2 Calgary men charged in alleged multimillion-dollar fraud scheme at southeast B.C. resort
Two Calgary men are facing charges, accused of fraudulently selling RV camping lots, cabin lots and dock spaces at a resort in southeast B.C. in a scheme police say brought in more than $2 million from multiple victims.
Between 2014 and 2017, police allege one of the men improperly sold RV park sites as the owner of Sweetwater Resort, a land development project on the shores of Lake Koocanusa in B.C. The resort was also known by other names, including Sweetwater RV Park and Sweetwater at Lake Koocanusa.
Some of the people who bought into the resort contacted Calgary police when communication with the owner became infrequent and an investigation was launched by the economic crimes unit.
"After a thorough investigation, it was discovered that the sales contracts from the RV park site transactions were invalid," police said in a release.
"As a result, Sweetwater RV Park was ordered to close by the Regional District Office of East Kootenay."
Police also allege the owner sold dock slips — spaces to moor a boat — which were invalid because slips are considered submerged Crown land, and so can only be leased or rented, not sold.
Police estimate there are "at least 85 victims or more," said Staff Sgt. Geoff Gawlinski of the Calgary Police Service economic crimes unit, adding some victims lost "tens of thousands of dollars, close to $100,000" in savings each.
Craig Douglas McMorran, 61, of Calgary, has been charged with two counts of fraud over $5,000, one count of money laundering and one count of theft over $5,000.
"In total, it is alleged that McMorran fraudulently obtained more than $2 million from multiple victims who believed they were purchasing legitimate lot and dock spaces," said police.
He was arrested Sept. 16 without incident at a residence in Calgary and is scheduled to appear in court next Oct. 7.
"As the investigation progressed, it is believed that McMorran acted with an associate, who also participated in facilitating fraudulent sales of cabin lots while acting as the sales manager for the resort between 2013 and 2016," police said.
Gus Kalabalikis, 53, of Calgary, has been charged with one count of theft over $5,000 and three counts of fraud over $5,000.
Kalabalikis was arrested on Monday at a residence in Calgary without incident and is scheduled to appear in court on Friday.
"Before buying any land or lot packages, it is always recommended to research the company beforehand and to have a lawyer overlook contracts and company information to ensure the transaction and business are legitimate," said Gawlinski.
"Finding out you are a victim of fraud can be devastating and can have lasting emotional and financial impacts. We encourage anyone who believes they are a victim of any fraud to report it to police so we can investigate appropriately."
CTVNews.ca Top Stories
BREAKING Bob Cole, veteran CBC broadcaster and former voice of 'Hockey Night in Canada,' dead at 90
Bob Cole, legendary CBC broadcaster and former voice of Hockey Night in Canada, has died. He was 90.
Harvey Weinstein's 2020 rape conviction overturned by N.Y. appeals court
New York's highest court on Thursday overturned Harvey Weinstein's 2020 rape conviction, reversing a landmark ruling of the #MeToo era in determining the trial judge improperly allowed women to testify about allegations against the ex-movie mogul that weren't part of the case.
BREAKING Honda to get up to $5B in govt help for EV battery, assembly plants
Honda is set to build an electric vehicle battery plant next to its Alliston, Ont., assembly plant, which it is retooling to produce fully electric vehicles, all part of a $15-billion project that is expected to include up to $5 billion in public money.
MPP Sarah Jama asked to leave Ontario legislature for wearing keffiyeh
MPP Sarah Jama was asked to leave the Legislative Assembly of Ontario by House Speaker Ted Arnott on Thursday for wearing a keffiyeh, a garment that is banned at Queen’s Park.
CTE: Researchers believe widespread brain injury may contribute to veteran suicide rate
Researchers are working to better understand if some Canadian military veterans may be suffering from Chronic Traumatic Encephalopathy, also known as CTE -- a disorder previously found in the brains of professional football and hockey players after their death.
1 arrested in northern Alberta during public shelter order
Residents of John D'Or Prairie, a community on the Little Red River Cree Nation in northern Alberta, were told to take shelter Thursday morning during a police operation.
Secret $70M Lotto Max winners break their silence
During a special winner celebration near their hometown, Doug and Enid shared the story of how they discovered they were holding a Lotto Max ticket worth $70 million and how they kept this huge secret for so long.
Remains from a mother-daughter cold case were found nearly 24 years later, after a deathbed confession from the suspect
A West Virginia father is getting some sense of closure after authorities found the remains of his young daughter and her mother following a deathbed confession from the man believed to have fatally shot them nearly two decades ago.
New deep-water channel allows first ship to pass Key bridge wreckage in Baltimore
The first cargo ship passed through a newly opened deep-water channel in Baltimore on Thursday after being stuck in the harbor since the Francis Scott Key Bridge collapsed four weeks ago, halting most maritime traffic through the city's port.