New York Attorney General warns Dominicans of real estate scam targeting community

NEW YORK – New York Attorney General Letitia James and speaker Adriano Espaillat called on Dominicans on Tuesday because of real estate scams where the victims are from this community.

The warning comes after Dominican Republic prosecutors charged a businessman with defrauding nearly 150 people in the Dominican Republic and the United States, including about 24 New Yorkers, with fake real estate listings.

Emmanuel Rivera Ledesma was recently arrested for conducting a scheme through his company, InDisArq, which defrauded each victim out of thousands of dollars, the Prosecutor’s Office said. Rivera Ledesma targeted Dominicans living in the United States with ads for properties that didn’t exist or were sold to multiple buyers, and collected millions of dollars in deposits, the Prosecutor’s Office said.

Both James and Espaillat have received numerous complaints from New Yorkers and out-of-state victims about this scam in recent months. People who believe they may have been victims of Ledesma’s scheme can file a complaint complaints to the New York Attorney’s Office here. These will be sent to the legal authorities of the Dominican Republic.

“New Yorkers should always be suspicious of speculative real estate deals in which they are asked to buy properties that have never been seen,” said Attorney General James. “Purchasing real estate overseas can be complex and expensive, and people should be careful to make sure they are working with legitimate brokers. I thank Congressman Espaillat for contacting my office about this issue and I am proud to to work with him to ensure that the victims of this scam get justice. “I encourage anyone who may have been a victim of a real estate scam or fraud to report it to my office.”

How the scam worked

Dominican prosecutors claim that Rivera Ledesma ran a scheme in which he advertised real estate investments in Santo Domingo specifically for Dominicans living in the United States. Rivera Ledesma collected millions of dollars in investments for properties he was not supposed to build or were sold at the same time to multiple buyers. When he didn’t deliver, Rivera Ledesma tried to scare his clients into staying quiet.

“As public servants, we work hard to ensure that residents are not victims of scams and other fraudulent practices, and our offices have acted once we have been informed of inappropriate activities Rivera Ledesma through his company, InDisArq,” said spokesperson Espaillat.

What are the tips to avoid falling into a real estate scam?

• Take basic steps to get to know the company or person offering a real estate investment opportunity before investing or signing any contracts or agreements.
• Maintain all communications, documents and financial records related to the transaction and real estate investment opportunity.
• If possible, do not fund any part of the transaction with a money transfer.
• If things seem bad or too good to be true, trust your instincts and think twice before investing.

How do I report a scam if I am a victim?

New Yorkers who want to report a real estate scam should contact local authorities or file a complaint with the Prosecutor’s Office of Consumer Fraud here or by calling 800-771-7755.