The Ministry of Housing of El Salvador has regularized more than 57,000 lots and continues with the deed process so that thousands of salvadoran families obtain legal security over their properties. The head of the portfolio, Michelle Sol, explained that most of the cases of fraud in the past, about 80%, were the responsibility of the company Argoz and its derivatives, which operated with fraudulent schemes.

“The way they worked was that they created a company, sold the lots, went bankrupt and then opened another one. In this way they would swindle people”, Sol explained. Although Argoz represents the largest proportion of cases, the minister indicated that 20% of the frauds correspond to other companies that are also being investigated and dealt with by the Government.

The Fiscalía General de la República has initiated legal proceedings against new lotificadoras in the department of Santa Ana, where the sale of land without the proper legal documentation was detected. The Minister informed that writs have been sent regarding at least three irregular lotifications and that there is even participation of foreigners in these illicit operations.
“We have reports of a Guatemalan citizen who is already selling land without permits. These actions are punishable with 8 to 12 years in prison. It is serious to receive money from families without offering legal backing”, he said. The Defensoría del Consumidor has also received multiple complaints for this type of fraud.

Thanks to the security environment established by President Nayib Bukele’s Territorial Control Plan, the Ministry has managed to recover more than 11,000 homes located in areas that were previously in conflict. Of these, more than 9,000 are already deeded and are currently inhabited by salvadoran families, which represents tangible progress in the process of urban recovery and land legalization.
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