The High Court rejected a request made by a group of ARA investors to suspend the payments for 10 apartments they purchased at the luxury Grange Infinite condominium.
The case had been brought to court last year, with investors claiming the units they bought were not as elegant and luxurious as promised by Grange Properties.
The High Court has given investors until Saturday to pay the outstanding repayment bill of S$10.18 million. Failure to do so will annul the sale and give Grange the right to repossess all the units.
In total, ARA investors purchased 53 units for S$388 million, 16 of which have since been resold.
ARA was issued with a 21-day notice on April 9 by Grange with respect to the 10 units. The notice warned investors that their failure to pay up by the deadline would give Grange the right to resell the properties.
However, the investors filed an injunction on 24 April, hoping that the payments would be “suspended, deferred and/or postponed until the disposal of the suit”.
They claimed that they suffered losses of close to S$46.1 million, which included costs for the repair of building defects.
ARA argued that Grange may transfer the money from resold units, leaving it unable to pay damages that could be awarded to them.
Grange contended that the argument was inconsistent with ARA’s allegation that it lost potential tenants and buyers because the units were poorly built and thus difficult to sell.
It is now “considering its position in relation to the outstanding amounts for the other units purchased” by the investors.