Hamilton Property Group under fire for allegedly taking deposits from collapsed builder

PHOTO: Hamilton Property Group

Liquidators cannot find tens of thousands of dollars that homeowners paid as a deposit to a now defunct building company owing $28 million.

Tens of thousands of dollars in deposit money paid by several customers to a collapsed residential builder has allegedly mysteriously disappeared, with liquidators claiming they are unable to locate the funds.

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Last month the Victorian Supreme Court ordered Snowdon Developments into liquidation but some deposit holders have been left reeling after learning that they might never see the money they shelled out as a five per cent down payment for homes that may never be built.

Snowdon’s collapse left 550 homes in limbo as well as 52 staff members jobless and 262 creditors are, at last count, owed $28.6 million.

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Now Snowdon’s liquidators can’t find any records of some customers’ building deposit money ever being transferred into the company’s bank accounts.

At a creditor’s meeting last month, liquidators alleged that property developer and sales agent Hamilton Property Group, who engaged Snowdon to build their clients’ homes, took the deposits as a commission fee and the money was never paid to Snowdon.

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One customer, Josh Curmi, claims a Hamilton staff member admitted over the phone that the developer had his $11,000 deposit.

Another homeowner received a receipt that shows more than a year since paying his $10,000 deposit, the money is being held in a trust by HPG — Hamilton Property Group.

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In an email to a customer trying to locate their $10,000 deposit, seen by news.com.au, a Hamilton employee denied the company had the money. But when news.com.au contacted Hamilton, an employee said the developer would not be commenting on the matter.

Hamilton Property Group is under fire for allegedly taking deposits from Snowdon customers.

Josh and Alicia are two customers who are demanding a refund of $11,000.

Josh Curmi and his wife Alicia Hele, both 29, bought a home-and-land package through Hamilton in February last year. Snowdon was brought on board as the builder for their $225,000 Melbourne house but no construction work ever started.

They’ve asked Hamilton to refund their $11,264 deposit for the build but the developer has not responded to their requests.

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“I just want our money back,” Mr Curmi told news.com.au.

Mr Curmi and his wife along with several others aren’t entitled to any insurance payouts because no work was done on their block of land and Snowdon hadn’t yet taken out domestic building insurance, which is where a homeowner’s losses would be partially covered by the state insurer.

Now they claim the property developer, Hamilton, has the rest of their money, never having passed it on to Snowdon.

Snowdon’s liquidators have encouraged those homeowners to pursue Hamilton themselves to recoup their losses.

Earlier this month, Mr Curmi sent Hamilton a formal letter demanding a refund within seven days. The developer missed the deadline and never responded.