Tuesday, July 11, 2017

Vajira House Builders: Cheating the public for Seven Years and Counting

It is now more than seven years after taking 189 million rupees in debenture funds from members of the public, but Vajira House Builders (Pvt) Ltd has not repaid these in spite of a court order to do so in 2009. In 2007 the company issued debentures promising to pay 22 to 25 % interest for public deposits taken as investments for house building project at Malabe but within six months stopped the payment of interest and refused the repayment of their capital saying that it faced liquidity problems.. Although Vajira House construction has not returned the funds to investors, it continues to advertise expansively in major local newspapers inviting customers to place contract orders.  Numbers of disillusioned customers also allege that the houses are far below standards and that advances of lakhs have been given but work not carried out . 

Various items of customer testimony available on the internet include:

Testimony 1 සහතික ඇත්ත මගෙත් ලක්ෂ 33ක් අරගෙන අවුරුදු 2යි.තාම බිත්ති ටිකවත් නැ.දුන්න සල්ලි වලින් පරණ ණය ගෙව්වලු.හදපු ටිකත් බාලම බදු වලින් හදල තියෙන්නේ.මුහුදු වැලි ගෙනල්ල මම පන්න ගත්ත

in 2009 they sent letters to their debenture investors saying they were in difficulty and could not return the invested money, as promised but they had a plan for returning it .they also told their investors not to tell anyone about this.when asked for their accounts they would not disclose these to investors, and said to get them through court.when asked for a plan they said they would return the money over 36 months , but they did not give dates or gurantees that they would return this. when asked for the contacts of the other debenture holders, who had invested, they refused to disclose these.

Testimony 2  Vajira house claims they have 90 years experiance in sri lankan construction history. Luckily with much effort I finished my house but it was not up to standard. poor Plumbing, low quality finishing. My advise to customers not to go to vajira house for any construction.

Testimony3 Its been more than 7 years since I bought debentures from Vajira Houses and they failed to return the capital I invested. the COURT ORDER was given in 2009 and yet there is no payment to me Ive been ​calling practically twice a week since December 2013, to get the money  General manager Harendra politely gives various dates .one time I was ill and didnt call him for a week or two and when i next called he said " oh you havnt called me for sometime" so I can imagine what a joke we depositors are. I called the Marketing manager August 4th and told him that I'm doing every thing i can in my small way to tell people the truth about their company.

Vajira house builders borrowed money from people, which they don't pay, They take money from people to build houses, which they dont build, they even don't pay the contractors who work for them.

How they operate is they take your money, and give the work to a subcontractor. The work will continue fine for the first couple of months. Then the work stops. Turn out vaj**a havn't paid the subcontractor so they stop work. They delay after delay. Seems like they have spent the money paid by the client for some other thing and have no way to pay the sub contractor until they get another client. So huge delay. Before signing the contract they are really nice and answer all queries ad phone calls promptly. After contract is signed and they get your money, most times you call they they go unanswered, and when they do get through usually they get a stalling reply like "i'll call you back", they apparently don't call, and once again the phone is not unanswered. 

In 2011 NEth FMs Balumgala investigative journalism programme recorded an investigation of the Vajira Houses but this has been removed from YouTube. However soundcloud has the documentary recorded at this location https://soundcloud.com/gossip9news/balumgala-2011-11-08-vajira

ලක්ෂ ගනන් වියදම් කර ගෙයක් හදන්නේ ජීවිත කාලයටමය.එහෙත් අපේ ගේ හදාදෙන්නට භාරගෙන අපේ ලක්ෂ ගාන වතුරේ ගියොත් මොනව වෙයිද? වජිර හවුස් බිල්ඩර්ස් වෙතින් නිවාස හදාගන්නට ගිය මේ අහිංසක මිනිසුන්ට අත්වූ ඉරණම දැනගන්න.පරිස්සම් වෙන්න

The serious defects in the house

We contracted Vajira House Builders (pvt) Ltd http://vajirahouse.net http://vajirahouse.info/ Colombo Sri Lanka to build a house in Nadimala Dehiwela, in December 2007 by signing a formal agreement. As per the agreement they promised to complete the house in 12 months. However, it took nearly two years to complete the construction of the house and this was done after logging several complaints at the bamabalapitiya police, fraud bureau, the CID and Consumer Affairs Authority. During this period we found that the construction site completely abandoned on many occasions and construction was completely halted for very long periods. Vajira House Builders promised in writing to the bambalapitya police several times saying that they will finish construction few months from the date of the written promise. Every written promise to the police was broken.

When we occupied the house we found many serious defects and there was no water connection or a permanent electricity connection. Varija said that they have arranged with the next door house to provide water via a hose in order to fill a water tank on the ground. Only a single phase temporary electricity connection was provided which was really intended for construction purposes only. They promised us, the police and the Consumer Affairs Authority that a permanent water connection and a permanent three phase electricity connection will be provided after a few months from the time we started to occupy the house. We were given a water connection only after 2 year of getting water every day from the next door house. We faced a lot of problems during this time as the next door house refused the give water on certain days. However, still they haven't provided the 3 phase permanent electricity connection they promised. We still used the temporary electricity connection which was given for construction purposes.

They also promised to provide and install a set of pantry cupboards when they were contracted and even promised us that it will be provided after 3 months of occupation. Still they haven't honored their promise.

The serious defects we discovered when we occupied the house at the end of 2009 are given below. NONE have been fixed up to today and it has been nearly two years!

1.The sewage pipe which takes swage from 3 bathrooms to the cesspit has been leaking for the past two years! The outside wall and the inside of one wall and the swage pipe is continuously wet as a result of the leak.

2.The roof is leaking when it rains and room bed rooms are getting wet. One bedroom wall is has mold and algae growth because of the roof leak.

3.Trips and circuit breakers in 3 breaker/trip boxes have NOT BEEN EARTHED!

4.The outside wall of one bathroom is continuously wet and the paint and plaster has peeled off due to a water leak.

5.The top floor bathroom has very low water pressure and the hot water showers cannot be used because of this. This was due a design error made by vajirabuilders  as the water tank is much less than the minimum height above the shower head which is about 7 feet.

We keep complaining the Consumer Affairs Authority and the Police and the case is still pending against Vajira. Vajira House Builders keeps informing us they will send workers on specific days and we take leave from work on those days but they never turn up. When we call them on those days they don'tpick up their mobiles. On some occasions they claim that the workers were ill and on other occasions they claim that they claim that they came to our house and no one was there, which are untrue. Once several employees came and just examined the house and left promising to fix all defects. But NONE of the DEFECTS HAVE BEEN FIXED.

 

A number of investors and clients have also been threatened by reference to a "Colonel Sir" and occasional armed thugs called up at times and a man named  Nalin Kumara Rohana a retired army person who throws his weight around when clients or investors try to get their just dues.

In spite

 

 

Financial Times


Vajira House Builders engages in confidence building with depositors after Court order

By Bandula Sirimanna

In a move to re-build confidence and repay borrowings taken from disgruntled depositors, Vajira House Builders (Pvt) Ltd, a troubled building construction company, has obtained a directive from the Colombo Commercial High Courts to conduct a meeting with depositors and to obtain their consent for a re-payment plan. Colombo High Court Judge Gamini Amarasekera has directed the company to report the progress of these meetings when the case will be taken up for hearing on November 26.

The Court was informed that the company has conducted meetings with 56% of depositors out of the total number of 270 depositors. An official of the company told the Sunday Times FT that 76% of depositors have agreed to their repayment plan and they will repay the money amounting to Rs186 million within two and half years commencing from January next year. He said that the construction industry has taken a huge beating over the past two years and the building sector is at a standstill even now.

However Vajira house Builders (Pvt) Ltd is managing its affairs at a satisfactory level in the face of the adverse impact of the global downturn, especially on the real estate market. Several depositors alleged that the company deceived them by accepting deposits from them as investments for property development projects and issuing them with borrowing certificates.

Depositors have written a letter to the Secretary to the President, the Inspector General of Police and the Governor of the Central Bank informing them that the company has promised to pay 22 to 25 % interest for their deposits taken as investments for house building project at Malabe in 2007 and it has stopped the payment of interest and refused the repayment of their capital as it is facing liquidity problems. Therefore they urged the authorities to intervene and find a redress to their problem.

http://www.sundaytimes.lk/090927/FinancialTimes/ft22.html

 

 

removed

http://lankanstuff.blogspot.com/2011/11/truth-about-vajira-house-be-carefull.html

https://www.complaintsboard.com/complaints/vajira-house-builders-pvt-ltd-c476252.html

http://sritvlive.com/video/50896-balumgala-07-04-2014

http://www.sasrutha.com/article/2244040/our-lanka-truth-about-vajira-house-be-careful/

https://plus.google.com/116505105547509256486/posts/46ns1mJsJo5

http://stafaband.zone/mp3/download/balumgala_2011_11_07_vajira_house_builders_youtube.html

 

androlanka 

Senior Member

 

Posts: 466

Join Date: Aug 2014

08-11-2015, 09:46 AM

machan,geyak hadana eka bala bala karanna time nathi kenekuta use akranna puluwan trusted house building company monawada?
Oya vajira house aya num charter kiyala ahala thiyenawa..balumgala eke program ekakuth kala un gana

 

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