Petaling Jaya – Sunway REIT Management Sdn Bhd confirms that its recent acquisition of Putra Place through a public auction followed proper procedures.

Dato’ Jeffrey Ng, CEO, Sunway REIT Management says, “Sunway REIT’s successful bid for Putra Place followed the proper procedures in accordance with applicable laws and regulations. Sunway REIT Management Sdn Bhd and OSK Trustees Berhad (as trustee for Sunway REIT) will vigorously defend all the claims raised in legal proceedings pertaining to this transaction as the claims are without merit.”

On March 30, Sunway REIT bidded for Putra Place for RM513.9 million, through OSK Trustees Berhad acting as trustee for Sunway REIT (“Trustee”), following the proper procedures at a public auction conducted by the High Court in Kuala Lumpur. Putra Place comprises a shopping mall, a hotel and serviced apartment building and an office tower. It was the fourth auction held for the sale of Putra Place. The order of sale was obtained by Commerce International Merchant Bankers Berhad (“CIMB”) pursuant to a registered charge granted by Metroplex Holdings Sdn Bhd to CIMB.

On March 31, Sunway REIT Management Sdn Bhd announced that the Trustee was successful in bidding for Putra Place at a public auction. The purchase of the property was completed on April 19 as the title was transferred to the Trustee after the balance purchase price was fully settled.

Two individuals, Malaysian Robert Ti and Indonesian Kornelis Kurniadi, filed an originating summons for several orders from the High Court in Kuala Lumpur which amongst others, sought a declaration that the sale of Putra Place to the Trustee is to be set aside. They also filed a summons-in-chambers for an interim injunction to prevent the registration of the title to Putra Place in the name of the Trustee. The originating summons and the summons-in-chambers were served on the law firm acting for the Trustee on 19 April 2011.

On April 25, Metroplex Berhad (Provisional Liquidators Appointed), the holding company of Metroplex Holdings Sdn Bhd (the previous registered owner of Putra Place), had filed an originating summons against CIMB, the Trustee, Sunway REIT, Sunway REIT Management Sdn Bhd and Ahmad Fairuz bin Mohd Puzi (as an officer of the Court having conduct of the auction of Putra Place on 30 March 2011) seeking several orders from the High Court in Kuala Lumpur including declarations that the public auction was turned into a private auction and an order to register Metroplex Holdings Sdn Bhd again as the registered proprietor without any presentation of charge. This originating summons was served on the Trustee and Sunway REIT Managemnet Sdn Bhd in the evening of April 26. This case is fixed for hearing before the Senior Assistant Registrar on 12 May 2011.

Yesterday, the High Court has dismissed the summon in chambers, with costs pertaining to the interim injunctions sought by two individuals, Robert Ti and Kornelis Kurniadi to, amongst others, restrain the Trustee and/or Sunway REIT from being registered as the owner of Putra Place.

The High Court also dismissed the oral application by Robert Ti and Kornelis Kurniadi for an interim order that the Trustee and Sunway REIT be restrained from selling or dealing with Putra Place pending the disposal of their originating summons. The High Court has fixed May 5 as case management for their originating summons.