The Star Malaysia

Lawyer shatters house dream

Civil servant among many scammed in housing deals by lawyer

- By NELSON BENJAMIN nelson@thestar.com.my

The buyers nurtured freams of owning their first homes, thanks to the Government's affordable home projects. They qued up, filled up the forms and met all the requiremen­ts for a bank loan. When the time came to take possession of the houses, a conniving lawyer siphoned off money from the bank - dashing the hopes of the house buyers. Now, both the Government and the police are likely to step in.

JOHOR BARU: First-time housebuyer Nora dreamt for months of moving into her own house after securing a loan through a lawyer for an affordable home in Johor. Then, it was time to get the keys to her dream home. And her excitement turned to despair.

Nora, a civil servant, was told by the developer that the cheque issued by her lawyer totalling more than RM140,000 had bounced.

“I was so upset and went to the lawyer’s office but they kept giving me excuses. I decided to lodge a police report,” she said.

After going to the police, she realised that she was only one among many housebuyer­s who had been scammed.

Nora’s story is not the first highlighte­d by The Star. Many such cases have been found.

“I heard about this Johor affordable house scheme last year and decided to apply for it. I was happy when I was selected and the developer assigned this lawyer to do the necessary documents.

“But I suspected something amiss when my government loan was approved but the developer did not give me the keys to the house once it was completed,” said Nora, who now has RM700 deducted from her salary for the Johor affordable home. The deductions began in September.

“I am already renting a house for RM300. Now I am stuck with payments of up to RM1,000 each month,” she said.

Nora hopes the authoritie­s will help her get the double-storey house.

“If they do not want to give me the house, then at least discontinu­e the loan repayments.

“I am so sad now. I followed all the procedures, I paid the deposit and even the legal fees to the lawyer totalling almost RM5,000,” she said.

It is believed the lawyer had carried out the transactio­ns for the houses and once the loans were approved, did not remit the money to the developer.

Instead, the lawyer allegedly siphoned off the money and issued invalid cheques to the developer.

The developer then decided to hold back the keys to the houses.

Many police reports have been lodged against the lawyer with losses running up to hundreds of thousands of ringgit.

Police do not discount the possibilit­y of more victims being cheated in other similar housing deals.

 ?? — ABDUL RAHMAN EMBONG/ The Star ?? Ownership problem: A civil servant who wants to be identified only as Nora holding her police report in front of a double-storey house which is supposed to be hers. Her lawyer allegedly committed criminal breach of trust in relation to the house...
— ABDUL RAHMAN EMBONG/ The Star Ownership problem: A civil servant who wants to be identified only as Nora holding her police report in front of a double-storey house which is supposed to be hers. Her lawyer allegedly committed criminal breach of trust in relation to the house...
 ??  ?? Questionab­le transactio­n: Nora bought a house on this street but her lawyer allegedly took the bank money for it.
Questionab­le transactio­n: Nora bought a house on this street but her lawyer allegedly took the bank money for it.

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