California Fitness has shut down all its outlets in Singapore until further notice.
A media statement issued by the chain’s provisional liquidators from recovery firm Ferrier Hodgson said the closures would take immediate effect as the owner, JV Fitness, lacks the finances to keep the outlets running.
In Hong Kong, two senior JV Fitness executives were arrested and a freeze put on the company’s capital last week, with its outlets across the territory being closed.
In Singapore, its downtown Republic Plaza branch was abruptly closed, followed by scores of members of the gym chain seeking refunds. Some have lodged official complaints with the Small Claims Tribunal or approached the Consumers Association of Singapore (Case). In four days, Case received more than 100 complaints against the chain.
The Republic Plaza branch was repossessed abruptly after the company was unable to pay the rent.
Meanwhile, a new Facebook group is exploring ways to ensure that people who paid fees to the gym chain do not lose out. The group has gained more than 580 members in its first two days. There is also an online petition, “Get California Fitness to refund its victims”, addressed to Minister for Trade and Industry Lim Hng Kiang. It has more than 1000 signatures.
All California Fitness outlets in Hong Kong closed last week because of mounting debt, and Hong Kong’s consumer watchdog has received more than 100 complaints from members regarding termination of contracts.
