Property seller faces prison over allegedly misleading inspection report

A man who sold a building in Oulu is facing an unconditional prison sentence for aggravated fraud over an allegedly inaccurate condition report, Yle reports. He denies the charge.

The trial began at Oulu District Court on Monday. Prosecutors say the man sold the building in Kaukovainio to a couple in October 2020 as a representative of a company. The sale agreement described the buildings on the property as being in good condition.

The inspection report said the building had undergone a “shoeing” repair, in which old lower timber structures in an exterior wall were replaced with stone blocks. It stated that the work complied with building regulations. According to prosecutors, the report was based on information provided by the seller.

Prosecutors allege the repair was improperly done and lacked plans approved by the city of Oulu and a building permit. They say, for example, that the supporting posts in the exterior walls rested on lightweight aggregate blocks without being properly secured to them. The seller is accused of concealing the defects from the couple.

The property changed hands twice more after the sale. All subsequent buyers are seeking compensation and have called for the defendant to be punished for aggravated fraud.

The prosecution is seeking 157,000 euros in damages for a new shoeing repair and for work related to planning, permitting and carrying out drainage. It says the alleged fraud sought substantial gain and caused significant harm. The defendant denies the charge and the compensation claims, and wants the case dismissed.

The trial is due to continue this week. The court will issue its judgment later.