(PanamaNewsRoom) If you didn’t rush to invest in the lavishly promoted Los Faros project in Panama, count yourself among the lucky (or smart ones) as the compnay  prepares for bankruptcy.

It became one of the most spectacular “castles in the sky” developments in Panama, and like others before it, albeit on a smaller scale, has left many wondering what happened to their savings.

The Mall Group management team of Los Faros de Panama,  touted   the main building in the Punta Pacific development as “the highest in Latin America " and investors were brought  in from many countries to  see the site  of the project with promises of 170 percent return if they bought in on time.

All they got for their money was a hole in the ground, and in their bank balances as the group accumulated debts of $100 million. Nearly a third of that  is to homebuyers.

The property, the Mall Group and its subsidiaries, and its bank accounts in Panama, were seized by court order and since last year the company has operated , under judicial administration in preparation for bankruptcy.

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Original Source: PanamaNewsRoom

Date Retrieved: March 14, 2011.