Buyers want full compensation

24/07/2003 The Star By Yip Yoke Teng

This child, whose family is among the first few to move in, has only water kept in pails to use.

HOUSEBUYERS in Bandar Mahkota Cheras want full compensation for late delivery of their houses.

They claimed that the developer Narajaya Sdn Bhd was only offering them 50% to 80% compensation for delivering the houses five months later than the scheduled date, although it was supposed to be full compensation according to legal procedures.

“I tried to call up the company to ask for what we should get, but the three officers in charge were not contactable. “the person who picked up the call said they could not give full compensation due to financial constraints and that there was no point in a law suit as I would be spending a fortune on legal fees and the procedures would be time consuming,” said buyer Margaret Yeoh, 53, housewife.

Her husband Steven Pok, 50, an accountant, added that a number of residents had succumbed to accepting the “so-called offer” because of the given reasons.

“This is not fair at all, I never complained about the five-month delay. I was too naïve to believe that the developer would pay us full compensation as promised,” Yeoh said.

Another purchaser, Fiona Chan, 29, a marketing executive, said she felt cheated because the unit in Jalan Penggawa 18/2 that she bought was supposed to be facing flat land but it was now blocked by a slope.

“Since I am working in the same industry, I learned that the developer initially planned to level the land but did not do so to save cost,” she said.

She also questioned as to when the access road connecting the new township to Bandar Tun Hussein Onn and Cheras Perdana would be ready.

Some houses have no water meters installed yet even though the CFs are given.
“The developer promised that the road would be completed by April this year but it is already July now,” she said.

the houseowners are also frustrated that there is no water supply and water meters have not been installed in many of the units although certificates of fitness (CF) have been issued.

Housewife Norlaila Salim, 29, who moved into the new unit with her husband and four children three weeks ago, said her family had to transport at least two large pails of water from the nearby flats twice every day for consumption.

She added that the cost of living was high as her family had been eating out and buying mineral water.

The developer's spokesman Fauziah Harum said the company's normal practice was to issue 50% of full compensation, which was already higher than the industry’s practice that was usually 30% and above.

“However, the compensation is based on merit, too, and it varies with exceptional cases. that is why some of them receive up to 80% compensation,” she said.

“As far as I know, the company has never issued full compensation in its history and we are not aware that legally, we must pay full amount,” she added.

Asked about the installation of water meters, Fauziah said that was the responsibility of PUAS but the developer was assisting them in fixing the meters.

“It is not completed yet because we have not received enough stock from PUAS. Also, there was water shortage several weeks back because the water pressure was very low,” she said, assuring that the developer had all the relevant infrastructure in place and that was why the CFs were issued.

On other complaints brought up by the residents, Fauziah pointed out that the development plan had been approved by the local council and the developer had no intention at all to cheat buyers.