The Surrenda Link Mortgage Holding fell for the fake tax mitigation scheme that Charles “Charlie” Walton, based in Estepona, came up with. Just how any bank could have been so stupid to believe it is shocking but more worryingly is the fact that trusting customers, conned in the most despicable manner, have to be chasing this bank to obtain a resolution to their plight.
Below is a letter that was sent to SLMH by lawyers acting for a victim:
Dear Sirs
As you may be aware, the above customers took out a mortgage with your company between the years 2006 and 2007. The purpose of this mortgage was to reduce the taxable value of their property, with a view to pay a lesser IHT, and to create at the same time an income stream that would enable them to improve their lifestyle, given that they are all pensioners.
It is my understanding that Mr. Charles Walton, from the Premier Group, introduced this scheme in Spain some years back and convinced the SLM Group to provide the loans. This seems clear from the information below:
http://www.telegraph.co.uk/expat/4195059/How-to-make-Spanish-property-pay.html
The following also appear to be true:
- Both Premier and SLM devised, planned, promoted and sold the product to British pensioners, under the appealing name SITIRS (Spanish Investment Transfer and Income Release Scheme), on the basis of one very clear message: “reduce the value of your property or face paying a very high tax rate”. The fraudulent and misleading advertising for this artifice is undisputed.
- The product was also deceitfully sold as a means to raise cash and provide an income stream, being self-sustainable: pensioners were not required to have an income (SITIRS brochure read “there are no income proof requirements from loan providers”).
- SLM was not regulated to provide mortgage loans in Spain, as is required by any entity that wishes to professionally provide such service in Spain. The footer warning note amply inserted in promotional literature is no mitigating factor to the lack of compliance with this non-waiverable requirement. If at all, it shows that in spite of knowing the existence of certain regulatory obligations, SLMH chose to infringe them deliberately.
- SLM instructed unregulated IFA to capture clients in Spain, against mandatory regulatory provisions. Hamiltons Financial Services is one of such agents and was used as a means for SLM and Premier Group to further their business in Spain. We find the allegation that the pseudo- IFA´s were in fact hired by the customer as an excuse that deforms reality and is obviously untrue.
- SLM instructed unregulated property valuers in Spain to capture clients, against mandatory regulatory provisions. Cluttons is one of such examples.
We would like to enter into a constructive dialogue in respect of these products, with a view to terminating the contracts on grounds that they are based on an illicit cause (tax evasion proposition), sold misleadingly as being able to legally reduce IHT taxes (irrespective of whether customers could have had independent advice), sold misleadingly as a means to provide an income for the duration of the term of the loan and utterly inadequate for the customer´s profile.
Should you deem the above proposition acceptable, I am be happy to discuss the procedure to achieve the a settlement on this matter.
Yours faithfully
What you say in your letter is clear and understood from all equity release victims. Enough evidence has been posted on this web site to sink a battle ship. I hope that SLM and all the other banks/motgage lenders see this and start a dialogue to extricate themselves from what is and has been trying and stressful for all victims. In any event SLM is registered in England and it may be possible to sue in the High Court in London or report them to the new financial body that has just take over from the FSA.
Lets hope the letter does the trick and SLMH see this scheme for what it is, this being an illegal scheme. The courts in Spain or the UK will scrutinise the way both SLMH and Henry Woods coerced and treated their victims( expat pensioners) in their quest for commissions and bonuses. SLMH should be suing Henry Woods for leading them down the garden path. Then again SLMH should have investigated the law, regulations and advice given to them before embarking on their scam. It is not good enough to have a get out clause in small print at the end of their brochure.
http://uk.reuters.com/article/2013/03/14/uk-spain-banks-mortgages-idUKBRE92D0W020130314
Euan has posted the above link on the activity stream. Read it as it is a very interesting article. It has been stated that in the past the only way in which foreclosure can be stopped in Spain is to file a criminal complaint against the banks, hopefully now victims have a futher string to their bow. The question is. What are abusive mortgages? It has been suggested that unreasonable interest rates could be one. However what is more abusive than these fraudulent schemes, where banks and IFA’s (unregistered) coupled with nor registered valuation agents that have inflated the price of ones homes to make greater commissions. Hopefully lawyers acting for victims who are facing foreclosure will have kept themselves updated on erva ‘s activities and will be reading all the posts and links we have provided. Many banks have embarked on foreclosure proceedings, the most prolific of these banks being Nordea who have foreclosed on our members both in the Alicante region and on the Costa del Sol. Danske Bank or another who have had foreclosure suspended while the courts in Fuengirola are investigating criminal activites committed by the Bank & their agents. Other banks who have made threats of foreclosure are Landsbanki, Rothschild and Nycredit, to name but a few. Antonio Flores of Lawbird Legal Services, Marbella have informed erva that they have filed a number of cases in the Court of First Instance, against Nordea Bank Luxembourg as well as one in the Provincial Court, Malaga for misleading/fraudulent advertising. Court papers are currently being prepared against other banks and will soon be filed in various courts in Spain. As we know in Spain the wheels turn slowly, however 2013 should be the year where a number of cases will come to fruition with positive results. As always ERVA will, when possible keep all its members updated.
A quick search on google shows that Mr Walton is still offering advice to pensioners in Spain
http://www.goldenagedistribution.com/
Thanks Brian, what a load of “twoddle” These people never know when to give up. ERIC how laughable is that. As a matter of interest Brian any idea of the date of this advert.
It is amazing how the Daily Telegraph got it all wrong in 2005. You would have thought that they would have investigated Waltons words before printing.
Evra,
I think it is current. The guy’s Linkedin profile shows this as current.
The Etico Gold Investments seem to be from a newly registered firm according to the UK company register and this would lead me to suggest that it is current. I am assuming that this Golden Age Distribution is a distributor, given the name.
Golden Age is also listed as being on the partnership program of this federation. This seems to be quite a current website, but I cannot confirm that to be the case:-
http://www.feifa.eu/Pages/PartnershipProgramme.aspx
Thanks again Brian for you time and input. It really is important for everyone to get involved with their comments. If their are any other SLM victims out there with anything to add please get in touch. If you want to keep it confidential, as many of you do, then please go to the activities part and email erva privately, this will come direct to erva without showing on the web site.
If and when SLMH respond to this lawyers letter will the reply be made public on the ERVA site? There is a number of ERVA members that are desperate for a positive response from SLMH.
From what I understand from my solicitor SLM are refusing to acknowledge any communications. Think papers will have to be served on them in England.
We understand the same as MIke. Should a reply be received from SLM, then erva will try to post the response. However should they respond and start negotiations SLM may and probably will want to sign a confidentiality document with the lawyer concerned. If that is the case then we will not be party to that confidentiality agreement. Only the lawyer acting for the SLM clients and of course their clients will know the outcome.
Please please help or offer some assistance to us.We find ourselves after receiving a letter from SLM in a situation which is unbelievable.The amount of money SLM want from us to redeem a mortgage,which is considerably more than the value of our home is something we just simply cannot cope with !At least now with the ERVA we know we are not alone.
Gerard.