Real Estate Fraud and the Real Estate Investor: Banks can be victims too!

May 2008
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Updated 5/29/08 — 9:04 a.m. PT
Corrected 8/6/08 — 2:44 p.m. ET
Corrected 9/18/08 – 9:35 p.m. ET

The American dream of homeownership and the promise of legitimate real estate investment opportunities has long been under siege by a growing army of con artists, wannabe real estate professionals, and ill-informed homeowners and investors who honestly believe in the credentials of some so-called real estate professionals (real estate professionals, mind you, who regularly take no hostages—including banks—when they commit their bad acts).

Wannabe real estate professionals and opportunists like them are chipping away at the very foundation of homeownership and honest investment wealth in America. Their actions have fleeced honest homeowners and investors out of billions of dollars, artificially inflated housing prices and property taxes, made homes less accessible to honest citizens, and continue to drive homes into foreclosure at alarming rates.

Recently, a FlippingFrenzy.com reader from California contacted me to share her family’s allegations and suspicions about a potentially fraudulent real estate investment scheme that she believes involves a bank employee, an investment company, a rehab operation, and a so-called real estate management firm, all in Atlanta, Georgia. After participating in an expensive real estate investment seminar offered by the Trump organization, Dianne and Rob Alexander decided to take what they learned and invest in what they thought was a reasonable and honest out-of-state real estate investment. What they allegedly encountered is a different story.

In their own words (reprinted with Dianne and Rob Alexander’s permission):

Back in January of 2007, my husband Rob and I invested about $6,000 - $8,000 into Trump Real Estate Training. We decided that we wanted to be educated and become real estate investors. We attended two three-day weekends (six days total) of intensive training from the Trump organization on how to find, buy, rehab, and sell foreclosures. Trump’s trainers stressed the importance of having a whole team in place–from a banker you can trust to a skilled rehab team.

After doing some initial research, Rob and I decided that we wanted to make our first purchase in the Atlanta, Georgia area because the foreclosure properties there are so much less expensive than those in California where we live. Rob and I visited Atlanta in March of 2007 to see what was available. While we were there, we met Greg Patten from Omni National Bank - Atlanta to apply for a hard money loan in order to make our first purchase. We met in Greg Patten’s office and filled out an application. He took a copy of our driver’s licenses and social security cards. He ran our credit and approved us on the spot. (While in his presence, Greg discussed how Omni National Bank had been burned many times in 2006 by out of state investors and how he was reluctant to do business with non-Georgia resident investors again. However, my credit score was 809, so Greg said he would take a chance with us.)

(Greg Patten of Omni National Bank)

Greg Patten told us there would be a 15% down payment required on the first two homes we buy. Then, once we get “in and out of two deals with no problems” (Gregg’s words, not ours), we would no longer need a down payment.

After we returned home to California, we used the Internet to research specific homes available for purchase. We contacted Greg Patten by phone and showed him one home that we were interested in purchasing (on Dunning Street in Atlanta). It was a duplex that was built in 1965, and had an asking price of $115,000. The comps in that area of town were showing similar homes selling for around $170,000, and with a new sports stadium nearby, Dunning Street seemed like the perfect investment.

When we discussed the opportunity further with Greg Patten, he told us that Omni National Bank - Atlanta would only fund deals with out of state investors who went through someone named Delroy Davy (of DNK Investment Group), because Davy—according to Patten–was in and out of 17 deals with Patten/Omni National Bank without a single problem. Patton explained to us that Delroy Davy only bought and sold newer homes, which he said meant they never needed much rehab work. He also said that Davy had his own experienced and exclusive rehab team comprised of master carpenters from Romania. That was the first time that we heard of Delroy Davy or his rehab crew.

Editor’s note: Omni National Bank has informed Flipping Frenzy that although Omni does require a local presence before it will loan to out of state investors, it does not require any investor to work with Delroy Davy or other contractors specifically.

(Delroy Davy of DNK Investment Group/(c)2006 JiMiFLiX!)

I contacted Mr. Davy via email, and he immediately started sending us homes to look at as possible investment properties. (Note: As a result of Greg Patten’s demand that we work through Delroy Davy, we decided against purchasing the Dunning Street property). Davy’s assistant, someone named Dee Bryant, sent us pictures and comparables for several of Delroy’s recommended homes. He said they were all new homes, built after the year 2000, so they would not need much rehab. Compared to the homes Rob and I saw when we were in Atlanta on our own (including the Dunning Street property), Delroy’s recommended homes were perfect. They were newer and just as his assistant said, they did not require much work.

Based on Delroy’s information and Greg Patten’s instance on using Delroy, we decided to buy two homes from Davy: 1059 Garibaldi St. and 940 Eugenia Place, both in Atlanta.

(1059 Garibaldi St.)

At this point we convinced my cousin and her husband, John and Cheryl Beech, who were about to attend the same Trump workshop we went to back in January, not to attend the Trump training (which cost around $6,000); we instead told them that we had a real estate investment program that was awesome and well worth their time and money. We also talked another friend of ours, Rick Matthew, into considering investing with Delroy Davy.

Interestingly, when we talked to Delroy Davy about others wanting to buy homes from him as investment properties, he said he charged $15,000 one time to do business with anyone else. He said that the $15k would include airfare and a two-night hotel stay to fly the prospective investors to Atlanta to see his homes, meet with Greg Patten at Omni National Bank, and to get approved for loans. This was a one-time initiation fee, according to Davy (the new investors would never have to pay this fee again for any other homes they bought). Even more interesting, Delroy said he would split that fee with my husband and I just for finding these new investors. After we took the airfare and hotel stay out of the proceeds, we split $6,500 with Delroy.

Greg Patten and Omni National Bank - Atlanta approved the new investors for loans and even managed the appraisals (the appraisals yielded values of over $250,000 per home). Based on these appraisals, we all bought investment properties from Delroy Davy.

Rob and I flew out separately to meet with Delroy, pay our down payments amounting to $23,000, open Omni National Bank checking accounts, and sign closing documents. John Beech and Rick Matthews did the same. We each spent the weekend at a nearby hotel, and we all met with Delroy Davy and his partner Charles Bonney for two solid days. Davy and Bonny showed each of us several of Davy’s personal high-end homes (most were under construction at the time), then we went to see our homes. Davy and Bonney explained that the same crews who were building Delroy Davy’s $2 million personal homes were also doing the rehab on our homes. Delroy said he had his “A Team” working on these homes and his “B Team” working on our smaller properties, but he called his “A Team” down when he needed them. Rob and I felt like our rehab team was solid. Delroy Davy’s own homes were absolutely amazing, like dream mansions.

(Delroy Davy’s home in Atlanta / (c)2006 JiMiFLiX!)

On my trip, Delroy Davy took me to Bank of America to open a home equity line of credit (HELOC) since there was “so much equity” in the Garibaldi Street home. Mr. Davy said that he was taking 30% of my HELOC for finding me this home.

At Bank of America we met with Tamir Morris who did a desktop appraisal of our new investment home and said it had a high value of $404,000, and that I would easily be able to get a HELOC for $200,000. I was not comfortable giving Mr. Davy 30% of $200,000 so I said I wanted only $100,000.

Delroy Davy sat there and showed me the numbers right at Tamir Morris’ desk. He showed me what my loan payment would be once I refied through Bank of America. With the 1st and the HELOC, I should easily be able to find a renter who could cover both these loans. Delroy Davy told me I would receive $1,200 from Section 8 renters and might even have some positive cash flow each month. He said that I should never have to make a payment to Omni National Bank because it would be refied before the first payment was due.

The HELOC closed within the month without a problem. Money was deposited directly into my Bank of America account, and I approved the bank to give Delroy Davy his money.

Our refi was started with Leshia Jackson of Bank of America (whom I never actually met in person). We spoke by phone and she told me what she needed from Rob and myself, which I immediately sent from my home in California to a processing office in Jacksonville, Florida. Ms. Jackson confirmed by phone that she had everything she needed and that I should be closing soon. Then I waited, and waited, and waited some more. I called Leshia Jackson at Bank of America several times, but for some unknown reason at the time, she would not take my calls, nor would she return any of my many initial messages. I spoke with her once after that, when she apologized for not contacting me sooner, stating that she was on vacation and that things were just about finished on my refi.

I never heard from Leshia Jackson at Bank of America again.

I called Bank of America’s service center in Jacksonville a month later and was told our refi was declined due to the value of the home being too low. In stark contrast to what Delroy Davy told me in the presence of Tamir Morris at Bank of America, neither of the investment properties was eligible for refi due to value.

OK, so we had the repair work for these homes built into the loans through Omni National Bank. Delroy Davy and his repair team did all the rehab work. Once he completed the work, Greg Patten from Omni National Bank needed to sign off that all the repairs were in fact complete and correct, and then he could release payment for the rehab work to Delroy.

As a side note, Greg Patten admitted to us that he never actually checks to make sure that the appliances, electricity, air conditioning unit, or any of the lights actually work. In fact, the power to the properties in question was not even on turned on when he did his walkthrough! He only checks to make sure that appliances are in the structures. As it turns out, many of the appliances, water heaters, air conditioning and wiring have been faulty in several of our properties. Our friend, Rick Matthew (one of the other people we convinced to invest) has receipts showing that all of his appliances have been replaced in his two houses. As of today, we learned that there is absolutely no electricity running to the AC unit in one house!

I believe I even have photos of John and Cheryl Beech’s home (purchased from Delroy Davy also) with sleek black appliances, yet the tenant living there says the appliances are white and most do not work properly. I just happened to take pictures of the house so I could show my cousin how beautiful it was. This proves to us that Delroy Davy places new appliances in his home to show to and impress potential buyers, then switches them out once we had approved them.

My husband and I have called Greg Patten about the fact that he and Omni National Bank signed of on work that was not done, not completed, or done improperly. He has never assumed responsibility for any of this, and Rick Matthew has paid for his own investment property repairs out of pocket. Greg Patten actually said that he contacted the tenant in John and Cheryl Beech’s investment property to ask about the appliances and he told us that the tenant indicated that everything was fine. That tenant, however, tells us that she never told anyone that everything was fine, because in fact, it is not fine.

Next up: We signed lease agreements with a Delroy Davy-controlled property management entity called “Sedona Realty Group” to find renters for our investment homes. Sedona did all the work with Section 8 to get tenants placed in three of the investment properties. They sent us signed leasing agreements from our prospective tenants stating the two of the properties were getting $1,200 per month. Long story short, that was not true!

Our tenant–the one in the Garibaldi Street property–said she never agreed to pay $1,200 per month. My husband and I are receiving $758.00 per month through Section 8 and John Beech receives around $799, I believe. Delroy Davy went to the Section 8 office and completed paperwork on these properties as the owner of our investment homes. I believe his wife–Keesha Davy–may have even been listed as the owner on one of the homes.

(Keesha Davy (on left) / (c)2006 JiMiFLiX!!)

Once we ended our management agreements with Davy’s Sedona Realty Group, we found all this out. We all had to complete change of ownership papers with the Atlanta Housing Authority and send them HUDs to prove that we were owners and that they should be sending the monthly rent payments directly to us. I filed a complaint against Delroy Davy with the Section 8 office in Atlanta.

That’s our story in a nutshell. I hope that reading this helps others avoid a similar situation.

~ Dianne Alexander

Thank you, Dianne, for sharing your story. I know it’s not easy re-living these events. I assure you that at least one other person will come across your account of what happened to you and your friends and family, and whether they leave a comment here on the blog or not, your story will have inspired them to either not do business with the people mentioned in your story, or, like you said, think twice about entering into a similar situation themselves.

In the meantime, there is a lot of ground to cover here, so let’s get started. To summarize:

Delroy Davy, Keesha Davy, Charles Boney and others run a real estate company in Atlanta, Georgia, called DNK Investment Group.

Davy matches investors with investment properties for a $15,000 sign-up fee. Davy will split the fee for referrals given to him.

Delroy Davy has a relationship with Omni National Bank - Atlanta and Omni Atlanta loan officer Greg Patten.
Omni National Bank - Atlanta will only work with out-of-state investors if they go through Davy to find properties.

The appraised value of Alexander’s home–per Omni at the time hard money was loaned–was $250,000.

Delroy Davy took Dianne Alexander to Bank of America and Tamir Morris to secure a HELOC (home equity loan) on one of her properties. At this time, Bank of America’s desktop appraisal set the house’s value at $404,000. Dianne Alexander was told she could take out up to $200,000. Delroy Davy told Dianne Alexander that he would take 30% of whatever equity they drew out as a finder’s fee.

Dianne Alexander took out $100,000 of the “equity.” Bank of America transferred $30,000 to Delroy Davy.

Bank of America (BOA) was to refinance property to wrap the hard money loan (Omni) and the HELOC loan (BOA) into a single mortgage loan with BOA. This was never done and the house never qualified. The reason given by BOA’s refinance loan officer was that there was not enough value in the home to refinance it (i.e., loan to value ratio was too high).

The Alexander’s escrowed the rehab money with Omni National Bank (Greg Patten). Greg Patten was to sign off on all repairs before releasing monies to contractors. Delroy Davy and his repair team were the “contractors” used on the rehab. (Editor’s Note: Omni National Bank has informed Flipping Frenzy that all necessary inspections were done, and that it has the records and certifications of those inspections.) Nonetheless, according to Diane Alexander, rehab monies were released by Patten to Delroy Davy, without proper inspections. Again, according to Diane Alexander, appliances were faulty and there was no power to parts of the house. She also claims many appliances had to be replaced at additional cost to investors. (Editor’s Note: Omni Bank also informed Flipping Frenzy that it does not know if inspections were done as they should have been done.)

Several of the investment properties were rented “Section 8” through Davy’s Sedona Realty Group. The lease agreements sent to the Alexander’s by Sedona reflected $1,200 monthly rent. These agreements were signed by prospective tenants; the true rent was less than $800.

Finally, Delroy Davy held himself out as owner of the units to the Section 8 office (Atlanta Housing Authority) and registered as such with them. The Alexander’s had to provide closing statements and proof of ownership to have the Atlanta Housing Authority send the rent monies to them instead of Delroy Davy or Davy’s associates or one of his companies.

Analysis

Unlicensed REALTOR®: In Georgia, according to the Georgia Real Estate Commission, in order to promote and sell real estate, you must have a real estate license. According to the Georgia Real Estate Commission’s “Find a Real Estate Agent” searchable online database (free to the public, by the way), no one named Delroy Davy has ever held a Georgia Real Estate Commission Certification of Licensure. To be safe, we ran a similar search on Davy’s wife, Keesha Davy, who is described on Davy’s real estate investment firm website as the “dynamic self-starter” President of Sedona Realty, and “the backbone” of Davy’s DNK Investment Group. Here too, we found no record of Mrs. Davy ever having held a Georgia Real Estate Commission Certification of Licensure (which is odd, because on the same website, Keesha Davy is hailed for her real estate sales prowess while working in another Atlanta real estate firm–EDJ Realty–where she is positioned as having joined the “Millionaire Club” after only a few months on the job… I wonder what EDJ Realty owner, DeShawn Snow, would say about having had an unlicensed REALTOR® in her firm’s prestigious Millionaire Club?)

Now its quite possible that Keesha Davy’s maiden name is Keesha Legrand, which the Georgia Real Estate Commission’s “Find a Real Estate Agent” online searchable database says is a licensed real estate agent in the state of Georgia (9/2/05 - Present: Status is listed as “Active”). However, the DNK Investment Group website does not list anyone named Keesha Legrand under its “The Company” section (only Delroy Davy, Keesha Davy, Ples Bruce, Marsha Evans-Younger, and Charles Bonney), and the State of Georgia listing for Legrand is associated instead with an entity called Allure Realty Group, which similarly does not list a Keesha Legrand on its website.

Unlicensed Real Estate Company: Similarly, the Georgia Real Estate Commission has no record in its “Find a Real Estate Company” searchable online database of Davy’s investment company, DNK Investment Group (3355 Lenox Rd, Ste 750, Atlanta, GA 30326), or his real estate management firm, Sedona Realty Group (address unknown or perhaps the same as DNK’s). Again, in Georgia, according to the Georgia Real Estate Commission, in order to manage real estate, you must have a license.
Additionally, it should be noted that the State of Georgia’s “Search for a Business Entity” database does include a “Active/Compliance” status listing for Sedona Realty Group, but here again, being a registered LLC in the state of Georgia does not supersede or set aside the Georgia Real Estate Commission’s licensing requirements for companies.

Steering: Greg Patten of Omni National Bank allegedly demanded that a loan applicant (the Alexander’s) engage the services of a particular entity or their loan application would be denied. If true, such tactics—steering loan applicants in the direction of one REALTOR®, appraiser, contractor, what have you—are problematic. (Editor’s note: According to Omni National Bank, it does require a local presence before lending to out-of-state investors, however Omni does not demand that an applicant engage the services of a particular entity as a term of approval.)

Cutting Corners: Greg Patten allegedly told the Alexander’s that he does not verify that work to a property has actually been done before releasing funds. Checks and balances exist for a very good reason. For the bank employee responsible for ensuring his bank’s funds have been properly spent to say this, as the Alexander’s claim, is remarkable. In my experience, real estate industry insiders who cut corners usually do so on a frequent basis, especially when they have special (i.e., exclusive) relationships with Realtors, contractors, appraisers, and other industry insiders. (Editor’s note: Omni National Bank has informed Flipping Frenzy that it regularly performs inspections and that inspections were performed in this instance as well, and that they had never been given any reason to question the way the inspections were handled.)

Section 8 Silliness: As I mention in the summary above, Delroy Davy held himself out as owner of the Alexander’s investment properties (the properties that were presented to the Atlanta Housing Authority (AHA) as being available for Section 8-qualified tenants). Registering the Alexander’s rental units with the AHA under false representations surely is a violation of the law and is something that the Housing Authority of the City of Atlanta will want to look into.

Real estate is a multitrillion-dollar-a-year industry. It fuels the American economy; builds personal wealth; and employs millions of mortgage bankers, real estate professionals (including licensed Realtors), contractors, and others who make an honest living financing, buying, selling, and improving homes.

Unfortunately, money attracts more than homeowners, investors, and honest professionals. It also attracts thieves–people who are looking to score large amounts of quick cash by cheating others out of their hard-earned and invested money. Through various clever scams and schemes, con artists have figured ways to pick the pockets of the real estate industry, real estate investors, and individual homeowners, often with the assistance of the very professionals who stand to suffer most from the industry’s demise.

Posted By: Ralph Roberts @ 2:51 am
Filed under: Delroy Davy, Georgia, Greg Patten, Omni National Bank, Real Estate Fraud

103 Comments »

I can’t believe the bank was mixed up in something like this. DNK and Omni National Bank, and all the others involved is this scam are completely sleazy. No wonder our country is in such a mess. If you can’t trust a bank or find honest realtors to help you through the mortgage process, then why would anyone want to make a real estate investment? It is people like Davey and Patten who make me wary of investing large sums of money in real estate. I know there are a lot of honest realtors and banks out there, but buyer beware!

Comment by Kelly — May 29, 2008 @ 3:52 pm
Kelly, you sing my song when you say, “but buyer beware”. In many of my posts and comments here I usually end with , “CAVEAT EMPTOR, Buyer Beware.

This story further confirms what I have been saying and warning people about, trusting banks. Again, the reality is that without the BANKS, Federally Chartered and the Wall Street Bankers obvious willingness to fund, fund, fund without proper due diligence, MOST of the victims of fraud COULD NOT have been defrauded. If you can’t get the loan then you can’t get the house no matter how good the deal seems to be. There just “ain’t” no free lunch.

Speaking of free lunch, what wasn’t mentioned in any detail was the TRUMP Seminar. The problem begins here. These seminars ARE NOT what they seem to be. You are led to believe that “The Donald” is sharing HIS secrets and knowledge of success. In fact, these seminars are held by professional seminar companies, most located out of Utah, who have simply PURCHASED the right to sue the Trump name.

I went to one such seminar in my town not long ago. It was a one day session and DID offer a FREE LUNCH. there were over 800 attendees at this meeting as the featured speaker was Donald Trump’s son.

What we found when we got there was a series of speakers, each selling there secrets to success. I say selling because at the end of each session, the speaker had something for you to buy to “learn more”. Typically it was a set of books or another seminar. Costs ranged from $2500 to over $5,000. A couple sitting in front of me actually spent OVER $22,000 for their FREE LUNCH.

But to make matters worse, they were selling age old concepts such as how to acquire real estate for pennies with tax certificates, how to make money selling anything on E Bay, how to buy with no money down, etc., etc. etc.

The only reality at the seminar was that Trump’s son did actuallyl speak, tell us of his father’s success and show us pictures of his many properties. However, at NO POINT did any of the other speakers have anything to do with Donald Trump or his organization.

In short, Trump seminars are a fraud. The name lures you in and then you are suckered into paying thousands to learn “how to get rich quick” and how to do so with little or no money.

Had the Alexander’s never attended that seminar, the rest of the story probably would nevere have occurred. What got them to the seminar? The Trump name, SCAM #1.

Trump is in the business of selling or licensing his name. His name does draw a crowd and does establish credibility. But be aware that many of the Trump projects you see out there have simply purchased the rights to his name. There was one such condo project where I live but when the developer failed to pay the balance of what was supposedly a $5 Million dollar royalty fee, Trump withdrew his name and the project failed and shut down.

I have these questions for the Alexander’s.

1. If it were not a “Trump” seminar would you have attended?
2. Would you have pursued multiple real estate investments had you not gone to the seminar?
3. Was the first seminar session FREE?
4. Did you have to pay for the continueing sessions?
5. Do you feel, knowing what you know now, that the information you paid for at the seminar(s) is valid?
6. Would you recommend this seminar to anyone else?

We need to start looking at these scams from the top down not the bottom up.

Comment by Larry Rubinoff — May 29, 2008 @ 6:22 pm
I would like to respond to the question addressed to me about the Trump seminar. Honestly, I don’t have a problem with Trump University or any other education. The Trump speakers were amazing. They even talked at length about being aware of scams. I took over 100 pages of notes at those classes. I sat on the edge of my seat the entire weekend. They taught me an awful lot. They were also very motivating about the money that can be made in real estate.

You must remember, however, that they are salesman with a product to sell. They did a great job convincing us to buy their software that would make our research easier at an additional cost. We bought it. We did not find it useful, thus we were out $1000! They also continuously try to up sell you to their next level of training at a steep price.

To answer your question, Larry, yes the first seminar was free. Yes, we chose the Trump training because it is attached to someone who has proven you can succeed in real estate. Yes, we have attended other training seminars which follow the same strategy of an initial training class for free with a steep price attached to additional training. And finally, if money were no object for us, yes I would have very much enjoyed attending every seminar they offered!

I would not want to discourage anyone from continuing their education. But as you read in my story, I convinced my cousin and her husband not to spend their money at Trump because we had met someone with a foolproof program. Look where that got us both! My problem is with the predators who lied to us and stole our money. Not Trump.

Comment by Dianne Alexander — May 29, 2008 @ 9:28 pm
Looks like Dianne only paid $99,500 for the house on Garibaldi street on Sept. 21, 2007, DB 45736.21 (in the zip code with the highest rate of mortgage fraud in the nation), so she should have known a $200,000 HELOC was sketchy on such a cheap house. She may want to contact Gayle McKenzie witht he US Attorney’s Office in ATL. She knows more about these scams than anyone else and is top notch.

Comment by cassandra — June 1, 2008 @ 11:03 pm
Dianne:
I appreciate the time you took to respond to my questions. I too urge people to get “education”.

I am also happy to hear that you dd find the Trump Seminar informative and educational as well as it being worth the price.

There are new lessons to learn in our current economic situation, especially when it comes to real estate investing. It is still possible to invest and profit. With limited financing available it does make it more difficult.

I do commend you on the fact thtt you did look for a geographic area and market that had more stability and lower values then your home town even though the experience was negative.

I too have failed and lost in my career. Each loss or failure was part of my education and “tuition”.

Real estate investing has some very basic pricipals and much can be learned from some very good books available in most libraries. I mention this for those that maybe cannot afford seminars. Education is available if you seek it out and as you, Dianne, I encourage everyone to seek out the knowledge before playing.

Thanks again for the response. I wish you all the best in the future.

Comment by Larry Rubinoff — June 2, 2008 @ 11:58 pm
These people have no morals

Comment by James Morton — June 3, 2008 @ 12:03 am
This is really disgusting I also was scammed out of a substantial amount of money by Delroy Davy with the assistance of Greg Patten very recently. I know exactly where you are coming from I also know of some others who were scammed by Davy. Please send me an email address or a way to contact you I would like to see if action can be taken against these cowards. My email is shanej45@gmail.com. I look forward to hearing from you. Thanks

Comment by Shane — June 3, 2008 @ 12:09 am
I am committed to making sure Delroy Davy, Greg Patton, and all others involved in this scam are stopped. We also bought a property through him and all of our appliances as well as our heating and air conditioning and water heater are non-functioning and wired incorrectly. We paid (through Omni) for all new appliances and heating and air, water heater. According to our tenant Delroy has been bringing several investors into the property next door to ours on Smith street. Can I post HUGE signs that WARN potentiall buyers NOT to do business with Delroy?
Can we turn our story over to the local news stations/papers and even Oprah and 20/20, 60 Minutes??

Comment by Cheryl Beech — June 4, 2008 @ 4:36 pm
On Thursday, June 5, 2008, Greg Patten at Omni National Bank was told about our story regarding mortgage fraud involving him, Delroy Davy, Charles Bonney, and several others.

As of this morning, you can no longer visit dnkinvestmentgroup.com. Why, because they have shut down the site. They have done so because the site boasted a strong relationship between Greg at Omni and Delroy at DNK Investments. To their credit, it was an impressive site. For the novice investor it looked like they offered everything from financing, to locating properties at 50 cents on the dollar, to rehabbing them, to refinancing them, and finally to renting or selling them for you.

Isn’t it interesting that Greg and Delroy who one year ago conned my family, 6 of us in all, into buying 7 homes from them because they were a solid team and complete package, have decided to run for the hills!!

How sad for you, Greg, that you found it necessary to contact Delroy the second you heard about us going public so he would remove all proof of your relationship with him. Don’t worry, the authorities have every email and document ever produced from you.

How sad for you, Delroy, that your business partner no longer wants to be associated with you? Maybe you’ll feel some of what I have felt for the past 8 months when you stopped taking my calls.

This is so frustrating. I have told each of these people at one point what a terrible financial hardship their greediness has caused. Now I say it’s time we tell everyone!

Dianne Alexander

Comment by Dianne Alexander — June 6, 2008 @ 5:36 pm
I totally feel for you and all the people that have been scammed by Delroy Davy. My fiance was also taken by them, and all his homes went into foreclosure (3 to be exact). They were supposed to be managing and paying the mortgages, that didn’t happen they were keeping the renters money for themselves and this was in 2005 and they were under a different name. So when things get bad they change the name of the company and start over. But same game and same results.

Comment by Holly — June 17, 2008 @ 3:39 pm
I am sorry that has happened to you. Whatever I can do to help you I will. We should take a class action suit against them. They are known for doing this to alot of investors. Delroy has burned at least 20 investors. All of the investors have different stories for the creative ways Delroy has tried to make money off of them. They prey on investors who are just breaking into the real estate industry. First time investors are his specialty. This guy is a class act. He has his show all ready to go. He has the gift of gab, the appearance, the house, the car, I mean he is clean and sharp and he does all of this to get ready for his next victim. Delroy sticks around for about a year then he disappear and wont answer your calls. Delroy likes to show off his white mansion (which really doesn’t belong to him) to make investors think that he is sucessful and has a lot of money. The house is under his mothers name and his old company (he was a partner at this company at the time) sold it to her for him. So its like he sold the house to himself to reap the benefits. The house almost went into foreclosure for deliquent taxes and then he managed to borrow money to make them current. He scammed a few people to get the manison. He likes to fake it to make it. Everything he has is all for show to get more investors to work with him. He gets people to invest x amount of dollars for investment deals then take their investment and pay other investors who he owes money to for other deals. Its like robbing Peter to pay Paul. The money very rarely goes to the project. I must say he has gotten creative since I last dealt with him. I guess he is now saying the money is for a consulting fee. Before it used to be for renovations. I know Delroy very well and this sounds so typical of him. Everyone that meets him tend to think he is a nice guy becasue he is a smooth talker then he gets you right where he wants you then sticks you with a bad investment. Next year this time he will have a new name for his company. He may just create another company and put it in someone elses name.

Is he still paying investors to buy homes from his company?

FYI: Every home Delroy has ever sold went right back in foreclosure.

Comment by Burned by Delroy — June 18, 2008 @ 12:09 am
You should contact Gale Mckenzie. She prosecutes all the mortgage fraud cases in GA.

Comment by Burned by Delroy — June 18, 2008 @ 12:14 am
What is up with that pictures?

Comment by Pete — June 19, 2008 @ 2:56 pm
Yesterday I got a call from an air conditioning repair man named James Rambert. He was calling me to tell me that he has never been paid for the air conditioning unit that Delroy Davy had installed in my home on Garibaldi. His construction company, Sedona Realty, was responsible for the rehab on my home. The unit was ordered by Crystal Anderson, a property manager who works for Sedona Realty Group. I paid Delroy for the rehab of my home with funds from Omni Bank, but somehow the man who actually did the work has not been paid. I guess the list of Delroy Davy victims is growing.

Comment by Dianne Alexander — June 26, 2008 @ 3:16 pm
Dianne,
Why haven’t (or have you) filed any criminal charges against Bank of America ( a large entity), Omni Financial or DNK? Also, why haven’t you filed charges against Atlanta Housing Authority for negligence? Or any others who have claimed to be affected by these scams. Do you and your family members have law suits aginst these entities for fradulent activities?What legal steps have you taken to assure justice is served? I am sure a reputable bank like Omni would not justify continuing to employ Greg Patten if he was involved in any illegal fradulent activity linking back to their entity. Especially after being exposed on this website and after investing internal control in 2-2008! Did your Georgia properties go into foreclosure?

Comment by Curious in Chicago — July 2, 2008 @ 9:02 am
Mrs. Alexander, yes we got caught in same thing, in fact you purchased Eugenia from us after we purchased from Delroy with same promises

Comment by jj — July 2, 2008 @ 2:51 pm
Dear Curious in Chicago,

I wanted to respond to your comment. Yes, with the help and guidance of the Flipping Frenzy team, we have started to take action against all involved. First, we have filed individual formal complaints with the OCC, which stands for the Office of the Comptroller of the Currency, against Greg Patten and Omni National Bank as well as Tamir Morris and Leshea Jackson at Bank of America. I’ve learned that the OCC is the federal government agency that oversees national banks. I’m happy to say that within 24 hours of filing, we were assigned case numbers. We have also received written notice from the OCC that they have contacted the banks on our behalf and we should wait to hear directly from the Omni and Bank of America.

Next, we have each sent Requests for Investigation to the Georgia Real Estate Commission against Delroy Davy, Charles Bonney, Sedona Realty, and DNK Investment Group, Inc.

We have also corresponded with Gloria Green, General Counsel at the Atlanta Housing Authority, AHA. We have told them about our complaints against Delroy Davy, Sedona Realty, Dee Bryant, and Crystal Anderson, his property managers, and others. We are requesting that the AHA send us all documents that Delroy Davy and others involved with Sedona Realty filed at AHA, including the initial property application, inspection reports, and more. We are requesting all documents pertaining to our homes under our Freedom of Information Act, FOIA, rights. As of today, we are awaiting the arrival of these documents. We now think that the AHA is another of Delroy’s victims.

Last, the Flipping Frenzy team has shared all our investigative information with the U.S. Attorney General in Atlanta.

We are also looking forward sharing our story with 20/20, Dateline, Oprah, or anyone else who could help us spread the word.

So, yes, we have taken action against these people. It has become almost a full-time job to do this, but we are all very passionate about stopping these people from hurting others. Financially, this has been devastating to us. Every week there seems to be a new person who comes forward on this site who has been scammed by Delroy Davy and Greg Patten. I am an elementary teacher by trade, but in the last month I have taken a crash course in real estate and mortgage fraud thanks to Ralph Roberts, and his tireless team.

To answer your final question, no the homes are not in foreclosure. We have, however, not made last month’s payment to Omni.

Thanks! Dianne Alexander

Comment by Dianne Alexander — July 7, 2008 @ 4:50 pm
Please let us know when it is going to be on 20/20 or Oprah I would like to see it.

Comment by Bob McNeilly — July 7, 2008 @ 5:45 pm
Thanks for responding to my comments Dianne. Good for you! You can probably host an “Alexander Seminar” after this is all over! There is always good that comes out of bad:) I have heard of these scams quite often, but never to this extent.This story is very scary and yes, I can see how this has become a full-time job. Is Delroy Davy still in business? And if so, where and what is the name of his company. Do these people still work for Bank of America. I see where Greg is related to the owner of Omni!!! How nice! I have realtor friends in Ga. who I have passed this story along to. They want to know what appraisal company did these inflated appraisals?? There are lots of builders in Atlanta who are closing shop and probably even more after this story gets out!Have you heard any response from DNK/ Sedona Realty in defense to your allegations?

Comment by Curious in Chicago — July 9, 2008 @ 7:43 am
Yes, Delroy Davy is still doing business as Sedona Realty, Sedona Construction, and DNK Investment Group. He has, however, changed his website to remove Omni Bank as one of his contacts. My appraisals were done by Anthony Mitchell of Omni Appraisals Services, LLC. He valued our Garibaldi home at $250,000. We used this appraisal to help us make our decision regarding the purchase of the home because we believed it would be fair and unbiassed. We were particularly pleased with the following comment Mr. Mitchell added to our report, “Real estate market conditions appear to indicate stable market values within the subject area creating a good balance of supply and demand. Mortgage financing appears to be generally available with competitive interest rates.”

The last statement is exactly opposite of what Bank of America told us when we were denied a refi. They stated that Garibaldi St. has a high foreclosure rate and they would not lend there.

Thank you for helping us spread the word! Dianne

Comment by Dianne Alexander — July 10, 2008 @ 9:18 pm
Today, July 10, 2008, I received a call from the Atlanta Housing Authority. They, too, are now investigating Delroy Davy and Sedona Realty. They asked me to send them a copy of the fraudulent lease agreement that he signed. I was pleased to hear that there is a “red flag” attached to Mr. Davy and Sedona Realty at AHA. It will be a bit more difficult for Mr. Davy to work with them. Perhaps he will be forced to remove the Atlanta Housing Authority as one of DNK’s strategic partners from their website.

Comment by Dianne Alexander — July 10, 2008 @ 9:29 pm
So, you didn’t get a red flag when the Greg Patten suggested a RESPA violation? You didn’t contact a REALTOR to do the leg work that a REALTOR is good at? Doesn’t sound like you have an attorney advising you during this process either.

I’m surprised you were OK with your friends being charged $15,000 one time to do business with Delroy Davy - there are so many points at which you could have saved a lot of headache.

Comment by Surprised at naive people — July 15, 2008 @ 12:43 pm
“Real Estate Gurus and Beginner Boo-Boos”
To the editor of Flippingfrenzy.com, Ralph Roberts, and Dianne Alexander, I felt compelled and obligated to those who know and believe in me to respond to these ridiculous accusations.
First and foremost, Ralph, I am truly appalled at your tremendous effort to make my actions and those of my
company to appear fraudulent. The accusations that you were given could have easily been disproved by researching the public records. You even went as far as to pretend to be an investor inquiring about DNK’s services (yes we know it was you), to obtain our private information (such as agreements, presentations, etc). Now that is definitely fraudulent behavior! Sounds like you were just looking for a story to uplift yourself and
your website. I wonder how many of the celebrities that you have on your site will be suing you for libel slander?

Now for the issues at hand……Did you even think to check the tax records of the property that Dianne Alexander purchased? According to the tax assessment at the time of purchase, the property was valued at $200K; Dianne purchased it for $99K!
Dianne and Rob Alexander failed to mention that they have a real estate mentor who they paid over $100K. They both quit their jobs in search of the “Big Bang” in real estate to pursue their dreams of becoming huge real estate gurus. Being a seasoned investor, I would never advise them to do such a thing. That would cause tremendous hardship. This is what caused their financial demise, not purchasing a property from my company
for a mere $99K!

I referred them to several banks, not just Bank of America, to refinance in order to have some cushion while they were building their business. Bank of America gave them a HELOC for $100K out of which Dianne paid me the fees that were due to me. When have you ever heard of a financial institution just giving someone
money without a signature or authorization! Never! They also failed to mention that they paid their “mentor” $30K from that HELOC which could have been used for their financial security.
Dianne also failed to tell you that they developed their own company, profiting from the people they brought to me to purchase property. John Beech, which was one of her clients/ referees, refinanced his home through USAA a government bank for prior military. They paid their loan off with Omni and pulled money out. USAA did their own assessments, but I guess they are in cahoots with me too. Rick Matthews home appraised for
$265K which he purchased from me for $165K. All of this again, is public record. Rick obtained a HELOC from Bank of America and Dianne was paid from those funds through a company called MSI.

Bottom line, Omni gave them the loan; I sold them a house that was only a few years old at a very good price. All of this is public record for all to see. Omni, Bank of America as well as many banks are going through financial difficulty because of the many foreclosures. Omni has helped a lot of “True Investors” become successful in real estate when many other financial institutions would probably have never given them a second
look. Dianne’s problem is due to a lack of knowledge. Her mentor should never have advised her or anyone just beginning in real estate to quit their job. One would assume that they would have gotten better advice for $150K, but that is what happens when you assume. This is not fraud or flipping, but this is a couple who wanted to get rich quick through real estate and went about it the wrong way.

Dianne also did a BPO on her property before she bought it. She complained about the renovations but she failed to mention that her properties passed both the bank’s and City of Atlanta’s inspections in order to become section 8 ready. Many people are losing their homes; how is it my, Omni’s or Bank of America’s fault, we provided a service that Dianne requested. What I did for them was find, fix, occupy their property and only
REFER them to other lenders who could refinance them.

I also find it very disrespectful that they would take pics from our baby shower and post on this bash-site. This is clearly a violation of privacy and not to mention copyright laws. You all have gone very far to print a story that is not true, have no substance or validity in an effort to cover up your mistakes and blatant disregard for the rules of real estate. I made a 10% commission on the deals which are clearly stated on the HUD. I do not hide anything on my deals, which they wanted me to do when dealing
with their clients. No one who is a “True Real Estate Investor” expects the wholesaler to not make any money. That would be ludicrous, but they wanted to deceive their clients that way.

This all boils down to Dianne Alexander playing the poor damsel in distress who was taken advantage of by the big corporation and small intermediate company. You know, the economy has taken a plunge, foreclosures are up and everyone is looking for someone to blame. You were looking for a good story and so you all made the perfect pair. The truth of the matter is they made a very bad decision to quit their jobs knowing they were just
beginning in real estate investing. Real Estate Investing is a process, not a get rich quick deal and one $99K home purchase from my company was definitely not the cause of their hardship, it was their lack of knowledge.

In search of becoming “Gurus” they made terrible “Boo-Boos” and they should accept that, learn from it as many of us have, and move on. If you really want to stick to the facts and get the real truth, I can send them to you along with other key factors
that you can print. You don’t have to pretend to be an investor seeking my services to get it.

Sincerely,
Delroy Davy

Comment by Delroy Davy — July 16, 2008 @ 11:49 am
Hooray for you Mr. Davy! I knew that this would happen, if we watched long enough! The posting above truly sheds some interesting light fellow bloggers, don’t you think! You know what I find very very interesting is that you all actually think that a large corporation like B of A or Omni would actually violate RESPA for a few small potatoes! 17 deals, come on, people!!!They have bigger fish to fry and that tiny, tiny house you purchased Dianne would not even be worth the lot it was built on. I can see why Omni would tell you that they would only do business with you through Mr. Davy/ DNK (1) as most financial institutions, especially those in Georgia, (see how easy research is!!!) will not do business with out of state investors unless you already own property in that state; (2) and because of the declining market they want to make sure that you have local management to keep the place rented and their investment protected with rent monies!!!! I actually had to have a letter written by my management company specifying the agreement between us before getting approved for an investment property and it was my second loan with this particular bank.

This whole mess has no validity and if I was a betting man or woman, I would definitely say this all sounds like sour grapes! Sure you win some and you lose some, but you did not purchase enough property to have made a really big difference in your pockets, one way or another! If the mortgage was $1100 and you got $800 then you would be more ahead then most investors as it is hard to get cashflow your first time out, or even break even. If you take $300 and multiply by 9 months or so, you get $2700! If $2700 dollars caused you all of this stress, then real estate investing is definitely not for you!!! Real Estate investing is what it is, an investment! It is slow and steady, but if your nuture it, it will blossom into a world of wealth for you and your family.

If you took 100 pages of notes at a Trump seminar, then all of this should have been gravy for you. (Trump seminar, which is a joke and a scam all in itself, but they prey on people like you. Do you ever see Big Gurus at these seminars, unless they are speaking!!! No way!!) Tell me Dianne, how much was your household salary before all of this? What were your monthly deductions for bills and expenses? I dont want you to answer, I just want to bring a point, according to Mr. Davy’s post, you and your hubby quit your jobs, why would you do that????? Do you put your money in a CD or IRA and then say, “Well, we have arrived, so let’s stop working and watch our money grow instead!” No, you continued to have income, but also continued to save! Then a real estate investment is no different. Did you give any of these people part of your savings for your family’s survival or was it just money from the deals.

According to the Mr. Davy’s post you did your own BPO, what did you discover? Surely you will not suggest that your findings was that of what you accused Mr. Davy and the banks of doing and you still invested anyway? You were smart enough to sniff out this site, so I doubt that this was the case.

For all of your info, I did a little research of my own and have been following this cloud of hilarious horse crap since it was first posted and tell you all that I have come to the conclusion… bottomline, Dianne and all of these people (with 1 or 2 properties, oh this is ridiculous!) are capable adults who acted like sheep instead of sheep herders. It is a golden moment to see you all join forces as bloggers, but none of them have stepped to your defense in a court of law, because you all know it is pure BS. In the world of real estate, you cannot put on blinders.

I am curious, Dianne, as to why you never mentioned to the bloggers about your mentor and business partner (through MSI) as mentioned above in Mr. Davy’s post, whom you gave money to ($150K)? Why would you give him that kind of money and not blame him for your loses? Is there still some agreement between you all or was he just smart enough to have you acknolwedge an agreement between you guys that there would be no recourse? Did your friends and family know that you were making money off of them through this whole ordeal? Looks like you are just as guilty of scamming as you accuse the others of being. Looks like you all were just affected by this rough market, but you Dianne is the only one who did not have your financials in order to sustain the blow!!

I am not taking sides as it would seem, but I am a corporate lawyer and wonder why you have not pursued a lawsuit, but this website instead? The truth is that if you really had some evidence of malpractice, you would have pursued it in a heart beat as it seems you are all out of funds. As an attorney, I can tell you with confidence that if this had any substance, most would probably take it on for free. If not for the money, but the laughs that they will get.

You speak about their websites and how their partnerships are no longer visible…well what would you have done? Why would the banks disassociate themselves, when it was clearly them, according to you, that committed the fraud. Mr. Davy only sold you a house, right???? I see nowhere that he could be blamed for your financial instability. The banks gave you the loans, but why would a bank inflate home values to give you a loan that it is obviously you would not be able to afford??? All so they can have you foreclose??? That is a joke!!!! So they did all of these fraudulent things to do what, get back a piece of crap rental? No way!!! Really??

Come on, you have to admit that this is a huge knee slapper, but you are certainly making the site famous and giving a lot of advertisements for free. People are going to flock to these guys because of what you think is negative publicity, they will call them geniuses!! But on a much serious note, did you know that false allegations against a federally chartered entity, such as a bank, is a huge, huge risk and if you keep this up without valid evidence (not some piece of paper) you could get into very big trouble? If you have cut your ties and admitted your loss, then I will give you some free advice, move on! If there have been any violations, you can bet that all will get what they have coming. But if they come after you, you have no financial power/ backing to fight back! Not trying to discourage you if your complaints are valid violations, by all means seek justice! But if this is just some tactic to get back at these guys for your financial troubles, you better be careful. Looks like you are to blame for your decisions, not the loan or the seller!

The fact that you are watching these guys and their sites and then coming and reporting it makes you look unstable. This time should be spent recouping your loses and building a nest egg for your family. This site is not making you any money, but the site owner is getting huge publicity from your ignorance. You say you want to let the world know. Only an uneducated investor would actually find this valid. Your ignorance is bliss, but it is time to grow up now. This will continue to haunt you until you accept and release. Let me suggest that you read a few books: The Secret (which is also on video and cd) and The Richest Man in Babylon. Get those and read them and see if you can shed some new light on this whole mess for yourself.

What I will tell you is that if Mr. Davy can get properties for $99K that are worth $200K and he gets only a 10% commission, then I would give him a whirl! Congratulations, you have all just gave that guy free advertisements.

Comment by innocent by stander — July 16, 2008 @ 1:38 pm
Editor’s Note:

While we find nothing inappropriate or objectionable about the most recent comment to this blog entry, Flipping Frenzy readers should know that “innocent by stander” may not necessarily be an innocent bystander.

According to the IP record associated with “innocent by stander’s” comment, he/she posted their comment from a computer located in the same office or location as the computer used for the comment left earlier today by Mr. Delroy Davy.

Delroy Davy and Dianne Alexander both signed their names to their Flipping Frenzy comments. We encourage “innocent by stander” and all Flipping Frenzy users to do the same.

Comment by Editor's Note — July 16, 2008 @ 1:55 pm
There are always three sides to every story, yours, mine and the judge’s. When making accusations, we MUST ALWAYS look at ALL sides of the story.

I for one was glad to see Delroy’s response as well as the response from “innocent bystander” - regardless of who he/she may be.

Folks, combatting and exposing fraud is a noble effort and one I do believe in, however, as I have said numerous times in the past, our system still provides for innocence until proven guilty. In civil cases it is up to the Defendant to prove their innocence and in criminal cases it is up to the Plaintiff to prove guilt. Either way UNTIL guilt, beyond a shadow of a doubt is PROVEN by a Court of Competence, let us not be judge, jury and executioner.

I encourage people to tell their stories for no other reason then it alerts others to what I preach, CAVEAT EMPTOR, Buyer Beware. By hearing these stories maybe others will do a little more due diligence before entering into a transaction. If they do not feel comfortable with it then they shouild walk - even if it is a legitimate, good deal.

If many of these stories are true then the proper authorities should take action but let’s be somewhat cautious here also - if an accused party is found innocent - their lives are still disrupted and in some cases destroyed. Is this the true price we want to pay for “justice”?

There are fraudsters, bank robbers, child molesters, drug dealers and criminals of all shades and colors out there in our world, not just our society. We can’t and probably never will rid ourselves of this dark side of humanity but let us not be too quick to throw everyone to the wolves.

I take no position on the subject of this post. To this point it is all “heresay”. Let us wait and see how this all plays out.

One more item. Dianne, I still believe you were taken in by the Trump Seminar and spent an awful lot of money as a result, yet you still support them, why? I can’t say that the seminars are a scam, as they do provide information. It is however, not value received for the information - but then again, value received is just a personal opinion.

Comment by Larry Rubinoff — July 16, 2008 @ 3:24 pm
Dear Mr. Delroy Davy,

First, let me say that I am happy for the opportunity to finally communicate with you. I have tried contacting you by phone, text, and email several times per week since November of 2007 with no response, not one. The Beeches and Mr. Matthew’s phone calls and emails have also gone answered. I am grateful to the Flipping Frenzy team for giving me this open forum for a discussion.

Mr. Davy, where shall I begin. First, we were new and naive investors when we first met Greg Patten at Omni National Bank in Atlanta in March of 2007. He told us that his bank would only do business with out of state investors who went through your company, DNK Investment Group because you were reputable and had done several deals with Omni without any problem. I felt a bit more confident as a new investor to be connected with you. You were a complete package. You found the homes, rehabbed them, helped us get financing for them, and offered property management services for them. As noted in your DNK Real Estate Investment Group marketing package we could “…purchase properties wholesale through Omni National Bank”. Again, I quote from your material, “The DNK/Omni relationship is one that is dedicated to regentrification at its best”. We immediately shared your materials with two family members who bought into your program. Please reread my initial story dated May 29, 2008 to clarify that you split the initial $15,000 fee with us for “bringing” new investors to you. It was a true win/win scenario for all involved.

I was even more comfortable with our decision to buy homes through your investment group because we flew to Atlanta to meet you. You picked me up at the airport and took me to your multimillion dollar home in Lithonia. I was so impressed. We were going to be business partners. We would find investors in California who wanted to do business with you in Atlanta. We could all be wealthy like you! What great luck I had in meeting you!! You introduced me to your wife, Keesha and even allowed me to hold your beautiful son who was about to turn one. As a mother of four, I so enjoyed you sharing your personal life with me. I may not know real estate, but I know kids and I saw us building a professional and personal relationship. I am smiling as I write this at how ridiculous that even sounds!

Our agreement was that you would find the homes for us to buy, fix them, and we would split all profits made when we sold them. Instead, you made $16,000+ on my property alone on Garibaldi when I bought it from you. This is stated on the HUD. Then, you drove me to Bank of America, remember? I got a $100,000 HELOC and you took $33,000 of it. Again, you justified this because I was going to sell it for a $100,000 profit and still make money.

Now, you were going to help me refi the home so I could pay off the high interest loan at Omni and have affordable monthly payments that would be more than covered by the $1,200 per month you said I would get through Section 8. Next lie. You sent me a fraudulent lease agreement stating that I was going to get $1,200 from Section 8. This is signed by both you and our tenant. In reality, Section 8 pays me $758 per month. The tenant’s portion is $72 per month. I never got $1,200! Why did you lie to me. You did the exact same thing to the Beeches and Mr. Matthews. I have not been able to refi this home, even though I have a credit score of 810 from Bank of America. I was denied due to the home being on a high foreclosure street and the value of the home wasn’t enough. So, Delroy, I am stuck paying $1,025 monthly to Omni, $650 to Bank of America for my HELOC, plus taxes and insurance. You did the same to my husband, Rob for his home on Eugenia, to the Beeches for their home on Smith, and to Mr. Matthews for his homes on Moton and Rome. What’s worse, my loan at Omni is only for one year. It will balloon in September and I will need to pay the full balance of $99,000 or lose the home. Remember, no one will refi this home right now. Do you still want to say you are innocent here? If so, how?

I may be an uneducated investor, Mr. Davy, but make no mistake, I am NOT uneducated! I am doing everything in my power to bring justice to this situation. The flipping frenzy team has given me guidance to do so. I want to recoup my losses as best I can. I want my $33,000 back, I want the money you made up front on my home back, $16,000! I want my family reimbursed for the monies you’ve stolen from them. I also want you to not do this to anyone else. If you’ve read the comments, there are several others who have been scammed by you. We are in contact with them all. I am not crying wolf, sir. Every piece of correspondence you have had with us has been or will be turned over to the proper authorities. Once again, formal complaints have already been filed.

You can make this right, sir. Don’t prey on people and expect us not to fight back. Not this time anyway. Dianne Alexander

Comment by Dianne Alexander — July 16, 2008 @ 5:59 pm
Dear Mr. Rubinoff,

Again, may I comment on your response. We freely paid for the education we received through Trump. I agree that it was quite a bit of money, but we knew the fees up front. The Trump University did not lie to me and attempt to steal from me. We made this decision to gain information. I am in no way promoting their progam, but I was not cheated by them.

Comment by Dianne Alexander — July 16, 2008 @ 6:05 pm
Dianne,
If you hadn’t purchased all those “get rich in real estate” seminars from a seminar group that has purchased the Trump name and is probably headquartered out of Utah, then perhaps, just perhaps, you would not have entered into the sophisticated real estate investment arena. In fact, most people that purchase these ongoing seminars for tens of thousands of dollars DO NOT SUCCEED. You are not alone. The tactics they teach may work some of the time, if at all, and are all based on market conditions, the economy and the geographic locations being perfect. If all seminar attendees were to fully realize the potential of their “educations” then we would have an awful lot of wealthy people out there singing their (seminar guru’s) praise.

I still profess that had you not gone to that seminar, paid all that money to them, you may not be in the situation you are in now.

In addition, these seminars spurn an entire group of people who do nothing but cater to people like yourself that purchase these courses.

One other question. The BofA HELOC you got for $100K, $33K went to Delroy, what happened to the other $67,000. If you still have it then perhaps you can pay down your HELOC and reduce the payment bringing you a little closer to break even. If you used that money on other things, then you certainly owe it back. You can’t have it all.

Don’t get me wrong, I do see some issues in your dealings and perhaps those issues are wrong and punishable - like why and under what type of agreement did you pay out the $33K? If Delroy was not a Realtor then how did you pay him commissions and under what type of agreement?

These are issues, many you pose are market related and no one could predict what it would do. The whole market as you well know, in California, Georgia, Florida, Nevada, Michigan and many other states are severly deflated and continuing to deflate.

Had the economy and market held up, you may not have been in the situation you are in now and we never would have heard from you.

We are seeing depreciated values of up to 50% where I live. No one is happy, how can they be. We are all living in probably the worst economic times in our country’s history. The entire nation is at risk and in trouble. Millions of Americans have lost, some due to fraud but the majority because of the current economic “disaster” whcih in itself may all have been fraud.
All of us a victims in some way.

The blame, as we will see, is on those who made the bubble possible then poked a pin in it. The FBI is currently investigating 26 banks/lenders including Indymac for fraudulent practices.

Were it not for how money was made so readily available, you may not have qualified (just conjecture on my part). I do know however, that many who “invested” in real estate would not have qualified and cannot today. Reality being they did not then and do not today have sufficient income to support all those loans.

I am sure you were not taught in those seminars that you should be prepared for downturns, vacancies or other issues in which you might have to support the property on your own. No, I don’t think they teach you the downsides, just the upside.

In my experience in this industry, most Americans barely qualify for their primary residence, let alone multiple investment properties.

Look to the very top and you will see fraud like never before.

Comment by Larry Rubinoff — July 16, 2008 @ 9:20 pm
On October 4,2007 I made arrangements with Delroy Davy of DNK Real Estate Investment Group and Sedona Realty Group to meet with Mr. Gregg Patten, Redevelopment Loan Officer of Omni National Bank for the purpose of purchasing two foreclosed properties. When we (my daughter and I) arrived we were told that my down payment was enough to purchase an additional property free and clear so at the time I thought that was a bonus!

All properties had appraisals (done by Omni Appraisal Services, LLC) that indicated the
properties were worth in excess of $100,000 each for the two I planned on purchasing, but I had no indication as to the value of the third (where all the down was placed at Omni’s direction. I subsequently received a copy of an appraisal dated 7/27/2007 once again from Omni Appraisal Service, LLC indicating a rough value of $46,000 which was $2,809 less than I paid for it!)

Mr. Davy walked us from the Redevelopment Section to set up a Personal account to establish a voucher account so his Construction Co. (Sedona Construction) could start rehabilitating the properties using the monies set aside by Omni for the estimated repairs.

Prior to arriving in Atlanta, I was informed that since I was an out of state buyer, I needed to have 15% down on the properties and would be charged at hard money rates until I had “proven” myself as an investor. Then after 3 deals, the rate would be reduced. I also had to use Mr. Davy to do the work since he (Mr. Patten) had a good working relationship with Sedona Construction and felt they were the firm to use for the repairs!

I subsequently sign the closing documents with Omni’s Attorney Firm; Stevens, Coopers & Burditt, LLC which was also located in the same building as Omni NB.

From there Mr. Davy took us to a Bank of America branch where we started the paper work with Miss Leshia Jackson (770-482-3230). Miss Jackson is very hard to get in contact with, but she seemed to be friendly with Mr. Davy.

From there Mr. Davy took us to visit several other homes that were vacant as well as to see our two homes that we purchased. We never did physically visit the Riley property since it was at least an hour drive from Atlanta. He also took us to a large home that he had just completed and was ready to be sold along with visiting his personal residence and meeting his wife Keesha, and young baby. I think he wanted to impress us with his Construction Co’s work and his success as part of his sales technique!

Upon returning back to California we communicated mostly with email, since Mr. Davy and Mr. Patten are very hard to contact using a phone and even Mr. Pattens’ voice mail recommends he be contact by email (678-244-6349).

As time went on, vouchers were drawn on the properties (as monitored by my online access account), but not much communications from Mr. Davy nor Mr. Patten as to what work was or had been completed nor inspections being made by Omni as to the completion of said work? All in all we had a difficult time finding out what was done and an even much harder time trying to get refinancing or selling the properties because the appraisal that I received from Countrywide (trying to refinance) on our Rome property was less than my final cost to purchase this property! So, obviously I could not refinance this property and had to continue to pay Omni NB their high hard money rates. The Moton property (built in 2005 and never occupied) was finally approved for a HELOC with BofA, but the Rome property never was!

I also discovered that half the appliances had problems that needed to be addressed including replacing the dishwasher at our Rome location. And now we find out that the A/C unit has a problem. I also had to pay a pass due utility bill of over $1300 that Sedona Realty did not pay. I discussed the problems with Mr. Patten along with that of our newly hired management firm (AJ Properties) and he failed to address the issues including stating it was our contractor – yet, recalling, Mr. Patten pushed us toward using Mr. Davy’s Construction firm, Omni (Mr. Patten) allowed them to draw on the voucher system with no apparent inspections of each property to see if appliances, A/C or anything else was operational or work completed.

In regards to Sedona Realty (owned by Mr. Davy), they placed an AHA tenant in the property December 1 of 2007 for which we were not aware, collected rents and did not pass on any to me. We fired Sedona Realty as property managers and found out about the tenant, subsequently requested the information and back rents and had to sign a waiver of liability for wrongful actions in order to have our own money sent to us.

In regards to my Moton property, it seems that hardly anything was done on it including bad wiring, disposal not connected properly, plumbing leak internally creating a mold problem and externally underground in the yard. Also the A/C needed parts replaced among other items with out of pocket cost close to $3,000 to date. I also had to purchase appliances of roughly $ 1,370. Again, Mr. Patten must not have inspected (or someone in his office did not) the property for completion and yet allowed vouchers to be paid! I have an email from my then property manager questioning him and she said he told her that he only had to see the appliance’s were on premises and was not responsible to see if they worked?

Another major issue is the way the closing documents tied all three properties together as collateral which in turn in my mind would make it very hard to sell and probably impossible to refinance either individually if it was even possible to do so with correct valuations?

In summary, we think that Omni National Bank’s Redevelopment Dept., their Appraisers that justified the values on the properties as required by Omni to fund the loan and the Attorney firm are all at fault and created a situation that was immoral and probably illegal.

Finally, to show the lack of communications and abilities of Omni NB, I have in my possession roughly 12 separate pages of communications over a two months period between Omni bank, my contact Gregg Patten and myself trying to resolve an issue between us and Omni because they charged me for Insurance coverage when it was placed and paid for! They finally credited me back the Insurance premium on 5/2/2008 but to date still have not reimbursed me for the over charge on interest on my monthly installment of $9.26 for the additional insurance placement. One can tell from this documentation all my efforts to get this little correction made the amount of time and lack of cooperation by Omni National Bank!

Comment by Rick — July 17, 2008 @ 12:39 pm
Now I see, Mr. Editor, that no one else was asked to post their names except for someone that seemed to be for me, when actually they are not, they are just commenting to what they have observed. But I know you would never remove the comments without names, INCLUDING YOURS, MR. EDITOR!

Comment by Delroy Davy — July 17, 2008 @ 12:44 pm
Rick: Some questions.
Is Sedona Realty a licensed Real Estate company?

Is the Redevelopment company a licensed contractor?

Does GA like FL require Rehab/construction work be done by a state licensed contractor?

As to your Omni Bank loan, are all three properties encubered under one loan? If so, there should be a release schedule and clause allowing you to sell and pay off part of the loan relating to the value of each proerty.

Have you had any of the properties appraised yourself?
Of course, values are declining in most markets and that downturn is affecting millions of homeowners and investors.

Are you renting out your properties currently and using a different real estate company?

How close to break even are you?

How well did the law firm explain everything you signed at closing?
How well did they answer any questions you may have had for each document before you signed them?

One last question. I assume you went to BofA to get a HELOC. If so, did you pay Delroy anything out of the proceeds as Dianne did? If so, under what agreement, written or oral?

As to the insurance issue you had with Omni, not that it makes it any better, but many, many people go through the same thing with the largest and best known banks and servicers. This is a systemic problem not an Omni specific problem.

Comment by Larry Rubinoff — July 18, 2008 @ 11:39 am
Dear Delroy Davy,

I would like you to respond to why you lied about how much I was receiving from Section 8? I can’t make my mortgage payment because you put a tenant in my home and told me that I was getting $1,200 per month. Section 8 sends me $850. Why would you do that! You did it to the Beeches and Rick? You knew that would be a financial hardship on us? Why?? We trusted you, we believed your fake lease agreements. Sour grapes, Delroy, really? I have to pay a $1025 payment to Omni, a $600 payment on my HELOC and taxes and insurance and I’m getting $850. How do you do this and not feel responsible?

Here is an offer, sir. These transactions did not go as you promised. You took $16,000 from me when I bought Garibaldi. But our signed agreement says that you were to get half of the profit I made when I sold or refied the property. If you are an honest man, return that $16,000 to me. Second, I can not refi this home because I owe more than it is worth due to the HELOC. I am living off my portion of that money, but since you promised me I would be able to refi and I haven’t, then return the $33,000 so I can pay down that loan.

If you are really the man you say you are, then prove it. Do the right thing. I look forward to your response.

Comment by Dianne Alexander — July 21, 2008 @ 3:28 pm
Dear Dianne Alexander I can tell you why he did it.
Buyer beware

Comment by Bob McNeilly — July 22, 2008 @ 12:29 am
Dianne,

Email me please. rentman674@yahoo.com

Comment by Renton James — August 4, 2008 @ 11:08 am
Dianne,

I was guided to this website by a friend, and I know what you are going thru with your situation. I am sad to say that you will not see a dime of your money from this person. I know this because I have tried for the past two years to get Mr. Davy to do the right thing by a person I know, but to this day he has not done the right thing. He fooled this person with his lies, and destroyed this persons credit. This person has lost everything that he owns, and this person and his family lost their home. He did not even try to help this person save his home or help them find another place to live.

It is sad to say that unless you have a written agreement with Mr. Davy, to where he owes you this money. You may be hard pressed to get any relief from him. As for Omni Bank, you might be able to get relief from them, due to the fact that you were told that they would only work with out of state investors thru Mr. Davy. Not only have they said that to you, but there is a person, from the state of Georgia, that this was told to as well.

I know, from your past post, that you are in contact with others. There is probably one person you have not talked to yet, who may give you some insite on what Mr. Davy did to them. If you e-mail me, I will get you in contact with that person. They may be a key in helping you in any civil or criminal pursuits of Mr. Davy.

For all those who say, “Buyer Beware”, you all are so very right. Don’t think that everyone who clam to be a Real Estate Guru or Expert, have your interest in mind. I know Mr. Davy well, and watched him weave his lies. If he has no care about a person and their small children being put out of their home, and broke, why would he care about anyone else.

Comment by Renton James — August 4, 2008 @ 4:37 pm
Caveat Emptor

Comment by Larry Rubinoff — August 4, 2008 @ 6:50 pm
What do you get out of posting that repeatedly, Larry? It’s the equivalent of “Tough noogies, Sucker” and I doubt that’s truly how you want to present yourself.

Comment by Dawn McNeilly — August 4, 2008 @ 9:11 pm
We too, John and Cheryl Beech, have been cheated and deceived by Delroy Davy and Greg Patton. I do not have time at this current moment to post our entire story, but, it all rings almost identically to that of Diannes, Ricks, Larry’s and the others. Mr. Davy took money on the front end of our deal (16K to be exact), he was paid for rehab work, including new appliances, but put non-functioning ones in the home–more than likely AFTER the section 8 inspection. According to our tenent (that Delroy found and placed in our home)when she first looked at the home, there were no appliances in it and when she did her walk through the appliances were different than the ones that we just recently had to replace because they did not work. Moreover, Mr Davy sent us notice of rent payment on Dec. 17 for our Nov and Dec 07 rent and yet no money EVER made it to our account. When I called him–it took 5 calls to get through to him–he told me that AHA is ALWAYS atleast 45 days behind on first time transactions and not to worry, he would look into it. He did not and he did not call me back. I called AHA myself to find out that Sedona was paid the first week of Dec for Nov and Dec and they were also paid for January–I called Delroy back and at that point he told me he had our account number wrong and so the monies were sent back to him–interestingly, the account noted on the deposit slip he sent us was correct. Our tenant agreement was also for $1200. per month and yet the truth and actual amount of rent from my tenant is $43. and $721. from AHA–not even close to $1200. I am saddened for the tenants of these properties because they are victims as well and due to this fraudulent behavior, they risk losing their assistance. I will post our whole story and my call logs at another time, but let it suffice to say, I do not claim to be without fault, we should have done much, much more research on our own and we should have NEVER allowed other people to control our money. We are not uneducated fools nor are we cowards and regardless if we ever recoup the stolen monies, we will not sit back without warning others and hopefully putting a stop to this behavior. We answer to GOD, not men and we trust GOD fully and not men, there is far more at stake then being convicted of the aforementioned charges. I pray daily that Delroy, Gregg, Charles, Keesha, D Bryant, Will and all others involved in this ugly mess will be convicted of Sin, righteousness and judgement and receive true salvation. We are all sinners and fall short of the Glory of God and are in need of a Savior. True and lasting justice will be served, no question about it. Eternity is a long time.

Comment by Cheryl Beech — August 4, 2008 @ 10:56 pm
Dawn:
For one, I was agreeing with Renton James - see the last paragraph of his comment.

Secondly and most importantly, I continue to warn the public and tell them to be cautious of any transaction they enter into. It is meant only as a warning and not as you say, “Tough noogies, Sucker”. QUITE THE OPPOSITE. It is obvious from all of these posts that the fraudster or criminal is very hard to detect. We only hear the stories after the crime and the victims already victimized. These criminals seem honest, legitimate and above all trustworthy citizens of the community.

All I keep saying Dawn, is that all that glitters is not gold. To avoid becoming a victim “Caveat Emptor”. Too many of us, myself included, have believed in someone or something and been taken in.

I was raised on trust, honesty and the notion that a handshake was as good as, if not better then, a written contract. Unfortunately that is no longer the case.

Sorry Dawn if you misunderstand my intentions. Hopefully this clarifies for you.

Comment by Larry Rubinoff — August 5, 2008 @ 3:54 pm
Thanks, Larry. I’m confident that wasn’t your intention, but I’m not sure you realize how it comes off when it’s posted repeatedly.

I tend to agree with your comments on these topics, and find myself nodding my head with many of your points. I wish I knew how to get people to understand that you can’t take ANYONE at face value. It’s truly a shame.

Comment by Dawn McNeilly — August 5, 2008 @ 8:57 pm
Dear Mr. James,

Thank you for your response. I didn’t know where to go for help. I am so lucky to have found the flipping frenzy team to guide me through this. I am sorry that this has happened to your friend as well. Unfortunately, the list of victims continues to grow. Part of the reason we want to pursue this is to stop Mr. Davy from doing this to others. Now, at lease, if a potential investor were to google Delroy, the first several hits are all about fraud. Please feel free to give my email to your friend.

All my best,
Dianne

Comment by Dianne Alexander — August 7, 2008 @ 12:36 am
I wanted to share Delroy Davy’s contact page from his website dnkinvestmentgroup.com. Mr. Rubinoff and others have mentioned several times about buyer beware. I thought it might be helpful to show others just how professional, honest, and sincere, criminals can appear in an attempt to lure in new investors. Mr. Davy promises to, and I quote,”… help ordinary investors create extra-ordinary lifestyles.” He mentions that he is an ex-marine, stays active in his community, and family is his motivation. His wife, Keesha, is apparently,”…dedicated to customer service.” His partner, Charles Bonney is a philanthropist who specializes in the non-profit arena, and has a wife and beautiful children. The list goes on.

The facts are that my husband and I, as well as others, met with Greg Patten at Omni National Bank in Atlanta. We were told as out of state investors we MUST work with Delroy Davy at Sedona Realty because he has a successful track record with them. We trusted this recommendation. We signed an agreement with Delroy Davy. We flew there and were escorted by Delroy Davy and Charles Bonney to both of their personal homes, met Delroy’’s family, visited several of his available properties, had appraisals done on the homes we were interested in, and bought them.

We believed we did do our homework. We trusted the recommendation of an officer at a national bank, we believed the appraisals done on the home, by Omni, to be accurate, not grossly overinflated. We read Mr. Davy’s website and found it professional and inviting.

We weren’t expecting that Mr. Davy and D’Andrea Bryant would send us fraudulent lease agreements from tenants overstating the amount of rent we would receive by close to $700 monthly. We weren’t expecting that Mr. Davy would take $33,000 of a HELOC from me for a home that would never appraise in order to refinance. We weren’t expecting that Greg Patten from Omni, would not inspect our homes to guarantee that the rehab work done by Delroy Davy through Sedona Construction actually was completed. Have I ever mentioned that Mr. Davy received all the draw money from Omni for rehabbing our homes, however, once we had tenants, it turns out that Delroy never even wired the new air condioners to the homes!! We have receipts for all the repair work we had to have done after our tenants moved in. He put brand new appliances into the homes when we came to look at them, but when our tenants moved in they had been replaced with older, non-working units. We have replaced what was to be brand new stoves, ovens, and water heaters with new ones because the ones he put in the units were not even able to be fixed. Delroy Davy and Greg Patten had completely stopped taking our repeated calls and emails in an attempt to discuss this with them. I can assure you that this is NOT excellent customer service! This is dishonest and illegal. We are NOT their only victims. We have now even been directed to file police reports in our cities!

These people are theives who can disguise themselves well. We are victims who are seeking recourse. I urge you all to visit his site personally at dnkinvestmentgroup.com. I have copied the contact page from their website for you to see. Thanks. Dianne

= = = = = = = = =
DNK Investment Group is an Atlanta based firm that evolved from a small group to a global investment alliance. Collectively the management team has over twenty-five years of real estate experience, fifty years of corporate as well as entrepreneurial experience. They share the belief that abundance is grounded in helping others and know the power of partnering with investors to create lasting value.

The Management Team
Delroy Davy

Delroy Davy, a builder by trade, is highly respected in the real estate industry. He holds over thirteen years of real estate experience in buying, rehabbing, selling foreclosures as well as building high-end construction projects. He is the founder of DNK Investment Group, a unique investment program which involves a turnkey, end-to-end proven system that works in all real estate climates.

He grew up in New Jersey where his family quickly immersed him into real estate at an early age. Delroy has devoted himself to helping others obtain their own financial goals by providing real estate solutions, consulting and mentoring. He has integrated an alliance of individuals, small business owners and various companies to focus on revitalizing downtown Atlanta and surrounding communities.

Delroy served in the U.S. Marines from 1990 to 1996. He is a project manager by vocation and a graduate of Delaware Tech University. Family is his key motivation in life and he continues to stay very active in the community.

Keesha Davy
Keesha Davy, a dynamic self-starter, is the President of Sedona Realty (the backbone of the DNK Investment Group). Together, Keesha and Delroy, founded the DNK Investment Group based on the principle of helping others & building wealth through real estate acquisition.

Keesha began her real estate career in the wonderful city of Las Vegas. She has been licensed in Georgia since 2005 and was inducted into the EDJ Realty “Millionaire Club” after only a few months.

Keesha’s core function, of course, is buying and selling real estate to support the strategic, turnkey solutions of the DNK investors. She is passionate about her profession and dedicated to excellent customer service.

Ples Bruce
Ples Bruce has over 20 years of Sales experience with Fortune 500 companies as well as entrepreneurial and start-up enterprises. His primary focus with DNK is sales, marketing, strategic planning and organizational development.

Ples also has extensive management and IT experience based on the following previous positions:

Director of Global Sales, INDUSA Global, responsible for the execution of the strategic revenue goals and objectives
Account Executive for Dell, Inc.
IBM Senior e-Business Consultant
Co-founder and President of Topology Systems, Inc. an information management services firm, specializing in Year 2K software solutions.
After graduating from the United States Naval Academy in Annapolis, Maryland, Ples served as the Navigator aboard a Knox-Class Destroyer in San Diego and Seattle. He is a native of Atlanta where he currently lives.
Marsha Evans-Younger
Marsha Evans-Younger provides mortgage lending expertise and experience to the DNK team. She is Senior Vice President of Lifestyle Mortgage, LLC, a mortgage company that offers residential financing to individuals seeking home ownership. Marsha consults regularly with potential home buyers and investors groups on products and solutions to better serve them in the market place.

Her corporate experience includes creating and managing a risk management division for a fortune 500 insurance company.

Raised in Darlington, South Carolina, Marsha now lives with her husband and two children in Alpharetta, GA. She graduated from Savannah State University with a BS in Marketing. She is actively involved in her community, a member of the ABWA and a board member of Mahogany, a nonprofit organization for affordable housings.

Charles Bonney
Charles Bonney brings a wealth of project management and corporate leadership skills to the DNK team. Charles manages the new construction and development of the high-end projects ensuring timely, within-budget completion. He brings 15 years of corporate experience to the team, providing a rich store of firsthand knowledge.

Charles also runs SMART Alliance Investment Group. This company provides project management resources to Investment groups, non-profit and philanthropy organizations. He assists companies in aligning their projects to their business objectives.

Charles is a graduate of the University of California at Berkeley. He also holds a Project Management Certification (PMI). Charles is married of 12 years with 2 beautiful children.

For more information, please contact us at info@dnkinvestmentgroup.com

Headquartered in Lithonia, Georgia, our company is a regionally recognized, innovative investment firm specializing in strategic research and real estate investment planning. Our team has the credentials and experience to help you achieve success.

Delroy Davy
Chairman and Founder
Delroy Davy is a builder by trade and is highly respected in the real estate industry. He holds over thirteen years of real estate experience in buying, rehabbing, and selling foreclosures as well as high end building projects.

Charles Bonney
New Construction Project Manager
Charles Bonney specializes in managing our many new construction projects. He has an extensive background in project management and ensures that all new and current projects remain on schedule and on budget for our senior investors. He brings 15 years of corporate experience to our projects, providing a rich store of firsthand knowledge from which to draw.

Krystal McWilliams
Property Manager
Crystal spearheads our property management division. She provides top caliber service and care for our investors’ properties. Her division ensures quick, effective tenant placement, monthly property statements, and efficient collection and disbursement of rents.

DiAndrea Bryant
Investor Relations
DiAndrea is responsible for fielding and resolving investor questions and concerns. She is responsible for keeping investors informed of current projects, income opportunities and the distribution of monthly investor statements and reports.

Comment by Dianne Alexander — August 13, 2008 @ 6:23 pm
I first contacted flippingfrenzy about my dealings with Greg Patten at Omni National Bank and Delroy Davy of Sedona Realty Group in Atlanta back in May of this year. Since then, I have done hours upon hours of research as to how I could have fallen for such an obviously unfair and fraudulent real estate transaction. It would seem that if I had done this much research before I made this investment, then I would certainly not have needed to elict the help of those at this site.

In reality, I did do research before investing. Delroy presented me with several comparable sales to prove that I was buying this home at less than 50 cents on the dollar. He offered a complete rehab team and even took me on a tour of some of the work they had done. Finally, his company provided complete property management so I wouldn’t have to worry about placing tenants, collecting rents, or repairs that might need completed. What’s more, Greg Patten, at Omni had gone so far as tell me that his company would only lend me money if I bought from Delroy because he had a proven, successful track record with Omni. I honestly felt like I was “in good hands”.

I have spent much time researching the background of all involved in what I can only call a ‘real estate scam’. I have visited Omni’s website often, looking for something that might help me understand how I could have fallen victim to them. I made no attempt to hide the fact that this was my first actual purchase since being armed with the knowledge I gained at the Trump seminar. I must have seemed quite naive to them. Perhaps they saw me as easy prey.

Recently I came across the archive press releases from Omni dating back to 2006. In October of 2006, they boasted record earnings growth of over 80%! Jeffrey Levine, Executive Vice President, Redevelopment Lending announced the opening of Omni’s sixth redevelopment lending office in Philadelphia. I have copied the company’s mission statement as it appeared in this press release. “Our company began making inner-city redevelopment loans in Atlanta, Georgia in 1992. We have been a pioneer in redevelopment lending and are now a recognized leader in five states. Our mission is to promote inner-city development at significantly lower rates than our competition. We are excited to bring our expertise to the Philadelphia area.”

As an investor, I would see them as a stable, solid company serving Atlanta for 16 years, with strong ethics. As stated in a press release on 1/24/07, “The closing price of Omni Financial Services, Inc. common stock on December 29, 2006 (the last trading day of the year) was $10.42 per share.” They considered this a very good beginning to 2007. Sidenote: When I checked Yahoo Finance this evening, Omni Financial Services closed at $0.52!

I wish I could say that I had, in fact, done this research prior to purchasing a home from Omni, but I hadn’t. Nevertheless, based on the first few press releases I have studied, I don’t see anything that would have steered me away from doing business with Omni. I have decided to study all the company’s investor press releases in an attempt to better understand them. I look forward to sharing my findings here. Please, feel free to post your insights on this. I have learned from some of your comments, and I look forward to reading more of them.

Omni’s “naive investor”, Dianne

Comment by Dianne Alexander — August 20, 2008 @ 2:19 am
Dianne:
I truly respect your openness.

Comment by Larry Rubinoff — August 20, 2008 @ 2:52 pm
Thank you for that, Mr. Rubinoff.

Okay, day two of my review of Omni’s press releases. The first thing I noticed today is that based on the press release dated 9/29/06, Omni offered it’s first common stock available for sale to the public. It sold 3.35 million shares at $9.50 per share. It began trading on the Nasdaq Global Market under the symbol “OFSI.” The article mentions Stephen M. Klein as Omni’s Chairman and Chief Executive Officer.

The next company release is dated 1/24/07. This offers Omni’s financial highlights of 2006 which, quite frankly, are difficult for me to understand. I did follow that Connie Perrine, Chief Financial Officer, seemed please that Omni stock had jumped to $10.42 per share.

Sidenote: It was shortly after this release in mid March that my husband and I flew to Atlanta to meet with Greg Patten personally. He ran our credit, mine came in at 809, by the way, and he was gracious enough to accept our application for a redevelopment loan to buy our first investment property. I should note here that this is not when he insisted we use Delroy. That came a few months later when we showed him several homes we were evaluating to purchase. By then, we had spoken several times over the phone and through email.

Finally for today, I looked at the release on 4/04/07. Here Stephen M. Klein introduces Cameron Associates, Inc. as its investor relations advisor. Klein states, “At Omni Financial Services, we believe in ‘thinking outside the box’.” Adding to Mr. Klein’s quote, “Cameron will help us engender a greater visibility and appreciation of our unique investment story and the solid performance we believe will result from a focused and creative strategic business plan, coupled with effective and efficient execution.”

Well, finally, Mr. Klein and I think share something in common. We both have quite unique investment stories.

Omni’s “naive investor”, Dianne

Comment by Dianne Alexander — August 20, 2008 @ 5:26 pm
Hi Dianne,

I have another whole list of people that have been trying to get their mony back. Because Delroy told everyone if they wanted their money back it was no problem. But him and his staff does not return their calls after repeated promisses to. I would like to get a hold of you but I do not want to post my information here. How can I contact you?

Comment by thank you dianne — August 20, 2008 @ 11:49 pm
I want to also say I know investors that went in on wholesale deals with delroy where he was to split the profit from the properties sold to retail investors. They purchased 3 properties and 2 have sold, but Delroy is not giving them their 1/2 of the profit money. They have since decided they would at least sette for their initial invenstment, but he is not returning their phone calls and they are being told they can’t even find that those properties ever existed within DNK.

Comment by thank you dianne — August 20, 2008 @ 11:57 pm
Thank you for coming forward. I will contact the flippingfrenzy team. I hope to contact you by email tomorrow. We are working with several agencies at the local and federal levels to make sure that Delroy Davy and Greg Patten are stopped. It is my hope that senior management at Omni will investigate these allegations against Mr. Patten further. The more people who we can prove have been hurt by Delroy Davy and his team, the stronger the case against them. I am simply amazed at the number of people Delroy Davy and those he works with have damaged in an attempt to gain wealth. How much happiness can stolen money buy? I wonder how they will justify this to their children who will undoubtedly stumble upon this. I direct this question to both Mr. Patten and Mr. Davy. I await a response……

Comment by Dianne Alexander — August 21, 2008 @ 12:54 am
I approve flippingfrenzy to give you my contact email. Thank you for your hard work.

Comment by thank you dianne — August 21, 2008 @ 1:19 am
Day three of my study into Omni National Bank. One of the reasons I am doing this is to perhaps see how my sequence of events with Greg Patten at Omni fit in with Omni’s press releases. In other words, I wonder if Greg Patten was under pressure to close loans because perhaps the company was showing signs of financial trouble? Just a question?..

Soon after our initial meeting in mid-March of 2007 was another press release, dated 5/01/07. The first thing I noticed was the decline in their stock. The closing price of Omni Financial Services, Inc. common stock on March 30, 2007 (the last trading day of the quarter) was $9.75 per share.

However, Omni’s CFO Connie Perrine stated, “Although we, and the entire industry, are experiencing upward pressure on our cost of funds, we are pleased that we have been able to maintain and slightly improve our healthy net interest margin.

The next release is dated 7/25/07. This was right around the time when Greg Patten insisted that we use Delroy Davy to purchase homes if we wanted Omni to fund them. I remember Greg Patten calling me on my cell phone early one Saturday evening, California time, to ask if I had seen Delroy’s homes and if I was ready to purchase. I remember thinking that it was after 9:00 on a Saturday evening in Atlanta and Omni Bank was calling me. I have to admit, I felt important.

I found this section rather interesting. Chairman and CEO Stephen Klein stated, “We are pleased that quarter after quarter we are able to produce record earnings and consistent loan growth for our shareholders.” Earnings for the quarter were also positively impacted by the May 2007 recovery of $357,000 relating to a $1.0 million fraud loss recorded in December 2005 in the warehouse lending line of business. President Irwin Berman noted, “Our diligence in pursuing this matter has resulted in the recovery of 35% of the loss previously recognized. While further recovery remains uncertain, we continue to pursue our options.”

Unfortunately for Omni, they have been victims of fraud, as well. Honestly, I wonder how can I recover my losses due to fraud?

Until tomorrow. Omni’s naive investor…

Comment by Dianne Alexander — August 21, 2008 @ 3:02 pm
In their press release date 10/17/07, Omni Financial Services, Inc. (NASDAQ: OFSI) announced, “that management will release its third quarter financial results on October 30, 2007, and will subsequently host a conference call commencing at 10:00 AM ET on October 31, 2007. The conference call will consist of prepared remarks from management as well as a Q&A session and will be available of the Internet via live web cast at http://www.onb.com.”

I don’t about you, but I don’t think this sounds very encouraging. I might be a bit fearful if I were an Omni stockholder.

Sidenote: By this release our group collectively had already bought and closed on 5 houses through Omni and Delroy Davy totaling more than $750,000. Certainly this should have helped their numbers a bit. Perhaps it was the two additonal houses from Omni’s other real estate owned division that Greg Patten was generous enough to give us for no money that has negatively affected their numbers! Well, we did have to use the down payments we put on the other homes so actually they cost us about $26,000 for one and $48,000 for the second. Fair market value for these homes based on a realtor’s estimate is about half of what we paid. In her words, tear them down and sell the land!!

10/30/07 From what I can understand, the third quarter earnings report wasn’t so bad. They were able to pay shareholders a $.05 dividend per share. They state, “For the three months ended September 30, 2007, net interest income increased by $2.76 million, or 41.7% to $9.4 million from $6.6 million for the same period in 2006, attributable to continued strong loan growth.” Well, Greg Patten must have looked like a hero since he brought three quarters of a million dollars of new loans himself from us between late August and the first week of October, 2007.

However, “The closing price of Omni Financial Services, Inc. common stock on September 28, 2007 (the last trading day of the quarter) was $7.91 per share” So their stocks have dropped by a bit over 20% since initial trading.

Sidenote: According to our HUDs, Delroy found homes to buy, and he took out loans from Omni to buy them. He then raised the prices of the homes on average of $15,000 each and sold them to us. He used our sales to payoff his loans to Omni. So, on the five properties, Delroy made about $75,000. Greg Patten also profited doubly, because he made money from Delroy’s purchases and our repurchases of the same homes only weeks apart.

Omni’s naive investor…

Comment by Dianne Alexander — August 22, 2008 @ 4:36 pm
It’s Monday, August 25, 2008. Today I will take a look at the next press release from Omni National Bank. We left off at the end of October, 2007. Omni just released it’s earnings for the third quarter. There wasn’t another press release until February 7, 2008. This one is a doozy! It starts off with, well really they say it best. Here is their first paragraph.

Omni Financial Services, Inc. (NASDAQ:OFSI), the bank holding company for Omni National Bank, today reported that it will delay releasing its December 31st, 2007 financial results. Stephen M. Klein, Chairman and CEO, stated, “During the fourth quarter of 2007, we detected lending policy violations and internal control deficiencies and promptly commenced a comprehensive internal review of our underwriting, management, compliance and internal control procedures. As a result, we have implemented internal control enhancements and improvements to our loan review and approval process. We have also made certain personnel changes and provided additional staff training and support predominantly in the community lending division.”

I wish that Mr. Klein would have called me. I could have told him that there were lending policy violations. Mr. Patten insisted that we work only with Delroy Davy as out of state investors. That is a violation. He did not check Delroy Davy’s rehab work. When I called Greg Patten personally to ask him how it was possible that brand-new water heaters, stoves, and AC units would need to be replaced just months after Mr. Davy supposedly installed brand-new appliances, his response to me was that he only walked in our properties to verify that the appliances were actually in the homes. He said, and I couldn’t believe it, that the electricity is not even turned on when he inpected our homes, so how could he test if they actually worked?? I completely trusted Greg Patten and Omni that they would protect my investment and their loan. I was wrong. I can’t know if Mr. Patten actually saw brand-new appliances, which we paid for in our loan, or if Delroy Davy set new appliances in the homes until after Greg Patten’s visit and then replaced them with non-working ones that we had to replace as soon as our tenants moved in. Nevertheless, we have a stack of receipts to prove we did not get the brand-new appliances that we paid for. I’m pretty sure this is a lending violation. I’m also sure that Mr. Klein would be interested in looking more closely at Greg Patten’s inspection procedures. Does Greg Patten do this to all investors or just the novice ones who he thinks he can dupe?

Next, the release mentioned that they would not be paying quarterly dividends this time around. They also suspended their stock repurchase plan. Finally, Connie Perrine, CFO added, “We are continuing to evaluate our loan portfolio in connection with our internal review and in light of the market deterioration experienced primarily in Atlanta and Tampa, which has significantly and adversely affected our community development portfolio.

Here’s my feeling. If Omni themselves admit that there has been violations in their community lending division, and they have made some personnel changes due to these violations, then I am asking them outright to please look closely at my accusations and allow me to talk personally to them of my experience, and work with me to help make us whole again.

Omni’s naive investor…

Comment by Dianne Alexander — August 25, 2008 @ 8:03 pm
Well, until this morning when I heard of an oreo, I thought of the cookie. No more!. Now, after reading Omni’s next press release, I know it also stands for Other Real Estate Owned, or OREO. As of 4/01/08, Omni announced that it will delay filing its annual report.

“The primary issue relates to documentation supporting valuation assertions of other real estate owned (”OREO”) held by the Company. The OREO was acquired through foreclosure of properties that collateralized loans in the Community Development Lending Division. The Company is working with its independent registered public accounting firm to resolve these issues but the timing of the resolution is currently unknown. These valuation assertions materially affect OREO and the provision for and the allowance for loan and lease losses, which in turn impacts both earnings and capital. Therefore, the Company cannot reliably quantify the results of operations for 2007.”

Looking back to when we bought homes from Delroy Davy using an Omni loan in the fall of 2007, I felt priveledged that Greg Patten was going to sweeten our deals by “giving” us a third property. He told us all we had to do was give him the down payments on our other two homes. The down payments were $27,000 for us and $48,000 for our partner. Now, not only do we own two homes that appraise for about half of what we bought them for, we have a third property that our realtor told us we should tear down and sell the land for about $15,000! Some deal, Mr. Patten, huh!!

After reading this press release, I know that Omni holds these foreclosed homes known as OREO. What they really are are homes that they can’t sell. They are so badly in disrepair that no one will buy them. However, Omni must get them off their books in order to write new loans. Wow, Greg Patten, I’ll hand it to you, you are good! Not only do you look great to Omni by dumping two of these OREOs, but you did so in a manner that made us feel so fortunate to be doing our business with you. I don’t know how far the investigations through the OCC and several other agencies will go, but I’ve already decided that you, sir, are a criminal.

I can see from what is unfolding in these press releases that Omni is in a bit of financial trouble. I can’t believe, however, that they would intentionally allow loan officers like Greg Patten to pass off these homes on to novice investors. I would still like to believe that Omni’s senior management was unaware of these transactions. Once again, I invite them to contact me regarding this.

Omni’s naive investor…

Comment by Dianne Alexander — August 26, 2008 @ 7:58 pm
Hi Dianne,

I joined DNK back in March 2008 along with other investors (friends). We googled Delroys name at the hotel before we joined DNK and found nothing negative on Delroy or his (BS!) company.

After joining DNK, Delroy fed us nothing but lies. Delroy promised us wealth and told me that I had three properties ready to close in April 2008. During the month of May, he said that there was a delay with the bank (unk) and I would close docs soon. He said that I was expecting approx: $250,000 after closing docs on all three properties. By the end of May, he advised me that the process was taking longer than expected because of the new rules the federal goverment had imposed on the banks.

During the month of June 2008, I googled Delroy’s name and found this website. I was so disappointed to know how many people Delroy had ripped off.

I immidiately submitted my cancelation letter (June 25) and ended my membership with this thief! I was told to wait 30 days for my “refundable Cash Retainer.” After 45 days, Delroy returned a portion of my money. Delroy advised an investor (friend) that this website was BS! and that the allegations were false.

We called the FBI (atlantafbi@bellsouth.net) and I was advised that Delroy had over 100 complaints of ripping off investors. The FBI said they were already investigating Delroy Davy.

Delroy Davy has returned a portion of my “refundable cash retainer” that I provided to him on 3/2008. Delroy Davy still owes me over $2,800. Delroy refuses to return calls and fails to respond to my E-mails. I received information through other investors that over 30 investors have requested to end their membership with DNK thanks to this website! Delroy is now telling investors that if they want their money back, they have to wait 90 days because he deposits investors money in “CD” accounts.

I want to thank you (Dianne) and flipping frenzy for this valuable information. Good luck!

Comment by Lino — September 3, 2008 @ 12:58 pm
Dear Lino,

Well, if that isn’t the best news I’ve gotten today! I can’t tell you how much it means to me to hear that my story has saved someone else the terrible financial strain that my family has been forced to deal with. I knew that when I first contacted the flipping frenzy team back in May that I may never recover the monies lost to Delroy Davy, Charles Bonney, Keesha Legrand Davy, DD Bryant and the rest of his crooked crew. However, it was my hope to stop this man from doing this to anyone else…..and it worked!

I also never expected to get this far with the proper authorities, either. Delroy Davy is being scrutinized by local, state, and federal agencies. It must be getting a bit harder for him to fall asleep at night. Perhaps now, he’ll get a feel for what his greedy actions are doing to other families.

Finally, I never quite expected this to become somewhat of a part time job. I have spent countless hours pulling documents, researching, writing, calling, and emailing. The flippingfrenzy team has given me more homework than any college professor!
I would be no where without their support and guidance. I urge you to contact them with your story as well. There is strength in numbers, and we get stronger everyday.

Comment by Dianne Alexander — September 3, 2008 @ 6:27 pm
Dear Delroy Davy,

Do you feel the heat, Mr. Davy? If so, do the right thing. Pay us back the monies you stole from us. You claim to be an honest man, show us all. I will be happy to share with everyone that you did, in fact, fix this. You sir, have all my contact information. I await your response.

Comment by Dianne Alexander — September 3, 2008 @ 6:27 pm
Something new came to my attention today that I’d like to share. It seems that in Fulton County alone there have been three lawsuits opened this year naming Delroy Davy as the defendant. All three are active and open as of today. I’m not sure what the difference is, but one says it’s a State Civil Suit and the other two say Superior General. I looked a bit closer at the first suit. Turns out the woman suing Delroy Davy bought one of the homes that he originally marketed to us. It is on Mayfield Circle in Atlanta. Coincidentally, Omni financed this loan. Delroy bought the home using a loan from Omni and then sold it to this woman who used Omni as well. I would think that Omni senior management might want to see if perhaps Greg Patten was the loan officer working with this property as well. Double commissions again, Greg Patten?? Just a thought, but the more complaints made against the Greg Patten/ Delroy Davy team, the more Mr. Klein and other Omni heads might want to start their own internal investigation. Mr. Klein, I’m getting rather good at this research, I invite you to call me if I may assist you. I can see from the title search that there is a stand alone second mortgage on this home for $150,000! I would be curious to know if Delroy Davy got a huge chunk of this loan as he did mine. Heck, I’d like to know if he drove her to the bank personally as well!

One last thing I found today. Again, I don’t know if this is legal or not, but Delroy Davy bought a home at 826 Humpries St in Atlanta on 12/4/07 for $90,000. He then turned around and sold it to his other company Rudi J Enterprises for $180,000. Why would he do that? If you are able to answer this, I’d love to hear from you.

I am going to continue searching for other law suits open in Georgia against Delroy Davy, Charles Bonney, Keesha Legrand Davy, Sedona Realty, and Rudi J Enterprises. I will keep you posted on what I find. Of course, I send all new developments to the authorities. Our case builds….

Comment by Dianne Alexander — September 6, 2008 @ 8:36 pm
Hello Diane,

I think you and Flipping Frenzy are doing a wonderful job. Keep up the good work. I am glad that there is a site that people can go to for help if they feel that have been scamed. I look forward to seeing this on the News.

Based on all of the comments on this site it seems like Delroy has made alot of money and should be in a position to pay everyone back. I really feel like Delroy will never pay my friends back becasue he is too far in debt with other investors but just the thought that he will not do this anyone else is enough satisfaction for me. I hope justice is done.

He needs to go in front of the court of law and explain his actions. What he has done to us is horrible. I have cried many nights and almost lost my faith, family and friends. He took my friends’s life savings for an investment and didnt give it back as promised. He has lied to us. It looks like his lies are finally catching up with him. All the false promises that he has made are finally coming back around to bite him on the tail. Whatever I can do to help I will.

Comment by Burned by Delroy — September 6, 2008 @ 10:29 pm
Dear Burned by Delroy.

I would love an opportunity to speak with you. Please contact flipping frenzy, and they will give you my contact information. I have been working with a federal agent who has asked for the names of all people affected by Delroy Davy. I’d be happy to add you to the list.

Let’s not give this criminal enough credit to allow him to ruin our faith. At the end of the day, it’s our faith that will pull us through. Delroy will have to answer to the authorities eventually because of our efforts. But even scarier for him, he’ll have to explain this to his children. I’m not sure any amount of money is worth losing the respect of them. And finally, Delroy claims to be a Christian, wouldn’t we all love to hear him charm his way out of this with HIM.

Comment by Dianne Alexander — September 7, 2008 @ 12:29 pm
I understand that the California housing market is far more expensive than Georgia or Michigan (especially Detroit), but why would anyone want to have their investments so far away that they cannot manage them themselves? I see it everyday at the local bank where I now work, so contrary to my tag name, I am not a former underwriter. California property investors buying inner city Detroit foreclosures, never having ever seen the homes. I’m sorry to say, but if you are not familiar with the different neighborhoods within the City of Detroit, you could easily buy into a neighborhood that you really don’t want to throw money at.

Isn’t it a little scary to have the same person or group of people controlling so much of your investment and money? Quite a conflict of interest if you ask me, real estate agent, construction manager, property manager, financial advisor…

As far as the HELOC, did you ask for one or were you told to get one? If you were told to get one, why? Did you have a contract with Delroy that required you to pay him $30K? If you didn’t need the loan and didn’t have a contract then why do the deal? Maybe I missed something, but I wouldn’t borrow money I didn’t need.

The lesson to all out of state would be property investors… invest where you can properly oversee your investment, where you can routinely inspect the property to make sure your investment isn’t deteriorating. Work with people you already know and trust, people and organizations with verifiable credentials and referrals. Avoid the one-stop shop, it’s just too self serving and offers too much to gain for one entity, especially from investors from across the country with no real way to oversee just what their money is getting them. There is NO EASY WAY and NO QUICK MONEY, it still takes effort to get real results.

Sorry Dianne, I am not bashing, truly. I think you were caught up as easy prey to a group of con artists. Hopefully others will learn from your mistakes.

Comment by Former Underwriter — September 8, 2008 @ 9:59 pm
Dear Former, or not former, underwriter?,

Thank you for your comment. The homes are in Atlanta, not Detroit. We also all went to Atlanta to see every property we bought. I was escorted to my property and several multimillion dollar estates that Sedona Realty builds as well, by a chaffeurred driver. We were led to believe that we did not have to live near these homes because they would be completely managed by Delroy Davy and his company. Please visit his website to see just how convicing it is: dnkinvestmentgroup.com The dnk part I believe stands for Delroy ‘n Keesha, by the way.

After a year of financial hardaches, I couldn’t agree with you more. I have felt completely out of the control of this investment for months. If I ever have the opportunity, and nerve, to do this again, I will most certainly buy an investment home that I can go see and touch whenever I want to.

My sole purpose of these comments now is to prevent others from falling victim to this very sharp, convincing, deceitful man. As of this morning, I have learned of well over 100 victims of this man and his team. We are well educated people. Teachers, real estate professionals, doctors, even a police officer if you can believe it, who have fallen prey to Delroy Davy.

I would love to personally ask Greg Patten of Omni National Bank if he actually knew how destructive Delroy Davy really was when he insisted that we work with him. I would ask, if he would ever return my phone calls or emails!

Helping others share their story, working with the Attorney General and federal agents who also read this site to convict this man has empowered me. I will probably never receive any money back from him, but I will have a huge hand in stopping and possibly convicting him.

As a teacher for many years, I am finding great satisfaction helping others learn from my mistakes.

Comment by Dianne Alexander — September 10, 2008 @ 11:04 am
Dianne:

Even though I shared many of the same thoughts as Former U/W, it was easy to see how people and entities even more sophisticated fell prey to scams.

Even countries, banks both domestic and foreign, municipalities, retirement funds with knowledgable managers got sucked into buying something of very little or no value because it looked good on the surface. The lure of easy, quick money certainly was on the table. All we had to do was look around, everyone was prospering.

Education is often very costly and most of us have paid the price for education one way or another. Your efforts to alert and educate other is comendable and perhaps can make your education cost worth while.

We have a two class society here, the very wealthy and the rest of us. The rest of us have to work hard and struggle every day.

This whole crisis was like a pyramid scheme. Those that got in early enough made out, those of us who got in too late, lost.

There is no way for most of us to create wealth other then winning a lottery somewhere. I buy my ticket each week wilth the expectation of losing my dollar. But who knows, somebody always wins, it could be me or it could be you.

Comment by Larry Rubinoff — September 10, 2008 @ 2:47 pm
Well, here’s the latest in the Delroy Davy story. These new findings really do prove that truth is so much better than fiction! Yesterday the flipping frenzy team learned about a whole new set of investors who have been hurt by Delroy. Although I am sorry that Mr. Davy has more victims, and I mean many, many more! What’s exciting is that this group of investors come armed with more evidence against Delroy than we could have hoped for. They have the names, phone numbers, and even addresses of Delroy’s former employees, including his personal driver. Some of whom are willing to work with us to help prove that Delroy’s very convincing claims of instant wealth may be a bit far fetched! I even learned that Delroy’s right-hand man, Charles Bonney, has parted ways with Mr. Davy. I invite you, Mr. Bonney, to contact me regarding your experiences leading up to your parting of ways. I remember that Mr. Bonney and Mr. Davy took me to the house they claimed had been purchased by Mr. Bonney in Alphretta back in September, 2007. Hands down, this was the most eloquent, beautiful home I have ever seen. I mean, hard wood everywhere, including on the ceilings of wrap-around porches on three different levels! They told me that Charles and his family were able to purchase this million dollar plus mansion because of the money he had made with Delroy. I am so curious to know if he ever actually moved into the home, or if they used it soley to impress their investors?? I now know that Delroy and Charles had to use the money they swindled from investors like me to fund their rather expensive lifestyles. Heck, I learned yesterday that Mr. Davy just handed his teenage daughter the keys to a brand new Hummer. I certainly can’t prove this, but I wonder if she knows that her daddy bought this lavish vehicle with the money he took from us. I wonder if she knows that there is an investor whose own family will lose their home in an auction in early October so she can enjoy this new ride? So much more to come….

Comment by Dianne Alexander — September 11, 2008 @ 11:16 pm
Yes Dianne, you are so right of your finding about Mr. Davy. He has no concern for the many people that he have lied to. He has a short memory of the things he tell people, and he has ways of getting people to believe him. He alway blames the other guy. This is him M.O. (method of operation) Wait until you find out the amount of money he spent on his wedding. Of course, you have seen the picture of the large baby shower he gave for his now wife. He will always find ways to lie to people. Hey, let me give you some names to research. Try a company called Miles Equity L.P. I think it is out of North Carolina. Try to talk to the owner of Heath Appraisal Service Inc. Kennesaw Georgia. See how many appraisal was done that had any involvement with Mr. Davy. By the way, did you know that Mr. Davy have out of country connections, like Jamaica. Just a thought of were money may be heading.

Comment by Renton James — September 12, 2008 @ 12:35 am
Hello Dianne, I completely feel your pain. Mr. Davy needs to be put away for a very, very long time. He truly does not care about what he does to people and their families. He also lied to me, friends, and my family. Although, he recently gave me most of my money back, he decucted ridiculous charges. All for his mistakes! He claims to be a professional builder/real estate but he is more of an idiot! From my refund he deducted approx $4,000 dollars… for what?! We have ties to police officers who are also investors that are looking into this further. Rest assure people will not rest until he is put away for a long time. CNN will find out about this thief and pathological lier. Buned by Delroy

Comment by Victim of Delroy — September 12, 2008 @ 10:14 pm
Dear Mr. James,
This is exactly why the flipping frenzy site has been so valuable! Thank you so much for the new information. Without this site, I would have never met you and then never known about these other companies. I will begin looking into them. I know the flipping frenzy team will do the same. Once again, all new info is turned over the authorities as well. As you can see, Delroy’s destruction is far reaching. Little by little, we will keep working on this. Our numbers grow every day. There are many more honest people out there who have suffered because of this man. If everyone touched by Delroy would post their story and add something new that others didn’t know, then perhaps it would jog someone’s memory. There is strengh in numbers, and we continue to grow stronger.

Comment by Dianne Alexander — September 13, 2008 @ 7:46 am
Dear Victim of Delroy,

I am happy that you found us here. If you are in contact with other victims, would you direct them to this site and ask them to post their story. This site gives us a voice. The flipping frenzy team gives us direction. That makes us powerful.

Comment by Dianne Alexander — September 13, 2008 @ 7:50 am
I just finished reading today’s leading article on flippingfrenzy.com.

The headline reads, “Florida Pastor and Radio Show Host Rodney McGill Arrested For Mortgage Fraud”. The more time I spend trying to stop Delroy Davy and his crooked crew, the more I learn just how huge the mortgage and real estate fraud industry is. Goodness, how is one ever to trust anyone in this field? A pastor, really!?! The trusted pastor along with his wife were arrested for cheating people out of $1 million dollars! The charges against them are staggering…Racketeering, Conspiracy to Commit Racketeering, Grand Theft (2 counts), and Obtaining a Mortgage by False Representation. It sounds like an episode of Law and Order!

What’s more interesting to me is that we now know that Delroy Davy’s victims have been taken for far more than $1 million dollars. The number of people who trusted their hard-earned money with this man has grown almost everyday. In fact, the flippingfrenzy team had a formal conference call last night to address this new group of people ready to join our fight against Delroy Davy. As frustrating as it was, I couldn’t join the call because the conference had reached its full capacity one minute after it started!! Not to worry, there is another already scheduled!

Delroy, I would love to hear your comments on this. You felt compelled to respond to my allegations once, please do so again. We are working on contacting every person you ever lied to and cheated. We have even spoken with former employees and business partners. I am amazed how cooperative people are to tell us their encounters with you. We all just want to feel like we weren’t so taken advantage of. Really, we all just need our money back to survive. Is it possible that maybe you will return the money that you have cheated out of us? Do you honestly sleep well at night knowing that you have harmed so many of us?

Enjoy your sleep, sir. If they are prosecuting pastors who commit mortgage fraud, they will come after you. We will work as a team to hand the authorities a neat and tidy package of everything you have done to scam us.

As always, I await your response.

Comment by Dianne Alexander — September 17, 2008 @ 11:41 pm
Hello again to all on the Delroy Davy watch. For all of you who don’t know, but would have guessed, Mr. Davy has allowed for an investor to be put out of his home. After he, Mr. Davy, had promised that he would never allow his family to lose their home. He even went as far as to tell the man he would pay part of his rent, in advance, but last I heard this has not happened. way to go man of honor.
From what I have seen, and read, their are a lot of people who have lost, dealing with Mr. Davy, and I am sorry for that. How many other people will lose their homes due to Mr. Davy, and his fraud. You said it Dianne, while his teen daughter rides around in that new hummer, I hope he thinks about the investor, who is a former Marine, as Mr. Davy claims to be, is put out of his home. I was ne of the lucky ones not to fall for his lies. I just hope he is not alllowed to get away with this, and he and Omni Bank are made to pay for their lies and trickery.

Comment by Renton James — September 19, 2008 @ 10:57 am
Delroy, Dianne said it right! Sleep tight Mr. Davy in a jail cell!!! The FBI has spoken to hundreds of investors that were scamed by you and Keesha. They have received proof from mortgage lenders of your fruaduland mortgage activities. You will not leave this world without paying for what you have done,sir.

Comment by Another Victim of Delroy — September 19, 2008 @ 11:36 am
Delroy lies are finaly catching up with him. Its good to know that he will not be getting any sleep now. I wasnt able to sleep for years because he has lied and lied so many times to my face about how he is going to pay my friends back. I would hear stories from him that he is broke and cant pay but then I find out otherwise. As of today he still has not paid them back. My life and my friends life has been completely ruined by him. We trusted Mr Davy and thought he would do the right thing. Instead, he is living a lavish life at the expense of others. How did he think he was going to get away with this? He lives in a Mansion while the people he claims to help go into foreclosure. Thats not fair. Its not fair at all. People lives are ruined all becasue we put our trust into him. He wasnt trying to help us. He just wanted to help himself. It hurts my heart to know that he can smile in your face one minute and then try to hurt you the next minute.

Comment by Burned by Delroy — September 23, 2008 @ 9:01 pm
In reading these posts about Delroy Davy, I hear no one taking personal responsibility for their own foolish actions. Clearly, you were taken by Delroy, but most of you were taken because you were greedy.

Greed for the fast easy cash, without doing much research, without crunching the numbers, without fully understanding what you were getting into, and without doing the work yourself. All of you could have by-passed Delroy Davy and invested in real estate by yourself saving thousands of dollars. Real estate isn’t rocket science!

Delroy fed off your greed. He showed you his flashy home and you were hooked because you felt if he could do you so can I. He charged you a high $15,000 fee and you felt this guy must know how to really make me money!

I knew of Delroy’s real estate scheme to get a home, money in my pocket and a tenant to pay rent. However, I couldn’t understand why I would pay him all this money for work I could do myself. You could have gone to your local library or the Internet and learn all this stuff yourself for free. But instead many people go to these expensive real estate seminars where the only people making money are the trainers. Many people pay thousands of dollars for so called Real Estate Mentors and people like Delroy Davy, when they can simply go the library, bookstore and the Internet and get the information for almost FREE!

Delroy knew that most people want things the easy way. They don’t want to do the work themselves, so he provided the easy way. He held your hand by finding you a house, getting the house rehabbed, helping you to get a home loan and equity loan, and finding tenants so hopefully you can sell the house for a nice profit one day. This is work you all could have done yourself and saved thousands of dollars. But instead you gave your hard earned money to Delroy for him to do work you should have done yourself.

For the life of me I don’t understand why someone would fly from California to invest in a deal in Georgia. Why take that kind of risk with your investment being several thousand miles away? Sitting in California you have no clue what’s going on with your property in Georgia. Also, I find it extremely foolish for someone to take out a home equity loan and then give someone 30% of the loan value for doing very little. If you are dumb enough to pay it, you dumb enough to lose it! Delroy didn’t put a gun to your head for you to pay him 30%. You happily handed to him, and now you are upset. If anyone wanted to hand me $33,000 just because I asked him or her to, then I deserve the $33,000, and they don’t.

Delroy Davy is indeed a shady character, however, you must take some of the blame. Everyone in this whole real estate racket was greedy. From Wall Street, the banks, the mortgage companies, the builders, to the investors. Everyone looked the other way. Many investors knew appraisal values were too high, but they just look the other way to get the equity. They knew they didn’t qualify for certain loans, but they looked the other way to get a home they can’t afford. The mortgage brokers told they to lie on their applications and they happily did so. Everyone was making money hand over foot! Now the gravy train has ended and now everyone is pointing fingers at each other, especially at the people that took their money like our friend Delroy!

If the real estate market was still hot right now, no one would be here complaining and you guys may be praising Delroy and sending him a lot of business, even though he would take you for a decent amount of money to help you make money!

Comment by Greed — September 25, 2008 @ 4:26 pm
Mr. Greed

I am sure that no one here, who has been affected by Mr. Davy, do not take any blame for their situation. You say that you are familiar with Mr. Davy, and know of his deals, so you know that he has the gift of gabb. To say that everyone was greedy is a strong statement, and a poor evaluation of the character of people you have never met or spoken with. It is obvious that you have knowledge of real estate and that of investing, but everyone involved with Mr. Davy was not trying to get rich quick. Some people were just trying to learn, and to make a better life for themselves and their families. Not to live a lifestyle that Mr. Davy was presenting. The fault of some was that they were trusting of Mr. Davy, and that trust has cost them dearly.

You have your right to have your opinion of people, whom you have no knowledge of, but I can tell you that greed is not always the driving factor. If trying to make a better life for yourself is greed, then you and any other person falls into the category of being greedy. It is always easy to Monday morning quarterback, and point out what someone should have done. It is clear that you know how to do that. Not trying to be rude, but you don’t have to put down the people who have lost in their dealings with Mr. Davy. I am sure that they understand the misinformed information and the lies they were told. I have talked to several of them, and know them personally. Therefore, I can without concern say, bad things happen to good people.

You know what they say opinions are in common with? I don’t think I need to type it!! I would like to think that anyone here do not want to be reminded, with negativity from people, of the error in judgement that they made. Many are just looking for the satisfaction of knowing that others are warned about Mr. Davy and others like him. So they can do their research before they jump into investing or any other venture. Also, it is the desire of some to see that Mr. Davy (if he has violated any laws) is held accountable.

Comment by Renton — September 25, 2008 @ 5:59 pm
Mr. Greed is correct. Forget the fact that greed may have been the driving force behind these investors. Let’s even say for a minute it was not a motivation at all. Let’s even go as far as saying that Mr. Davy is not a scum bag (he obviously is, but hypothetically let’s say he isn’t).

Why in god’s name would anyone so freely do the things Mr. Davy was telling them to like they were sheep and he was their shepherd. This reminds me of members of a cult who are brainwashed and do as they are told with no conscious thoughts of their own. As, Mr. Greed stated, why would you travel 4,000 miles to buy an investment property? And you didn’t purchase just one, you purchased few. How could you possibly manage a rehab project from 4,000 miles away? Forget managing the property once you got it rented. (I’m sure one of the things the $6,000 Trump course taught you…probably one of the first things…is to KNOW YOUR MARKET. What could you possibly know about Atlanta real estate and the specific area you bought in within Atlanta if you are from California? Why wouldn’t you purchase a property in your town or at least somewhere in CA that you were familiar with, that was easily accessible and easily managed by you?)

I just could never imagine doing what you people have done - Subjecting myself to what you have subjected yourselves to. Are you really that naive? How could you be? This kind of stuff really angers me (don’t get me wrong the scum like Mr. Davy pisses me off too), but how can people honestly fall for this stuff? Do you also respond to the spam emails that ask for your bank account number too because it says you that someone submitted your name in a lottery in Zimbabwe and they just need your account number to deposit your $25,000,000 winnings? Come on people get real. The best part of your whole story is that you paid $6,000 for the Trump seminar. Talk about scams. Wow!

I wish you luck in getting your money back, but you remind me of when I see a guy on a motorcycle traveling at 100mph on the highway weaving in and out of traffic. It’s kind of hard to feel sorry for him if he crashes and gets hurt, no? Didn’t he kind of bring it on himself?

Comment by Idiot Hater — September 26, 2008 @ 11:29 pm
Last I checked, people were in business to make money. This is not call “Greed”. Greed is the exessive desire to aquire more wealth that one deserves. In this case, Delroy seems to fit this definition perfectly. Anyone that takes someones money and truly knows that the math is not going to add up later for the person he took it from is being greedy. Delroy is very smart when it comes to his math. But when he explains the math to the investors its sounds good but he doesnt tell you the full story. Again, the full story will come out in court and we invite you to come and hear it for yourself.

And for your question on Why people would do buisness with him is because they trusted him. He made them feel comfortable to do business with him. Delroy takes the extra step to act like he is looking out for you when he feels no one else is not. He will treat all his investors like family. Then once he has no more use for you he will not return your calls and move on to the new fresh one. Then act like he forgets when questioned later or switch the blame on the investor and try to make them feel like they did something wrong so they can keep their mouth shut and not tell on him. He plays alot of mind games and this too will come out in court.

This is deeper than a Trump Seminar. Deeper than investing from out of state. Deeper than the flashy home. There are several of us that knew Delroy before the Bank of America/Omni Bank/Atlanta Housing/California fiasco. This is about Mr Davy lying to people for years for his own personal greed. His intentions was not for them to make money. He just wanted to create an illusion for them to make money so he can hurry and get his and get out. Everything I am hearing on this site is new to me. This is just a new creative way out of many for Delroy to make money. But he has several types of schemes. This is just the one that has caught up with him. I see on here he has messed with the wrong group of people. And we will do whatever we can to see he pays for his wrong doings. So lets forget about Trump Seminars and play Trump Cards in court.

Comment by Burned by Delroy — September 28, 2008 @ 10:15 am
To all the victims of Delroy Davy, FBI Atlanta (404) 679-9000 is aware of Mr. Davy. They have received numerous complaints and are investigating him. If you have been burned by Delroy please tell your story to the FBI, they would love to hear from you. Together we can make a difference. There are so many of us!

Comment by Victim of Delroy — September 29, 2008 @ 12:31 am
$$$ “Rob Main Street to Pay Wall Street” $$$

“rob-Peter-to-pay-Paul”

“Ponzi” Schemes from U.S. Securities and Exchange Commission SEC web site.

Ponzi schemes are a type of illegal pyramid scheme named for Charles Ponzi, who duped thousands of New England residents into investing in a postage stamp speculation scheme back in the 1920s. Ponzi thought he could take advantage of differences between U.S. and foreign currencies used to buy and sell international mail coupons. Ponzi told investors that he could provide a 40% return in just 90 days compared with 5% for bank savings accounts. Ponzi was deluged with funds from investors, taking in $1 million during one three-hour period—and this was 1921! Though a few early investors were paid off to make the scheme look legitimate, an investigation found that Ponzi had only purchased about $30 worth of the international mail coupons.

Eight (8) Decades later, the Ponzi scheme continues to work on the “rob-Peter-to-pay-Paul” principle.

Pyramid Schemes from U.S. Securities and Exchange Commission SEC web site.

In the classic “pyramid” scheme, participants attempt to make money solely by recruiting new participants into the program. The hallmark of these schemes is the promise of sky-high returns in a short period of time for doing nothing other than handing over your money and getting others to do the same.

The fraudsters behind a pyramid scheme may go to great lengths to make the program look like a legitimate multi-level marketing program. But despite their claims to have legitimate products or services to sell, these fraudsters simply use money coming in from new recruits to pay off early stage investors. But eventually the pyramid will collapse. At some point the schemes get too big, the promoter cannot raise enough money from new investors to pay earlier investors, and many people lose their money.

The Mortgage Fraud Team

Comment by Mortgage Fraud Team — September 29, 2008 @ 7:16 am
Mr. Davy,

I know you are monitoring this site. Why do you not answer your phone or respond to the messeges left for you? If you are the honest person you say that you are, why don’t you respond? What are you afraid of. People will only take so much before they push back. You honest don’t realize what you have done or what you are faced with, do you? You are not untouchable. Don’t think you can’t be reached. Your worse nightmare is about to happen. All you had to do was the right thing, but you couldn’t.

Comment by Renton James — September 30, 2008 @ 8:25 am
Dear Greed and Idiot Hater,

Wow! I have been away from the site for a week getting children started in their new school year and fall ball. I’ve missed a lot. Idiot Hater, really??! I know that I put myself out there by sharing our story on this site in an attempt to stop others from falling prey to Mr. Davy, Mr. Bonney, and Delroy’s entire staff. I guess I didn’t expect to be called an idiot. Sir, we have opened investigations at the local, state, and federal levels against this man. We have actually had people comment here that they did NOT give their hard-earned money to Delroy because of what they read on this site. We are not idiots, we are honest people who were scammed and don’t want it to happen to someone else. I think I would be more of a victim had I just taken my loss and moved on. I worked hard for the money I lost. If I am able to make Mr. Davy answer to the law for what he has done, I will. If that means that I am actually hated by someone who wants to call me an idiot, so be it. I can assure you that I have been called many things in my life, but idiot has never been one of them.

Comment by Dianne Alexander — October 2, 2008 @ 10:09 pm
Dear Delroy Davy,

Please don’t think that because I haven’t written in a while, that I haven’t been tirelessly working on our ever-growing case against you. I have been collecting data from our vast group in order to hand a complete package to the authorities. The problem is that every time I think I am finished, someone new contacts us and I stop to include their information as well. I am constantly amazed at how bold you really are. The banks seem to have caught on to your schemes and have cut you off financially. It seems that now you are convincing people to just give you their money without even selling them a home! And you’re doing this to police officers! Boy, I bet Mr. Idiot-Hater would have a field day with you!! We are getting closer and closer to stopping you for good.

Mr. Davy, do you remember the tour you and Charles Bonney took me on? Remember when we went to your amazing home on Belaire Lake? I don’t know why I am surprised, by it turns out you don’t even own that home. It’s under another name. Who is Juanita Davy? A first wife, possibly? She is on title at that home. And who owns that beautiful green home across the lake behind your house on Evan Mills? Didn’t you tell me that you had just purchased that one as well? I don’t see your name on any home on that street. I am curious if this story sounds familiar to any other of Delroy’s victims? Please write in and let us know.

For all the Delroy Davy victims who have contacted me, the team at flippingfrenzy are working directly with federal agents. The best, most effective way to build a solid case against Mr. Davy is to send your contact information and story directly to flippingfrenzy. They are putting one case together with all our complaints. As we all know, there is strength in numbers and we are growing stronger everyday. But, we need to put all our complaints into one complete package to present to those who can best prosecute this man.
Let’s continue our fight against Mr. Davy. It’s okay if people want to criticize us, we’re strong, we can handle it. Let’s keep our eye on the prize. I want to sit in the courtroom and look this man in the eye when he is forced to pay for the damages he has done to so many of us.

Comment by Dianne Alexander — October 2, 2008 @ 10:35 pm
Dear Omni National Bank,

I have just read your most recent press release dated Sept. 16, 2008. It seems senior management have implemented a Reduction in Force, or RIF as you called it, to reduce expenses and to maximize organizational efficiency. In fact, you terminated 20% of your workforce in the Atlanta and Tampa offices. I would love to know if Mr. Greg Patten was one of 19 people you let go in Atlanta? I would hope that after all we have shared with you about the part Mr. Patten played in this real estate and mortgage fraud scheme, you have looked closely at him when you made your decisions as to who had to go.

Comment by Dianne Alexander — October 2, 2008 @ 11:10 pm
Dear dianne,

The name on Mr. Davy’s home is that of his mother’s, who is also named on the law suit. As for the green home, across the retention pond. That home was one of the two homes that Mr. Davy and Mr. Clark had when Mr. Davy was part of Quantum Builders. The white house, Mr. Davy’s, was presented as his home, and the green one was presented as Mr. Clark’s. Under Quantum Builder’s, they were looking for investors to buy the homes from them, at near appraised value, and they would live in the home, and after a year, they would purchase the home back from the investors. Well, under Quantum Builders that never happened. Reason being that Mr. Davy stuck it to his partner by making back door deals. Both of the homes that Mr. Davy showed you were purchased by them through a hard money lender, not a regular bank. Even when Mr. Davy stuck it to Mr. Clark, he was still pushing to find an investor for the homes. So, he got his mother to buy the home. He then got a HELOC on the home. The green home was actually taken back by the hard money lender. Unless he went back later and bought the home again, it is unlikely that he did. As far as the Reduction in Force of the Omni Bank. I would highly dought that Mr. Patten was part of that reduction. Mr. Patten is the brother-in-law of one of the ranking officals of Omni Bank. I want to say the president of the bank, but cannot be for sure. But I do know that it is someone of importance in Omni Bank. So it would not surpise me that he is still employed in the company. As far as Mr. Davy is concerned, he does not care about any of you and it has shown in that he caused someone to loose their home, without having any other place to go. He is not a man of his word, and he has lied day one. He continues to lie. I will tell you this, he could get caught with his hands in the cookie jar, and lie and blame it on the other guy. I wish you all luck, and I am truly sorry that you all are going through these things.

Comment by Renton James — October 3, 2008 @ 4:48 am
Just want to let you know that there may be some truth to Mr. Bonney parting ways with Mr. Davy. Today, the home Mr.Bonney was building (1805 Gateway Drive, Loganville, Ga.) was just sold at a TAX SALE on the Rockdale County Georgia courthouse steps. The taxes owed was just $2,600.00 +/-. The winning bid was $450,000.00. If you all have an understanding of tax sales in Georgia, Mr. Bonney can redeem the Tax sale deed within 1 year, but he has to pay 20% of what the investor paid. That is a lot of Money. Oh yeah, Mr. Davy did permit his former Marine investor to lose his house today. He still don’t care that he has a family, and they have no money or a place to live. Oh, that is right, he rather spend $150,000.00 on his wedding, buy a new Escalde, and give his daughter a new Hummer. Hope you are sleeping well.

Comment by Renton James — October 7, 2008 @ 11:21 pm
Good news! For anyone who did not see flippingfrenzy’s latest blog posted today, October 8, 2008 about Delroy Davy, please read it. It’s titled Possible Help for Victims of Real Estate Fraud in Atlanta. A Special Agent at the U.S. Department of Housing and Urban Development has offered to help us with this case.

Here is the letter she sent to the flippingfrenzy team:

Ralph,

You may post on your website, my information as follows:

If you have been a victim (Editor’s Note: of Delroy Davy or DNK Investment Group) and want to file a complaint, please contact me via email only: mahmad@hudoig.gov

Thanks,

Michelle Ahmad, Special Agent
US Department of Housing and Urban Development
Office of Inspector General, Investigations
75 Spring Street SW, Suite 346
Atlanta, Georgia 30303 USA

To all victims of Mr. Davy, please use this very effective avenue to file your formal complaint. We made great strides today!

Comment by Dianne Alexander — October 9, 2008 @ 9:29 am
I am counsel to Delroy Davy’s ex-wife. We are going forward on a Contempt hearing TOMORROW 10/14 at 9 am in Fulton County Superior Courthouse before Judge Gail S. Tusan. He will have to testify about his income and probably his “job”! I would love to have a witness to his “income.”

Please contact the lawfirm via email at familylawyers@aol.com
- Use Davy Fraud as your subject line if you would like to appear and be considered as a witness on his income. Otherwise, you are free to just come and watch - public venue. The hearing will be court reported.

Tanya Stewart, Esq.

Comment by Ms. Stewart, Esq — October 13, 2008 @ 3:48 pm
Dear Ms. Stewart,

I know there are many of us who are anxious to hear how your day in court went. Please let us know if there is anything we can do to work together to strengthen both our cases. I would love to hear from Mr. Davy’s ex-wife. I am sure she has much to share. Best wishes to you.

Comment by Dianne Alexander — October 19, 2008 @ 11:43 pm
Wow did anyone show up to listen in on the hearing? I just checked the website and saw I missed it. I would have love to come and watch it. I may been able to help. Let me know when is the next one.

Comment by Burned by Delroy — October 22, 2008 @ 8:58 pm
I wanted to take a moment to write an update on the progress of our complaints against Delroy Davy at Sedona Realty and Greg Patten at Omni National Bank in Atlanta. It seems that there has been quite a bit of investigating being done by the proper authorities.

As of today, several investors have been personally contacted by federal, state, and local investigators who have received the mounds of paperwork they requested from us a couple months back. They are currently scheduling phone interviews with each of us to go over their findings and tell us how to proceed. One investor was even told that after looking through our complaint, we should also file criminal charges against Mr. Davy. Rest assured, we will heed this suggestion.

We have been directed to contact Special Agent Michelle Ahmad at the U.S. Department of Housing and Urban Development, better known as HUD. If you have a complaint against Mr. Davy or Mr. Patten, please email Ms. Ahmad at mahmad@hudoig.gov.

Keep up the good work, all. There is light at the end of the tunnel. Mr. Davy and Mr. Patten will be held accountable for the damage they’ve done.

Comment by Dianne Alexander — October 30, 2008 @ 8:51 pm
If anyone, gave money tp Delroy, which was suppose to be applied to their loans, but was not, Please let me know by placing a post here. I just found out that someone has filed a criminal complaint against Delroy for stealing money. Trying to build a case to show that he has done the same to other people.

Comment by Anonymous — December 18, 2008 @ 6:59 am
Anonymous: I know of at least 30 people in California who were taken advantaged of.. I know that there is more then that just in California. All comments above have been promises made to all these people and I know that many of them used their life savings, credit cards and have lost their homes. He was lucky to have met a gentleman who was respected by people and he was used to bring people and give their money… I am heartbroken to see that Delroy has done all this awful things to innocent people who believed, who thought that our prayers where answered when we all met him…. if it wasn’t for this respected individual we all know, we all have never,NEVER,EVER believed in this man. JUSTICE HERE IN EARTH WOULD LOVE TO SEE, I KNOW JUSTICE ABOVE IS A SURE THING. I would like to know more about the criminal case Mr/Mrs Anonymous. GOD BLESS….
HEARTBROKEN

Comment by HEARTBROKEN — December 30, 2008 @ 2:38 am
I am also a victim of Delroy. He should give all the money back to these poor victims because this will not be over by a long-shot. The best thing he can do is do everything possible to give back ALL the money. I know investors are not putting this matter behind them. PEOPLE WANT THEIR MONEY BACK!! Investors will get their money one way or another. Maybe Delroy will spend the rest of his living years in state pen (hopefully!). You can’t create this much financial damage and get away with it.

Comment by Victim of Delroy — December 31, 2008 @ 1:43 pm
Heartbroken, and anyone else:

I just got back from Georgia, trying to find Mr. Davy, and talk with others. Of course, I could not find him, or should I say he is still in hiding. I did find out that criminal charges were still in the process in a court in Georgia. I tried to find out who the person is, who is filing these charges. I also hear that Omni bank is still supporting Delroy, even though they are telling his victims that he is not apart of Omni Bank. It is some what hard to believe that someone do not work for you, if you support their activities. I will try to find out more about the criminal charges being filed, and if there are others that know something, I would suggest that you post information for others who are victims of Delroy.

Comment by Anonymous — January 5, 2009 @ 12:54 pm
Greg Patten is actually the brother-in-law of Stephen Klein. Stephen is the founder, Chairman and CEO of Omni National Bank.

Comment by For What It Is Worth — January 14, 2009 @ 7:02 am
To all those victims of Delroy Davy,
since I was avictim of delroy’s real estate scheme, I understand everyones pain when I read this website. Since he ripped me off of a substantial amount of money, I will seek JUSTICE. I will never give up because a man like this should not be allowed to continue to ruin people’s lives.

Comment by anoymous victim of delroy davy — February 20, 2009 @ 8:35 pm
This is to let people know that through all of your attempts to stop Delroy, I am afraid to say that he is still selling people houses. I do not know what bank or person is crazy enough to deal with him, after all of the things he has done. I also found out that he has a pending criminal case in Georgia. I think it is a felony charge being filed. I am waiting for an e-mail from someone to confirm, but I think I know who the person is that is filing the charges. I have tried to contact them, but have not gotten a reply. I alos heard that Omni bank is still doing deal for Delroy. I f this is true, this is a true shame on them. Hope to have more later.

Comment by ex-friend of Delroy — March 22, 2009 @ 10:47 am
He can not still be doing business - I am amazed- he has been saying he is going to pay us all back - I have no choice but to hope and pray, do you think he will be punished ? IS he just buying time promising to “pay us back”?

Thanks…..

Comment by another victim of Delroy — March 26, 2009 @ 12:55 am
Yeap. I heard that he was still doing business some kind of way. I have heard that he may be arrested soon in Georgia. I think that it is a criminal charge, and if convicted he may be forced to make payment to his victim. I don’t know the full story, because it is coming from me second hand. I was just told that he went to court last month, but have to go back again. Not clear of what is going on. Like I said, I am getting this second hand. I will let you all know something as soon as I can. It is sad to say that Delroy is not going to pay back anyone. He don’t know the meaning of truth, and he cares only about himself. He had many people fooled, even those of us who once called him a friend.

Comment by ex-friend of Delroy — March 26, 2009 @ 9:28 am
Ok, I think my source has come up with something more. Delroy is deal in real estate and Omni Bank may still be doing his loans. There are three civil suite in Dekalb county Georgia against him. On one, the lawyer has requested to be removed as council, and it has been granted. Two of the cases is in Superior Court and one is in State Court. I do know that those cases are civil. On the criminal case in Georgia. I heard that Delroy got a lawyer in Macon Georgia. Now I think I know who it is involving now, but can not say for sure. I don’t want to jump the gun on this. My source told me that the case will be turned over to the District Attorney’s Office, and that restituion will be requested. As soon as I can confirm on what county, and who is filing the charges, I will let you know. Maybe we all can testify to him stealing money from us, to show he has a history of telling lies, and stealing money from people. Keep hope that justice will happen in the courts. If Omni Bank is still dealing with Delroy, then shame on them.

Comment by ex-friend of Delroy — March 26, 2009 @ 5:02 pm
Omni National Bank isn’t dealing with anyone. They closed their doors Friday

Comment by Anonymous — March 30, 2009 @ 12:54 pm
Good Morning Ralph Roberts,

I have been mobilized with the military since Feb 2009 and Special Agent Shelly Mack (smack@hudoig.gov, 404-331-3359) and Special Agent Sheryl Bouer, US Postal Inspection Service (sbouer@uspis.gov) are the current case agents. Please update your website with their information.

I will return April 2010.

Michelle Ahmad
Special Agent

Comment by Michelle Ahmad — April 20, 2009 @ 1:44 am
For any of the people monitoring this site still, and are hopeful that Delroy Davy will return your money. I just want to advise you to forget about it. I am deeply sadden that all of you feel for his tricks, and his dishonesty. But it is time that you all realize that you have lost your money, and he will not return it. I think it is time for all of his victims, and there are many of you, to try and move forward with your lives. Now you all know that people like Mr. Davy only cares about himself, and takes from others. I have heard of many of you losing your home, and much more, and I hope you all can rebuild your lives. Just keep your faith that you all will over come this down fall in your lives, and move forward. I know that this is hard for many of you to stomach, but it will be the first step to moving on with life. Let others handle Mr. Davy. As hard as it may be for many of you, prayer for him. He made the choices to do what he has done, and he will be held accountable. so, for your peace of mind, let the anger go, and move forward with life. God bless you all, and I to will pray for you all.

Comment by Anonymous — May 6, 2009 @ 1:02 pm
I have spoken with Special Agent Sheryl Bouer in the recent days and from what I know the flood gates of all the people that have been swindled by Delroy have been opened. Good work Diane.

Comment by Anonymous II — June 21, 2009 @ 1:26 am

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