KUALA LUMPUR (June 21): Radium Development Bhd’s 80%-owned Pavilion Integrity Sdn Bhd said that it is committed to respecting the court’s decision and promptly and amicably resolving the case involving its apartment development on Jalan Jejaka, Kuala Lumpur.

In a statement issued late Wednesday (June 21), Pavilion Integrity said that it is also committed to providing reassurance to the affected purchasers that the situation will be handled transparently and directly, and keeping them informed every step of the way.

This is in response to the Apex court’s decision to uphold the Court of Appeal’s (COA) ruling in directing the Dewan Bandaraya Kuala Lumpur to acquire Lot 810 that was approved for a 45-storey serviced apartment near Jalan Jejaka 1 and Lorong Peel to be constructed by Pavilion Integrity.

The company is also committed to achieving a fair and satisfactory resolution that benefits all parties involved, said Pavilion Integrity in the statement.

“The company is dedicated to maintaining open communication with all stakeholders, particularly its valued purchasers. To ensure everyone is well-informed, it will soon release an official statement containing comprehensive updates and details on the matter,” said Pavilion Integrity.

On Wednesday, the Federal Court upheld a COA decision last year that quashed a development order for the construction of a 45-storey apartment complex near Jalan Jejaka 1 and Lorong Peel by Pavilion Integrity.

It also agreed with the COA's decision that the Kuala Lumpur City Hall has to acquire the land and build a road there, as gazetted in the Draft Kuala Lumpur Structure Plan.

In a unanimous decision, a three-member apex court bench led by Chief Judge of Malaya Datuk Mohamad Zabidin Mohd Diah dismissed the applications for leave to appeal by the Kuala Lumpur city mayor, the then Federal Territories Minister, the Kuala Lumpur City Hall, the Malaysian government and Pavilion Integrity.

Federal Court judges Tan Sri Nalini Pathmanathan and Datuk Seri Zabariah Mohd Yusof were the other two judges on the bench which ordered the appellants to pay RM220,000 in costs to the respondents that comprised some 202 residents in the Laville and Amaya Maluri apartments which are located nearby Lot 810.

The said land on Lot 810 was originally set aside for the construction of a road to ease congestion in the area, but subsequently, the KL City Hall approved the construction of the apartment block and a smaller road measuring 20 feet wide — less than a third of the initially proposed road that had been gazetted in the KL draft plan which was to measure 66 feet wide.

On Oct 7 last year, a three-member COA bench led by Datuk Lee Swee Seng overturned two High Court decisions and allowed a judicial review of the KL City Hall's decision. He also criticised the council's action to reverse its earlier plan for the wider road.

While the case involving the Jalan Jejaka 1 apartment has been decided upon, Radium has another pending material litigation.

On June 9, another 80%-owned subsidiary of Radium, Vistarena Development Sdn Bhd had been served with a Writ of Summons and Statement of Claim dated June 1, 2023 from 241 individual purchasers of Residensi Platinum OUG.

Radium closed at 37 sen on Wednesday, valuing the group at RM1.28 billion.