Joe Cole Hua Hin property ploy cost us a fortune

[buksida]

Investors rage as firm goes bust

England footballer Joe Cole is at the centre of a bitter property row after a luxury apartment complex he promoted was NEVER even built.

And furious investors, who ploughed more than £1million into Thailand's Hua Hin Country Club on hearing Cole was to be its first celebrity resident, are now demanding their money back.

The Chelsea ace appeared in promotional literature, on posters and Thai TV in June 2007.

He even met some of the potential investors for the project that included penthouse apartments, a pool and 18-hole golf course.

But almost two years after the project was launched, not a single brick has been laid - because the firm appears to have gone bust.

A source who worked on the project said: "At present, it's just an empty field. A lot of people have been misled." And Julie Young, 50, from Skegness, Lincs, who invested £54,000, said: "The pictures on the website show a building site with the shell of an apartment block.

It looks like the project is well on its way - but it's a complete lie." The country club was a £6million venture of the Lersuang Group, a Thai property developer with offices in Bangkok and Phuket. To attract buyers, Lersuang reps approached Cole, who is a shrewd property investor.

They spoke with Cole's property agent Ross Taylor, who brokered a deal by which the star would promote it allegedly in return for a penthouse apartment worth £250,000.

And in an interview for the club's website, Cole, 27, told potential buyers: "I'm 100 per cent sure I've made the right decision." But for the 30 or so investors who followed Cole's advice, things have fallen apart.

German buyer Carmen Blomenthal, who paid out £10,000, said: "Joe Cole trusted this company, so I was inclined to trust them." She added: "My lawyer found out that Lersuang declared bankruptcy in August 2008. I'm doubtful I will get my money back." Mr Taylor said he believed "a Thai businessman was working on a rescue plan".

But despite leaving messages, the Mirror could not get a response from Lersuang.

Yesterday, a spokesman for Cole said: "Joe is upset to learn that people have lost out financially. He invested in good faith."

Source: The Mirror

[charlesh]

Il caveat emptor!!
Who in their right mind would buy something that an English soccer player recommends has to be a bit suss!
I guess the empty playing field is symbolic!!

[huahinsimon]

Il caveat emptor!!
Who in their right mind would buy something that an English soccer player recommends has to be a bit suss!
I guess the empty playing field is symbolic!!

For X sake, Dont be so hard on these people. Where was Thai authority when all the various scams were going down? Farangs cant sell property but they were allowed to, even allowed to set up Property shops. There were articles printed in HHToday about how a new Immigration officer was going to have his men visit EVERY property business to see if laws were being followed--work permits, etc. nothing ever done and the scams went on. If local authorities enforced Thai law, THERE WOULD BE NO SCAMS.

Anyone else been caught in a scam?

[Super Joe]

Where was Thai authority when all the various scams were going down? Farangs cant sell property but they were allowed to, even allowed to set up Property shops.

Hi HHS, sorry but your info is not quite correct. Foreign individuals can set up or work in property shops, it is Foreign companies that can not under the FBA (without first obtaining the relevant licences.) The property shops here are not owned by Foreign companies but Thai Limited Companies, granted by the Ministry of Commerce despite the 'shareholder' issue.

There were articles printed in HHToday about how a new Immigration officer was going to have his men visit EVERY property business to see if laws were being followed--work permits, etc

Many of the property shops have had either 1 or 2 Immigration visits since I've been involved with them, you'll find the main agents in town do have work permits and all the correct paperwork, I know this for a fact from my dealings with them. I don't know some of the smaller ones, so can't comment on them.

Anyway that's all a bit of a side issue for these unfortunate people, I'd be interested to see how many buyers got Joe Cole's autograph compared to how many got the developers bankers references and escrow account details
Don't know the details, and don't want to, but it may have been the unforseen speed and severity that the global recession hit that affected the project. Personally I wouldn't touch anything that was not well under way construction-wise and with sufficient finances in place.

SJ

[buksida]

There were articles printed in HHToday about how a new Immigration officer was going to have his men visit EVERY property business to see if laws were being followed--work permits, etc.

This is the paper owned by an ... um ... er ... property developer.

Bet that office didn't get a visit.

[STEVE G]

This article about the dire state of the Phuket property market also mentions the Lersuang group:

Lersuang Group idled three large developments after it ran into financial trouble. Other projects are going slowly, with delays of at least six months at Jumeirah Private Island and at the Yamu, a development designed by Philippe Starck. Both sit off Phuket’s east coast.
http://www.nytimes.com/2009/04/29/busin ... ref=global

[JimmyGreaves]

There were articles printed in HHToday about how a new Immigration officer was going to have his men visit EVERY property business to see if laws were being followed--work permits, etc.

This is the paper owned by an ... um ... er ... property developer.

Bet that office didn't get a visit.

Yes there seems to be many promises and great ideas about to happen from the HHToday rag but non of them come to fruition. Maybe it's just a scam to give the short time visitors confidence in what there reading while the long stayers have to just take it with a pinch of salt. It's like a wild west show sometimes here!

[johnnyk]

Note that Mr. Cole did not actually put up 1p out of his pocket.

[margaretcarnes]

Right JohnnyK - Joe Cole has maybe been taken in just as much as potential buyers, despite having people to check things out. And who can really blame him for accepting such an offer?
Unfortunately what he DOES stand to lose is credibility.
It's not a surprising story. What is surprising is how buyers can still enter into deals like this without apparently even going to visit the 'developments' for themselves. Looked good on a website eh? Gimme strength!

[Wanderlust]

From what i have heard there have been strenuous efforts made, possibly still ongoing, to either offer the people who invested money an alternative development in Thailand, or for them to be paid back the money as soon as possible. I don't think any deception was intended, and as was said earlier this group were caught out by the sudden recession, probably having invested money in other land and projects, as developers are wont to do. I think there have been far bigger scams that have been carried out here, but none of them had the necessary celebrity attached to them to make it newsworthy. As has also been said already, to invest money in a project when you haven't even been to visit the site and based on a website is stupid, and to follow that by not insisting on money being held in escrow just because a footballer is promoting it is stupid beyond belief. A fool and their money are quickly parted...

[eagle eye]

***Post deleted by moderators.***

eagle eye,
Your post has been deleted because it breaks forum rules. It has nothing to do with the current discussion and is an attempt at flaming another poster from a thread that has already been locked. This is your final warning - any further posts such as this will mean you will be banned from this forum.

[huahinsimon]

Where was Thai authority when all the various scams were going down? Farangs cant sell property but they were allowed to, even allowed to set up Property shops.

Hi HHS, sorry but your info is not quite correct. Foreign individuals can set up or work in property shops,
**********
you are correct on property shops and work. BUT am I correct that farangs not allowed to SELL PROPERTY?.
********


Anyway that's all a bit of a side issue for these unfortunate people,
********
I THInK ITS THE main issue. NO ENGLISH SALESMEN WITH JOE COLE TO HELP PROBABLY FEWER SALES. YOU KNEW THEM DIDN'T YOU? I DID, THEY DAVE ME A PRESENTATION AND A DANDY IT WAS.

Don't know the details, and don't want to,

*****
EASY WAY OUT, THE DEVIL IS IN THE DETAILS

*****
but it may have been the unforseen speed and severity that the global recession hit that affected the project.

*****

MAYBE AND MAYBE IT WAS A PYRAMIDE SCHEME that eventually ran out of time and other peoples money as they all eventually do. We were sold two times by Farangs as were almost all others in the projects.
SJ

[Super Joe]

you are correct on property shops and work. BUT am I correct that farangs not allowed to SELL PROPERTY?.

No, you are not correct. You are also not clarifying under what circumstances you are talking about.

MAYBE AND MAYBE IT WAS A PYRAMIDE SCHEME that eventually ran out of time and other peoples money as they all eventually do.

That's why anyone with a bit of sense would only put their hard earned money into a project well under way, or something they can feel and touch, or if they are not available a project with an Escrow scheme. As WL said ..... A fool ........

SJ

[loverboy44]

I have a friend who invested money into this development. It started 2006 and he bought into this in 2007. So that time was not the recession time. I told him many times not to do it because one could smell it is cheating time. He met Joe Cole while he played golf and was like a kid afterwards.
This was cheating big time.
Noone should tell me that this deveöopment was not that bad compared to others.
Noone will get money back from this.

[STEVE G]

you are correct on property shops and work. BUT am I correct that farangs not allowed to SELL PROPERTY?.

No, you are not correct. You are also not clarifying under what circumstances you are talking about.

Some should be banned under this:

Foreign Business Act
B.E. 2542

Section 16. Foreigners applying for a license shall have the following qualification and shall not have the prohibited characteristics below:

(3) Being neither incompetent nor quasi-incompetent.



Actually I believe that technically you’re not allowed to sell land as a foreigner.