jmsg

Case Study #024: $50,000 Property Development Deal
The client was a construction contractor who had been running his business successfully for years. His friend, the debtor, approached him with an opportunity to invest in a lucrative property development deal. The debtor, who had already secured most of the capital, needed an additional SGD$50,000 to finalize the project. Excited by the potential returns and trusting the debtor’s reputation, the client lent him the money without hesitation. No formal contract was drafted, just an exchange of promises and a handshake.

The first few months after the loan seemed promising, with the debtor providing updates on the project. But as time went on, communication began to dwindle, and the client noticed delays in the development. When he finally managed to meet the debtor, he was met with vague excuses about market conditions and construction delays