HARRY F. ANDERSON (Whittier) – The Commission revoked the broker license of Mr. Anderson effective April 22, 2002. The Commission found that while his firm was no longer authorized to conduct business in North Carolina because of the suspension of its corporate charter by the state in 1991 and its administrative dissolution in 1993, Mr. Anderson continued to renew the firm license annually until its expiration June 30, 2001. The Commission further found that Mr. Anderson failed to enter into a written listing agreement for property he advertised and sold, misrepresented the true condition of property to buyers, failed to obtain the buyers’ signatures on and to deliver a Residential Property Disclosure Statement and employed an unlicensed receptionist, to whom he paid commissions on firm transactions.
ARRAN REALTY, INC. (Fayetteville) – By Consent, the Commission reprimanded Arran Realty effective February 15, 2002. The Commission found that the firm failed to maintain accurate trust account records and perform monthly reconciliations in accordance with Commission rules. The Commission noted that Arran Realty cooperated fully in the inquiry and implemented requested bookkeeping improvements.
B & B ON THE BEACH, INC. (Corolla) – By Consent, the Commission suspended the firm license of B & B On The Beach, Inc., for a period of two years effective March 1, 2002. The Commission then stayed the suspension for a probationary term of three years. The Commission found that the firm had failed for a period of two years to perform the monthly reconciliation of its trust accounts required by Commission rules. The Commission further found that, as a result, the firm had not properly applied funds held for others to the purposes for which those funds were held. The Commission noted that B&B undertook to remedy the situation and implement required record keeping procedures.
CENTRAL REAL ESTATE CORP, d/b/a HARVEST TIME REAL ESTATE CENTRAL (Rocky Mount) – The Commission revoked the firm broker license of Central Real Estate Corp., effective March 8, 2002. The Commission found that the firm failed to accurately account for and remit funds it held for others as a broker, failed to maintain a system of ledgers, journal and monthly reconciliation, could not account for funds of others it received in the course of its brokerage business, and continued to deposit and disburse trust money from accounts with insufficient funds to meet liabilities. The Commission further found that the firm failed to maintain records of the transactions it conducted, allowed its broker to submit false documents to obtain loan approval, and unlawfully allowed unlicensed persons affiliated with it to engage in conduct for which a real estate license was required.
DANE Z. CLAY (Fayetteville) – By Consent, the Commission revoked the salesperson license of Mr. Clay effective March 1, 2002. The Commission found that Mr. Clay failed to submit himself to the supervision of his broker-in-charge in multiple transactions. The Commission further found that after leaving the broker-in-charge, Mr. Clay failed to submit himself to the supervision of his next broker-in-charge when acting as a licensed agent.
EARLY AMERICAN HOMES, INC. (Whittier) – The Commission revoked the firm broker license of Early American Homes, Inc., effective April 22, 2002. The Commission found that while the firm was no longer authorized to conduct business in North Carolina because of the suspension of its corporate charter by the state in 1991 and its administrative dissolution in 1993, the firm continued to renew its license annually until its expiration June 30, 2001. The Commission further found that Early American Homes, Inc., failed to enter into a written listing agreement for property it advertised and sold, misrepresented the true condition of the property to buyers, failed to obtain the buyers’ signatures on and to deliver a Residential Property Disclosure Statement and employed an unlicensed receptionist to whom it paid commissions on firm transactions.
JONATHAN H. ELLIOT (Fayetteville) – By Consent, the Commission reprimanded Mr. Elliot effective February 15, 2002. The Commission found that Mr. Elliot failed to maintain accurate trust account records and perform monthly reconciliation in accordance with Commission rules. The Commission noted that Mr. Elliot cooperated fully in the inquiry and implemented requested bookkeeping improvements.
MICHAEL J. FOX AND ASSOCIATES REALTORS, LLC (Charlotte) – The Commission accepted the voluntary surrender of the Michael J. Fox and Associates Realtors’ firm license for a period of one year effective April 1, 2002. The Commission dismissed without prejudice allegations that the firm violated provisions of the Real Estate License Law and Commission rules. The firm neither admitted nor denied misconduct.
ROBERT E. GARDINIER, JR. (Atlantic Beach) – By Consent, the Commission revoked the broker license of Mr. Gardinier effective May 1, 2002. The Commission found that Mr. Gardinier failed to disclose on his 1997 license application that he then had a forgery charge pending against him in South Carolina. The Commission further found that Mr. Gardinier was convicted of the forgery charge and was subsequently convicted in North Carolina of other unrelated criminal charges. Mr. Gardinier was allowed to apply for a new license on certain conditions including that he make a complete and accurate application.
JON C. GILLMAN (Charlotte) – By Consent, the Commission revoked the salesperson license of Mr. Gillman effective March 1, 2002. The Commission found that, in his application for licensure, Mr. Gillman failed to make a full disclosure of his criminal history. Mr. Gillman was allowed to apply for the reinstatement of his salesperson license thirty days following its revocation on certain conditions including that he provide the Commission with complete information concerning his criminal convictions.
JAMES E. HARRISON (Fayetteville) – By Consent, the Commission revoked the broker license of Mr. Harrison effective April 1, 2002. The Commission found that Mr. Harrison failed to properly account for monies coming into his possession and failed to adequately maintain his trust account records as required by Commission rules. The Commission also found that Mr. Harrison failed to reconcile his trust accounts on a monthly basis and that liabilities of his two trust accounts exceeded funds in those accounts. The Commission noted that Mr. Harrison since reimbursed those accounts and no consumer was harmed as a result.
SUSAN C. HASTY (Raleigh) – The Commission revoked the broker license of Ms. Hasty effective December 15, 2000. The Commission found that Ms. Hasty failed to accurately account for and remit to others funds held for them as a broker, failed to maintain a system of ledgers, journal and monthly reconciliations, continued to deposit and disburse trust funds from accounts with insufficient funds to meet liabilities, used a bookkeeping system that did not comply with Commission rules and used funds of some owners to pay expenses of other owners. The Commission also found that Ms. Hasty failed to supervise a firm salesperson and misrepresented to the Commission her supervision of that salesperson. Ms. Hasty appealed to the Superior Court of Wake County, which upheld the order of the Commission.
JAY C. JOHNSON (Fayetteville) – The Commission accepted the voluntary surrender of the broker license of Jay C. Johnson for a period of two years effective February 19, 2002. The Commission dismissed without prejudice allegations that the firm violated provisions of the Real Estate License Law and Commission rules. Mr. Johnson neither admitted nor denied misconduct.
NEW DIMENSIONS REALTY, INC. (Fayetteville) – The Commission accepted the permanent voluntary surrender of the firm license of New Dimension Realty, Inc., effective February 19, 2002. The Commission dismissed without prejudice allegations that the firm violated provisions of the Real Estate License Law and Commission rules. The firm neither admitted nor denied misconduct.
LOU ANN NORRIS (Emerald Isle) – By Consent, the Commission revoked the salesperson license of Ms. Norris effective April 1, 2002. The Commission found that Ms. Norris pled guilty in United States District Court, Eastern District of North Carolina, to Bank Larceny in violation of federal law.
PINNACLE INN RESORT RENTALS & SALES, INC. (Banner Elk) – By Consent, the Commission suspended the firm license of Pinnacle Inn Resort Rentals & Sales effective April 1, 2002 for a period of three years. The Commission then stayed the suspension effective April 1, 2002, for a probationary a period of five years. The Commission found that Pinnacle Inn contracted with an individual to act as its broker-in-charge who did not properly maintain its trust accounts as required by Commission rules. The Commission further found that Pinnacle allowed the situation to continue for six months before taking remedial action.
RENTAL RESOURCES INTERNATIONAL, INC. (Raleigh) – The Commission revoked the firm broker license of Rental Resources effective December 15, 2000. The Commission found that the firm failed to accurately account for and remit to others funds held for them as a broker, failed to maintain a system of ledgers, journal and monthly reconciliations, continued to deposit and disburse trust funds from accounts with insufficient funds to meet liabilities, used a bookkeeping system that did not comply with Commission rules and used funds of some owners to pay expenses of other owners. The firm appealed to the Superior Court of Wake County, which upheld the order of the Commission.
MELANIE C. SHANNON (Oak Island) – The Commission accepted the voluntary surrender of the salesperson license of Ms. Shannon for a period of one year effective March 15, 2002. The Commission dismissed without prejudice allegations that Ms. Shannon violated provisions of the Real Estate License Law and Commission rules. Ms. Shannon neither admitted nor denied misconduct.
GLENN A. SHORT (Shelby) – By Consent, the Commission suspended the salesperson license of Mr. Short effective April 1, 2002 for a period of 12 months. The Commission then stayed the suspension effective May 1, 2002 for a probationary term of 12 months. The Commission found that Mr. Short, during the final examination of a pre-licensing broker course, consulted course preparation materials contrary to the instructor’s policy for the examination and the rules of the Real Estate Commission.
SUGAR MOUNTAIN LODGING, INC. (Banner Elk) – By Consent, the Commission reprimanded Sugar Mountain Lodging effective March 27, 2002. The Commission found that Sugar Mountain Lodging, at a time when it had no principal broker or broker-in-charge, continued to conduct its rental management business through its unlicensed officers and employees.
T&T RENTALS, INC. (Washington) – By Consent, the Commission revoked the firm license of T&T Rentals effective April 18, 2002. The Commission found that the firm issued a check in the amount of $25,000 to clients against insufficient trust account funds to reimburse security deposits for property managed by the firm. The Commission also found that a salesperson issued a personal check in the amount of $52,000 also against insufficient funds to the same clients to be held as collateral for rental income from the property. Neither the security deposits nor the rental income have been reimbursed.
SHERRY T. TOLER (Washington) – By Consent, the Commission revoked the salesperson license of Mrs. Toler effective April 18, 2002. The Commission found that Ms. Toler managed a brokerage firm without the supervision of a broker-in-charge. The Commission also found that Ms. Toler issued a firm check in the amount of $25,000 to clients against insufficient trust account funds to reimburse security deposits for property managed by the firm and a personal check in the amount of $52,000 also against insufficient funds to the same clients to be held as collateral for rental income from the property. Neither the security deposits nor the rental income have been reimbursed.
VIRGINIA S. WARREN (Washington) – By Consent, the Commission revoked the broker license of Ms. Warren effective April 1, 2002. The Commission found that Ms. Warren, as broker-in-charge of a firm, failed to perform the duties of broker-in-charge.
CHRISTOPHER S. WEBB (Rocky Mount) – The Commission revoked the broker license of Mr. Webb effective March 8, 2002. The Commission found that Mr. Webb, while in actual control of a real estate firm’s trust account records and, later, after becoming the broker-in-charge of the firm, failed to accurately account for and remit to others funds the firm held for them as a broker, failed to maintain a system of ledgers, journal and monthly reconciliations, could not account for funds of others received by him and his firm in the course of their brokerage business, and continued to deposit and disburse trust money from accounts with insufiicient funds to meet liabilities. The Commission further found that Mr. Webb engaged in a series of two real estate transactions in which he acted both as agent for another and as a principal in which he falsified documents submitted to obtain loan approval, misrepresented material facts about the transactions to different parties, and failed to maintain or produce for inspection by the Commission the records required to be kept concerning these transactions.
This article came from the June 2002-Vol33-1 edition of the bulletin.