Wednesday, May 29, 2013

Homeowner: Dubious Real Estate Operator Swindled Me Out Of $440K Home Sale Proceeds; Accused Perpetrator Has $1M+ In Unrelated Court Judgments, Was Recently Described By Judge As A "Scoundrel" & Slammed For $15K For Renting Out Vacant Recently-Foreclosed REO Without Authorization

In Calgary, Alberta, CBC News reports:

  • A Calgary homeowner says he was swindled out of his own property by a realtor he thought was trying to help him.

    Seyfeddin Mohammed and his wife sold their home to a company offering a deal without legal or realtor fees. Now, Mohammed says that the property was transferred out of his name without him receiving any of the $440,000 purchase price.

    "There is some fraud going on," said Cass Lintott, Mohammed's lawyer. "That's our position and it will be Mr. Mohammed's position, and it's just a question of taking it in chunks, so first get title back into his name, make things right with his lender and then deal with the people who have done this to him."

    The company Mohammed sold to,, is controlled by Derek Johnson.

    Johnson was recently fined by the Real Estate Council of Alberta for trading in real estate without authorization.(1)

    Court documents also show that Johnson has more than $1-million in judgements against him. All of the judgements are from separate matters and are not related to Mohammed.

    In one judgement unrelated to Mohammed's complaint, a Court of Queen's Bench judge described Johnson as "a scoundrel" who has appeared in court on several foreclosure proceedings.

    "Mr. Johnson ... has repeatedly and consistently argued the same nonsense to the detriment of his victims," Master Keith Laycock wrote. "These defendants have been victimized by him and his numbered company. He may even have committed fraud obtaining title to their residence."

    Recovering costs could be difficult

    Now, Mohammed is fighting to get his property back. He says that because he wasn't paid, the conditions of the sale were not completed. Mohammed also alleges that his signatures on the land transfer agreement were forged.

    "I got stress," Mohammed says, "not easy, during all life in this country, working everything for down payment for house and if I lost everything, I have no money, no house."

    In an email to the CBC, Johnson said that he has done nothing wrong. He wrote that the Mohammeds consented to the sale, including the transfer of title to Johnson's company.

    Despite going public and hiring a lawyer, Mohammed's lawyer says that recovering his costs could be difficult.

    Johnson says he's locked in a court battle against the mortgage company and that's why no funds have been paid out. He says that he will pay Mohammed once the court battle with the mortgage company is settled.
For more, see Homeowner says he was swindled out of his own property (Homeowner says he never received any of the $440,000 purchase price).

(1) See Calgary man fined $15K for posing as realtor (Real Estate Council of Alberta levies fine against man):
  • The council says in schemes like this people obtain lists of foreclosed properties and then try to rent or sell them.

    "We find it's for nefarious purposes, and that is that they want to generate cash flow," said Charles Stevenson of the Real Estate Council of Alberta. "If at all possible they'll find a way to steal identity, perpetrate mortgage fraud and move the people on through without their knowledge."

    Calgary police would not say whether they will be investigating the Real Estate Council of Alberta information, but it is against the Real Estate Act to deal property without a licence in the province.

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