Real estate the new target for scams

With the police's crackdown on the illicit lottery scam in Montego Bay, scam artists have reportedly developed new way to fleece money from unsuspecting persons of monies through bogus real estate transactions.

While the police confirm that they are aware that the practice worldwide, Assistant Commissioner of Police Les Green, head of the Major Investigation Taskforce, says there is no evidence of it locally.

"I am not aware of that type of scam taking place in Jamaica; we have not received any reports in this regard. But if we do, we will investigate the matter," he said. "It (real estate scam) is a worldwide problem and is dependent on where the crime is committed, in order for prosecution to take effect."

It is understood that local scam artists use illegally obtained personal information on clients, mainly Americans, who are asked to send 'processing fees' to begin transactions. In instances, photographs of houses and properties said to be available on the market, are also sent to prospective clients.

Meanwhile, one prominent realtor who did not wished to be named, believes that such a scam can have serious effects on the real estate market.

"Clients overseas may become skeptical about our intentions in real estate transactions, and upset our legitimate businesses," the realtor explained.

He however, recommended that prospective buyers verify that the broker, agent or company is licensed to do real estate transactions, and consult with an attorney-at-law before handing over payment for properties purchased.

The crackdown on lottery scam players intensified in December 2006, and has since taken on an international overture with local investigators travelling overseas to interview and collect statements from victims.

The practice is reportedly facilitated through the unauthorized disclosure of information on Americans, who are conned out of large sums of money under the guise that they are paying for a legitimate service, specifically through local Information Communication Technology (ICT) workers.

The police have disclosed that lotto scam players, mostly males between ages 18-40, make between US$4,000 and $10,000 on average weekly. Schoolchildren are reportedly recruited in the scam to collect monies from remittance outlets.