The Court of First Instance in Macau has initiated another round of auctions for properties owned by former Suncity Group Chairman Alvin Chau. This follows previous unsuccessful attempts to sell off assets to meet a significant legal obligation imposed by the Macau Court of Final Appeal.
Background
Initially, a total of 36 properties, including parking spaces and commercial units in the Caesar Fortune building in Taipa, were put up for auction in July 2023 with an asking price of MOP$600 million (US$74.6 million). However, due to a lack of bidders, only two items were successfully sold. As a result, the court has now revised the auction strategy, lowering the combined asking price for the remaining 34 properties to approximately MOP$300 million (US$37.3 million).
Breakdown of Properties
The revised auction includes 31 parking spaces and three commercial properties. The new asking prices are notably reduced: 30 parking spaces are listed at MOP$1,066,050 (US$132,470) each, with one at MOP$1,019,700 (US$126,710). The commercial units are priced at MOP$49,965,300 (US$6.21 million), MOP$66,373,200 (US$8.25 million), and MOP$159,073,200 (US$19.8 million) respectively.
Legal Context and Compulsory Measures
The necessity for these auctions arises from a final court ruling on July 3, where Alvin Chau and eight other defendants were mandated to serve substantial prison sentences and collectively pay HK$24,865,076,094 (US$3.1 billion) in compensation to the Macau government. With the Court of Final Appeal’s decision being definitive, the liquidation of assets continues to be pursued to fulfill this financial obligation.
Auction Details
The bidding deadline for interested parties is set for October 21, 2024, with the auction scheduled to take place on October 22. This timeline marks a critical phase in the legal proceedings, as the court seeks to expedite the sale of these assets to mitigate the financial liability imposed on the defendants.
The ongoing saga of the auctions underscores the legal and financial repercussions faced by Alvin Chau and others involved in the case. As the judicial process unfolds, the outcome of these auctions will not only determine the recovery of funds for the Macau government but also serve as a crucial example of legal enforcement within the region’s financial and property sectors.