$45k fine for foreigner who bankrolled deals linked to purchase of 3 houses worth millions

1 month ago 30

Updated

Apr 18, 2024, 01:42 PM

Published

Apr 18, 2024, 01:40 PM

SINGAPORE – A Chinese national was fined $45,000 on April 18 for breaching a law under the Residential Property Act (RPA) that had been rolled out to prevent foreigners from speculating in local residential properties.

This could lead to a rise in home prices and adversely affect the interests of Singaporeans.

Zhan Guotuan, 59, a Singapore permanent resident at the time of the offences, had provided the money to buy three landed properties in East Coast Road worth more than $6 million in total.

In earlier proceedings, the court heard that none of the three houses were “non-restricted residential properties”. Therefore, foreigners were normally not entitled to buy them.

In 2007, Zhan was a shareholder of two companies – Alphaland International and Xin An Technology Group – that were in the business of property development in Singapore.

The business plan was to buy landed properties here, demolish those houses, develop condominiums on the land and sell the condominium units for profit.

On April 16, he pleaded guilty to an offence under the RPA linked to one of the houses identified in court documents as Z.

Three other charges, including two under the same Act involving the other properties, were considered during sentencing. These two houses were identified in court documents as X and Y.

The prosecution had told the court on...

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