A proposal by the liquidator of the Taman Terubong Indah (Majestic Heights) project to revive Phase 2A, 2B and 3A will be discussed at a closed-door forum for purchasers on Sunday.

Phase 3A committee chairman Eric Ciah said the appointed liquidator from Deloitte Kassim Chan had forwarded a concept letter for the revival plan.

“If purchasers don’t co-operate fully, the liquidator has the right to sell off the property and distribute the proceeds to secured creditors first (banks and finance institutions) and to purchasers last,” Ciah told a press conference yesterday.

Also present were Neoh Hong Lee and Lean Guan Jin who are committee chairmen of Phase 2A and 2B respectively, and legal advisor Lio Chee Yeong.

The Sunday forum, from noon to 5pm, will be held at the Caring Society Complex at Jalan Utama here.

Ciah said the liquidator already had estimates for the revival plan and the amount each purchaser had to fork out.

He declined to reveal the estimates which would be discussed at the forum, adding that they were different for all the phases due to the difference in the original cost of the units.

“We want all purchasers – 370 from Phase 2A, 542 from Phase 2B and about 400 from Phase 3A (block A and B) – to attend the forum.

“Those who do not want their units any more can let us know because it is possible for the liquidator to take up the units,” he said.

It was reported earlier that the liquidator had estimated a cost of RM15.5mil for the completion of Phase I involving 1,500-odd buyers.

Phase I buyers would have to pay about RM8,000 each to revive the project after the Penang Municipal Council, the Penang Water Supply Corporation and two other government bodies waived a total of RM1.5mil in contribution charges.

The amount may be reduced to less than RM6,000 for each houseowner if an appeal to Tenaga Nasional Berhad and Indah Water Konsortium to waive contribution charges of RM456,900 and RM1.18mil respectively was successful.

Launched in 1995, the Majestic Heights project, consisting of 2,955 housing units, 55 shoplots and 22 light industrial units, is the country's largest single abandoned housing project.

The project hit a snag when the developer faced financial and management problems in 1998.

In October last year, the purchasers' committee successfully petitioned for the winding-up of the developer Majestic Heights Sdn Bhd.

Ciah clarified that the company was liquidated under Section 218 of the Companies Act 1965 and not Section 11 of the Housing Developers' Act 1966.

For details on the forum, contact Ciah at 012-2820619, Neoh (019-4466407), Lean (012-4766235) or L.H.Tan (012-4881970).