In his social media movies, Anas Ayyoub has painted a rags-to-riches story by which he says he went from having to “scavenge” for cash to offer meals for his household to a life-style that now permits him to drive a Lamborghini he says is value $1.4 million.
However offline, quite a few Canadians — principally seniors — accuse Ayyoub of defrauding them, permitting him to take pleasure in that luxurious lifestyle.
They allege he’s a part of a scheme involving door-to-door gear rental contracts, questionable renovations and high-interest mortgages value a whole bunch of hundreds of {dollars} that many householders did not know that they had and might’t afford.
- You possibly can watch the complete investigation, Housing Heist II, Friday, Nov. 24, at 8 p.m., 8:30 in Newfoundland, on CBC-TV and anytime on YouTube or CBC Gem.
CBC’s Market reported on the scheme again in March, and since then, the Ontario Provincial Police (OPP) executed a search warrant at Ayyoub’s dwelling in Mississauga, which included seizing that Lamborghini earlier this 12 months. Ayyoub hasn’t been charged.
Lawyer Greg Weedon represents most of the alleged victims and says that as far he is aware of, regardless of the search warrant, Ayyoub is not in Canada.
“The truth that he was capable of get overseas with all these victims’ … funds, on the finish of the day, it’s only a full failure,” mentioned Weedon.
In a press release offered to Market by means of his lawyer, Ayyoub notes that he continues to be a Canadian resident. He says he has “at all times performed his enterprise dealings lawfully and in accordance with the recommendation and steerage of senior counsel and consultants.”
Ayyoub’s social media pages have been personal following Market‘s outreach to him.
In a press release to Marketplace, an OPP spokesperson mentioned because of the ongoing prison investigation, the Severe Fraud Workplace can’t present particular particulars relating to this case. They added they’re working with victims to make sure their wants and rights are a precedence and that “enhancing consciousness and schooling on this fraud is paramount to stop or restrict additional victimization”.
Since Market‘s investigation aired, skilled self-discipline has been initiated towards two legal professionals and a mortgage brokerage related to a few of the instances.
WATCH | Market’s March 2023 investigation into mortgage fraud:
Featured VideoIt began with a knock on the door, however turned a high-interest mortgage that 79-year previous Karl Hoffmann’s household says he by no means requested for or understood.
However within the meantime, a number of householders may face foreclosures, together with Sherri Clarke, who says she solely realized she had been scammed after watching Market‘s investigation final March and considering that “sounds lots like what simply occurred to me.”
Affords of debt assist
Every state of affairs is exclusive, however many appear to comply with a sample the place householders — often seniors — who’ve beforehand been duped into numerous door-to-door HVAC gear rental contracts are once more approached at dwelling by individuals who say they may also help the home-owner consolidate their debt.
In some instances, the householders are informed they’re eligible to obtain a reimbursement in the event that they purchase extra gear or have renovations performed on their houses. In actuality, their house is used as collateral and they’re allegedly tricked into signing mortgage papers that many say they didn’t need, or perceive.
Sherri Clarke emailed Market writing “I’ve been the sufferer of fraud.”
Clarke lives with a number of sclerosis and beforehand obtained renovations from the charity March of Dimes Canada to make her dwelling accessible and secure. So when she bought a cellphone name from somebody final November providing free work, it appeared regular to her.
It seems the work wasn’t free. Clarke ended up paying $192,500 for renovations to her dwelling. She says she had been assured the work was not going to price her something. “I used to be signing papers as we had been going alongside, however I believed it was simply papers to offer the contractors permission to go forward and do the work.”
Not solely was Clarke charged for the renovations, she says a lot of the work by no means occurred.
The corporate behind the financing for Clarke’s renovations is Different Finance Group (AFG). The only director of that firm is Anas Ayyoub.
AFG charged Clarke for the work utilizing a authorized software to put a monetary declare towards her dwelling in Ontario — it is referred to as a Discover of Safety Curiosity (NOSI). A NOSI may be registered on the title of a property by firms after they finance or lease gear on a property as a type of assurance that the contract will probably be paid.
Just like liens, NOSIs often keep connected to the property till the contracts come to an finish or are paid off.
Requires elimination of NOSIs
Owners is probably not conscious that they’ve NOSIs registered on their houses. In some instances, they could be charged massive charges to have them eliminated.
The NOSIs on Clarke’s property from AFG had been paid for by means of a $570,000 mortgage taken out on her property by one other firm, not AFG. The mortgage has a 12.99 per cent rate of interest.
Clarke acknowledges that she signed that mortgage, however says she was informed she’d by no means should pay. She says she was informed signing the paperwork was “simply to make the legal professionals comfortable.”
Clarke’s lawyer, Greg Weedon, desires the Ontario authorities to do away with NOSIs.
“They’re fully ineffective,” mentioned Weedon. “They’re solely getting used for a lot of these conditions for these fraudulent schemes. There is not any professional purpose that these even to exist right now.”
In October 2023, the Ontario authorities introduced it’s in search of public enter on methods to handle and “cut back the dangerous and inappropriate use of Notices of Safety Curiosity (NOSIs) towards unsuspecting shoppers.”
Suspicious mortgages
In its authentic investigation, Market spoke to a number of householders who say they had been misled into high-interest mortgages of 25 per cent curiosity and located there are a number of firms offering companies and knocking on doorways and a number of lenders on the mortgage paperwork.
Whereas not concerned in each mortgage Market reviewed, one lender got here up persistently within the analysis — Canada’s Alternative Investments (CCI).
The only director of that firm is Anas Ayyoub.
On the time, by means of his lawyer, Ayyoub denied all allegations and mentioned his firm has no connection to any door-to-door scheme. He mentioned the mortgages had been signed voluntarily. The corporate additionally mentioned that it might be a sufferer of a concerted group of seniors who’re refusing to pay again their loans.
For many mortgage transactions, there’s additionally a lawyer representing the borrower’s curiosity.
Market is conscious of 4 seniors with CCI mortgages with 25 per cent rates of interest who had been represented by Anant Jain and his agency, and who’ve named Jain of their lawsuits. All allege skilled negligence.
In statements of defence, Jain denies wrongdoing, saying his shoppers understood the paperwork, and that he acted diligently and in good religion.
In October 2023, the Legislation Society of Ontario suspended Jain’s licence whereas they examine mortgage fraud schemes, saying “there may be critical danger of hurt to the general public curiosity.”
Jain’s lawyer representing him on the regulation society informed Market in a press release that there was no admission or discovering of wrongdoing and that Jain is co-operating with the investigations and can proceed to take action.
Brokerage licences in danger
Paperwork present three seniors with mortgages related to CCI who Market spoke to handled a typical brokerage: Centum Mortgage Sensible Inc., whose registered head workplace was listed in Brampton, Ont.
Centum Monetary Group, the nationwide mortgage community, terminated its relationship with Centum Mortgage Sensible, its licensee, earlier this 12 months. In an e mail to Market on the time, Centum Monetary Group mentioned it was “deeply involved” in regards to the state of affairs and famous that licensees are independently owned and operated by a licensed dealer.
In October 2023, the Monetary Providers Regulatory Authority of Ontario (FSRA) initiated enforcement motion towards Mortgage Sensible. The FSRA is proposing to revoke or refuse to resume licences for the brokerage and three of its affiliated staff, in addition to problem fines. The brokerage and staff have requested a listening to earlier than the FSRA tribunal about this proposal.
In a press release to Market, Mortgage Sensible alleges it was victimized in what it calls a “predatory lending fraud” and that it believes the brokerage was used “to shift blame.” The brokerage says its sympathies are with the shoppers and their households.
There isn’t a indication that both Jain or Mortgage Sensible labored on Clarke’s case.
With recordsdata from Caitlin Taylor and Katie Swyers
