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HDC ordered to confirm any actions taken against K-Park in writing

The Civil Court on Thursday ordered HDC to handover documents relating to the agreement made between the corporation and Hanbo Company regarding the development of K-Park Residences.

Ameera Osmanagic
09 June 2024, MVT 15:32
[File] Housing Development Corporation (HDC), in Hulhumalé -- Photo: Mihaaru
Ameera Osmanagic
09 June 2024, MVT 15:32

The Civil Court on Thursday, ordered state-owned Housing Development Corporation (HDC) to inform the court of any actions taken against K-Park Residence developers for failing to meet the mutually agreed construction deadlines.

The ruling was in connection to an application filed to the court seeking an order to disclose evidence to file a separate lawsuit at the Civil Court over the K-Park apartments.

The applicant, in the case, sought access to the agreement made with Hanbo Company Limited to build K-Park and any amendments brought thereafter, as well as documents relating to any project securities submitted and any that remain at this time.

The request also included access to any no-objection waiver or documents stating that the power to carryout the agreement between Hanbo Company and HDC has been given to a third party.

Additional documents requested include clarification in writing whether HDC has taken any action against the company for failure to meet the construction deadlines, and any documents detailing that Hanbo Company has been granted the authority by HDC to sell any apartments from the K-Park Residence.

In response to the requests, Civil Court ordered HDC to provide all the requested documents to the applicant within 14 days. Upon receiving the documents, the applicant would have until 30th July to file their lawsuit, the verdict said.

If no lawsuit is filed within that period, the applicant is required to return the documents back to HDC within five days, without any further use of it.

This comes as Hanbo Company and its shareholders are accused of fraud and scamming customers who purchased apartments from the K-Park Residence building.

Many who made payments to the company and never received their apartments took legal action against the company. In some cases, the company was ordered to handover apartments to the claimants.

Hanbo's Director Hassan Mamdhooh is also facing more than 100 criminal charges for alleged graft and misrepresentation of the company assets for his own illicit enrichment.

He is suspected to have sold the properties by deliberately providing misleading information to prospective buyers and forging Jin Shi Hu's - the company's majority shareholder - signature on apartment sale agreements to sell the units while they were still under construction.

He is also accused to keeping the money he obtained through these sales for himself.

In light of this, Hanbo Company is refusing to handover apartments to the buyers and to implement agreements made with them, claiming that they never received the money from the sales.

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