The Star quoted sources as saying work on the Mpire Residences at Bukit Ayun in Bayan Lepas was supposed to have begun at the end of last year but had run into a snag.

A source told The Star that it was still an MBI project, but that with all the adverse publicity, they were not keen to be seen to be involved.

The project comprises three 43-storey towers of residential and commercial units.

The MBI Group was one of 302 companies listed under Bank Negara’s financial consumer alert list on suspicion of not adhering to laws and regulations in its operations.

The group’s 98 bank accounts from eight financial institutions, containing RM209 million, were frozen, following raids on its premises.

The Star said the project, with 620 units of condominium, a 20-storey hotel with 300 rooms, a mall and retail office on a 3.6ha freehold land, was expected to be completed by 2021.

The report said the developer was listed as Paramount Solaris Sdn Bhd. An online search did not reveal the owners of the company, and the profile only stated that it was a dormant company formed in 2014.

MBI Group investors have always maintained the company has done no wrong and that they have full confidence in the management.

MBI Group enjoys a strong presence in Penang. At the M Mall, members convert their virtual coins to loyalty points to buy groceries, household products and even cars. A hotel and a Chinese restaurant on Penang island are said to be “closely associated” with the company where members can spend their loyalty reward points.