Kelowna couple faces 81 charges in connection to $7.8M fraud investigation
A Kelowna couple is facing more than 80 charges in connection to a real estate scheme investigation and is alleged to have defrauded investors in Alberta, British Columbia, the US, and Australia out of $7.8 million.
Police say they began looking at the operators of a company out of Kelowna called Group Venture Inc. over suspicions that a couple was taking part in a real estate “flip” by offering securities in the form of promissory notes to guarantee investors a set return on their investment.
It is believed to have been ongoing between October 2008 and December 2020, according to police, and there may be more victims.
- You might also like:
- Rental housing tower approval rescinded after developer paid supporters in public hearing
- A Canadian money laundering organization tied to real estate has been dismantled
- Opinion: Is Vancouver planning for a no-kid city?
“Ponzi schemes work on the premise of providing initial financial gain,” said Det. Linda Herczeg of the EPS Financial Crimes Section.
In Ponzi schemes, initial investors will receive a full investment return. The fraudster then aims to convince more investors by using those individuals as references.
Curtis Gordon Quigley, 56, and Kathleen Treadgold, 56, turned themselves in to the Edmonton Police Service (EPS) on Wednesday in connection to the investigation.
They were jointly charged with fraud over $5,000 and one count of laundering proceeds of crime.
The release also gives some tips for safe investing:
- Investment opportunities should always provide some form of verification. For example, an investment involving the purchase of real estate should provide a real estate listing and land title. Land titles are also publicly available online.
- Prospective investors should also research the company to confirm that it is a legal entity by:
- Checking with the Better Business Bureau
- Doing a corporate search to see if the business is a legally registered entity
- Doing a Google search to see if the company comes up or if there is any conflicting information about the company.
- When buying securities, always check with the Alberta Securities Commission (or your respective provincial regulatory body) to determine whether the seller is registered to sell securities.
Investigators urge other people affected by the fraud to come forward and contact the police. You can report to the EPS at 780-423-4567 or Crime Stoppers at 1-800-222-8477.
Follow Channels and Categories