Investors Were Told Their Savings Had Been Used to Buy and Renovate Homes for New Tenants. but This Is What They Got for Their Money. Directors' Greed Left Fraud the Only Option

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Byline: Hilary Clixby

VICTIMS of a massive property scam were greeted by the grim sight of burned-out buildings when they finally viewed the house sold to them as an investment opportunity.

Maureen and Philip Patrick sank pounds 25,000 into the buy-to-rent scheme set up by Practical Property Portfolios Ltd after being persuaded their money would be used to buy, renovate and tenant a house on their behalf.

Instead they discovered the premises lying empty in a run-down Wearside street resembling a war-zone - its investment potential so poor it was eventually sold to a housing association for just pounds 2,000. Mr and Mrs Patrick were among hundreds of innocent people duped into handing over their cash to the now wound-up PPP business based on the Team Valley Trading Estate in Gateshead.

Prosecutors at Newcastle Crown Court said while it was …