Ghafar said the AG told the Deputy Public Prosecutor that there would be “no further action” on the matter.
“I was informed two days ago about this decision and hence the case is considered closed,” he said at a press conference at the state police headquarters today.
Lim’s landlord, Phang Li Koon, came under intense scrutiny after Umno members alleged that she falsified a statutory declaration (SD) in regard to the sale of her bungalow to the chief minister for only RM2.8 million.
The bungalow which Lim purchased below market value, according to Tasek Gelugor MP Shabudin Yahaya, was suspected to be closely linked to the sale of Taman Manggis land.
Both Lim and Phang however denied any wrongdoing and have welcomed investigations into the matter.
An Umno leader later lodged a police report claiming Phang had lied in her SD when she declared she “had no dealings with the state government.”
This was after a letter surfaced in several blogs online of her inquiring about the state’s proposal to build foreign workers’ enclaves in Juru and Batu Kawan.
The letter, addressed to the state-owned Penang Development Corporation, was also signed by a “Phang Li Koon”, a director of a company called “Magnificent Emblem Sdn Bhd.”
Phang could not be reached for comments.