Victims of the K-Park housing scandal have launched a lawsuit against the Housing Development Corporation (HDC) and the Economic Ministry, seeking justice in one of the worst housing fraud cases in the nation's history.

Hanbo launched the K-Park Residences in Hulhumale’ in November 2016. However, the condominium has stayed incomplete, entangled in controversy, while its minority shareholder was found guilty of defrauding many individuals who paid deposits for apartments at the K-Park Residences.

Hassan Falah, a lawyer at Advocacy Chambers, informed Sun on Sunday that they have submitted a lawsuit to the Civil Court for the victims.

He stated that a quick resolution by the state is the victims' greatest hope.

The law firm has charged the HDC with not cooperating to resolve the issue, leading to stalled progress in any cases filed by the victims.

The company stated that the clients they represent attempted but were unable to connect with the original developer, which has "ceased to exist."

The K-Park Residences was initially marketed as a project managed by a South Korean developer. However, it was later revealed that the project was filled with fraud.

In 2023, the allegations of fraud were reported to the police by Hanbo and the Housing Development Corporation (HDC), identifying Hanbo’s former minority shareholder Hassan Mamdhooh (Manday) as the main suspect in the case.

Manday and his partner Jaishan Saeed faced trials for more than 200 charges together, for scamming over 50 individuals.

In December 2025, Manday was sentenced to an extensive 397 years in prison, whereas Jaishan was given 159 years.