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Keeping out the proxies
The Star 10/9/2004

THOSE who want to apply for a housing developer licence in the future may have to make a statutory declaration that they are not a proxy for any blacklisted developers. 

The move is aimed at preventing blacklisted developers – who had in the past failed to deliver to house-buyers – from making a comeback through their proxy, Housing and Local Government Minister Datuk Seri Ong Ka Ting said. 

He said those blacklisted included developers, along with their board of directors and immediate family members, who had a record of abandoning projects. 

He added that 42 developers who refused to settle some RM3mil in awards handed down by the House-Buyers Tribunal were also blacklisted. 

“We have learnt that some blacklisted developers would try to get back into the business through their proxy, who can be a friend, relative or even 'darling.' 

“So, we are proposing to have applicants for developer licences to make a statutory declaration that they are not a proxy. 

“The move will also have a deterrent effect as applicants would have to think twice about the serious legal consequences if they lie when signing the declaration,” he told reporters at the Parliament lobby. 

Ong said the ministry was consulting the Attorney-General's Chambers for legal advice on the feasibility of the proposal, adding that the definition of proxy must first be sorted out. 

Earlier in the Dewan, replying to Wong Nai Chee (BN – Kota Melaka), Ong said only 122 or 1.16% of the 10,553 housing projects carried out since 1990 were abandoned ones, adding that the Government would not tolerate a recurrence of undelivered houses. 

He said that while the implication of the build-then-sell concept was still under study, the ministry was exploring various options to eliminate errant developers. 

On another matter, Ong said the ministry was in the midst of reviewing whether the Certificate of Fitness (CF) could be replaced by the Certificate of Compliance and Completion (CCC). 

He said the ministry was holding early discussions with relevant professional bodies to see the viability of the CCC. 

If everything goes well, the CCC is expected to assist in the upgrading of the public delivery system, without delaying the development of building projects. 

Replying to Hamim Samuri (BN – Ledang), Ong said that with the CCC, there was also no need for local authorities to carry out building inspections, which sometimes caused a delay in the issuance of the CF.

 

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