ASIC and the ACCC are responsible for investigating scams and pursuing legal action against perpetrators in Australia. Two recent prosecutions have been made in relation to property-based scams:
Case 11-195AD – WA director sentenced to three years jail
Mark Goldenberg was sentenced to three years in prison at the Perth District Court in September 2011, after pleading guilty to 39 counts of breaching his duties as a director of Mortimer Close Pty Ltd. ASIC alleged that Mr Goldenberg transferred $1.5 million of investors’ money out of Mortimer Close for his own personal benefit. Investments in Mortimer Close were intended to be used for a land development in Wellard, south of Perth, but the development never took place. A reparation order of $1.7 million was also made against Mr Goldenberg. The 10 investors that lost their money have not been paid any reparations.
Case 11-290AD Ocean Keys director charged with stealing
Former director of Ocean Key Holdings (Ltd) Mr Neil Duckworth appeared in the Perth Magistrates Court in December 2011, on 22 charges of stealing following an ASIC investigation. ASIC alleged Mr Duckworth used $835,000 of company money for personal and unrelated expenses on October 2007. The money was originally invested for the purpose of the subdivision and sale of land purchased by the company near Lancelin, north of Perth. According to ASIC, the land was never subdivided and no substantial progress was ever made on the project.
