Four Arrested in Alleged $4.5 Million Real Estate Fraud Scheme Targeting Vulnerable Homeowners

Four Arrested in Alleged $4.5 Million Real Estate Fraud Scheme Targeting Vulnerable Homeowners

MONTREAL — Montreal police have arrested four men accused of orchestrating a sophisticated real estate fraud scheme that allegedly defrauded vulnerable homeowners out of more than $4.5 million.

The arrests were made Thursday in Montreal and Quebec City following a lengthy investigation by the Service de police de la Ville de Montréal (SPVM).

Those arrested include Mickael Abraham Barchichat, 44, Michael Moscovici, 44, Marc-André Fortier, 43, and Olivier Perez, 40.

According to police, the suspects allegedly targeted individuals facing financial hardship by posting online advertisements offering assistance with debt and financial problems. Investigators say the victims were persuaded to meet with notaries and unknowingly signed documents that transferred ownership of their homes.

“In the process, victims were taken to a notary and, without realizing it, signed documents transferring ownership of their property,” Montreal police said in a statement.

The properties involved in the alleged fraud were located in several Quebec communities, including Dollard-des-Ormeaux in Montreal’s West Island, Longueuil, L’Épiphanie, Sorel, Lambton and Sainte-Praxède in the Eastern Townships.

Barchichat appeared in court Thursday afternoon by videoconference and faces charges of fraud over $5,000, using forged documents and conspiracy. The three other suspects were released on conditions and are expected to appear in court at a later date.

Police also allege that Barchichat was involved in a separate fraud scheme involving long-term vehicle leases. Investigators claim he used stolen identities to obtain lease agreements from a car dealership in the Montérégie region.

Victims reportedly only discovered the extent of the fraud after being contacted by credit card companies regarding unpaid debts.

Police Urge Vigilance

Montreal police are reminding residents to exercise caution when approached with offers to solve financial difficulties.

Authorities recommend:

• Being wary of individuals offering quick or unusually attractive financial solutions.

• Consulting trusted family members, friends or professionals before signing documents.

• Taking time to fully understand any legal agreements.

• Conducting thorough background checks before doing business with unfamiliar individuals.

Anyone who believes they may have been a victim of fraud is encouraged to contact their local police station. Anonymous tips can also be submitted to Info-Crime Montréal at 514-393-1133.

Source: The Canadian Press