Make Money on Section 8 Housing in Chicago WTF! UK Telegraph News story by Andrew Penman: Getting a miserable interest rate on your savings? Fancy earning 12% instead? That’s the promise made by Colonial Capital Group PLC, which says you can get that juicy return if you invest £10,000 in their US property bonds. The idea is that they buy repossessed houses in Chicago, refurbish them, and get rent paid by the US government which rents the properties out to people in welfare programs, Section 8 housing. Posing as a potential investor, I went to the Property Investor and Homebuyer Show at Excel in London, where I found the Colonial Capital Group stand and asked if they were regulated by the Financial Conduct Authority. This would give some protection if the investment goes pear-shaped.
“It’s what’s called an alternative investment,” said account manager Jonathan Parslow. “If we went regulated then the problem is that the minimum investment would jump significantly. “Don’t ask me for the exact amount. You’d probably need a minimum of £60,000, £70,000, £80,000 to be regulated.” This is rubbish. There is no minimum payment that an investment scheme needs before it can be regulated. According to his LinkedIn account, Parslow formerly worked at unregulated £300million investment disaster Harlequin Property which promised income from properties in the Caribbean. Only a fraction have been built and the Serious Fraud Office is investigating. Harlequin was run by a former bankrupt from Basildon, Essex, David Ames. In March this year Matthew Ames, his 38-year-old son, was jailed for 40 months for a fraud called Forestry for Life that cheated ethical investors out of £1.6million. One of his colleagues was 52-year-old Kevin Neil of Chelmsford, Essex. Back in 2010, Neil’s property investment firms Agri Ventura PLC and Farm Venture Ltd were shut down in the High Court in the public interest. Which brings us full circle, because Kevin Neil is now Parslow’s boss, being a director of Colonial Capital Group. He wouldn’t talk to me, so I asked an independent expert to evaluate its investment scheme.
Apart from pointing out the danger of an unregulated scheme in Chicago, Tom McPhail of investment giant Hargreaves Lansdown warned: “Anyone offering a 12% net return should be viewed with suspicion. The higher the promised return, the higher the risk. “The scheme is built on US government spending on Section 8 Housing in Chicago, does that strike you as a reliable income stream?” SEE http://www.mirror.co.uk/news/uk-news/colonial-capital-group-4446436
In the Cabrini Section 8 Green Row-Houses however, only 146 units were rehabbed in 2009, leaving 438 units in disrepair, with a great majority left vacant, only to be taken over by drug dealers. Only 33 of those are currently occupied, “creating a 92% vacancy rate,” according to the CHA, which announced late last week that it will not continue rehabilitation and will instead boot out the remaining public housing tenants in the non-rehabbed section of the row houses. CHA claimed that “persistent criminal activity” in the area “forces” them to make the tenants relocate elsewhere.
This ridiculous investment scheme offered by Colonial Capital Group PLC in the UK to buy repossessed houses in Chicago, refurbish them, and get rent paid by the US government who would rent the properties out to people in the Section 8 housing welfare program is destined to fail in my opinion. How can you make money on Section 8 housing when you own the property and are expected to make extensive repairs and upkeep over the years as mandated by the Federal Govt, who is your customer and who pays the rent, when the tenants could care less as they make drug deals and shoot each other, get real. Colonial Capital Group PLC appears to have an office in Chicago and elsewhere in the USA. A fool and his money are soon parted.
Colonial Capital Group PLC was registered on 04 Feb 2014 with its registered office in Essex UK. It was founded by Mr Kevin Anthony Neil and Mr Peter Shuttleworth. Prior to taking on Colonial Capital Group PLC, Kevin Neil was a Director at dissolved ‘Forestry Partners Public Limited Co‘ from February 2006 to January 2011. Kevin Neil was also Director at Agri Ventura PLC and Farm Venture Ltd.
Barbados Free Press…Last March saw Harlequin’s Matthew Ames jailed for 40 months for his Forestry for Life fraud that took £1.6million from investors. Ames stole from the rich, from the poor, from widows and pipefitters. One of Matt Ames’ colleagues at Forestry for Life was Kevin Neil – then on the rebound from seeing the High Court shut down his two property firms in the public interest – Agri Ventura PLC and Farm Venture Ltd. Neil was also the main figure in the CleanTech NRG financial collapse. With Matt Ames headed for jail in the United Kingdom, Mr. Neil headed for Chicago USA to pump an investment scheme based upon acquiring, renovating and renting repossessed homes to low-income (read “on the dole”) tenants under the USA’s “Section 8” housing program. (gee, what could go wrong?)
Bill Warner Private Investigator Sarasota SEX, CRIME CHEATERS & TERRORISM at http://www.wbipi.com