Investors Duped by Alleged Atlanta Real Estate Scam

Several investors claim they were lured into an Atlanta real estate investment opportunity that ultimately left them out thousands of dollars. Channel 2 consumer investigator Justin Gray spoke with multiple individuals who share similar stories of being misled by a man they believed was a real estate expert.

Promises of Quick Riches Entice Unsuspecting Investors

Enticing Pitch Draws in Investors

Duron Dimmock, an Atlanta-based real estate investor, made bold claims about the potential for investors to earn substantial returns in a short period. In a cell phone video, Dimmock can be heard saying, "There's an opportunity for everyone to come in and make a 100, 150, maybe 200 grand over the next 18 months just by flipping properties." This pitch, which was recorded by Ben Lee at Fort Campbell in Kentucky, impressed Lee, who was preparing to leave the army and found the investment opportunity enticing.

Investors Leap into the Unknown

Lured by Dimmock's promises, several investors, including Lee, Daphne Bonilla, and Zuri Farngalo and his wife Eartha Petersen Farngalo, decided to take a chance and invest with Dimmock. Lee paid a ,000 coaching fee and invested an additional ,000, while Bonilla invested ,000 and the Farngalos invested ,000. The Farngalos, who were living in New York at the time, were particularly drawn to the opportunity, as they wanted to flip houses in Atlanta and saw Dimmock as an expert in the field.

Investors Left in the Dark

However, the investors soon found themselves in a frustrating situation. Despite their investments, they had little to show for it. "We never saw a property. We never got any details," said Petersen Farngalo. The investors also reported that Dimmock became increasingly difficult to reach, with Lee stating, "I was in communication with him and his assistant for the whole time until he stopped responding," and Bonilla saying, "He started sort of ghosting me. He stopped answering. He would make excuses."

Dimmock's Explanation: Market Conditions to Blame

When confronted by Justin Gray, Dimmock acknowledged the investors' concerns, claiming that skyrocketing interest rates and inflation had significantly impacted the real estate market, rendering some of the information he had provided "null and void." Dimmock argued that "People who invest and want the quick return, they don't, they didn't, they don't understand that process."

Investors Seek Legal Recourse

Unsatisfied with Dimmock's explanations, the investors have taken legal action. The Farngalos have obtained a default judgment against Dimmock's company, GWP Consulting, ordering the company to pay them ,000 plus attorney fees. However, they have yet to receive any of this money. Additionally, Ben Lee and Daphne Bonilla have filed separate lawsuits against Dimmock, with their cases still ongoing.

Dimmock's Promises of Resolution

Dimmock has made various promises to the investors, claiming that GWP Consulting, not him personally, owes the Farngalos ,000, and that he will "make whole" Ben Lee. However, the investors remain skeptical, with Lee stating that he has "heard that before" and the Farngalos expressing their disappointment at not having a property to show for their ,000 investment.As the legal battles continue, the investors who trusted Dimmock's real estate expertise are left grappling with the aftermath of what they believe to be a deceptive investment scheme. The case serves as a cautionary tale for those seeking quick returns in the real estate market, underscoring the importance of thorough due diligence and understanding the potential risks involved.