Family 'thrilled' scammers' tool worth $1B across Ontario will be wiped out
An Ontario family says they’re "thrilled" the provincial government has moved to wipe out a tool used so often by scammers that it has been used to claim some $1 billion worth of value from properties across the province.
Melissa Irons says her elderly father-in-law, Karl Hoffman, would have loved to live long enough to see the government eliminate Notices of Security Interest (NOSIs) after they were used 11 times against him and his Bowmanville, Ont., home.
"I was thrilled. I was astonished," Irons said in an interview. "It's unfortunate that Karl is not here today to hear this great news, but I'm sure it would be a great relief."
- Download our app to get local alerts on your device
- Get the latest local updates right to your inbox
Irons was reacting to the announcement by the Minister of Public and Business Service Delivery Todd McCarthy that he would table legislation in the spring to ban NOSIs.
"We have decided to move forward with complete abolition of notices of security interest against the land registry system both going forward and retroactively," McCarthy said in an interview with CTV News.
He said about $1 billion in NOSI debt is largely the subject of criminal activity.
"That total is quite a large number, and that means that criminal activity is being perpetuated. So we need to address that with a retroactive effect to the legislation," he said.
A NOSI is a tool, like a lien, that a company uses to secure collateral on a fixture, such as an air conditioner or an HVAC system, that they own but sits inside someone else's property. The homeowner can't sell the property until it's paid out.
But there are major problems with how it's put into practice, including no serious effort to verify that a NOSI's value represents how much the equipment is worth, said Dennis Crawford, a lawyer who has fought NOSIs.
"There is a loophole, which it's too easy to register one," Crawford said. "They're putting in equipment in a house that might be worth $1,500, but registering liens for $15,000. Orders of magnitude more than what the equipment is worth."
Hoffman had 11 NOSIs registered against his property as people he called in court fraudsters returned again and again.
His family says they were taking advantage of Hoffman, who had a brain aneurysm that made him lose his short-term memory.
"Karl believed everyone was good. He believed people were helpful and were trying to help him," Irons said.
But Hoffman was "marked" and his property was the target, his lawyer Greg Weedon said in court documents.
"He was the victim of a fraudulent scheme targeted at the elderly. By July 2021, he had 11 notice of security interests registered against his property, all of which were registered under false or fraudulent pretenses," Hoffman's court filing says.
"It's really sad to know that there are people out there doing this to so many people. It's disheartening," Irons said.
The government's declaration, if they follow through, would mean that those NOSIs would be wiped away without any legal action required.
The announcement came after the Ontario NDP proposed legislation that would ban certain NOSIs -- though it wouldn't succeed without the support of the governing PC majority.
CTVNews.ca Top Stories
Police arrest 3 Indian nationals in killing of B.C. Sikh activist Hardeep Singh Nijjar
Three people have been arrested and charged in the killing of B.C. Sikh activist Hardeep Singh Nijjar – as authorities continue investigating potential connections to the Indian government.
Five areas Canada's foreign interference commissioner says needs more investigation
Commissioner Marie-Josee Hogue released her interim report examining foreign election interference on Friday. Here are five elements of the issue that Hogue says she needs to further probe before she can make conclusions or recommendations.
Police officer hit by driver of fleeing vehicle in Toronto
York Regional Police say they are continuing to search for a suspect in an auto theft investigation who was captured on video running over a police officer in Toronto last month.
Why your airfare may be getting more expensive
Skyrocketing airfare prices are linked to heightened competition and rising food and fuel, according to the CAA.
TD worst-case scenario more likely after drug money laundering allegations: analyst
TD Bank Group could be hit with more severe penalties than previously expected, says a banking analyst after a report that the investigation it faces in the U.S. is tied to laundering illicit fentanyl profits.
New weight-loss drug Wegovy not a 'magic bullet,' doctor warns
As Wegovy becomes available to Canadians starting Monday, a medical expert is cautioning patients wanting to use the drug to lose weight that no medication is a ''magic bullet,' and the new medication is meant particularly for people who meet certain criteria related to obesity and weight.
Drew Carey is never quitting 'The Price Is Right'
Drew Carey took over as host of 'The Price Is Right' and hopes he’s there for life. 'I'm not going anywhere,' he told 'Entertainment Tonight' of the job he took over from longtime host Bob Barker in 2007.
Funeral today for broadcasting legend and voice of 'Hockey Night in Canada' Bob Cole
A funeral is being held today for hockey broadcasting legend Bob Cole in his hometown of St. John's, N.L.
Foreign meddling 'did not affect' overall federal election results: inquiry report
Foreign interference by China did not affect the overall results of the 2019 and 2021 general elections won by Justin Trudeau's Liberals, a federal commission of inquiry has found.