Indonesian Political, Business & Finance News

Buyers urge developer to return their money

| Source: JP

Buyers urge developer to return their money

JAKARTA (JP): About 200 buyers upset by allegedly being
cheated by a housing developer again went to the office of the
state minister of public housing yesterday, asking the minister
to insist that the developer return their down payments.

The people asked minister Akbar Tandjung to demand that
executives of PT Jasana Pembara return their money since
construction had not started on their houses in Lembah Calincing
housing complex in Cogreg village, Parung.

The protesters, representing 5,000 buyers, said they wanted
their money back plus 8 percent interest as promised by the
developer.

Mozart, a resident of Tanjung Duren in West Jakarta, said he
had paid Rp 3 million (US$1,176) for a 36-square-meter house on a
96-square-meter plot in 1994.

He said at least five people paid the same amount to the
developer's office in South Jakarta.

Another customer, Suwandi, said he thought the developer would
not cheat customers because he had checked the company's
credibility before deciding to buy.

"The developer was registered with the Indonesian Real Estate
Association. I checked the location in Bogor and I found that it
belonged to the company. Worst, the groundbreaking ceremony was
inaugurated by the minister of public housing," he said.

Meanwhile, minister Akbar Tanjung asked the buyers to be
patient, saying their problem would be handled properly.

Akbar said the problem would be settled either by the return
of payments or continuing the construction of the housing
complex.

A ministry staffer, Suharto, said he had suggested that two
other developers take over the housing complex.

"The new developers have visited the location of the housing
complex. But they have yet to decide on whether to take over the
housing complex," he said.

The customers said they would agree to the housing complex
being taken over by other developers.

But they said they would not pay extra for the houses. (jun)

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