See the article below that I have just been made aware of. I wonder how many similar cases there are out there. I am involved in one that sounds very familiar to this one!....ie UK agent taking deposits against Spanish off-plan property then money 'disappearing'. Well, we are looking to get a case going too like this one....awaiting a proposal from the lawyer I met in Marbella last week.
Published: 15th February 2011 
The agent at the centre of allegations over an alleged £43 million overseas property scam has spoken out for the first time.
Colin Thomas, director of Ocean View Properties is currently being investigated by Staffordshire police and the UK insolvency service following the collapse of his company in 2009.
Ocean View Properties sold off-plan units on a number of developments in Spain, Morocco and the Dominican Republic, most notably on the Estepona Beach and Country Club on the Costa del Sol. However, after taking deposits averaging around £80,000, some of the deposits “disappeared” and the developments were never completed.
Speaking through his lawyers Mr Thomas blamed the developer for the situation currently being faced by investors who lost their money.
“The sooner the truth is out — about the actions of Ricardo Miranda in Spain, the Dominican Republic and Morocco through the actions of lawyers currently suing Ricardo Miranda on behalf of investors who have lost money paid to him — the better.”
Mr Thomas insists he has co-operated fully with the legal team leading representing investors who have lost their deposits.
“In representing Mr Thomas we can say that he has always been happy and willing to assist in all actions that are being taken against developer Ricardo Miranda” his representative said.
Unfortunately this case is an all too familiar one. Investors’ make deposits in good faith but as the money is not put into an escrow facility, it is not protected. When some of the money “disappears”, the agent and developer blame each other…
The result is negative publicity for the industry and an erosion of trust that affects future sales for everyone.
A quote from an investor on legal forum,
Belegal.com sums up the situation concisely:
“Whatever the final truth is…. I do know never to invest in property I can't see and touch and what a painful lesson that was”.
It is currently
not a requirement for membership of the AIPP to insist off-plan property deposits are put into protected client accounts.
Source: Global edge