The Cyprus Land and Building Developers Association (LBDA) denied on Tuesday a development company – recently issued a fine by the Consumer Protection Service (CPS) – is one of their members.
The company, VM Development Ltd, was fined €200,000 by the CPS on June 5 based on an investigation of the CPS, which found that the company had built homes without obtaining the necessary licences from authorities.
According to CPS, the company then proceeded to issue sales contracts to consumers without disclosing to them the actual situation of the property and the consequences that arise in relation to the title deeds for buyers.
The LBDA said the company is not one of their members and that the association has strict criteria for the acceptance of new members, and the maintenance of their place in with the LBDA.
The association called on its members to follow the laws, regulations, and practices necessary.
LBDA – a member of the Cyprus Employers and Industrialists Federation (OEV) – is attempting to modernise and simplify the licencing and title-issuing system in Cyprus, the association said.
“To this effect, the Association has filed a series of proposals addressed to the state, and other authorities involved in the land development sector,” an announcement said.
The association noted that direct transfer of title deeds upon property sale is the “best way” to protect buyers and abolishes the need expensive and bureaucratic laws, such as the bill for enclaved buyers.