An interesting point was recently raised in regards to whether Peverel Group / Consensus Business Group benefit from “kick backs” as it were, from suppliers / contractors that undertake work for them.

We’ve discovered that apparently, the debt collection company that Peverel use and have used for around the last 8 years (judging by the debt collection threats we’ve received) – “Property Debt Collection” (PDC) are also allegedly ran by a former Solitaire Property Management, Property Manager.

Surely, for PPMG to have used the same debt collection company for this duration, that they would have asked for it to have been made worth their while to use them.

Afterall, if PPMG have earned / are earning a commission from Zurich for their insurance premiums, it can’t be any different for other suppliers / contractors to offer an incentive.

Therefore, we’d love to ask ‘Andy & Lee’ (we thought we’d better address them both, if it is true that Lee provides Andy with all of his responses) as to whether ‘they’ could answer the following questions:-

Do Peverel / Associated Companies receive a referral fee from your chosen debt collector – PDC and do you also receive a referral fee from the accountants Websters (we believe) who are the independent accountants that you use to ‘audit’ all of your developments accounts?

Could you also confirm if you receive any other referral fee’s from other suppliers that “WE – THE LEASHOLDER” should be made aware of under the Landlord & Tenant Act 1985?

Lee & Andy – please do not think that we are making allegations – we’re not, we’d merely like you to clear up this matter for all to see and for us to know if that it is true?

However, some visitors may be wondering what made us consider asking these questions..

Well, as we are all aware – our accounts get audited and if a referral fee was being paid, then this in theory would have to be credited to our service charge accounts and therefore shown on our accounts. Correct?

We think so anyway, therefore, bearing this in mind, we believe that actually the reason why our service charges are extortionate, is actually because “WE” – yep us the leaseholders, are actually paying the referral fee as part of our charges.

Therefore, when a job is undertaken, is the supplier / contractor inflating the invoice to PPMG / SPM, which inturn is paid out of the service charge account and is seen as a debit against that invoice.

Once the invoice has then been paid, the supplier / contractor then pays a referral fee back to the management company?

Having gone through our developments account and seen copies of invoices, we believe that the above is plausible and could well be happening.

Especially, considering the fact that our accounts are supposedly ‘audited’ by Websters Accountants – yet all of us have found mistakes, therefore – how have these mistakes been able to get past “independent auditors” of whom have worked with / for PPMG for many years?

What is everyone elses thoughts on this? Are we looking into things too much or have we hit the nail on the head?