He said the report would outline outstanding balances, financial contributions and waived premiums. This, he said, would be reviewed by the state government which would then decide on the final sum to be paid back to the statutory body, although the estimated sum is RM400 million.

The Bayan Mutiara land was sold to Ivory Properties Group Bhd 14 years ago for RM1.07 billion in a deal handled by the CMI.

According to a report by The Edge, the 102.56-acre site was initially sold to the property developers to develop Penang World City, a mixed-use project. It said PDC was owed 40% of the proceeds, but never received it.

The proceeds from the project were meant to be channelled back to the PDC to implement six affordable housing scheme projects, some of which had been completed, Chow said.

He explained that while the full RM1.07 billion from the transaction had been paid to the state government between 2011 and 2018, some of the funds still needed to be transferred to PDC.

However, he said the exact amount owed to PDC might be less than RM400 million, after adjustments.

“We will wait for the report from PDC listing payments, expenditures, and so on. As I said previously, although the agreement was signed in 2011, payments were made every year.”

In the meantime, the state government, Chow said, would take over the management of affordable housing projects that were previously under PDC.

Chow said this would include the Suria Dua project in Batu Kawan, which was launched last year.

“Since the Housing Board will take over affordable housing, PDC feels that once Suria Dua is completed, they can release it.”