- The accounts will be audited by an independent certified public accountant up to the actual Date of Completion (DC) and within 3mths from DC. The audit will take into account all the outstanding liabilities, debts including owners still owing monthly fees etc
- Sim Lian will give us back the Sinking Fund & Management Fund monies less all liabilities within 14 days of receipt of the audit. (18.0.(d))
- At Completion, there shall be NO outstanding MCST debt owing by owners. (19.2 (b))
Q: If we are supposed to get our cheques at DC, and the audit is up to 3 mths after the DC, when do we get the money owing to us from the Sinking Fund & Management Fund? It cannot be on Completion
Q I am not sure what mechanism is used for clawing back outstanding debt, but if Sim Lian is to be presented with a clean bill of health [19.2(b)], then I presume he is not involved in dividing the funds and worrying about who owes what to whom. Correct?
Q: After the Completion Date, MCST2644 no longer exists, so they can't be involved either, so will the funds be sent to the Lawyer? Will he then divide the funds by 560 (we are all equal Shares) taking into account those owing outstanding amounts?
Q: What if the owner owes MORE than his share of the MCST Funds? How is that recovered?
Q I am not sure what mechanism is used for clawing back outstanding debt, but if Sim Lian is to be presented with a clean bill of health [19.2(b)], then I presume he is not involved in dividing the funds and worrying about who owes what to whom. Correct?
Q: After the Completion Date, MCST2644 no longer exists, so they can't be involved either, so will the funds be sent to the Lawyer? Will he then divide the funds by 560 (we are all equal Shares) taking into account those owing outstanding amounts?
Q: What if the owner owes MORE than his share of the MCST Funds? How is that recovered?
Questions that need clarification by our lawyers.
Sinking Fund & Management Funds .
(not official approximations only)
I do not know what outstanding bills need to be paid - probably the balance of the lift upgrading. Nor do I know the current amounts owing to the MCST fund from recalcitrant owners.
I used to be on the MC many moons ago and the above figures look pretty healthy to me.
What's worrying is the outstanding arrears.
This time last year, our arrears ran to $220,000. God knows what they are now, $500k? Owners skiving on their contributions.
The end of Collective Sale audit: up to 31 May 2018 comes in only after the Completion Date and is therefore completely useless to us, we will never see those figures and so never know if the arrears were cleared. It's akin to counting the number of horses that ran away after the barn door was opened. Any uncleared arrears would be simply written off. That audit is purely for the buyer.
But if you are academically interested enough, you could write in to the Layer and request for a copy.
i guess most effective way is all SP debts be deducted from 5% retention money.
ReplyDelete2.not possible to get all fees paid up to date at.completion.
3.hope SL will not use clause 19.2b to
hold up all funds,including paid up to date SP.
I don't think so. If it is deducted from the retention sum then that throws up even more questions.
Delete- Who holds the $50 in escrow?
- If an owner stays the full 6 months and gets, say, $6k deducted from his retention sum, how is that 6K distributed to all the owners? Bearing in mind most would have collected their sales proceeds already and left the estate?
No, I think at the end of the day, it's the Lawyer who divvies up the funds.
The six months are stay for free, i.e. no property tax. SL will also not deduct any from 50k. The 50k is retention which will be given back to sp on the day sp surrender the keys.
Deletere outstanding amount to be paid from MCST.u can read last account statement.
ReplyDeleteif completion june,why dunt just announce on FB,saving worry for many SP.
ReplyDelete