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Developer ordered to refund deposit
09/06/2005 NST

KUALA LUMPUR, Wed. The Consumer Claims Tribunal today directed a developer to refund the deposit paid by a 27-year-old student for a property in a housing project that failed to take off.

The tribunal directed Cergas Tegas Sdn Bhd to pay Ahmad Feizal Adnan RM7,798, comprising his deposit of RM6,980 and legal fees of RM818.

Ahmad had signed the sale and purchase agreement for a service apartment at Taman Puncak Templer, Selayang, on Sept 27, 2002.

He filed a claim with the tribunal for his deposit to be returned as he claimed the land had not been developed and had been turned instead into a quarry.

The developer, represented by its assistant legal manager, Faizah Ahmad, said the date of delivery of vacant possession for Ahmad Feizal was to have been Sept 27, 2007.

This, she said, was because Clause 22 of the agreement stated delivery should be within 60 months from the date of the sale and purchase agreement.

As such, she added, Ahmad’s claim was "premature".

Tribunal president Datuk Abu Bakar Awang said although the date for delivery of vacant possession was only in 2007, the project site had not even been levelled.

Furthermore, the photos produced by the claimant showed the site had been converted into a quarry.
 

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