Kerjaya Prospek files lawsuit against Yong Tai Bhd

KERJAYA Prospek Group Bhd has initiated legal action against Yong Tai Bhd and its CEO, Datuk Boo Kuang Loon, over an alleged unpaid contract dispute.

In a filing to Bursa Malaysia today, Kerjaya Prospek’s subsidiary, Kerjaya Prospek (M) Sdn Bhd (KP), served a writ of summons and statement of claim to both Yong Tai and Boo regarding a residual contract linked to a February 2020 agreement with Apple 99 Development Sdn Bhd, a wholly owned subsidiary of Yong Tai.

KP previously filed a lawsuit against Apple 99 for failing to pay an outstanding sum of RM105.14 million.

It is seeking a declaration that Apple 99 breached a settlement agreement and request specific performance of the settlement and hotel sales agreement.

Yong Tai contends that KP’s claims are unfounded, asserting that KP breached contract terms by not completing the work on time.

Following Yong Tai and Boo’s failure to satisfy the outstanding amount within the stipulated timeframe, KP has filed the lawsuit to recover the unpaid sum, interest, and related costs.

Kerjaya Prospek secured a RM213.75 million contract with Yong Tai in 2016 for a mixed development project known as “The Apple,” which includes a hotel and serviced apartments.

Kerjaya Prospek shares increased by four sen, or 2.1%, to close at RM1.95 on Friday, bringing the company’s market valuation to RM2.47 billion.

In contrast, Yong Tai’s shares fell by half a sen, or 2.27%, closing at 21.5 sen, which results in a market capitalisation of RM92.2 million. — TMR