A South African allegedly duped into booking a room in a closed-down hotel says he is now hundreds of pounds out of pocket.
Damien Louw, 22, was one of eight people believed to have been conned out of deposits for accommodation at Squirrels Hotel in Hove.
Police believe a man who had shown the backpackers the same room, and thought to have their cash, is not the site's new owner.
On Monday, the prospective tenants, including Europeans and an Australian as well as Mr Louw, all turned up hoping to move in but were forced to find alternative accommodation for the night, as The Argus reported.
The 12-bedroom hotel in Montpelier Road was sold last month to a new landlord but the mystery man who showed the tourists around has not been traced. It is alleged he has more than £1,500 and may have been squatting at the site.
Officers discovered cannabis plants and stolen credit cards at the former hotel, which was also littered with syringes.
Mr Louw was due to move into the property with an ex-girlfriend.
He said: "I saw the room advertised on the internet on a free ads web site. We went to look at the place last Thursday and the guy just showed us this room. He said he'd hold it for us and asked for a £480 deposit but we only had £300.
"He gave us a receipt and we were going to settle up with him later.
"But when I rang on Monday his phone was off. It gave me a sinking feeling, that something wasn't quite right, and so I went round there.
"But when I arrived I found all these other people standing outside. They had even been given signed tenancy agreements.
"Everyone was pretty shocked. I know we'll never see our money again."
A man was arrested by police but later released. A Sussex Police spokeswoman said the matter was now a civil issue for the tourists to pursue.
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