PRACTITIONERS DEEDS AND TRANSFERS UNDER THE RPA Fraud in - - PowerPoint PPT Presentation

TIPS FOR PRACTITIONERS

DEEDS AND TRANSFERS UNDER THE RPA

Fraud in conveyances and transfers of property under the rpo is increasing and attorneys should be cautious in reviewing deeds and transfers which constitute the title to a property before certifying title. There are Several examples of questionable activities being observed by attorneys conducting property transaction and I have compiled examples of what can be referred to as “red flags” that have appeared consistently in questionable deeds and transfers as well as in deeds which have been the subject of judgments and orders that direct the registrar general to expunge the deed/s from the land registry.

In reviewing the title to a property or properties for the purpose of certifying title do not rely on a list of deeds which constitute the title to the property. Insist that your search clerk obtain a copy of each deed comprised in the title and ensure that you have a copy of every page of the deed inclusive

• f the signature page.

If pages are missing ask your search clerk to obtain same or explain why the pages are missing.

Make a list of the deeds you have obtained and list the names of the parties in each deed as well as the attorney who prepared the deed to ensure there is continuity in the title Eg Deed 1234 of 1999 john doe to mary smith Deed 2345 of 2001 mary smith to harry potter Deed 3456 of 2006 harry potter to Winnie walker

CHECK THE NAME AND ADDRESS OF THE ATTORNEY WHO PREPARED THE DEED VERIFY THAT THE ATTORNEY IS A BONA FIDE ATTORNEY AND THE ADDRESS OF THE ATTORNEY IS A VALID ADDRESS

THIS DEED WAS PREPARED BY ME JOHNNY BRASH

ATTORNEY AT LAW CARPE DIEM & CO

IS THIS A VALID ADDRESS???

34 GRANGER STREET SIPARIA

Ask yourself :- DO YOU KNOW THIS ATTORNEY ??? IF NO - CHECK WITH LAW ASSOCIATION to confirm S/he is an attorney on the roll of attorneys

• ASK OTHER ATTORNEYS IF THEY KNOW HIM /HER AND OBTAIN HIS / HER CONTACT

INFORMATION

• VERIFY THE OFFICE ADDRESS ON THE DEED BY ASKING OTHER ATTORNEYS IN THE

AREA IF YOU KNOW THE ATTORNEY CALL OR WRITE ATTORNEY TO VERIFY S/HE EXECUTED THE DEED

IF YOU CANNOT LOCATE THE ATTORNEY CONSIDER WHETHER ATTORNEY IS ALIVE OR IF WAS S/HE ALIVE WHEN THE DEED WAS EXECUTED

• CHECK THIS INFORMATION WITH LAW ASSOCIATION AND OTHER

ATTORNEYS FROM THE SAME AREA. ALSO CHECK IF THE ATTORNEY REGISTERED WITH THE FIU – THERE IS A LIST OF REGISTERED ATTORNEYS ON THE FIU WEBSITE.

IN REVIEWING THE DEEDS IN YOUR SEARCHES CONSIDER ALSO :-

• THE ADDRESS OF THE VENDOR,
• THE LOCATION OF THE PROPERTY AND
• THE ADDRESS OF THE ATTORNEY PREPARING THE DEED.

ARE THE VENDOR AND THE ATTORNEY PREPARING THE DEED LOCATED IN SIMILAR AREAS OR AREAS IN CLOSE PROXIMITY

JANE DOE LIVES IN CHAMPS FLEURS PROPERTY IS IN CHAMPS FLEURS SHE HAS RETAINED AN ATTORNEY FROM LA BREA WITNESS TO DEED IS FROM ARIMA.

SIGNED AND DELIVERED BY THE ) WITHIN NAMED JANE DOE AS ) AND FOR HER ACT AND DEED ) J.Doe IN THE PRESENCE OF ) Special Witness 25 Brick Lane ARIMA AND OF ME Active Advocate ATTORNEY AT LAW

IF THE VENDOR IS IN AN AREA WHICH IS FAR AWAY FROM THE ATTORNEY’S OFFICE, CONSIDER WHY THE VENDOR WOULD HAVE TRAVELLED SUCH A DISTANCE TO HAVE A DEED PREPARED ALSO CONSIDER THE ADDRESS OF THE LAW CLERK. IT IS NOT UNUSUAL FOR A LAW CLERK TO LIVE IN SAN FERNANDO AND WORK IN PORT OF SPAIN, BUT CONSIDER WHETHER SOMEONE FROM POINT FORTIN WOULD WORK IN ARIMA – FOR EXAMPLE VERIFY WITH THE PREPARING ATTORNEY WHETHER THE LAW CLERK RESIDED SO FAR AWAY

NEXT CONSIDER THE SIGNATURES TO THE DEEDS ARE THE SIGNATURES OF BOTH VENDOR AND PURCHASER AVAILABLE CAN YOU DO A COMPARISON OF SIGNATURES ON ONE DEED WITH SIGNATURES ON ANOTHER DEED? IS THE SIGNATURE OF THE VENDOR IN YOUR TRANSACTION ON HIS/HER DEED AND CAN YOU DO A COMPARISON WITH HIS/HER ID/DP/PP? Attorneys are not handwriting experts so this exercise is to determine whether you have doubt about what you have seen

If you have doubt about the signatures

• Request the attorney who prepared the deed with the questionable

signature to provide any form of id s/he may have had at the time of execution

• Enquire whether the signatory experienced any medical issues which

may have affected their signature eg an accident or a stroke

• Enquire about the age of the signatory – were they much younger when

the executed the first deed? Eg they signed one deed at age 30 but signed the second deed at age 60

DEEDS WITH NO COVENANTS ARE USUALLY SIGNED BY THE VENDOR ONLY THERE ARE NO SIGNATURES OF THE PURCHASER TO USE AS COMPARISON WHEN PURCHASER IS SELLING. NO SIGNATURE ON DEED TO COMPARE WITH HIS / HER ID / DP / PP so comparisons are not possible GOING FORWARD – CONSIDER LETTING ALL PARTIES SIGN DEEDS

DEEDS EXECUTED IN ESCROW THERE SHOULD NOT BE A LONG PERIOD BETWEEN THE TIME WHEN THE DEED WAS EXECUTED IN ESCROW AND WHEN IT WAS RELEASED OUT OF ESCROW. RED FLAG:- WHERE THERE IS A LONG PERIOD OF TIME BETWEEN EXECUTION OF THE DEED AND DATE DEED IS RELEASED OUT OF ESCROW / REGISTERED WHERE THERE IS A LONG PERIOD WRITE TO THE ATTORNEYS INVOLVED AND ENQUIRE ABOUT THE LONG PERIOD. IS THERE A SATISFACTORY EXPLANATION?

I CERTIFY THAT THIS DEED WAS EXECUTED IN ESCROW ON THE 16TH DAY OF NOVEMBER 2010 PENDING FULL PAYMENT OF THE PURCHASE PRICE WHICH WAS PAID ON THE 22ND JUNE 2015 ABLE ADVOCATE ATTORNEY AT LAW I CERTIFY THAT THIS DEED WAS EXECUTED IN ESCROW ON THE 19TH DAY OF DECEMBER 1995 PENDING FULL PAYMENT OF THE PURCHASE PRICE WHICH WAS PAID ON THE 2ND DAY OF JULY 2015 ABLE ADVOCATE ATTORNEY AT LAW

RED FLAG – LONG PERIOD OF TIME BETWEEN PAYMENT OF STAMP DUTY AND REGISTRATION CHECK 1. THE DATE ON WHICH STAMP DUTY WAS PAID 2. THE DATE OF REGISTRATION 3. THE ATTORNEY – VERIFY ATTORNEY EXECUTED DEED, WAS ALIVE WHEN DEED EXECUTED. IF SEVERAL MONTHS OR YEARS HAVE LAPSED BETWEEN THE “STAMPING” OF THE DEED AND THE “REGISTRATION” OF ENQUIRE ABOUT THE REASONS FOR DELAY.

INFORMATION ABOUT DATE ON WHICH STAMP DUTY IS PAID AND DATE OF REGISTRATION IS NOT RECORDED ON CERTIFICATES OF TITLE so check the memorandum of transfers (this also applies to signatures, escrow clauses, stamp duty / registration) ONLY THE VENDOR WILL SIGN THE MEMORANDUM OF TRANSFER GOING FORWARD - CONSIDER WHETHER ALL PARTIES SHOULD SIGN RPO DOCUMENTS EVEN THOUGH THE ACT DOES NOT REQUIRE THIS.

RED FLAG - PAYMENT OF BIR STAMP DUTY REFLECTED VIA RUBBER STAMP AND NOT BAR CODE STICKER

• THE BIR STOPPED USING RUBBER STAMPS (APPROXIMATELY 2013)
• PAYMENT OF STAMP DUTY IS REFLECTED VIA A BAR-CODED STICKER

EVEN STAMP DUTY IS NIL.

• CHECK WITH BIR WHETHER THE RUBBER STAMP AFFIXED WAS PRIOR

TO OF AFTER THE INTRODUCTION OF THE BAR CODED STICKER

• IF THE STAMP IS VALID ENQUIRE WHETHER THE SIGNATURE ON

THE STAMP IS VALID

RED FLAG BIR STAMPS APPEAR TO BE SIGNED BY THE SAME PERSON ALTHOUGH STAMP IS ON DIFFENT DEEDS IN THE TITLE AND DATE ON STAMP IS IN DIFFERENT YEARS

CHECK WITH BIR AS TO VALIDITY OF STAMP

RED FLAG BE AWARE OF ANY DISCREPANCIES IN HOW DEEDS FORMING TITLE WERE EXECUTED EG 1ST DEED IN TITLE :- SIGNED BY VENDOR AND PURCHASER BUT YOU SUBSEQUENTLY DISCOVER VENDOR WAS DEAD AT DATE OF EXECUTION 2ND DEED IN TITLE – RECTIFICATION - NOT SIGNED BY VENDOR BUT SIGNED BY PURCHASER ONLY

CHECK IDENTIFICATION DOCUMENTS CAREFULLY WHEN IN DOUBT MAKE ENQUIRIES BUT ERR ON THE SIDE OF CAUTION THE EBC WILL NOT PROVIDE WRITTEN CERTIFicATION OF THE VALIDITY OF THE ID CARD THE COMMISSIONER OF TRANSPORT WILL NOT PROvide WRITTEN CERTIFICATION OF A DP TO A THIRD PARTy. ASK THE HOLDER OF THE DP TO OBTAIN THAT CERTIFICATION CONDUCT DUE DILIGENCE ON IDENTIFICATION. FAILURE TO DO SO COULD BE TANTAMOUNT TO NEGLIGENCE

• KEEP EBC INFORMATION HANDY TO VERIFY ID CARDS BEING PRESENTED

THE MINISTRY OF WORKS HAS AN ONLINE VERIFICATION SYSTEM BUT THERE IS A DISCLAIMER WHICH INCLUDES:- “Use of the information and data contained within this site or these pages is at your sole risk. If you rely on the information on this site you are responsible for ensuring by independent verification its accuracy, currency or completeness.”

CONCLUSION WHEN CERTIFYING TITLE:-

• CHECK THE DEEDS CAREFULLY
• VERIFY ALL INFORMATION PERTAINING TO THE PARTIES IN THE

DEEDS AND MORE PARTICULARLY THE VENDOR’S DEED/S

• CHECK DATE OF DEED, DATE OF STAMP DUTY, DATE OF

REGISTRATION, ECROW CLAUSES

• CHECK BIR INFORMATION
• ERR ON THE SIDE OF CAUTION
• MAKE INDEPENDENT ENQUIRIES
• SEEK GUIDANCE FROM COLLEAGUES

THE END.