Aifos, the infamous Marbella-based Spanish developer, is being sued by at least 3 former clients for misselling rooms in the Guadalpin de Marbella hotel as private apartments, in contravention of Spanish law.

Jesús Ruiz Casado, president of Aifos, and Jenaro Briales, managing director, have just won a similar case on the grounds of insufficient evidence that intentional fraud took place.

The new writ includes a police report from the ‘Operation Malaya’ investigation into municipal corruption in Marbella, that shows Aifos was informed in 1999 by the government of Andalucia that selling hotel rooms as apartments was illegal.

The plaintiffs argue that Aifos intentionally missold hotel rooms as private apartments, then denied owners their common areas, and insisted on managing the rooms on unfavourable terms whilst forcing owners to contribute to the hotels running costs.