S$3 billion money laundering case in S'pore: Auction for 7 properties ends with no sale

Seven properties connected to the S$3 billion money-laundering case in Singapore failed to sell at an auction held on Sep. 17 after offers fell short of reserve prices.

In an auction, a reserve price is the lowest amount a seller will accept.

According to The Straits Times (ST), head of auction and sales at Knight Frank, Tan Tee Khoon, said the firm would await directions on next steps for the withdrawn properties, some of which had bids that missed the reserve prices.

Tan noted that the brokerage needed guidance from their appointer, accounting firm Deloitte Singapore, on continuing with options such as private treaty talks with bidders, or holding another round of auctions.

65 members of the public, including 30 registered bidders, showed up at Knight Frank’s Ocean Financial Centre office, with the auction starting around 2:40pm, reported CNA.

Brisk bidding ended with no sale

The opening prices for the properties were as follows:

• Four apartment units at Gramercy Park, located at Grange Road: S$3.8 million to S$7.6 million,
• Two apartment units at Sloane Residences, situated on Balmoral Road: S$3.65 million and S$3.68 million,
• One 3,498 sq ft Grade A office space at Suntec Tower One: S$11.5 million.

The six luxury apartments had private lifts, and one of the Gramercy Park four-bedder had a hefty marble feature wall.

The auction opened with a four-bedder on the 17th floor of Gramercy Park with a starting price of S$7.55 million or S$2,839 per sq foot (psf); a bid of S$4 million was the first counteroffer, reported ST.

After eliciting laughter, more bids followed.

ST reported that the highest of the nine bids was from a woman dressed in Chanel at S$6.7 million.

However, as the bid did not meet the reserve price, it was rejected.

According to CNA, another unit saw quite a fierce round of bidding, with around 10 bids.

However, none of the bids met the reserve price. CNA reported the auctioneer saying they would take it "offline" with the highest bidder.

Withdrawn with no bids

Two other Gramercy Park apartments, a four-bedder and a three-bedder, with opening prices of S$7.5 million and S$6.285 million respectively, were withdrawn with no bids, ST reported.

The Sloane Residences apartments were also withdrawn from the auction, while the Suntec office space had one bid at S$8 million.

ST asked Knight Frank’s director of auction and sales, Tricia Tan, if the opening prices were the reserve prices, and Tan declined to comment.

In September, a total of 26 properties will be put up for sale by different realtors as the first batch of more than 80 properties seized during investigations by the Commercial Affairs Department, ST stated.

All sale proceeds will be deposited into the Government's Consolidated Fund.

Other properties to be auctioned

On Sep. 23, auction houses Edmund Tie and Company (ETC) and Sotheby’s International Realty (List SIR) will also put 19 other properties on the block.

ETC's lot and its guide prices:

• Five apartment units at South Beach Residences, including a 42nd-floor penthouse: between S$4.45 million and S$25.3 million,
• Two apartment units at 8 Saint Thomas in River Valley: S$4.4 million and S$5.72 million,
• One Paterson Suites apartment unit in Orchard: S$5.18 million,
• One 8,800 sq ft factory space at Shun Li Industrial Park.

According to ST, SRI's lot comprises four luxury condo units at Wallich Residence and six at Martin Modern; their guide prices are between S$2.238 million and S$6.8 million.

ETC's auction will be held at its UIC Building office in Shenton Way, while SRI's will take place at its Great World office.