The International Yacht Club (Xiamen) Co. Ltd, the developer of the Xiamen Xiangshan International Yacht Club, was recently dragged into a debt crisis after a law firm made an announcement in a newspaper claiming the company owes its clients 1.82 billion Yuan (US$300 million) in unpaid debt, reports weixin.qq.com.
The law firm, Fujian Tianheng Unite Law Firm, said in the announcement that the International Yacht Club (Xiamen) Co. Ltd owes its clients China Jingu International Trust Co. Ltd and the Fujian branch of China Cinda Asset Management Co. Ltd a total of 1.82 billion Yuan (US$300 million) and has failed to repay the debt in time.
Fujian Tianheng said some of the Xiamen International Yacht Club’s fixed assets, including the Xiamen Xiangshan International Yacht Club’s G2005G05 land parcel, VIP rooms and sales & training center, have been mortgaged to its clients, and they plan to liquidate the assets to pay the debt.
A reporter went to the Xiamen International Yacht Club to verify the rumor on Wednesday, but failed to get a reply from the company. The company’s sales offices are still in normal operation though, said the reporter.
According to public records, the International Yacht Club (Xiamen) Co. Ltd was registered in 2005, and it’s the developer of the Xiamen Xiangshan International Yacht Club, which boasts a total investment of more than 4 billion Yuan (US$656 million). The club is billed as Asia's top-end tourism real estate project integrating leisure, tourism, business and shopping.
The report said the company has been engaged in labour disputes, disputes with buyers and other debt disputes before.