(Source: National Federation of Property Professionals)
Many of you will be aware through other news media that an estate agent in Warley, West Midlands has been prosecuted for falsely claiming membership of a number of organisations which included ARLA.
The NfoPP Regulation Department co-operated closely with Trading Standards Officers from Sandwell Council Trading Standards as one of their aims is to maintain standards expected from the membership. Clearly, ensuring that only members of the relevant NFoPP Divisions can claim membership ensures that the good name of the Divisions is not affected by agents operating outside of our regulatory regime.
The full text of the press release is given below:
Letting agent fined for making false claims
A West Bromwich letting agent has been fined £3,120 and ordered to pay £3,417.53 in costs for fraudulently making false claims about his business.
The matter came to light following a complaint made to Sandwell Council’s Trading Standards Service. At Warley magistrates Amerjit Singh Dhuga, trading as wli.uk.com based at 101 High Street, West Bromwich, pleaded guilty to 26 offences including three under the Fraud Act for fraudulently making false claims about his business.
Dhuga admitted making the false claims concerning his business in that wli.uk.com was a member of the Property Ombudsman lettings and sales schemes, the OFT approved code, the Propertymark scheme, Midland Landlord Accreditation Scheme, the Association of Residential Letting Agents and the statement "2010 Independent Award Winning Accredited Agency".
The court heard that these claims were made on his website and on his business premises between January 15, and April 12, last year.
Investigations revealed that despite previously being warned by the Property Ombudsman about the use of unauthorised claims, Dhuga continued to make the misleading claims.
Cllr Derek Rowley, Sandwell Council’s cabinet member for safer neighbourhoods, said: "I would like to congratulate Trading Standards for obtaining a successful criminal conviction against this individual. "I am aware that the defendant had been quite abusive to council officers. "I hope this conviction will send out a strong message to other traders that illegal trading practices will not be tolerated. "Making fraudulent claims as to the quality of the service and the financial protection afforded to them is misleading to the public. It is also gaining an unfair competitive advantage over honest and decent traders who are complying with the law," he added.
Comment by Jim Mitchell Belvoir Loughborough: I welcome effective action being taken against agents falsely claiming membership of these schemes. The reassurances offered by these schemes is important to landlords and tenants and there are stringent conditions covering who can or cannot be a member. I would recommend landlords and tenants check their agents claims.
Belvoir Loughborough are currently accredited members of more than one professional body including The Association of Residential Lettings Agents (ARLA), The Property Ombudsman (TPO) and The Propertymark Scheme (Propertymark). We are also an appointed representative (under Financial Services Authority) of BPM (UK) Ltd for the sale of insurance products.
