Homeowners in Thailand sue property developer for alleged deception and compensation of approximately 300 million Baht for losses incurred due to property damage.
In a surprising turn of events, more than 200 victims in Thailand have filed complaints against a prominent property developer, accusing the company of embezzling large sums through incomplete housing projects. The group, represented by lawyer Somyot Chaiyaphon, has organized through a Line chat and turned to the Consumer Protection Police Division (CPPD) for assistance.
The firm, known for its decade-long presence in the market and a Facebook page with nearly one million followers, has been under scrutiny for its alleged misconduct. Despite being legally registered and having an office, the company has failed to deliver on its promises, causing significant delays and financial losses to its clients.
According to a subcontractor who worked with the company, delays were caused by the company's failure to release funds for labor costs, and other contractors who worked with the firm faced similar issues. The company's inability to meet its financial obligations has led to a series of unfinished projects, with homes left incomplete despite substantial payments.
One victim, Saranya Promsuk, signed a contract with the company for a house worth 4.7 million baht, with delivery scheduled for February 2023. However, the company has yet to deliver on its promise, and the house remains unfinished, with only a bare structure without windows, doors, or any visible progress. The total estimated damages are over 300 million baht.
Attempts to have the company repair the damage were unsuccessful; workers merely painted over the flaws. The company had already withdrawn 4 million baht from the total, but the house remains unfinished. The company justifies the escalating costs through innovative wall construction, but the delays and the lack of progress have raised serious concerns among the victims.
Repeated calls to the company's central hotline resulted in vague promises, including a commitment to complete the house within three months, but no progress was made. The group claims to have been defrauded, as the developer took their money for home construction projects but abandoned them.
Another victim signed a promotional contract for a two-storey home priced at 4.8 million baht, with a 420-day completion timeline. The group filed their complaints with CIB deputy commissioner Pol Maj Gen Jruykiat Pankaeo. A subcontractor who worked with the company also filed a complaint and said he was underpaid by 70,000 baht.
The company in question is known to have taken contracts to build luxury homes valued between 3 million and 10 million baht each. The group's allegations have sparked a wave of concern among homebuyers in Thailand, with many questioning the credibility of the property market.
As the investigation continues, the CPPD and the Central Investigation Bureau (CIB) will work to uncover the truth behind the allegations and bring the parties responsible to justice. In the meantime, potential homebuyers are urged to exercise caution when choosing a property developer and to thoroughly research the company's reputation before committing to any contracts.
