Disciplinary Actions

JAMES RUDOLPH ANDREWS (Charlotte) – The Commission accepted the permanent voluntary surrender of the broker license of Mr. Andrews effective February 13, 2019. The Commission dismissed without prejudice allegations that Mr. Andrews violated provisions of the Real Estate License Law and Commission rules. Mr. Andrews neither admitted nor denied misconduct.

ROBERT R. HOOVER (Charlotte) – By Consent, the Commission reprimanded Mr. Hoover effective January 31, 2019. The Commission found that Mr. Hoover, qualifying broker of a previously licensed firm, failed to notify the Commission within 10 days of that firm’s dissolution by the North Carolina Office of the Secretary of State. Mr. Hoover was the Trustee of a land trust that was managed by his firm and failed to execute a management agreement with the firm. While Mr. Hoover was acting as broker-in-charge of a property management firm, he did not have access to the firm’s trust accounts and otherwise failed to ensure that they were maintained in compliance with Commission rules.

SHAWN THOMAS JOHNSON (Buncombe County) – By Consent, the Commission permanently revoked the broker license of Mr. Johnson effective February 13, 2019. The Commission found that Mr. Johnson’s broker license restricted him from becoming a broker-in-charge or a qualifying broker until June 19, 2022. Mr. Johnson consented to the restrictions on his license. Mr. Johnson operated a property management business for a fee, sometimes under the business entity Stay Asheville Inc. His property management business focused on short-term rentals, specifically using Airbnb as a platform to rent properties. Mr. Johnson failed to obtain a real estate firm license for Stay Ashville Inc., has rented at least nine properties on behalf of others for a fee without entering into a written property management agreement, failed to maintain a trust account to hold the rental proceeds for his owner clients, and failed to keep any trust account records. Instead, Mr. Johnson directed Airbnb to deposit rental proceeds into his personal bank accounts, thus commingling personal money with trust money in these bank accounts. Mr. Johnson failed to account for and disburse trust money to his owner clients. Mr. Johnson rented three properties on Airbnb, each within the Asheville city limits, as short-term rentals without first obtaining a Homestay Permit from the City of Asheville as required under the city’s ordinances. Mr. Johnson failed to execute, maintain, or produce to the Commission’s investigator any records related to his property management operation. Mr. Johnson neither admits nor denies that he modified pre-approval and prequalification letters written for other individuals to use for his own purposes.

RAYMOND DEWIRE NEELON (Wilmington) – Following a hearing, the Commission permanently revoked the license of Mr. Neelon, effective January 9, 2019. The Commission found that Mr. Neelon managed residential properties for others and failed to provide the property owner with a copy of the executed management agreement within five days. Mr. Neelon also scheduled repairs to be made to the properties he managed, and deducted those expenses from the owner rental statements, but failed to pay the vendors. Instead, Mr. Neelon converted the entrusted funds to personal use. Mr. Neelon falsely told a mold testing company that payment had already been submitted to them, in order to receive the test results, when in fact no payment had been submitted. Mr. Neelon failed to respond to Commission Letters of Inquiry and failed to notify the Commission that his licensed firm was administratively dissolved by the NC Department of the Secretary of State.

POLLY PURNESS-NORRIS (Morehead City) – By Consent, the Commission reprimanded Ms. Purnell-Norris effective February 1, 2019. The Commission found that Ms. Purnell-Norris, acting as broker-in-charge, was the listing agent for a client that, according to the listing agreement, did not authorize Ms. Purnell-Norris or her firm to act as a dual agent. Ms. Purnell-Norris, however, directed a provisional broker under her supervision to act as a designated agent for a buyer for the property Ms. Purnell-Norris listed. Ms. Purnell-Norris failed to disclose material facts about the subject property to potential buyers after she received inspection reports that noted serious defects in the condition of the house and septic system.

JOSHUA WAYNE SAMS (Charlotte) – By Consent, the Commission suspended the broker license of Mr. Sams for a period of three months effective February 13, 2019. The Commission found that on February 16, 2018 Mr. Sams pleaded guilty to Level 4 DWI and Level 1 DWI. Mr. Sams was issued 30 months of supervised probation, required to enroll and participate in the STEP program, required to obtain an alcohol assessment, and required to perform 48 hours of community service. Mr. Sams failed to disclose these convictions to the Commission within 60 days of the judgment. Mr. Sams’s supervised probation will become unsupervised at the conclusion of the STEP program in April 2019.