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By Zaya Williams
Yida Zhang, the principal investor in Antigua’s first special economic zone, could spend 14 days in the country’s lone penal institution if he does not pay in full the whopping US$4.2 million owed to a local real estate firm.
The legal trouble stems from a long-standing dispute with Lux Locations who helped Zhang acquire land for the Yida development project between 2013 and 2014.
Despite the agreed-upon commission of nine percent, Zhang’s company failed to make the payment to Lux Locations, originally claiming that he did not understand the terms of the contract he was signing.
The court had ruled in Lux Locations’ favour but Zhang failed to comply with a court order related to the dispute, refusing to pay and also withholding information from Lux Locations and violating the court’s directives.
In response to the unpaid debt, the High Court froze all of his assets and held him in contempt.
He was summoned to court this morning to answer for his non-compliance.
But hours prior to the hearing at around 3am he paid over more than US$4 million to the company.
However, since there was still a balance outstanding, he was ordered to pay up by the end of the year or spend 14 days behind bars.