Diaspora Building Project and Remittance Fraud
People abroad often fund building projects at home, relying on relatives, contractors and photos. How project fraud happens, and ways to verify progress and pay suppliers directly.
Building a family home or business back home is a common dream for people living abroad. From a distance, you depend on relatives, contractors and photos. Most are honest. Sometimes, money meant for cement and labour goes elsewhere.
How project fraud happens
- Photos of someone else's building, or old photos presented as progress.
- Inflated material costs and invented problems needing extra money.
- Land that was never bought, or was sold twice. See land scams.
- Contractors who take deposits and vanish.
Ways to verify
- Live video calls walking around the site, not only photos.
- An independent visitor: a friend, engineer or surveyor you trust.
- Receipts and invoices from suppliers.
- Pay suppliers directly where possible, rather than sending lump sums.
- Staged payments linked to verified milestones.
- Written contracts with contractors.
Trust and verify. Checks are not an accusation against family; they protect everyone, including honest relatives, from misunderstanding.
Related: diaspora scams and sending money home safely. For more, see our guide to financial scams.
Frequently asked questions
How can I check building progress from abroad?
Ask for live video calls on site, dated photos, independent visits by someone you trust, and receipts from suppliers.
Should I pay the contractor or suppliers directly?
Paying suppliers directly for materials, with receipts, reduces the risk of money being diverted.
What about buying land for the project?
Verify ownership through official land records and use an independent lawyer before paying.
Sources
- What To Know Before You Wire Money, US Federal Trade Commission
- How To Avoid a Home Improvement Scam, US Federal Trade Commission
- Investment Scams, US Federal Trade Commission
