NST Online - Local News 16/11/2008

Kristal Resort members want their rights

GEORGE TOWN: Some 1,400 Kristal Golf Resort members are appealing for their rights as members to be restored

Action committee secretary Lau Heng Loon said Pengurusan Danaharta Nasional Berhad had failed to inform members of the situation the resort was in up to the moment it was foreclosed.

"As an arm of the government, Danaharta did not inform us of the entire situation," he said yesterday.



Lau said they only found out about the foreclosure from the media and were also not aware of the sale of the land to another company.

The committee's legal adviser, Lee Khai, said the land was originally bought by Suasa Kristal (M) Bhd and, after the financial crisis in 1997, it was charged to the bank.

Lee said Danaharta took over Suasa Kristal's non-performing loan on Aug 2002 and the resort was foreclosed in 2003.

"The land was initially supposed to be sold via open tender but it was sold to a company under a private treaty deal.

"We found the company had paid RM2.1 million as deposit in June, last year, but the property transfer was only completed 15 months later, in October," he said, asking why the company was allowed such a long time to complete the RM21 million sale.

Lee also asked why the members were not given the opportunity to raise the funds to buy the place, instead of it being sold to another company.

"We also wonder why Danaharta was allowed to transfer the land even though there were seven caveats on the land."

Lee noted that the law did not protect golfing members as they had no proprietary rights to the place.