Indonesian billionaire Low Tuck Kwong sues partners for $6.6M over property defects

Indonesian coal mining billionaire Low Tuck Kwong, the third richest man in Indonesia, is suing two business partners for AUD9.6 million (US$6.6 million) after discovering "material defects" in properties he bought from them.

Indonesian billionaire Low Tuck Kwong

In June 2025, Low and his company Energy Resource Investment entered into a share purchase agreement with Peter Kwee, a tycoon known for distributing cars, to pay SGD32.2 million (US$24.9 million) for the majority stake in three companies. Kwee’s partner Chan Kok Choon was part of the deal and is also being sued, according to The Business Times.

The companies’ assets include a hotel, two country clubs each with a golf course, and residential properties in Australia.

Both parties agreed that due diligence was to be conducted after the deal, as Kwee had wanted to execute the agreement "urgently."

But Low now allege that allege the properties contained "material" defects, for which Kwee and Chan had agreed to indemnify rectification costs.

This arrangement included offsetting SGD3 million from an outstanding payment to Kwee against those costs.

Low said the agreement also required Kwee to respond to the identified defects within a stipulated timeframe, but he did not do so.

Low and his company are contend they are entitled to offset the SGD3 million against rectification costs and are seeking to recover the remaining AUD9.6 million from the defendants.

In their defense, Kwee and Chan said they were not legally represented in the transaction, while Low had engaged law firm Drew & Napier to draft the agreement.

They argued that, without legal advice and careful consideration of the warranties, they did not understand the scope of those warranties, which they said went beyond matters discussed during negotiations.

Kwee and Chan also maintained that the due diligence sought by the claimants related to the companies’ finances, rather than the condition of the properties.

They added that Low, who already had a minority stake in the three companies before starting the deal, was already aware of the condition of the companies’ assets.

They further denied that the alleged defects were material, stating that the claimants’ reports lacked detail.

Kwee has filed a counterclaim for the SGD3 million that Low and Energy Resource Investment said they would offset against rectification costs.