflicted on Penang. Rules can be bent, and how far the gravy train goes. It is something for which even though you have been expecting you, nonetheless, are still shocked.”

He would not give details about any kind of misdeed or mismanagement his government had discovered of the previous administration. His government is already preparing to appoint external independent auditors to look at the books.

After the initial euphoria of winning power for the first time since the party’s formation in 1965, Mr Lim says the DAP is learning now that governing is tough.

And the state government’s financial accounts have been the most sobering read for Lim, who is a trained accountant. Initial estimates are that the Penang budget deficit could be as high as RM70 million, mostly because the state government had not provided for contingent liabilities like damages awarded against the government in legal suits.

The state government has already started investigations into alleged land scams, which may or may not involve state officials, but has already cost Penang millions of ringgit in revenue because of alleged improprieties.

“Our liabilities have become very large. This is putting huge strains on the state’s coffers,” said Lim.

The Chief Minister, who is also the secretary-general of DAP, has spent the past month meeting a host of potential investors and businessmen with various proposals for the state.

But it has been a steep learning curve to be part of the country’s changing political landscape.

“I am saying the same things which I said before the elections but now when I say it, various pressures are exerted. Even the Prime Minister himself expressed his unhappiness about our policy of having open tender.

“Because of all these pressures, I have been touched by the fact that some people are concerned about my personal safety.”

Still, he is glad to be part of the change.

“We denied the BN two-thirds. Umno MPs are not so arrogant, they are more courteous and not so cocky. That shows how important it is to have some competition.”

But looking back at the election results, he says the most striking thing for him was the willingness of voters to break racial barriers.

By this, he means the fact that Malays were willing to vote for DAP and the Chinese were willing to vote for PAS.

Looking forward, the challenge is to entrench this change, he said.

Also, he adds: “You know, winning power is tough. Retaining power is tougher. We’ll just have to perform.”

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