Register now for Fin24 Dashboard and get access to portfolios, watchlists, financial comparison tools, and a whole lot more to help you achieve your financial goals.

Data provided by McGregor BFA
All data is delayed
Loading...
Where am I? Home
 
Prices are delayed by 15min.
Join the Fin24.com conversation about JSE-listed stock by using every time you tweet.

New property scam descends on SA

Jun 06 2010 09:45 Elma Kloppers

Related Articles

'No easy money in property'

'Estate agents focus on rich, foreigners'

Golf estates under pressure

Gautrain to boost property prices

SA 'obsessed' about property

Fund aims to double black ownership

 

Top Stories

Cell C move sparks price war

May 27 2012 11:21

There's a price war raging between South Africa's cellphone networks after Cell C lowered the rates of its prepaid calls by more than 34%.

MyCiti buses running at a loss

May 28 2012 07:53

The City of Cape Town has spent R175m running the Myciti bus service since the Soccer World Cup compared to an income of R35m, a report says.

Another golf estate victim

May 27 2012 13:09

The oversupply of golf estates has claimed another victim.

 
Share Share line Print

Johannesburg - More than 4 000 home buyers, some of whom are already paying off bonds, are now homeless owing to a massive property scandal involving millions.

The buyers are waiting in vain for the completion of their houses in new residential developments while the developer blithely continues to announce one new development after another.

The developer is Donovan Atkins, who trades in the name of Theos Projects – and a whole series of subsidiary businesses.

Some buyers have already taken transfer of their properties and are paying off bonds granted by South Africa’s big four banks. Yet there is no sign of houses being built or buyers' homes having been completed.

At two of the projects where construction was started, it came to a halt because development company Theos Projects had not paid the contractor.

Not all funds granted for the construction of houses have been used for the building projects.

Sake24 is aware of at least 10 developments in the country where more than 4 000 properties were marketed and sold by Theos Projects and some of its subsidiaries.

The transactions involved buyers buying a stand, together with a construction package for building a house. Stands began at R265 000 and building prices at R249 900.

Meanwhile, only 42 houses have been completed.

The developments include Heritage Manor (Krugersdorp), Sagewood Manor (Midrand), Misty Hills (Bronkhorstspruit), Heatherview (Pretoria North), Sekelbos (Brits), Eastwood (Springs), Nonyana (Vaal River) and Bridgemead (Port Elizabeth).

An analysis of the company shows that throughout South Africa, Theos Projects has 21 ventures with a total value of R8.8bn, and future projects valued at R22bn for 2008 to 2010.

One of the company’s subsidiaries, Red Coral Investments 13, has already been liquidated and a second, Red Coral Investments 37, has been placed in provisional liquidation.

 - Sake24

 
 
Comment on this story
46 comments
Add your comment
Comment 0 characters remaining
It pays to know the cost and what you’re getting in return
May 28 2012 09:33

Investors may not have a clue what they’re paying their money managers or they type of service they’re getting, or, whether they can actually negotiate lower fees. (Reuters)

Sasha

"In the short term this is true, Greece will dominate the headlines on a day to day basis, until their next elections when there would be some clarity to answer the question, "What next for Greece?" Amazingly everyone except the politicians seem to be lining themselves up for worst case scenario, b... Read their blog...

Recently updated
Podcasts
The Sishen saga

Legal expert Peter Leon on the increasingly complex legal wrangle over the Sishen Iron Ore mine. Time: 8:17 Listen Here...

Before you list

Is the clarion call of the JSE calling? Listen to Fin24’s expert panel discussion before you list your small business. Time: 17:29

Compare and Buy

Compare and apply for hundreds of financial products from many suppliers.

Credit cards Medical aid Current accounts Think Money

Money Clinic

Money Clinic Do you have a question about your finances? We'll get an expert opinion.
Click here...

Loading...