A Markham, Ont.,-based developer has been ordered to pay almost $185,000 in fines and restitution after pleading guilty at an Ontario court to illegally selling new homes.
The Home Construction Regulatory Authority says Ideal (BC) Developments has never had a licence to build or sell new homes in Ontario and still took in hundreds of thousands of dollars in deposits on the sale of new homes in Richmond Hill, Ont., from buyers.
The regulatory authority says it had conducted an investigation into the conduct of the developer that resulted in the Ontario Court of Justice sentencing Ideal (BC) Developments to fines of $15,625 for illegal selling and $18,750 for failing to provide evidence required by a search warrant.
The court also ordered the developer to pay $150,000 to the regulatory authority as a restitution order.
The authority’s chief executive officer and registrar Wendy Moir says her organization will distribute restitution proceeds to impacted purchasers.
Moir says The Home Construction Regulatory Authority refused to renew licences for Ideal Developments Inc. and all related companies, and they are no longer licensed to build or sell new homes.
“This outcome reinforces our message that anyone building and selling new homes must have a valid licence from the HCRA. It’s the law,” Moir says.
“While this restitution does not compensate purchasers for their lost deposits, we hope it helps alleviate some of their financial loss.”