Land Court rule on stripping Wu of Double Island lease
No trespassing signs warning visitors to keep out are one step closer to coming down after the advancement of eviction action against Benny Wu and intervention by the Land Court.
Cairns
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No trespassing signs warning Double Island visitors to keep out are one step closer to coming down following the advancement of eviction proceedings against Benny Wu and intervention by the Land Court.
Ramshackle and virtually abandoned the resort at Double Island off the coast of Palm Cove was acquired by Mr Wu’s firm Fortune Island Holdings in 2012.
But since then the island has been closed to visitors meaning the Hong Kong-based company is in breach of a state government lease conditions that state the island must be used for tourism purposes.
On Monday the Department of Resources notified Fortune Island Holdings by mail that it will ask the Land Court to determine whether its lease over the island should be forfeited.
In August last year the Department of Resources presented Mr Wu with an ultimatum to be open for tourism or be kicked out in a crackdown on terms of the lease, that states the resort and day use facilities must be operational.
That deadline for compliance passed on March 31.
The Department of Resources claims Fortune Island Holdings has not undertaken adequate work to return the island to tourism and the Land Court will now determine if the lease should be forfeited.
It’s understood the department has not received confirmation from Mr Wu that he was in receipt of the letter sent earlier this week.
Barron River MP Craig Crawford welcomed the advancement towards stripping Mr Wu of the lease.
“Double Island was a jewel in Far North Queensland’s tourism crown but has been left for too long so this news will be appreciated by the community,” he said.
A 12-month inquiry into the Reef’s shuttered resorts made recommendations urging a “use it or lose it” approach to languishing tourist destinations and last month Great Keppel Island resort owners Tower Holdings had their lease cancelled after racking up an overdue rental bill of $878,000.
However, Opposition Natural Resources spokeswoman Pat Weir claimed on Friday the Palaszczuk Government had failed for “many years” to enforce lease conditions.
“There is no greater example of this government’s island management failures than the abandoned Double Island,” she said.
Resources Minister Scott Stewart said the government was committed to the responsible development of island resorts, together with jobs and business opportunities they create.
“Where lessees don’t meet their obligations, we will not hesitate to take action to protect these islands and the interests of all Queenslanders,” he said.
The lavish resort at Double Island once hosted celebrities such as Madonna, Guy Ritchie and Keanu Reeves but being exposed to tropical elements for 10 years has left the resort dilapidated and in decay.
Mr Wu has been contacted for comment through Fortune Island Holdings.
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