The U.S. Securities and Exchange Commission has filed civil fraud charges against former executives of Homex, a Mexican construction company that was once the country’s largest builder of affordable housing.
It accused the four executives of faking the sales of more than 100,000 homes to boost revenues by $3.3 billion — a fraud that, if proved, is believed to be the biggest in Mexican history.
According to the Los Angeles Times the case has stalled because the agency hasn’t been able to deliver a summons to the executives.
The procedural roadblock is the latest twist in a scandal that has roiled Mexico for years — part of the fallout from a massive, government-backed housing program which collapsed.
Billions of dollars remain unaccounted for, and working-class homeowners are stranded in decaying developments all over the country.
While Homex continues to generate outrage from residents and some in the media, the Mexican government and housing industry have looked the other way.
The executives and the company have thus far avoided any serious sanctions, and there is no evidence that Mexican authorities are investigating any possible criminal wrongdoing.
Just like America, rich people who do crimes don’t go to jail either.