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Saturday 21 October 2017

Hobbs backs service company in US dispute

Eddie Hobbs
Eddie Hobbs
Donal O'Donovan

Donal O'Donovan

A US company accused of running a 'Ponzi' scheme in the Detroit property market says it is confident a case against it will be thrown out of court.

The company at the centre of the case, Detroit's Metro Property Group, is the main US service company for Brendan Investments, the overseas property venture launched by Eddie Hobbs.

Here, Brendan Investments has backed Metro in a note on its own website reacting to news of the legal action.

"We have no reason to be concerned about the integrity of Metro, having worked with the company on a daily basis over the past 18 months in particular, but will always remain vigilant to protect the interests of our clients/shareholders," the note said.

The Detroit property market is a significant focus for Brendan Investments.

No legal claims have been made against Brendan Investments.

In the US, Metro Property and a number of related US-based businesses and individuals are being sued by a group of investors from the UK, Australia and Yemen.

The investors say they bought investment property from Metro with the promise of high annual rent, based on the homes being refurbished and rented to vetted tenants.

The case was initiated in a US federal court last Friday.

Metro Property Group said it believed the legal action against it was "unfounded" and that it is confident the case would be thrown out of Court.

However, one of the property owners taking the case said she believes that the facts of the case are "overwhelming".

Irish Independent

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