FSA uses regulation round-up to warn firms about property hijacking

The FSA has released its April Regulation round-up for small firms, and has used the platform to warn firms about the possibility of property hijacking.  This is where criminals try to raise mortgages on unencumbered properties which they do not own.  
Recent cases where mortgage brokers have been offered business by unknown introducers who are not geographically close have been seen by the FSA.
The FSA states that these cases show the need for due diligence checks when engaging in new business relationships.  This includes clients, employees, and also those introducing business to the firm.  If firms know who they are dealing with, it is more likely that they will be able to identify any trends or anomalies in the work being offered.  
This follows from the Land Registry advice in February stating that the most vulnerable properties for fraud are those that are empty and mortgage-free.  These are the type of properties which are used for property hijacking.  
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