Aussie investors complain of fraud

Panca Nugraha ,  The Jakarta Post ,  Mataram   |  Fri, 11/28/2008 10:51 AM  |  The Archipelago

An Australian couple who had intended to develop a resort in West Lombok, West Nusa Tenggara, have been allegedly cheated out of Rp 4.2 billion (approximately US$380,000) by a local real estate agent.

Accompanied by their lawyer, Taufik Budiman, Paul Frederick Robson, 54, and Deborah Cynthia Strock, 52, lodged a report at the provincial police headquarters, hoping police would be able to resolve the case.

Taufik told reporters that his clients had bought 22 plots of land in Sekotong, West Lombok, with the intention of building a resort.

The land transaction was made through real estate agency PT TAP Mataram and the couple had transferred the money to its director, identified by the initials IBW, 36.

The couple had received land sale documents, issued by a notary public, from IBW, but when construction work was to begin, the pair became aware that the plots of land were still owned by local residents and had never been acquired by PT TAP.

"Our clients have paid PT TAP Rp 4.2 billion for the purchase of a total of 22 plots of land, but the locations were fraudulent as they are still owned by the villagers and could not be utilized," Taufik said.

Taufik's office filed a police report against the director of PT TAP, under the name of Deborah Cynthia Strock, at the end of September.

Taufik said his clients had been registered as foreign investors and held an investment license issued by the Investment Coordinating Board (BKPM), signed by deputy of investment services Achmadi Kurniadi, dated May 30, 2008.

Based on the document, PT Sea Shanty, owned by the Australians, would build 20 cottages in West Lombok's Sekotong resort area; an investment valued at $1 million.

"However, the project has stalled due to the sham. We hope police will be serious in handling the case because we have already been dealing with them for quite a long time," he said.

Besides Paul and Deborah Robson, PT TAP has also allegedly cheated another Australian investor, Anthony Stephen Hodgkinson, 50, through the same modus operandi.

Hodgkinson bought plots of property in seven locations in Sekotong, valued at Rp 2.4 billion, through PT TAP, but they too turned out to be fraudulent.

"We only realized it when we were driven out by the land owners when we were about to start construction. They said they had never sold the land to anyone. We also reported it to the police in August, but have not received a response as of now," said Guntur, an employee of PT Sunset Beach Villa, owned by Hodgkinson.

According to Guntur, investors placed their trust in PT TAP because it had been recommended by the provincial BKPM and West Lombok regent.

The Australian investors, alongside Taufik, went to the police headquarters to inquire about further developments on the cases on Wednesday. They gave testimony to investigators, but police have yet to name a suspect.

Meanwhile on Thursday, West Nusa Tenggara Police spokesman Comr. Tribudi Pangastuti verified that police had received the complaints from the Australians.

According to him, detectives are still investigating the cases and have gathered testimony from a number of witnesses.

"We certainly follow up every report we receive and hope the public can trust us. Investigations of the cases are still underway," Tribudi said.

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