Exposed! The three culprits behind the Sterling First retiree housing scam now facing justice
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When we hear about retirees being taken advantage of or scammed, it often makes our hearts sink. After all, as you all know, they have worked extraordinarily hard for most of their lives, and deserve to enjoy their golden years that come with growing old.
The good news is that there are plenty of people out there dedicated to bringing these types of scammers to justice. Case in point: the three men from the Sterling First Group who recently faced the Perth Magistrates Court for their role in a large-scale scheme that left dozens of elderly Australians out of pocket and their life savings depleted.
Raymond Jones, 81, who founded the Sterling First Group, Simon Bell, 57, and Raymond Jones’ 52-year-old son, Ryan Jones, were each accused of 11 counts of aiding and abetting Sterling Corporate Services in their ‘dishonest conduct’. Though no pleas were entered and the men were released on bail with the agreement to reappear at the Stirling Gardens Magistrates Court early next year, the fact that they were taken to court has already offered a sense of solace and closure to all the people affected. But what happened, exactly?
From 2016, the Sterling Group ran a long-term ‘residential lease’ program for retirees and seniors, which they advertised as a ‘Sterling New Life Lease’, and during this time, more than one hundred vulnerable people ended up investing their money. The scheme promised a return in the form of a lump-sum investment, which would then be used to pay the investors’ rent.
But, unfortunately, the investments weren’t as reliable as they were sold to be and, after a property market downturn combined with the issues wrought from the investments’ ‘flawed operating structure’, the Sterling First Group collapsed in May of 2019.
Of course, when this happened, those affected were more than out of pocket. Not only did they lose their money, but those who were retired and had no source of income suddenly found themselves homeless, with no way of repaying their leased payments. As such, it became a group effort to identify those responsible and to bring them to trial.
And now, with the trio’s appearance in court, we have much-needed action taken to prevent similar things from happening in the future. The cases are being prosecuted by the Commonwealth Director of Public Prosecutions, which is comforting to know for all those who have lost money and so much more, from being taken advantage of.
There is no doubt that navigating the world of modern technology for anyone can sometimes feel like a minefield, and unfortunately, it’s often seniors who fall victim to online scams and frauds. Factors such as trust in people, lack of knowledge of new technology, and a more relaxed approach towards online safety make them easy targets. But fear not! There are ways to safe-guard against these nasty scams.
The first might seem obvious, but it's often overlooked: stay informed. Many seniors, while devout readers of the news, may not be up-to-date with the latest scams circulating the web. Subscribing to a reliable source of scam alerts, or even having younger family members share relevant news can be a major game-changer. We do our best to keep our members informed on scams that are circulating in our Scam Watch forum here.
It’s worth noting that there are bad apples out there lurking in the ocean of ultra-convenient modern services, and the only way to stay safe from scams like the Sterling First Group’s is to stay vigilant, do your research and be aware of all the details.
Here at the Seniors Discount Club our members’ safety and security is paramount, so we’ll continue to strive to keep you updated on the latest news to help protect you and your finances. Let us know your thoughts on this, has justice been served where it belongs?
The good news is that there are plenty of people out there dedicated to bringing these types of scammers to justice. Case in point: the three men from the Sterling First Group who recently faced the Perth Magistrates Court for their role in a large-scale scheme that left dozens of elderly Australians out of pocket and their life savings depleted.
Raymond Jones, 81, who founded the Sterling First Group, Simon Bell, 57, and Raymond Jones’ 52-year-old son, Ryan Jones, were each accused of 11 counts of aiding and abetting Sterling Corporate Services in their ‘dishonest conduct’. Though no pleas were entered and the men were released on bail with the agreement to reappear at the Stirling Gardens Magistrates Court early next year, the fact that they were taken to court has already offered a sense of solace and closure to all the people affected. But what happened, exactly?
The three culprits of the Sterling First housing scheme. Image: Facebook / @Sterling First Action Group.
From 2016, the Sterling Group ran a long-term ‘residential lease’ program for retirees and seniors, which they advertised as a ‘Sterling New Life Lease’, and during this time, more than one hundred vulnerable people ended up investing their money. The scheme promised a return in the form of a lump-sum investment, which would then be used to pay the investors’ rent.
But, unfortunately, the investments weren’t as reliable as they were sold to be and, after a property market downturn combined with the issues wrought from the investments’ ‘flawed operating structure’, the Sterling First Group collapsed in May of 2019.
Of course, when this happened, those affected were more than out of pocket. Not only did they lose their money, but those who were retired and had no source of income suddenly found themselves homeless, with no way of repaying their leased payments. As such, it became a group effort to identify those responsible and to bring them to trial.
And now, with the trio’s appearance in court, we have much-needed action taken to prevent similar things from happening in the future. The cases are being prosecuted by the Commonwealth Director of Public Prosecutions, which is comforting to know for all those who have lost money and so much more, from being taken advantage of.
There is no doubt that navigating the world of modern technology for anyone can sometimes feel like a minefield, and unfortunately, it’s often seniors who fall victim to online scams and frauds. Factors such as trust in people, lack of knowledge of new technology, and a more relaxed approach towards online safety make them easy targets. But fear not! There are ways to safe-guard against these nasty scams.
The first might seem obvious, but it's often overlooked: stay informed. Many seniors, while devout readers of the news, may not be up-to-date with the latest scams circulating the web. Subscribing to a reliable source of scam alerts, or even having younger family members share relevant news can be a major game-changer. We do our best to keep our members informed on scams that are circulating in our Scam Watch forum here.
It’s worth noting that there are bad apples out there lurking in the ocean of ultra-convenient modern services, and the only way to stay safe from scams like the Sterling First Group’s is to stay vigilant, do your research and be aware of all the details.
Here at the Seniors Discount Club our members’ safety and security is paramount, so we’ll continue to strive to keep you updated on the latest news to help protect you and your finances. Let us know your thoughts on this, has justice been served where it belongs?
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