Lux Denies Kinnara Claims, Says Marina Bay City Buyout Completed and Authority Terminated
Lombok, Indonesia — The developer of Marina Bay City Lombok, Lux, has issued a strong public rebuttal to recent communications circulated by Kinnara / Kinnara Asia to purchasers, rejecting claims that Kinnara retains any governance role or ownership interest in the project.
According to Lux, Kinnara was fully bought out of the entire Marina Bay City project, including Marina Bay Investments and all related development entities, several months ago.
Lux states the buyout was:
•Formally agreed between the parties
•Publicly announced through press releases issued on 4 and 5 November
•Confirmed in a release issued on Kinnara letterhead
Lux further alleges that Kinnara subsequently received millions of dollars as part of the buyout.
“Any suggestion now being made that Kinnara has not been bought out contradicts Kinnara’s own published statements and conduct,” Lux said in its statement.
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No Governance Role or Authority
Lux has categorically denied claims made by Kinnara that it continues to act in a governance or oversight capacity.
According to Lux, Kinnara:
•Holds no governance, management, or compliance role
•Is not an authorised developer or sales agent
•Has no involvement in the Marina Bay City master plan
Lux says it is now the 100% owner and sole authorised developer and manager of Marina Bay City.
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Clarification on Construction Pauses
Lux also addressed claims regarding construction delays, stating that the only pause in development occurred under previous management when Kinnara was in control.
According to Lux, that pause followed concerns raised by the Lombok Ministry after issues arising during Kinnara-managed works on the Resort Side of the project.
Following the management transition to Lux, the developer says it was able to resolve the matter quickly.
Lux claims it subsequently:
•Secured approval to commence construction on the Beachside Estate
•Received assurances from local government authorities that approvals for remaining planned estates owned by Lux entities would be fast-tracked
•Confirmed that Kinnara holds no ownership interest whatsoever in those estates
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Allegations of Interference With Construction
In a more serious allegation, Lux claims that after being bought out, Kinnara attempted to interfere with construction activities.
According to Lux, Kinnara representatives allegedly approached subcontractors working on the Beachside Estate and offered financial inducements to stop work.
While Lux says these efforts were ultimately unsuccessful, it described the alleged conduct as “appalling” and inconsistent with Kinnara’s stated position that it was acting in purchasers’ interests.
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Breakdown of Relationship and Alleged Threats
Lux also alleges it has retained evidence of coercive and extortionate communications, including threats made following the buyout.
The developer says this behaviour was a decisive factor in its decision to terminate any joint venture relationship with Kinnara.
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Dispute Over Buyout Funds and Purchaser Money
Lux maintains that Kinnara accepted and spent millions of dollars in buyout payments.
“If Kinnara now claims it was not bought out, the obvious question is whether those funds will be returned,” Lux said, adding that the money has already been spent, including attempts to acquire land within the Marina Bay City footprint for competing projects.
Lux has also challenged Kinnara’s claim that it does not hold purchaser funds.
According to Lux, Kinnara has banked more than AUD $5.5 million in purchaser funds, with the possibility of additional undisclosed amounts.
Lux reiterated that it will only build villas that it has been paid to build and urged purchasers who contracted through Kinnara to request documentary proof showing their funds were transferred to an authorised Lux development entity.
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Land Sales and Share Transfer Disputes
Lux further alleges that Kinnara attempted to interfere with existing land contracts and delayed payments in an effort to pressure landowners.
It also claims Kinnara was exposed selling beachfront land via online presentations that it did not own and still does not own.
In addition, Lux says Kinnara has refused to execute required share transfer documentation despite accepting buyout payments — a refusal Lux says raises serious legal and regulatory concerns now being addressed through formal channels.
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Digital Assets and Website Control
As part of the buyout, Lux says Kinnara was required to transfer project digital assets, including the marinabaycity.com domain.
Instead, Lux alleges Kinnara has continued to use the website to publish misleading information and divert purchasers into unrelated projects.
Lux says a final seven-day notice has been issued demanding immediate transfer of the digital assets.
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Background Allegations Cited in Public Records
In its statement, Lux also pointed to historical Australian media reporting and regulatory actions involving Kinnara’s CEO.
According to publicly available reports from outlets including The Border Mail, The Brisbane Times, and The Canberra Times, as well as actions by the Queensland Department of Fair Trading, the CEO has previously been the subject of allegations relating to financial misconduct, consumer protection breaches, and other offences.
Lux noted these matters are public record and encouraged readers to review the original reporting and regulatory findings directly.
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Message to Purchasers
Lux concluded by stating that its own clients “are protected” and emphasised its track record of delivery.
For purchasers who dealt with Kinnara, Lux urged caution and transparency, recommending they seek written proof of where their funds were sent.
“Transparency begins with documentation, not assurances,” the company said.
