Two Australian nationals lodged a formal complaint on September 3 at Kamala Police Station in Phuket, accusing Kata Beach Company, the developer behind The Peaks Residences, of fraud. The men, who had paid over 5 million baht for a condominium unit, claim they have yet to receive the property despite winning a civil court case against the company. Compensation remains unpaid.
According to the Central Investigation Bureau (CIB), the Australians approached Kamala Police Station after efforts to secure their rights to the unit failed. They had purchased the unit in The Peaks Residences for approximately 6 million baht, with most of the payment already completed. After failing to receive the property as agreed, they took the matter to court, where they successfully sued the company. Despite the court ruling in their favor, the compensation ordered by the court has not been forthcoming.
The CIB further revealed that Kata Beach Company, the developer of The Peaks Residences, was found to have sold land without proper titles to various buyers, both Thai and foreign. An investigation by the Consumer Protection Police Division (CPPD) indicated that the company could not complete the construction due to permits that were illegally issued from the outset. Under Thai law, real estate projects are required to be built on land with proper legal titles, and the company’s failure to adhere to this regulation has been described as a deliberate misrepresentation.
The project developer had reportedly offered affected buyers alternative units in other projects after the original permits were revoked. However, years later, it was confirmed that construction on The Peaks Residences would not proceed as scheduled, and buyers were advised to seek refunds from the company. Attempts at mediation, including the offer of installment payments to buyers, ultimately failed when Kata Beach Company ceased contact and could not fulfill its financial obligations.
It was reported that the Australian buyers, upon investigating further, discovered that the company did not have sufficient assets to cover its debts, leading them to believe that the project’s collapse was part of a deliberate scheme to avoid responsibility. The CIB emphasized that the failure to deliver properties as per the contracts could constitute a violation of consumer protection laws, with potential criminal charges for fraud and deception.
Authorities have urged other victims of the project, whether Thai or foreign, to come forward. This will enable the investigation to expand, potentially uncovering more victims and ensuring that those who legally purchased property in Phuket receive fair treatment. Under Thai law, all victims are entitled to compensation regardless of nationality.
The case has raised concerns about the damage to Phuket’s reputation as a real estate destination, with reports noting that such incidents could deter foreign investors. Kamala Police Station, under the direction of Police Colonel Somsak Thongkliang, confirmed that the complaint has been registered, and further investigations are ongoing.
