Harrogate businesswoman prosecuted for £5m property investor scam
A HARROGATE businesswoman has been convicted following an investigation which saw her allegedly defraud £5m from clients.
Sascha Morris was accused of duping property investors out of £5m, promising them “impossible” returns.
Ms Morris ran Morris & Hale, a Killinghall-based financial and real estate management company alongside secretary William Morris.
Originally from Australia, the 46 year-old ran and owned the company which was incorporated in December 2004 and dissolved in June 2014. It was ordered to be wound up by the courts in 2009.
Ms Morris has now been convicted of two counts of fraud and another of fraudulent trading following an investigation by the CPS Specialist Fraud Division heard at a trial at Leeds Crown Court this week.
The Court heard how Ms Morris persuaded UK investors to put money into off-plan properties in Cyprus. She allegedly promised false returns on quick sales and promoted non-existent relationships with holiday lettings firms said to be available to lease properties that were not sold.
Investors were told they could sell before projects were completed, but when buyers were not found, investors were pursued for further payments.
In another part of the fraud, Ms Morris took more than £2.6m from two groups of investors for a company she claimed would finance property developments.
Both groups thought their investment was underpinned by the value of the company but was unaware that the other group was involved and would be entitled to half of that value. When the schemes failed, the vast majority of the money was lost.
Simon Higginbotham, specialist prosecutor from the CPS Specialist Fraud Division, said: “Some of the investors targeted by Sascha Morris had to remortgage their homes or borrow large sums in order to raise money they had never expected to pay.
“Through careful analysis of the financial transactions the prosecution was able to demonstrate to the jury how Morris deliberately misled investors in order to achieve financial gain for herself.”
The conviction follows an investigation carried out by North Yorkshire Police’s Major Fraud Investigation Team.
Ms Morris will be sentenced at a hearing on 9 January 2017.
