In an explosive 50-minute press conference, Ahmad who claimed time and again that he was not a racist, vowed that he would not apologise for his remarks which sparked the controversy.
"While it is not difficult to say sorry - for the sake of my Malay dignity, I resolve not to apologise no matter what others may say. I am willing to take the risk (for not doing so)," he said in a 14-page statement.
The press conference, which was held at the Penang Umno headquarters this afternoon, ended with shouts of ‘Hidup Melayu' from about 50 local party leaders who were there.
Soon after the event, former Penang Umno committee member Zainol Abidin Hashim, with the help from his colleagues pulled down the photo of Gerakan acting president Dr Koh Tsu Koon which adorned one of the walls in the party headquarters.
Koh's picture frame, which sat next to the photos of the Penang governor and his wife, was subsequently smashed.
As the glass broke into pieces, Zainol removed Koh's photo from the frame and tore it into half.
Koh, who is former Penang chief minister, has been trading barbs with Ahmad, the Bukit Bendera Umno division chief, over the issue.
Ahmad: Take This As A Warning
Earlier, Ahmad told the minority Chinese not to go overboard in hurting the feelings of the Malays and Muslims.
"I want them to know, I want them to take this as a warning from the Malays. Malays and Muslims have been provoked many times. We have been patient because we want to maintain stability in the country," he said.
"Remember! The patience of Malays and Muslims has its limits. Do not push us to the wall, where we will be forced to reject the Chinese for the sake of our survival.
"If what I say sounds too strong for BN, take this as a warning from the Malays and Muslims as this has nothing to do with Umno. Do not pressure Umno leaders until they are caught in a dilemma."
He then sounded a dire warning to Koh and Gerakan.
"I want Koh Tsu Koon and Gerakan to take responsibility for whatever untoward incidents that could happen in this country of ours."
Ahmad also called upon BN leaders to "kick Gerakan out" from the ruling coalition.
'PM Asked Me To Hold This PC'
The Bukit Bendera Umno chief said that he was asked by Prime Minister Abdullah Ahmad Badawi to hold "another press conference".
Ahmad previously held a press conference last Friday in which he reiterated that he would not apologise for his remarks.
Abdullah (photo, right), who had earlier told the powerful local Umno leader to do so, was silent on the issue the next day when he met with Penang Umno leaders, including Ahmad.
Ahmad, who was backed by all 13 Umno divisions in Penang - Abdullah's home state - thanked the prime minister for his "understanding".
The controversy erupted after Ahmad had allegedly said that the "Chinese were immigrants squatting in this country" at a ceramah during the recent Permatang Pauh by-election campaign.
The speech caused Ahmad to come under heavy fire from Chinese-based political parties, particularly from Umno's allies MCA and Gerakan over the past two weeks. A spate of police reports were also lodged against the Umno division leader.
Ahmad nevertheless argued that his remark was taken out of context by Chinese-language Sin Chew Daily as he was referring to historical events.
At the press conference, Ahmad also urged the different states to hold a gathering of the whole ummah (Muslim community).
"Let us not let it go to waste as the flames of anger among Malays and Muslims has reached new heights. Let us take embrace this anger and come together as Malays and Muslims throughout the land so that we can turn the voices of the Malays into one that will unite all Malays and Muslims into one single movement."
In an immediate reaction, both Abdullah and Deputy Prime Minister Najib Razak are expected to meet Ahmad tomorrow. It is believed that action could be taken against the Umno leader.