‘Guaranteed rental income’ solar field fraud scheme in Türkiye ends in 47 arrests

In a sweeping fraud investigation, 47 individuals have been detained across Türkiye for allegedly deceiving customers with promises of profit through a solar energy field investment project.

The suspects are accused of marketing plots of land for solar energy generation, assuring investors that the electricity produced would yield rental income.

Fraudulent solar power investment promises lure victims nationwide

The Organized Crime Investigation Bureau at the Bakirkoy Chief Public Prosecutor’s Office initiated the investigation after advertisements surfaced online in 2022.

These ads, under the “Solar Field” project from Kainat Holding, promised solar energy plants across various cities in Türkiye, dividing production fields into parcels to be sold to individual investors, who were led to believe they would receive rental income from the electricity generated.

Many victims stated they learned about the project through media advertisements, leading them to invest by officially transferring parcel shares via notaries. While some investors received rental payments for two to three months, others reportedly received no returns at all. By April 2024, communication with the company ceased, leaving investors without recourse and prompting formal complaints of fraud.

Audit reveals no solar panels on ‘solar field’

Further examination by the Ministry of Trade’s Directorate of Guidance and Inspection, along with verification through the General Directorate of Land Registry and Cadastre, revealed that the sold parcels were in fact agricultural fields without any solar panels or energy structures.

Authorities found no applications from Kainat Holding or its affiliates for solar installations, leading to suspicions that the company misrepresented the existence of an energy infrastructure.

Financial discrepancies totaling $5.1 million

The Financial Crimes Investigation Board (MASAK) report identified a staggering ₺178 million ($5.1 million) discrepancy between the money received from parcel sales and payments made to investors, suggesting this sum as potential criminal proceeds.

Simultaneous operation nets 47 suspects

A decision to search 24 properties linked to the suspects led to simultaneous raids and the detention of 47 individuals. An additional 10 suspects remain at large.

After processing, the 47 suspects were taken to Bakirkoy Courthouse, where 23 were held on charges related to fraud in commercial activities under the guise of cooperative management, while 22 were placed under judicial supervision. Two suspects were released without charge.

As investigations continue, authorities are focusing on uncovering additional layers of the scheme, warning the public to exercise caution with similar “guaranteed profit” energy investment opportunities.