I act as the second mortgage of property in VIC and 5 months ago the first mortgage took possession of selling the property and recently I ask him to invite in PEXA and they said they would not let me in the PEXA handover, because it is not his duty to do so. Is it legal for him to do this? and if I won't withdraw my second mortgage, is the title still clear? How can I get my money back as a registered the second mortgage in a mortgagee sale?
Sorry, you are having difficulties in getting your money back as a second mortgagee. I can't talk on behalf of PEXA behalf but I can advise you of the experience we have had PEXA when similar circumstances had occurred somewhere 10 months ago when PEXA would cover-up the information to allow for such crimes to be committed by subscribers of their platform being lawyers/conveyancers as private lenders have no right to be part of the transaction itself when it comes to settlement.
We have had a lawyer defraud us of monies over $800,000 for a particular matter and although PEXA was able to verify the party in the transaction, they were not able to provide the information that directly affects the settlement that took place. Their response was that we required to go back to the lawyer who handled the transaction on our behalf (who mind you acted in contravention of our interest seeing there was a dispute with him and another family member at the time of the settlement transaction took place which we never knew was happening) to obtain such information or to go through the courts to obtain a court order for PEXA to compile with providing such information. Pexa advised that if we were not participants of the transaction at the time they can not provide the information without a court order. Obviously, this doesn't make sense seeing they confirmed we were a party to the transaction but not a participant and that they were able to provide this information to the lawyer but not to the party of the transaction that has been severely impacted. Instead, they would rather have the victim incur more costs through the legal system to obtain such important information which would have to solve the matter.
This is a big issue I believe seeing that more and more people including professionals hiding behind their company are committing white-collar crimes and it is bodies such as a PEXA that need to uphold their protection for the consumer against crimes like these instead of covering up their crimes. I suggest we come together as people to expose this sort of behaviour and stop what I would call is 'corruption'.