Gamuda Land handed over the house when the conditions were not met
Accordingly, many customers who bought apartments at the A5 Apartment Complex, invested by Gamuda Land Joint Stock Company (Gamuda Land), said that they had been handed over their apartments by Gamuda Land for many months now. However, this investor has not provided sufficient documents to prove that the apartments are eligible for handover, causing some residents to feel insecure because they have to receive their houses without knowing whether the project has been approved for use or not.
In a number of recent working sessions with the people, the investor issued Document 516/GD-ATXD/GT dated May 10, 2023 of the State Appraisal Department on Construction Quality - Ministry of Construction (Appraisal Department) to answer customers' questions.
This document clearly states that Apartment Complex A5 includes: 4 blocks A1 to A4, 15 floors high with 688 apartments; 3 blocks from B1 to B3, 15 floors high with 547 apartments; 9 blocks from V1 to V9, 5 floors high including 5-storey apartments, total number of apartments is 98 apartments; 1 mini clubhouse, 2 floors high and 1 basement located under the blocks.
People who bought houses at Diamond Alnata in Apartment Complex A5 were notified to make the final payment to hand over the house from the end of January 2023.
In conclusion of this document 516, the Appraisal Department stated that the A5 apartment building project was constructed in accordance with the approved design. The work of construction quality management and acceptance of completed construction works is in accordance with the regulations on construction quality management. The Appraisal Department requested Gamuda Land to continue to address the shortcomings in the report submitted by the investor on May 4, 2023 and report the results to the Appraisal Department.
However, in this document, the Appraisal Department has not clearly stated that the A5 Apartment Complex has been approved for use. This is a necessary content for Gamuda Land to be able to hand over houses to customers, similar to the documents reviewing the acceptance results that the Appraisal Department issued to this investor in other subdivisions before.
To clarify this issue, the Journalists and Public Opinion Newspaper had a meeting with Mr. Nguyen Xuan Phuong - Chief of Office of the Appraisal Department. At the meeting, Mr. Phuong said that the above document 516 is not an approval document for Gamuda Land to put the A5 Apartment Complex into use.
An apartment has been moved in at Apartment Building A5.
“This document clearly states that the investor still has problems that need to be fixed. After the investor fixes these problems, the Appraisal Department will review them again. If the conditions are met, a document will be issued approving the project to be put into use,” said Mr. Phuong.
In addition, after document 516/GD-ATXD/GT, the Appraisal Department has not issued any additional documents related to Apartment Complex A5. Therefore, the works at Apartment Complex A5 are still not qualified to be handed over to residents.
Customers still have not claimed their rights
Regarding the A5 apartment complex, on April 13, the Ho Chi Minh City People's Committee issued a decision to fine Gamuda Land for signing a contract to buy and sell apartments in this apartment complex without a document from the Department of Construction notifying that it is eligible to sell or lease future housing according to legal regulations.
Pursuant to Clause 4, Article 58 of Decree 16/2022 of the Government, Ho Chi Minh City People's Committee decided to fine Gamuda Land VND 900 million for illegal capital mobilization.
The company must also take remedial measures, which are to return the capital mobilized in violation of regulations. The time limit for implementing remedial measures is 10 days from the date of receipt of the decision. All costs for organizing the implementation of remedial measures shall be borne by the company.
In addition, due to breach of contract due to late handover of the house, many customers who bought apartments in the Diamond Alnata subdivision of the A5 Apartment Complex also requested Gamuda Land to pay benefits, according to the terms of the contract.
Many customers have come to work with the investor to claim the rights stipulated in the contract.
Specifically, according to the sales contract signed by Gamuda Land with the customer, Article 11.7a on "Penalty for late handover" also stipulates that if the buyer has completed the payment obligation as prescribed but the seller does not hand over the apartment to the buyer, the seller will have to pay interest at the rate of 18%/year calculated on the total value of the purchase price payments that the seller has received for each day of late handover. This penalty period is calculated from the end date of the permitted late handover period until the date of the handover notice, when the apartment is eligible for handover as prescribed.
In addition, the buyer may unilaterally terminate the contract and Article 18.4 of the contract shall apply. This stipulates that Gamuda Land must refund the money received from the customer, pay late delivery interest calculated on the total amount received, calculated from the time of termination of the permitted late delivery period until the effective date of the notice of termination of the contract.
Gamuda Land must also pay a fine equivalent to 30% of the purchase price for breach of contract and compensate for any actual damages incurred by the buyer due to the seller's breach of contract.
However, up to now, according to customer records, the investor Gamuda Land has not yet paid the improperly mobilized capital, nor paid benefits to customers in accordance with the sales contract.
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