REAL ESTATE COUNCIL OF BRITISH COLUMBIA
In the matter of the Real Estate Services Act
S.B.C. 2004 ch. 42
AND in the matter of a Consent Order pursuant to Section 41 of the Real Estate Services Act
Respondent: SURINDERJIT (SERGE) SING RAI
File: 319-05 and 34-06
Date of Consent Order: September 27, 2007
Complaint: Contravention of sections 35(1)(a) and 25 of the Real Estate Services Act, sections 3-1(1)(a) and (b), 3-1(3)(a), 5-1(3), (4) and (5), 7-4, 7-5(2) and (3), 8-1, 8-2 and 8-3 of the Council Rules/Professional misconduct, brokerage records, managing broker responsibilities, written services agreements, other trust account requirements, shortages in trust accounts, financial records, trust accounts and general accounts, and pooled trust account records
Issue: Realty One Homes Ltd., Surrey, brokerage, committed professional misconduct within the meaning of section 35(1)(a) of the Real Estate Services Act by contravening section 25 of the Real Estate Services Act, and sections 8-1, 8-2 and 8-3 of the Council Rules in that it failed to maintain proper and up to date books, records and accounts in accordance with the Council Rules.
Issue: Money Saver Realty Ltd., Surrey, brokerage, committed professional misconduct within the meaning of section 35(1)(a) of the Real Estate Services Act by (a) contravening section 25 of the Real Estate Services Act, and sections 8-1, 8-2 and 8-3 of the Council Rules in that it failed to maintain proper and up to date books, records and accounts in accordance with the Council Rules; and (b) contravening sections 7-5(2) and 7-5(3) of the Council Rules in that it: (i) failed to take immediate steps to eliminate the trust shortage in the trust account of the brokerage as required by section 7-5(2) of the Council Rules until it was brought to its attention by the Council; and (ii) failed to notify the Council of the said trust shortage as required by section 7-5(3) of the Council Rules.
Issue: Surinderjit Singh Rai, managing broker, Realty One Homes Ltd., Surrey, and Money Saver Homes Ltd., Surrey, committed professional misconduct within the meaning of section 35(1)(a) of the Real Estate Services Act by contravening section 3-1(1)(a) and (b) and section 3-1(3)(a) and (b) of the Council Rules in that he was not actively engaged in the management of the said brokerage as he: (a) failed to ensure that the said brokerages kept proper and up to date books, accounts and other records in accordance with section 25 of the Real Estate Services Act and sections 3-1(3)(a), 8-1, 8-2 and 8-3 of the Council Rules; (b) failed to ensure that the rental property management agreements of Realty One Homes Ltd. (i) were signed by an authorized signatory of the brokerage; (ii) included a provision respecting the use and disclosure of personal information; (iii) specified the scope of the authority of the brokerage when acting on behalf of the owner, including making disbursements on behalf of the owner; and (iv) contained a description of the records to be kept on behalf of the owner; all of which are required by sections 5-1(3), (4) and (5) of the Council Rules; and (c) failed to review, date and initial monthly trust asset and liability reconciliations for the trust accounts of the said brokerages as required by section 7-4 of the Council Rules.
Result: Realty One Homes Ltd. was reprimanded for professional misconduct as described above after an Agreed Statement of Facts, Proposed Acceptance of Findings and Waiver was entered into between the Real Estate Council and Realty One Homes Ltd. and a Consent Order was issued. Realty One Homes Ltd. was assessed a discipline penalty in the amount of $1,000.00 and Realty One Homes Ltd., Money Saver Homes Ltd. and Surinderjit Singh Rai are jointly and severally liable to pay the Council ’s audit costs in the amounts of $1,668.75 for Realty One Homes and $1,462.50 for Money Saver Homes Ltd. to the Council and are jointly and severally liable to pay enforcement expenses to the Council in the amount of $750.00.
Result: Money Saver Homes Ltd was reprimanded for professional misconduct as described above after an Agreed Statement of Facts, Proposed Acceptance of Findings and Waiver was entered into between the Real Estate Council and Money Saver Homes Ltd. and a Consent Order was issued. Money Saver Homes Ltd. was assessed a discipline penalty in the amount of $1,000.00 and Money Saver Homes Ltd., Realty One Homes and Surinderjit Singh Rai are jointly and severally liable to pay the Council ’s audit costs in the amounts of $1,462.50 for Money Saver Homes Ltd. and $1,668.75 for Realty One Homes to the Council and are jointly and severally liable to pay enforcement expenses to the Council in the amount of $750.00.
Result: Surinderjit Singh Rai ’s managing broker ’s licence was suspended for thirty days from November 14, 2007 to December 13, 2007 (inclusive) for professional misconduct as described above after an Agreed Statement of Facts, Proposed Acceptance of Findings and Waiver was entered into between the Real Estate Council and Surinderjit Singh Rai and a Consent Order was issued. However, during the suspension period, Mr. Rai is eligible to be licensed as an associate broker or representative. Further, Surinderjit Singh Rai must successfully complete the disciplinary education assignment applicable to Chapter 2 (Mandatory Requirements under the Real Estate Services Act) of the Broker ’s Licensing Course. In addition, Surinderjit Singh Rai, Money Saver Homes Ltd., and Realty One Homes Ltd. are jointly and severally liable to pay the Council ’s audit costs in the amounts of $1,668.75 for Realty One Homes and $1,462.50 for Money Saver Homes Ltd. to the Council and are jointly and severally liable to pay enforcement expenses to the Council in the amount of $750.00.
P: Nov 1, 2007 R: Nov 1, 2012