Nusmetro Proposal Illegal
- 9 years ago
Kampung Buah Pala residents have rejected the double-storey house offered by developer Nusmetro Ventures (P) Sdn Bhd to vacate their homes.
In response to Mr Thiru:
Dear All,
I refer to the report from Malaysia Kini regarding the statement by Mr. A Thiruvenggadam, the advisors to Kampung Buah Pala residents, that Nusmetros proposal is illegal because the land cannot be transferred, leased or charged or used as a business instrument without getting written approval from the State Authority.
I certainly hope that these residents get proper legal advice especially from one who are familiar with conveyancing practices in the country. Many of us own properties whose titles are subject to what we called restriction in interest i.e. the land cannot be transferred, leased or charged without approval from the State Authority. If Mr. Thirus advice is correct then all owners of such properties would not be able to sell these properties because to do so would render the sale illegal. As owners of properties with such restrictions, in a normal sale and purchase transaction, we would sign the SPA first and after that we would be given certain time-frame to procure the consent from the state authority to transfer the property to the purchaser. If consent is not obtained within the agreed time frame then the owner would just have to refund the deposit as provided in the SPA.
In the Kampung Buah Pala scenario, assuming the residents there were to accept Nusmetros offer of a double storey linked house and if it follows that the layout plans and the building plans have all been approved by the authorities and what remains is that the title is still in the name of Nusmetro (as the registered proprietor) and the relevant sale and purchase agreements would have to be signed with the residents. The relevant authorities would have to decide whether the form of the Agreement should be as per Schedule G of the Housing Development (Control & Licensing) Act 1966 & Regulation
In response to Mr Thiru:
Dear All,
I refer to the report from Malaysia Kini regarding the statement by Mr. A Thiruvenggadam, the advisors to Kampung Buah Pala residents, that Nusmetros proposal is illegal because the land cannot be transferred, leased or charged or used as a business instrument without getting written approval from the State Authority.
I certainly hope that these residents get proper legal advice especially from one who are familiar with conveyancing practices in the country. Many of us own properties whose titles are subject to what we called restriction in interest i.e. the land cannot be transferred, leased or charged without approval from the State Authority. If Mr. Thirus advice is correct then all owners of such properties would not be able to sell these properties because to do so would render the sale illegal. As owners of properties with such restrictions, in a normal sale and purchase transaction, we would sign the SPA first and after that we would be given certain time-frame to procure the consent from the state authority to transfer the property to the purchaser. If consent is not obtained within the agreed time frame then the owner would just have to refund the deposit as provided in the SPA.
In the Kampung Buah Pala scenario, assuming the residents there were to accept Nusmetros offer of a double storey linked house and if it follows that the layout plans and the building plans have all been approved by the authorities and what remains is that the title is still in the name of Nusmetro (as the registered proprietor) and the relevant sale and purchase agreements would have to be signed with the residents. The relevant authorities would have to decide whether the form of the Agreement should be as per Schedule G of the Housing Development (Control & Licensing) Act 1966 & Regulation