Two businessmen in Arona, Tenerife are facing allegations of fraud and continuous misappropriation in the El Mojón partial plan. The Santa Cruz de Tenerife Prosecutor’s Office is seeking a six-year prison term for them, along with a payment of 1.2 million Euros to thirty alleged victims, a fine of 3,200 Euros, and the costs determined in the enforcement of the sentence.
The Public Ministry has accused a construction company of initiating the sale of homes in 2004 without possessing a license, while awaiting approval of the General Planning Plan (PGO).
Even though it took 20 years for the planning to be unblocked, one of the defendants requested advance payments from buyers and promoted the developments, even going as far as putting up a sign.
The other defendant served as the seller, a real estate agent who received commissions and conducted transactions from a booth in El Madroñal, Adeje.
Despite lacking a written contract or power of attorney, the defendant was allowed to accept home modifications, handle charges, manage advertising, and close sales on behalf of the construction company.
Additionally, he is accused of knowing that the funds would be diverted for other purposes, which the predominantly Italian buyers were misled about.
To persuade them, the buyers were shown plans for a project planned in La Orotava, without being informed of the lack of a license due to pending approval from the PGO.
The homes were priced at 450,000 Euros, with an average advance payment of around 30,000 Euros.
The El Mojón partial plan covers an area of 908,306 square meters, with a processing period spanning 40 years. It is a significant area of land located near the popular tourist hubs of Los Cristianos and Las Américas.
This zone allows for construction on over 70 private plots, suitable for purposes including tourism, residential, commercial, and recreational activities. Following its recent approval, licensing processes will commence.
