Ross-shire property developer admits torching building in bid to claim insurance money
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A Black Isle property developer has admitted burning down a steading conversion in order to try and claim £400,000 of insurance money.
Michael Maggs (52) had been doing up three buildings at Earlseat Steading, Moyness, Nairn, for over a year when a loan company he had used to fund the project decided to call in repayments.
He had already told an insurance broker that the building site was secured by fences and CCTV and that he was living on site, Inverness Sheriff Court heard.
However this was not the case as there was no security and he only occasionally stayed on site in a caravan according to fiscal depute Martina Eastwood.
She said he gave the specifics to an insurance broker Trade Direct about the site on May 24, 2016, getting it insured for £400,000.
Ms Eastwood said: "The accused said there was fencing and CCTV and obtained insurance from Zurich.
"Later investigations shows there was no fencing and he only occasionally lived on site in a caravan."
When Maggs ran into financial difficulties a year later he decided to torch a building to try and claim the insurance money.
The financial difficulties came after a loan company started applying pressure for repayments or to sell the development to cover the costs of the debt.
The fire was set by Maggs around 10pm on November 29, 2017.
No one was injured in the blaze.
Ms Eastwood added: "Ultimately the police became involved."
Sentence was deferred until April 17 for background reports on Maggs, of Beaufort, Culbokie.
He was released on bail meantime.
