Failed housing plan leaves more than 500 people homeless

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Press conference held on March 14

An NGO, which protects the interests of residents in Sansar Town, announced on March 14 that over 500 victims of ger area re-planning program are ready to go on hunger strike unless the state resolves their housing problem.

During a press conference on Tuesday, the NGO reported that 85 families have become homeless as Ikh Urgoo LLC, a contractor in charge of redeveloping ger areas in Bayanzurkh District, failed to meet commission dead- line for the apartments promised to residents.

People living in Sansar Town in Bayanzurkh District evicted their homes by October 15, 2014 after signing contracts with Ikh Urgoo LLC and the Ulaanbaatar Ger Area Development Agency. Seven new apartments and six houses were promised along with a monthly compensation of 500,000 MNT to each household through the contract. However, not a single resident has received compensation and the ground works for three apartments have not been completed, according to residents.

A spokesperson for the NGO said that residents complained about these breaches of contract many times to city authorities and project executors, but haven’t received an adequate response.

Residents tried to reason with the founder of Ikh Urgoo LLC and former Member of Parliament D.Arvin, but they were told, “It’s not possible to give compensations. We don’t have the money.”

The spokesperson said that victims of the ger area re-planning program have handed an official document about their problem to the Prime Minster and promised to gather all victims for a hunger strike if their issues aren’t addressed by next week.

After the press conference, D.Arvin’s brother and executive director of Ikh Urgoo LLC D.Badrakh was asked to comment on resident’s statement.

“Eighty companies were selected to implement the ger area re-planning program but the majority of them weren’t able to carry out the task. The economic crisis faced by the whole country affected our operations. We’re seeking a solution and trying to get loans from banks. For a fact, we have given compensations in the first two years. This matter will be settled soon,” he said.

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