Magic goes out of Wizard from Oz roadshow for TV property star

Magic goes out of Wizard from Oz roadshow for TV property star

TV star Martin Roberts, presenter of BBC show Homes Under the Hammer, has pulled out of a series of get-rich-quick property seminars following a Guardian Money warning.

Roberts had been due to speak at several over the next week including one later today in east London, one tomorrow in Maidenhead, and a further two in Oxford.

These are all organised by Best Property Club, a UK offshoot of the Australian The Investors Club. But when Guardian Money told Roberts of the colourful history of the club's founder - Australian entrepreneur Kevin Young - he immediately pulled out.

Young, 61, formerly known as Kevin Sampy, is a former bankrupt, and has been the subject of a complaint to Queensland's Office of Fair Trading. His Investors Club was named among other similar property seminar companies as "better described as wealth destroying companies" by Queensland housing minister Robert Schwarten, for their alleged role in the downfall of a major Brisbane construction company earlier this year.

Young, who dubs himself the "Wizard from Oz" and a "millionaire maker" promised those attending the UK seminars they would meet "two global property giants" - himself and Roberts. Now Young will have to make his pitch on his own. He advocates buying houses and flats, and when (he says there is no such thing as "if") the value goes up, owners should remortgage to unlock the extra value.

Despite the gloomy house price numbers and rising mortgage costs, he.....continued below

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told Guardian Money this week that "you should use your own home asset to buy more property - remortgage where you live to get the equity out".

He said he advises this, irrespective of the state of the market. He says he has helped 30 people to "millionaire status" over the past 30 days with an eventual aim of 90,000 millionaires, hence his UK visit. He advocates this as a better retirement income route than pensions for "99.5% of people".

Young's Australian colleagues have been working hard to ensure a good attendance at the UK seminars. One email was entitled "Support Kevin Young. Invite your Pommy friends to see Kevin talk with Martin Roberts in London & make Big Bucks." This told how Roberts would appear "with Kevin [because it shows] such respect Kevin holds even in these far reaches of the world". The email said: "Any Pommy friends who you invite to the seminar who buy's (sic) from the UK arm of the Investors Club over the next 12 months, I will pay YOU 50% of our first finder's fee." It continued "help Kevin conquer the world. Support Kevin, make some cash ..."

Young's material features glowing testimonials from Shannon and Gavin Stampy - he does not point out they are children from a previous marriage.

But while Young does not attempt to persuade those at seminars to sign up for expensive weekend courses (the model used by Inside Track, now in administration), he makes his money from commissions paid by property developers. According to a statement in the Queensland parliament in February, which named the Investors' Club amongst others, these can be as high as 14% - £28,000 on a £200,000 purchase. "I have officially challenged this statement about the club," he says

In 2002, the Real Estate Institute of Queensland complained to that state's Office of Fair Trading that Young's club charged excessive fees, leading to a Queensland OFT probe, although no action was taken against the club.