Zuraida, a former housing and local government minister, made the allegation on May 10 after the government announced that 200 flats would be built for the workers.

Lim contended that Zuraida’s claims, published in a MalaysiaNow report, were false and had tarnished his reputation as a senior leader and he is seeking damages. He was previously reported to be seeking RM5 million in damages.

The suit names Zuraida, MalaysiaNow’s publisher MNow Media Sdn Bhd, and editor Abdar Rahman Koya as defendants. Lawyer SN Nair is representing Lim.

Lim accused them of having published the report “in order to get cheap publicity”.

He said his former political secretary, Tony Pua, had issued a statement to deny Zuraida’s claims, saying that they were false, and “Zuraida – who was a former minister herself – should be careful before making any statements and spinning facts”.

Lim said Zuraida had refused to comply with a demand that she retract her remarks.