$5 Million Scandal? Explosive Audit Raises Questions Over Kinnara’s Role in Marina Bay City Dispute

A bitter dispute surrounding the Lombok-based Marina Bay City development has intensified after an internal audit reportedly raised serious questions about the conduct of former joint venture partner Kinnara and its leadership.

The development, spearheaded by Lux Property Group, was originally structured as a joint venture in which Kinnara secured a 50% equity stake in the project.

According to Lux, that equity stake was granted after Kinnara’s CEO, Adrian Campbell, promised the company could deliver six times the number of clients Lux could generate through its own marketing channels.

But an audit now suggests that promise may never have materialised.

Audit Claims Only 30 Clients Were Delivered

According to Lux, the audit indicates Kinnara delivered approximately 30 buyers to the project.

However, Lux claims many of those buyers appear to have originally been Lux-generated leads that were diverted through Kinnara-linked entities before funds were paid.

After removing those diverted clients, Lux claims fewer than 10% of the project’s buyers can be clearly attributed to Kinnara’s own marketing efforts.

If accurate, Lux says this raises fundamental questions about whether the original basis for granting Kinnara a 50% equity stake was ever justified.

Millions in Investor Funds Allegedly Diverted

The dispute escalates further with allegations about the movement of investor funds.

Lux claims that as much as AUD $5 million in investor payments were diverted into bank accounts connected to Kinnara-controlled entities, rather than being transferred to the official joint venture project company.

Some of the funds are believed to have moved through companies linked to Kinnara’s CFO, Hilton Wood, including accounts associated with Marina Bay Lombok Pty Ltd.

Based on Lux’s calculations, the number of legitimate clients attributed to Kinnara would have entitled the company to no more than approximately AUD $250,000 in commissions, raising questions about how millions of dollars were redirected through related entities.

Buyout Payment Followed by Share Transfer Refusal

The situation became even more contentious following a buyout agreement reached in October 2025.

Lux states that more than AUD $3 million was paid to Adrian Campbell as part of the buyout arrangement, with the agreement requiring Kinnara to transfer its shares in the joint venture company once the first AUD $2 million payment had been received.

According to Lux, despite receiving those funds, the share transfer documents were never signed.

Critics of the situation question how a party could retain millions of dollars from a buyout while simultaneously refusing to complete the required share transfer.

Saraya Project Raises New Legal Concerns

Adding another layer to the dispute, Lux claims it believes some of the diverted investor funds may have been used to acquire land now being marketed under a separate development known as Saraya Lombok.

Lux alleges that Saraya is being promoted within the broader Marina Bay development precinct, something the company claims would represent a clear breach of the October 2025 buyout agreement.

Lux says legal action is now being prepared to:

• Block the Saraya project from operating within the Marina Bay precinct

• Seek court orders to secure assets connected to the project

• Recover funds to compensate investors affected by the alleged diversion of money

Lux Offers Support to Affected Investors

Despite maintaining it has no legal obligation to build villas for buyers who paid funds to Kinnara-controlled entities, Lux says it intends to assist many affected investors.

The company says it plans to allocate land to cooperative buyers who were impacted by diverted funds, in an effort to reduce losses while legal proceedings continue.

Lux also says it will assist investors in legal efforts to recover funds from the entities that originally received their payments.

Investors Want One Thing: Progress

For many investors caught in the dispute, the priority remains simple.

They want the development to proceed and their villas delivered.

As legal battles escalate, Lux says its focus remains on protecting investors, recovering diverted funds where possible, and continuing to move the Lombok project forward.

Whether the courts ultimately determine responsibility for the missing funds could shape the future of one of Lombok’s most ambitious property developments.