PENANG, July 21 — Barisan Nasional’s (BN) assemblyman Muhammad Farid Saad has been dropped from the Penang Public Accounts Committee (PAC) probe on alleged illegal sand-mining activities in Balik Pulau due to a conflict of interest.

It is understood that the Pulau Betong assemblyman will be one of six witnesses to be called up when the nine-man PAC panel starts its hearing on Aug 2.

“We reached an agreement today. Although Muhammad Farid (picture) is a member of the Penang PAC committee, he will not be joining this inquiry to ensure that there would not be a conflict of interest and so that the committee can act impartially,” said Penang PAC chairman Jagdeep Singh Deo.

Muhammad Farid claimed last week that illegal sand excavation was taking place at a plot in Kampung Kenanga, which had been earmarked for a government polytechnic.

In response, Penang Chief Minister Lim Guan Eng said that it would be difficult for the state to probe the matter as he had not received co-operation from state development officer (SDO) Nik Ali Nik Yunus.

This in turn escalated to a verbal war between Nik Ali and Lim, where Nik Ali lashed out at the Penang CM during an Umno function for accusing him of being “incompetent.”

“The inquiry will officially begin on August 2, 2010, while the committee will visit the site on July 27, 2010. That was basically what was reached in the meeting, we will know more after we begin the actual inquiry,” Jagdeep told The Malaysian Insider.

Apart from Muhammad Farid, The Malaysian Insider understands the other witnesses are the district and assistant district land officers, the director of the Land and Minerals office of Penang and representatives from the district police department as well as the Works Department.

A representative from the Penang state legal advisor’s office will also be present throughout the process of the investigations.

The Penang chief minister claimed yesterday that the illegal sand-mining allegations was just another attempt to “destabilise” Pakatan Rakyat (PR) which captured the state in Election 2008.

“Umno, along with those who are attacking the Penang state government, are trying to duplicate the Selangor (sand) issue. Let me tell them this: If and when they do this, they are standing on quicksand.

“In Penang, under this government, it won’t cut any ice. This is just sand in the wind,” Lim told The Malaysian Insider last night.