JEDDAH, 18 June 2006 — Police are currently looking for a Jeddah-based property agent who cheated several people of a total sum of SR3 million, Al-Watan reported yesterday.

The real estate agent, who advertised in newspapers about his real estate service to help people pay for their ideal homes in easy installments, reportedly collected SR3 million, from nine Saudi buyers to pay to nine villa owners.

After signing the papers, the property agent cheated the sellers of the villas by giving them bad checks which were discovered only several days after the buyers had occupied the villas.

The buyers had to seek the help of the agent not only because they could not make a down payment of the full amount, but because the villa owners insisted on dealing with the buyers through an accredited real estate agent.

As they were given bad checks, the sellers or the original owners say that the deals are invalid and hence the buyers should hand back the buildings. On the other hand, the buyers argue that they are the real owners of the villas as they have paid the stipulated first installment and the documents of ownership transfer have been signed.

The buyers also argue that they cannot be held responsible for the bad checks because it is a case of breach of trust between agent and sellers. Following complaints, the police are looking for the man who cheated both the parties.

Makki Al-Sawwaf, a victim, refuses to hand back the villa he bought from its woman owner who demands her building back. Al-Sawwaf argues that he is not legally or morally bound to leave the house because it is presently his property. He paid SR200,000 in liquid cash as the first installment of the price to the real estate firm which is the middle man in the deal, Al-Sawwaf said.

The deal was finalized in a court from which the check was handed over to the owner. According to the terms of the sale agreement, he is entitled to occupy the house after the payment of the first installment. He is also prepared to pay the monthly installment of SR7,583 according to the contract.

Al-Sawwaf also wonders why the real estate agent who has been given a license to operate while his company’s capital is stated as SR25,000 in the registration certificate. Such companies should have a capital several times as much.

Umm Luay, wife of another buyer, said her husband was jailed for three days because the real estate agent paid the original villa owner with a bad check. She said the police wanted her husband to sign a document relinquishing his right to the house.

Haifa Atiq said the agent had attempted to sell the same property that she bought to some other buyers as well. They are also now seeking the help of the law to get their money back.

The agent’s victims also included a military officer, Col. Jarallah Al-Zahrani. When he approached the owner of the villa with the intention of dealing with him directly, the latter insisted on working through an agent and thus he fell into the hands of the agent and paid him SR350,000 as the first installment of his purchase.

The employees at the upmarket real estate office on Tahlia Street said they were unable to contact their boss as he had not given them any contact number.