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Scam Alert and Solution

By
Real Estate Broker/Owner with Crossroads Real Estate LLC

One of my listings has been copied by a scammer from Algeria.  They copied the pictures and description and posted an ad on Craigslist as a rental at a rock bottom price.

I reported this to the FBI, who has not been able to do anything.  They contacted Craigslist who claimed the right to freedom of speech.

I contacted Craigslist a number of times, never receiving an answer.  I explained how this has been ruining my business and threatening my livelihood.  I have a sign on the property and I receive numerous calls a day from people looking for more information.  A number of calls were from people who had wired from $500 to $2000 to a bank account in Algeria.  You can imagine how those calls go, as these people think I am responsible and expect me to return the money.

I finally contacted the NAR and explained the situation.  They contacted Craigslist and were finally able to get the ads pulled.  Following is a link to the warning posted by the NAR.

Http://www.realtor.org/law_and_policy/scam_alert

I would be so easy for Craigslist in initiate a system to protect their customers.  When an ad is placed they can check the country of origin.  If the ad has no local contact information, such as a phone number they need to check the ad response.  This scam was running on six properties in the Milwaukee area and I am certain in many more throughout the country.  All the ads have the same e-mail response.  I have tagged these ads dozens of times, but Craigslist would not take them down.

Any ideas on how we can get Craigslist to clean up their act and provide a safe environment for their customers?  Maybe I should send this off to their competition. 

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Dennis Herman Crossroads Real Estate LLC Howards Grove, WI

Phone: 414-426-1784 

Tammie White, Broker
Franklin Homes Realty LLC - Franklin, TN
Franklin TN Homes for Sale

I can't believe things like this are happening.  Craigslist needs to take responsibility for the role they are playing in scam alerts.  Maybe one day someone will sue them and then they'll change their ways.

Jan 26, 2010 01:41 AM
Dennis Herman
Crossroads Real Estate LLC - Howards Grove, WI
Dennis Herman

I would be more than happy to testify at that hearing.  I am going to see if I can get the NAR to sponsor another Internet ad company such as Backpage.com.  The NAR should challenge these companies to provide a safe envinment and receive sposorship from the NAR.

Jan 26, 2010 01:46 AM