Mr Lim (above), who will govern one of the nation's richest states and the only one dominated by ethnic Chinese, said the DAP would not alienate any community. -- PHOTO: AP

Lim Guan Eng from the Democratic Action Party (DAP) was sworn in on Tuesday after a stunning performance in weekend polls which handed Penang and three other states to a three-party opposition alliance.

Mr Lim, who will govern one of the nation's richest states and the only one dominated by ethnic Chinese, said the DAP would not alienate any community.

'There have been all sorts of rumours that we are going to do this and that,' he said after talks with Malay-based civil society groups.

'But I have told them that this government will be a friend to everybody and they understand this,' he said.

However, at least 1,000 people defied a police ban to gather outside Mr Lim's office in the capital George Town after Friday prayers, chanting, 'Long live Malays. Malays will not disappear from Penang,' a witness in the northern state said.

Umno protests against govt in opposition state of Penang KUALA LUMPUR - HUNDREDS of ruling party members protested outside the administrative headquarters of the opposition-ruled state of Penang on Friday in the first sign of partisan tensions after the weekend elections, police said. The United Malays National Organization members were demanding that the newly installed Penang government retain affirmative action policies for the majority Malays, a police officer said on condition of anonymity because he was not allowed to make public statements. ... more

The group, led by senior officials of the United Malays National Organisation - which has dominated Malaysian politics for half a century - dispersed 30 minutes later.

Protest leaders said they were angry over Mr Lim's plans to dismantle the New Economic Policy, a decades-old system of positive discrimination for Malays.

'Any decision taken against the spirit of the NEP will be seen as an attempt to marginalise the Malays,' said Umno division chief Musa Sheikh Fadzir.

Malaysia's opposition, including the DAP but also the conservative Islamic party and the multiracial Keadilan, have said they want to sideline the NEP because it fosters cronyism and corruption.

Azmi Abdul Hamid, the president of Malay welfare group Teras, said the civil society groups were happy with their meeting with Lim.

'We are glad to have received a reassurance that the interests of the Malays in Penang will not be neglected,' he said.

'The Malays in Penang have been overlooked for far too long, including during the previous state government, and we hope all this will change.'

Mr Lim urged Prime Minister Abdullah Ahmad Badawi to ignore calls by Umno in Penang to scrap the various million-dollar development projects previously approved in Penang.

'Instead of respecting the outcome of a democratic process they are now sulking and venting their frustration at the people,' he said.

Among the projects in the pipeline are a major bridge to connect Penang with the mainland and a monorail transit system. -- AFP