Majestic Heights buyers to fork out a few million RM

The Star 01/10/2001

THE 3,000-odd Majestic Heights apartment purchasers may have to fork out a few million ringgit to revive the project as the developer has agreed in principle to start winding up, state executive councillor Dr Loh Hock Hun said yesterday.

The purchasers would be given a formula to indicate how much each of them should pay, he said.

''At this point, we do not know the exact amount as the assessment will be made by a Court-appointed liquidator,'' he said, adding the court hearing to appoint a liquidator which was scheduled on Sept 24 , was postponed to Oct 16.

He said this at a colouring and drawing competition held in conjunction with an anti-mosquito campaign at the Bandar Baru Air Itam police quarters. The competition attracted 105 participants aged from five to 12 .

Dr Loh said the purchasers must pool their own funds to pay the liquidator and other expenses that would be incurred.

The path that needs to be taken to guarantee revival was clear now following the action taken recently by Housing and Local Government Minister Datuk Seri Ong Ka Ting to invoke section 11(1)d of the Housing Developers Act to direct the company to wind-up within a month, he said.

''Now purchasers have a clearer picture on the course of action to be taken as we can now see a clear solution to this problem that had been plaguing the buyers for several years.

Launched in 1995, the project in Paya Terubomg offers 2,955 housing units, 55 shoplots and 22 units for light industry. The project hit a snag in 1998 when the developer faced financial and management problems.

It had been reported last Tuesday that the Majestic Heights Sdn Bhd had agreed before Justice Md Raus Shariff to the winding-up order filed by 545 buyers of Majestic Heights Phase 1 apartments.

Dr Loh said the state government would bear the cost of building roads, retaining wall and infrastructure related to the project, adding that could amount to another few million ringgit.