Home buyers report developer for fraud

BOGOR: Home-seekers who had purchased property in Bukit Sentul housing complex in Bogor regency filed a report to Bogor Police on Thursday against developer PT Bukit Sentul Tbk for fraud.

Sudaryatmo of the Indonesian Consumers Foundation (YLKI), who is representing the 26 buyers, accused the developer of violating Article 378 of the Criminal Code on fraud. The developer had promised to give the new homeowners their house keys in August 2002, but none had received their keys as of Thursday.

Sudaryatmo also accused the developer of violating Article 8.1 of Law No. 8/1999 on consumer protection, Article 26.1 of Law No. 4/1992 on real estate and Article 107 of Law No. 8/1995 on investment.

One of the allegedly duped buyers, Robian, said he paid Rp 270 million (US$29,348) for a house in January 2001.

"The developer promised the house would be ready last year, but it is still unfinished, even now, and the developer couldn't say when my house will be ready," he said.

Purwanto of law firm Praja Manggal, which is representing PT Bukit Sentul, said his client was building the houses.

"Consumers should not worry, because construction is ongoing. However, we don't know when they will be finished," he said. -- JP