European Stars And Stripes (Newspaper) - September 11, 1987, Darmstadt, Hesse                                Swindles Cloud retirement dream in sunny Spain Voil Tom Phothi Chrise developments to pad Long up ten t Mots Herranen Ana Atlantic coastlines. By Richard Lovant associated press last summer Bill and Orreon Langford sol their House in England to move into the Al Iremene Home Fiey paid $66.000 id build outside of Calpe a Village on Spain s easter Mediterranean coast. Bui when they arrived their dream House did t exist. Mead the Lang Fords Lound a Hall finished Lour Calion and a Hole in the ground where their swimming Pool should have been now the Lang Fords Are living in the House but Are still waiting for electricity and water installation. The swimming Pool is still a pit. Their dream of a Carefree Mediterranean retirement Lite has turned into a Nightmare of Legal disputes labor headaches and depleted Bank accounts. Most foreigners who buy Homes in Spain get Legitime n deals and Settle Down to a comfortable life. But some of the estimated 1 million British. West German and other Northern europeans who have locked to Spain have unpleasant surprises. We just wanted to retire and do the Garden said Langford a former British telecoms employee. Our savings have Boon virtually spent on the House and we have neither the Lime nor the Money to spend on a Legal action real estate expert Are warning prospective purchasers to make sure they understand Spain s Laws on real estate. And the Spanish government lacing pressure from the european parliament and aware of growing foreign investments is taking action against local and foreign swindlers who have been Wheeling and dealing for years. Foreigners invested $1.6 billion m Spanish real estate last year. We be got a movement in Madrid thai never existed before said european parliament member Edward Mcmillan Scott the conservative British Deputy has made several trips to this booming Region North of Alicante to investigate what he Calls the Golden fleece of european retirees. The govern Mon has set up a to member commission to investigate Shady real estate practices. The state mortgage Bank Banco Hipo Recario has recommended prosecution of two Spanish developers  borrowed Money against unsold houses then signed sales contracts saying the properties were free of debt. In one respect the Lang Fords were Lucky. They still own their House unlike Whoso who lost their properly in Public auctions due to improperly drafted sales contracts or old deals they did no know existed. A 15,000-member foreign property owners group has sent 350 cases of alleged real estate fraud to the government of socialist prime minister Felipe Gonzalez in Madrid. Spanish officials say they have resolved 20 percent of the cases. Gone Are the Day of the Early 1960s, when the Hardy few moved to Spain As an adventure remodelling crumbling houses in tiny White villages for next to nothing with i he regard for building codes and regulations. Now developments spread along the country s 3,000-Kilometer t ,800-mile Mediterranean and Atlantic coastlines blotting out the View of the sea for All but the very fortunate or Well to do. Prices Range from 1 million pesetas 17,800 for a studio apartment in overcrowded Torr Molinos or 5 million pesetas $39,000 or a two bedroom duplex in one of the scores of coastal developments to amounts hat discourage All but wealthy arabs who build palaces along the tabled Costa Del sol. The English make up about 30 percent of foreign properly owners in Spain followed by the West germans who account or 25 percent. Dutch scandinavians and French comprise the bulk of the foreign population of seasonal tourists and residents from 30 countries. A 7.000-unit retirement Village is in the works for japanese residents in mijas in the mountains behind Malaga on the Southern Mediterranean coast approximately 50,000 foreigners bought properly in Spain last year. 3d.ooo of them British the Calpe based foreign property owners Institute said. Some Are Middle class retirees who were talked into buying Homes by Lellow countrymen who deliver High pressure sates pitches and Olfer Quick buying junkets to development Sites said Mcmillan Scott. The Institute s Henry lock said Many naive owners arrive to discover disputes Over water rights disconnected Power lines Hall built houses and inflated construction costs. Lock said most fraud is committed by fellow foreigners who either fake advantage of the buyers confusion or who Are poorly qualified to Deal with the Spanish Legal bureaucracy. Many developers borrow heavily on their finished houses to finance new projects lock said. There s often a line line Between what s fraud and what s nol he said. All is Welt As Long As the Ball keeps rolling. You just Hope in does t Stop on  lock said the Best Way to prevent problems was to hire a Spanish lawyer to conduct a title Check far old debts. Fifty four foreigners a one housing estate outside Calpo went to a local lawyer after the Banco Hipo Recario told them to cover an old debt of $7.500 each or face Public auction. Retired Engineer Ted Ware of Plymouth England notified Mcmillan Scott. Who convinced the Bank to postpone demanding payment of the mortgages while he pursued the matter with government agencies in Madrid. After stud Yang a similar Case in nearby Denia the Bank asked the Public prosecutor to die criminal charges against the Spanish Developer. Mcmillan Scott said the Case could set a precedent because it would hold the previous owner responsible Lor the Money he borrowed a spokesman at the american embassy m Madrid Sayej Jne embassy could provide no information on americans Juying property in Spain As if considers buying property a private matter Page 16 the stars and stripes Friday september 11.1987