White-collar criminals are employing a variety of schemes in New York City to snatch properties from their owners. Often, they use the secrecy afforded to shell companies to rent out vacated properties until they are caught or sell them to third parties.
1. What are some of the signs of forgery on the fraudulent deeds?
2. What types of red flags should homeowners be aware of to prevent deed theft?
3. What role does an LLC provide in these schemes? Discuss.
4. What are the requirements of proposed deed theft legislation? Can you think of any other internal control measures that might help prevent deed theft?
5. Although this article is about shell companies in New York City, is this happening in other locations and, if so, where?
Saul, S. (2015). Real Estate Shell Companies Scheme to Defraud Owners out of their Homes. The New York Times, Nov. 7 (Retrievable online at http://www.nytimes.com/2015/11/08/nyregion/real-estate-shell-companies-scheme-to-defraud-owners-out-of-their-homes.html)