Real Estate Board rescues J$525m of deposits
Published:Sunday | December 26, 2010 | 12:00 AM
The Real Estate Board (REB) is reporting that it prevented hundreds of purchasers from being scammed of more than half a billion dollars in its last fiscal year ending March 2010.
The agency, which ramped up prosecutions in the period, said there are three cases in court, in which it is seeking to protect 25 persons who have bought into three real estate developments.
The board in its annual report tabled in the House of Representatives on Tuesday, said it prevented 373 purchasers from losing their deposits, amounting to J$524.8 million, in 14 schemes.
The agency also has some 15 developers on a "watch list" involving cases where it intervened to protect deposits of prospective home buyers.
The board said it conducted hearings in some cases and based on the outcome, 101 dealers and salesmen were removed from the register during the year under review for non-payment of fees for periods exceeding three years.
Three dealers and developers were also issued letters of reprimand for breaches of the Real Estate (Dealers and Developers) Act.
Turning to complaints, the Board said it received 241 complaints during the 2009/10 year of which 104 or 43.15 per cent were successfully resolved and the cases closed.
Another 73 or 30.29 per cent were referred to other agencies for action; 25 persons were warned for prosecution; four persons were arrested and convicted; while 64 or 26.56 per cent of cases are pending resolution.
At the end of the financial year, the Real Estate Board said 14 strata plans were visited to provide pre-registration guidance and clarification re amendments to the Registration (Strata Titles) Act.
The board also said there was a marginal decline—1.35 per cent— in the number of development schemes registered, down from 74 to 73.
The number of registered dealers declined by 57.7 per cent, and salesmen by 6.4 per cent, which the board attributed to challenges facing the soft real estate market.