'Punish errant ones severely'
The Star 25/9/2004
PENANG: Errant housing developers should be dealt with seriously by the
Government, especially those who collude with architects and engineers to
shortchange buyers, Chief Minister Tan Sri Dr Koh Tsu Koon said.
He said there had been cases I where architects
reportedly signed for 100% completion of a housing project when the
project was only about 70% to 80% completed.
"We have raised such matters with the Housing and Local
Government Ministry, which referred these cases to the National Housing
Board for action.
"The culprits are usually fined a small amount and, in
most cases, such action would only lead to temporary suspension of the
developer's licence.
This is not correct because it is a case of criminal
breach of trust," he said when opening The Star Property & Home Fair 2004
at the Penang lnternational Sports Arena (Pisa) here yesterday.
Dr Koh said although there might be only a few rotten
apples among the professionals, they should be dealt with seriously to
protect the image of other professionals.
"There may have been some cases of genuine hardship
faced by the developers, especially during the economic slowdown from
1997. So, we need a specific mechanism with certain procedures at the
ministry level to distinguish between the genuine cases and those who had
abused the law.
"Some may have abused the developer's account, where the
money and installment payment made by housebuyers that is kept and is
meant for the use of the project, is not used for that purpose," he said.
Dr Koh also suggested further amendments to the Housing
Development (Control and Licensing) (Amendment) Act 2001, to include
provisions for housebuyers to form a committee right from the beginning,
when they sign up for housing units.
"The developer should, inform all housebuyers who the
other buyers are, and they should be allowed to contact each other through
the committee to protect their rights."
Earlier, Star Publications (M) Bhd regional director
Datuk Seri Kamal Hashim echoed Prime Minister Datuk Seri Abdullah Ahmad
Badawi's call for developers to be more responsible and not to take the
public for granted.
He also said that making the right choice in buying a
property would largely depend on knowing the market
The three day fair, which ends tomorrow, is open from
11am to 9pm daily. There are more than 100 exhibitors taking up more than
200 booths.
It is organised for the second year by The Star, with
Henry Butcher as the technical adviser for the forums and talks. |