KUALA LUMPUR: Country Heights Holdings Bhd is determined to recover a substantial amount of losses from the arbitration proceedings involving its subsidiary Borneo Heights Sdn Bhd.
Chairman Tan Sri Mohd Anwar Mohd Nor reiterated that Country Heights had invested over RM100 million on the Borneo Heights project over the past 28 years.
"The company is determined in recovering a substantial amount of losses through the arbitration proceedings.
"Country Heights is on the right track back to profitability, despite facing legal issues. Among these is the winding-up of its subsidiary Mines Waterfront Business Park Sdn Bhd and the loan dispute with MBSB Bank Bhd," Mohd Anwar said during its annual general meeting (AGM).
Country Heights is involved in ongoing arbitration in Singapore related to Borneo Heights, with the Land Custody and Development Authority (LCDA), a statutory body under the Sarawak state government.
A joint venture agreement (JVA) was entered into in 1994 to develop a hill resort with comprehensive tourism, recreational and horticultural facilities.
The issue arose in June 2020 when LCDA alleged non-performance of certain clauses in the JVA and pertaining to the management of the project by Country Heights.
In November 2020, LCDA gave the notice to terminate the JVA and forfeit the land without a single sen of compensation.
As part of the transformation, Country Heights said the company will upgrade and consolidate its resort and hospitality portfolio and transform the whole group into a premier grand wellness hub.
This will provide comprehensive and personalised wellness experiences tailored to meet the future needs of its exclusive members.
Country Heights is also initiating an internal transformation to strengthen its human resources capabilities and align with the new ecosystem of the workforce.
Founder and adviser of Country Heights Tan Sri Lee Kim Yew said it is confident in its ability to navigate challenges and amicably resolve disputes with MBSB Bank and the Sarawak governmen.
Lee said together with its subsidiaries and partners, including L1 Bank and Mines Resort & Golf Club, the company will be upgrading facilities and adopting cutting-edge technologies such as blockchain and AI to ensure a secure and personalised user experience.