Troubled Bulgarian resort investors given ultimatum over money

IRISH investors in a troubled Bulgarian resort scheme have been told they must pay thousands of euro more before the end of the month or wait two years for their money back.

Letters are being sent out to hundreds of Irish people who paid €20,000-€50,000 to secure apartments in what was supposed to be a five-star golf resort in Pomorie on the Black Sea coast.

The builders walked off the site earlier this year after complaining they had not been paid. Tough questions were asked about the track record of the Dutch developer, who then admitted he did not have the money to complete the scheme.

Pomorie’s selling agents in Ireland, Platinum Developments, have been working on a rescue plan. Builders went back on site last month. A new company, Sunset Resort, has been set up and some changes have been made to the design. There will be no Olympic size swimming pool or exclusive access to an adjoining golf course, investors who have received letters said.

Investors have been asked to pay another 30% of the total cost by November 24 and a further 20% next year. The original contracts of many investors stated that the balance be paid on completion.

Those who decide to pull out will not receive any money until 2006. The new developers have promised work will be completed by 2006.