Amicable Resolution For B40 Family S Home That Was Unfairly Auctioned
The case of a low-cost flat belonging to a B40 family being auctioned off amid the Covid-19 pandemic has been amicably resolved, PSM deputy chairperson S Arutchelvan said.
The family's plight caught attention after they protested outside Bank Negara Malaysia's headquarters in Kuala Lumpur, along with activists from PSM.
"PSM would like to notify the matter involving a B40 family – M Moganah (above, left) and her mother P Letchumy – have been resolved.
"We are made to understand by our lawyers that the matter has been resolved harmoniously, and an amicable solution was achieved between the parties.
"Details of the settlement are kept under wraps as part of the agreement," Arutchelvan said in a statement.
He thanked the bank, lawyers Chan Yen Hui and Terrance Teng, as well as those who had lent support on the issue.
"We are glad that the housing issue is resolved while water and electricity to their home have been restored," he said.
On April 7, Moganah and her family had protested outside Bank Negara Malaysia to ask for an intervention, claiming a bank had unfairly auctioned off her family home.
Moganah claimed that the interest rate for her housing loan was raised without due notification.
This resulted in an accumulation of overdue payments, eventually resulting in the bank auctioning off her low-cost flat in Taman Balakong Jaya in Seri Kembangan, Selangor.
She claimed she only learned about the outstanding repayments when it was too late - after her home was already sold off in October 2020.
Moganah lives in the unit with her husband and two young children. She co-owns the unit with her mother, 61-year-old Letchumy. They have been servicing the home loan for the past 17 years.
Moganah said she found an informal eviction notice on her door on Oct 7, 2020, from someone who claimed to have bought her flat.
The buyer was alleged to have terminated the water and electricity supply to the unit on March 30.
She then visited her bank, where an officer informed her that her home had been sold a week ago in an auction.
According to Moganah, the bank stated that the reason for the auction was their housing loan repayment was overdue by three months.
She said her bank blamed the lack of notification on her failure to update her contact number and home address. She refuted this, claiming her details were updated back in 2015. - Mkini
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