A report in the UK newspaper the Grimsby Telegraph caught our eye this week. It was the story of a group of investors who lost £609,000 in a Turkey property investments scam.
This case highlights the need for overseas investors to be on their guard when it comes to investing large sums of money for property in Turkey.
This recent case involved a number of supposedly lucrative investments in Bodrum where the unfortunate individuals were sold the idea that they could invest in the popular Turkish resort for as little as £38,000 a property for a high return.
Hayley Brown, the British fraudster was able to con her victims by convincing them to part with money which she assured would give them a return in a matter of weeks. In one case she convinced an investor to lend her £50,000 which she said would generate a 50 per cent profit, or £75,000 within 12 to 16 weeks of the money being paid.
The money never arrived as was the case with other investors who also thought they were buying property, when in fact the property either had not been built, or the brochures didn’t tell the full story.
Brown denied ten offences of fraud, three of obtaining a money transfer by deception and two of using a false document with intent to deceive, between March 2006 and July 2009.
However she was convicted and jailed for four years with a consecutive five years after admitting two firearms offences. This included possession of a stun gun made to look like a mobile phone!
This case highlights the need to be extra vigilant when investing in Turkey. One of the difficulties for overseas investors is finding the time to travel out to Turkey to see building work and to view properties.
Often fraudsters can take advantage of this by using false addresses in Turkey or producing glossy brochures to impress people.
Thankfully these sorts of cases are not the norm in Turkey, many investors have had a great experience investing in a second home. However, the wisest thing investors can do when investing in Turkey is to use a reputable agent to take care of paperwork and provide valuable local advice.
Without it you could be left vulnerable.
Read the full story here
Photo credit: Harvey Barrison