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Thursday, 3 April 2014

Stiffer penalties in store for builders who abandon projects

HOUSING developers who abandon their projects will be blacklisted and subjected to stiffer penalties when amendments to the Housing De­ve­lopment (Control and Licensing) Act 1966 come into force in June.

“Once blacklisted, the developer and company’s board of directors will not be able to apply for or renew their advertising permit and sales licence,” Deputy Urban Well-being, Housing and Local Government Mi­nister Datuk Halimah Mohd Sadique (pic) said to a question raised by Gobind Singh Deo (DAP-Puchong).

She said errant developers would also face stiffer penalties if they were hauled to court and convicted.

Fines would be between RM10,000 and RM500,000, up from RM200,000 currently.

Halimah said the names of the blacklisted developers would also be published on the ministry’s website.

Earlier, Halimah informed lawmakers that from 2009 to Feb 28 this year, the ministry had declared 206 housing projects as abandoned.

Of this, she added, 149 had been revived, with 22,868 homes built.

Halimah also said the Act only applied in the Peninsula, but she would propose to the Cabinet for the law to be enforceable nationwide.

Tags / Keywords: Government , Parliament , 2014 , Housing Development Act , housing developers , blacklist , penalties


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