So here we are again, with more information supplied by our readers on the link between Silverpoint Vacations and the Farhoud Brothers, today we highlight a case a client who purchased and “apartment” via the “Company Participation Scheme” from the Silverpoint salesman, Alex Farhoud.
As we know he no longer works for Silverpoint but is a consultant for his brother’s company Nordic Consulting Canary Islands SL, who are now making more money from the very people they sold the scheme to in the first place, this time through dubious legal action against their former employer Silverpoint and Mark Cushway.
It all began with a visit to Tenerife in 2017 and a subsequent invitation for a return visit with discounted air fares and two week stay at Beverly Hills Club. The only “condition” was they would have to attend an “information” meeting with Silverpoint.
Once they arrived they were contacted by the Silverpoint representative Alex Farhoud. They attended the arranged meeting and were greeted by the friendly Alex. He began in the time honoured timeshare “warm up”, enquiring into their health, how they are enjoying their stay and giving information on the variety of restaurants, trips and attraction that Tenerife had to offer. All designed to put them at ease.
Eventually the conversation switched to a proposal which would be of great interest and benefit to the client, namely how they could purchase an apartment at Beverly Hills Club well below the market value, this equated to about 60% less.
He went on to explain that they would be able to use the apartment for up to half of the year and for the rest rent it out for a considerable income. Although they would have to wait a few years they would receive “compensation” of 4.5% of the the purchase price, around 155,000€
Alex Farhoud explained the business structure with the aid of the tried and trusted “pencil pitch”, (of which Inside Timeshare has a copy). It shows the workings of the 4.5%, which would equate to 6,975€ which they would receive in the first year as compensation of forthcoming rental income.
This forthcoming rental, was also shown on the hand written “pitch” and showed the proposed income of 21,623.51€, although the amount was actually shown in Swedish Kroner. There would also be a 19% tax deducted from the amount to be paid to the Spanish Tax Authority. This note does have Alex Farhouds name on it.
For the purchase to go ahead a deposit of 5,000€ was payable at that time with the balance of 150,000€ within the next couple of months.
As they had received so much information it was proposed that they would return the following day after looking over the paperwork.
They obviously had many questions they wanted answers to.
According to the paperwork, they would not receive “title” to the property until all the “timeshares” had been freed from their owners, a process that would take approximately 3 years. The paperwork also stated that they were not purchasing “timeshare”.
To cut a very long story short, it seemed like a good deal, Alex Farhoud then contacted Mark Cushway to approve the deal.
Moving on to 2018 early 2018, Alex Farhoud makes contact with an important announcement, problems had arisen with the lease. He also announce that he had parted company with Silverpoint, but did not elaborate if he resigned or was dismissed. Now that he was an independent agent he would be able to restore the original terms of the Rental Program Agreement, but this would entail a payment of 2 x 5,000€, paid in two instalments.
It would also appear other “buyers” had received similar information.
Step in Nordic Consulting, as we have stated the CEO is Ali Farhoud, Alex Farhoud is the consultant. They announced they had “found illegalities” in the agreements, that what they had purchased was “timeshare”, which as we know is subject to some very strict laws in Spain.
Nordic Consulting explained they had already taken several cases to court where the contracts were cancelled with the client receiving back full payment. They proposed that they would take on the case and help this purchaser. The cost would be over 30,000€ to be paid to Nordic Consulting.
So now we have the very people who sold the scheme in the beginning, making what must have been large amounts of money in “commissions”, contacting the very people they sold it to, claiming they had no idea it was “illegal” at the time. Now making more money from the very same people!
From information received, several formal criminal denuncias have been made against them, with apparently more in process of being filed.
We don’t know about you, but it does appear to us that something is very wrong that these brothers who sold the timeshare and the participations scheme on behalf of Mark Cushway for many years are able to operate in this way.
Have you been sold Timeshare with the promise of resale and rental, the Company Participation Scheme or the Overseas Lodging Participation Programme, including by those named here?
If so, use our contact page, let us know what you have purchased, Inside Timeshare will get back to you with information on where you stand and what is open to you on the legal front. Whether you are from the UK, Scandinavia, or any other European country, we can point you in the best direction.
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