Two hotels in Marbella belonging to the notorious Spanish developer Aifos have been forced into administration by creditors owed 1.17 million Euros, reports the Spanish press. This is a step in Spanish commercial law that can lead to administration and bankruptcy.

Just like the parent company Aifos, the two hotels – the Guadalpín Banús and the Guadalpín Marbella – are the subject of some controversy. The Guadalpin Banus, for example, is embroiled in a town planning scandal.

The request to start bankruptcy proceedings came from a group of people who invested in tourist apartments in the Guadalpín Marbella, and claim that the hotel has not paid them the income they are entitled to.

Back in February Aifos itself was in court fighting a request from some of its creditors to put the company into administration.

Aifos, which describes itself as a “strong and solvent group of companies” at its website, has been the subject of numerous client complaints for engaging in practices like selling off-plan without planning permission. The Sunday Times was one of the first to draw attention to problems at Aifos in its April 2005 article Costa Britons sink in tide of scandals

Aifos President Jesús Ruiz Casado has also been implicated in ‘Operation Malaya’- the police investigation into municipal corruption and urban planning scandals.