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Jakarta Post

Police uncover South Jakarta apartment sales fraud scheme

  • News Desk

    The Jakarta Post

Jakarta   /   Fri, August 23, 2019   /   05:38 pm
Police uncover South Jakarta apartment sales fraud scheme A business entity called PT MMS advertised the fictional apartments and up to 455 people were victimized, losing an estimated total of Rp 30 billion (US$2.1 million). (Shutterstock/-)

The Jakarta Police uncovered a scam involving the sale of fictional apartments in Ciputat, South Tangerang, Banten, and have arrested three suspects.

A business entity called PT MMS advertised the fictional apartments and up to 455 people were victimized, losing an estimated total of Rp 30 billion (US$2.1 million).

“The suspects [allegedly] offered apartments using brochures and big bonuses to lure their victims into buying and paying the down payments. Some victims have even paid fully despite the promised apartments never having been built,” Jakarta Police chief Insp. Gen. Gatot Eddy Pramono said on Thursday, Antara news agency reported.

The suspects are accused of promising the victims cars, motorcycles and vouchers to buy precious metals, or offering them apartment package deals, such as paying only Rp 525 million for three units.

Gatot said the first suspect in the case was the PT MMS president director from 2016 to 2017, identified as AS, who was also alleged to have been the apartment marketing staff member handling the sales and purchase agreements.

The second suspect is KR, the company’s president director from 2017 to 2018. The third suspect is PJ, who was allegedly tasked with overseeing AS and KR in the construction phase and receiving the down payments.

PT MMS was created in 2016, after which the suspects printed brochures for the supposed Ciputat Resort Apartments, with the cheapest unit selling at Rp 150 million.

“The victims want to have what they were promised and to ask for refunds, but when they visited the PT MMS sales office, it was empty and devoid of any activities,” Gatot said.

He said that the company had never submitted a construction permit (IMB) to the South Tangerang One-Door Integrated Service Agency.

The police have confiscated evidence such as sales receipts and money transfer receipts for down payments from the victims, brochures, apartment miniatures and a PT MMS banner.

The suspects have been charged under Article 372 and 378 of the Criminal Code (KUHP) for fraud, which carries a four-year maximum sentence upon conviction. (ami)