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RCMP charge developers behind Winnipeg’s cancelled SkyCity condos with fraud –

RCMP have charged two Ontario men behind a failed plan to build SkyCity — which was supposed to be Winnipeg’s tallest building — after a six-year investigation. 

Jawad Rathore of Markham and Vince Petrozza of Richmond Hill are charged with fraud and secret commissions under Canada’s Criminal Code, RCMP said in a Tuesday news release.

The investigation, named Project Dynasty, began in 2016 following a public complaint about Fortress Real Developments, Rathore’s and Petrozza’s Richmond Hill-based development business.

“Allegations were received that the company was fraudulently obtaining investments in a syndicated mortgage investment scheme,” the RCMP’s Toronto-based integrated market enforcement team wrote in Tuesday’s news release.

Syndicated mortgages are investments in which a developer finds more than one private lender to invest money in a property instead of going through a bank.

RCMP allege that Petrozza and Rathore “engaged in fraud by orchestrating an ongoing scheme whereby they did not disclose the various risks to brokers and investors.” 

The charges are an example of the Mounties keeping communities safe “by effectively disrupting financial crime,” integrated market enforcement team Insp. Vance Morgan is quoted as saying in the news release.

The accused are scheduled to appear in court in Toronto on Aug. 3.