The Provincial Court of the Balearic Islands has sentenced Carlos García Roldán to 14 years and 9 months in prison for the largest real estate scam on the island, defrauding 3.3 million euros from 240 people with promises of homes in Mallorca that were never built. The real estate agent, known as Charly, fled to Colombia but was extradited. His right-hand man Michele Pilato received nine years in prison.
The second section of the Provincial Court of the Balearic Islands issued a ruling on Thursday sentencing Carlos García Roldán to 14 years and 9 months in prison, plus fines of 465,972 euros, for aggravated fraud, belonging to a criminal organization, punishable insolvency, and money laundering. The scam, one of Spain's largest, affected 240 victims who paid 3,382,529 euros upfront for 31 housing developments in Mallorca that were never built.
García Roldán's real estate agency, Lujocasa, lacked its own resources, bank financing, or structure to build. It was not the registered owner of the advertised plots, nor did it obtain licenses or guarantees, breaching regulations. Buyers, drawn by advertising and public offices, paid between 5,000 and over 100,000 euros each, without the money entering separate accounts or being insured.
The court emphasizes the intent to profit: García Roldán diverted funds to jewelry, trips, restaurants, and the Casino de Mallorca, where he visited 277 times and spent 270,000 euros. His right-hand man Michele Pilato was sentenced to nine years, and a builder to four. Three accused of being straw men were acquitted.
The case broke in 2017 with complaints from affected parties who received no responses. García Roldán fled to Colombia in March 2018, changed his appearance, and hid for over a year until his arrest and extradition. The ruling requires indemnifying over a hundred victims with more than two million euros, acknowledging the impact on savings and habitual homes.
