Danga Bay condo legal wrangle: Developer wants property manager tender reopened, tribunal says not within its powers

JOHOR BAHRU — Property developer Country Garden Danga Bay's claim against five Singapore members of a condominium management committee began on Thursday (Aug 4) in Johor Bahru, Malaysia, with the property developer alleging that it was not informed of the agenda of a management committee meeting held on June 18. 

The developer is embroiled in a separate ongoing trial after it was sued by dozens of property buyers from Singapore, China and Malaysia, who are alleging fraud and misrepresentation. 

In its claim against the management committee members, the developer alleged that during the June meeting, the committee voted in favour of changing its property manager among other things. 

TODAY understands that the five committee members implicated in the case were four Singaporeans and one Singapore permanent resident.

The developer is now demanding that the tender for the property manager be reopened and that any compensation made to the new property manager, Bond Prop Management, due to a breach of contract should be paid by the five committee members.

However, the Strata Management Tribunal’s president Abdul Fareed Abdul Gafoor said on Thursday that it was not within his powers to make a decision to have the tender recalled.

The strata management tribunal is a legal body that moderates disputes related to buildings with a strata title. 

Condominium management committees, also known as joint management bodies, typically work with the developer to ensure proper documentation, payment schedules, accounting and the upkeep of the property.

During the hearing at the Strata Management Tribunal in Johor Bahru, Mr Abdul Fareed gave the management committee members two weeks to file their submissions and another two weeks for the developer to submit its reply. The case will be heard again at the tribunal six weeks from now.

The committee members were represented by Ms Nurul’Ain Mohd Ali Huzairy, a lawyer who was acting in her personal capacity, because the tribunal typically does not allow for lawyers to be appointed for such cases.

The developers were represented by Mr Muammar Hakimmi Mas Bakri, who also sits on the management committee as the developer's representative and Mr Liew CY, a property manager at Country Garden Danga Bay.

In the separate lawsuit filed by more than 40 property owners, it was alleged that the housing units of Country Garden Danga Bay condo development were not delivered as advertised and that the developer made changes to their sales and purchase agreements after the buyers had signed them. 

The trial for that case began on Wednesday at the Johor Bahru Civil High Court with one of the plaintiffs Soh Hup Ping taking the stand. 

Mr Soh is set to face further examination on Thursday before being cross-examined by the developer’s lawyer Leonard Yeoh.