Firm files writ over property deposit

PUBLISHED : Thursday, 12 January, 1995, 12:00am
UPDATED : Thursday, 12 January, 1995, 12:00am

MKI Corp associate Chesterfield has filed a writ seeking to retain a $10 million deposit paid for a Malaysian property by a company associated with Wong Kim-chau, one of the people restrained by a court order last year from interfering with Chesterfield.

Mr Wong was also sacked as a director following the launch of an investigation in October last year into a series of disastrous property deals in China, Macau and Malaysia.

The writ said Hong Kong-registered firm Hoi Tsang (China) signed a deal in April to buy Vinico, which held property in Malaysia, for $189 million and paid a $10 million deposit.

A 30-storey hotel was planned on the 44,268 sq ft site in Kuala Lumpur.

The deal, due to be completed on May 30 last year, was never completed despite a series of extensions on the completion date.

The completion was extended first to June 6, then June 30, July 31, August 31, September 30 and finally December 31, but Hoi Tsang did not pay the balance.

Hoi Tsang's directors until September 24 were Mr Wong and Pin Kin-king.

Mr Wong has also been named by Chesterfield as being involved in costly and disastrous deals in China and Macau through other companies including Fong Tat, which received $30 million for 22 townhouses in Zhongshan, Guangdong province.

Under the deal, the houses - between 3,386 sq ft and 4,892 sq ft - would have been completed by August.