New Silkroutes receives statutory demand for S$146,234 from landlord

Published Mon, Dec 13, 2021 · 11:11 PM

MAINBOARD-LISTED New Silkroutes Group said on Monday (Dec 13) that it was served a letter of statutory demand from its landlord Fragrance Regal for an alleged total sum of around S$146,234.73 after it failed to respond to an earlier letter of demand.

The sum demanded is in relation to the tenancy agreement between Fragrance Regal and the company in respect of the premises at Fragrance Empire Building located at 456 Alexandra Road.

Due to work from home arrangements in compliance with Covid-19 regulations, New Silkroutes said that the letter of demand for an alleged sum of S$98,652.69 to be paid by Nov 18 was only retrieved from the company's mailbox on Dec 13.

The landlord had therefore alleged that there has been an event of default based on a clause in the tenancy agreement and had issued the statutory demand with the sum due on 12pm, Dec 17.

"The company has engaged the leasing and finance department of the landlord since September 2021, but the landlord has not responded to multiple requests from the company for a meeting," said New Silkroutes.

The company is currently reviewing the letter of demand and statutory demand with its legal and financial advisers and will take appropriate action accordingly.