Two years after fraud allegations first hit, a court is finally taking control of a brokerage’s assets. An Ontario judge has placed Wynn Realty Corp under receivership as of October 25th. Realtor Courtney “Lynn” Simpson and her broker/husband Kenneth Simpson are alleged to have defrauded dozens of clients. This isn’t the Realtor’s first rodeo either—she previously served time for mortgage fraud.
Ontario Court Places Wynn Realty Corp Assets Under Receivership
Wynn’s assets are finally under Receivership, two years after regulators became aware of the issue. An Ontario court appointed Grant Thornton as the Receiver on Oct 25, 2023. One of the accounts transferred had around $775k in cash, which is quite a bit of money—but not nearly enough to cover even the fraud victims.
Brokerage Is Facing Fraud Allegations Adding Up To Millions In Loses
The latest update comes after the allegations of fraud against the brokerage. Courtney Simpson is accused of defrauding 18 victims out of an estimated $1.9 million in deposits. Police have said some victims were “wiped out” after the losses.
RECO, Ontario’s real estate regulator, suspended the brokerage’s license after becoming aware of the allegations in 2021. They also issued a Notice of Proposal to Revoke the brokerage as well as Kenneth’s licenses, due to failing to return deposits upon request.
Courtney currently faces 80 charges of fraud, uttering forged documents, and breach of trust. Her partner/broker faces an additional 30 charges in relation to carrying out the transactions.
Toronto’s “Most Charming Fraudster” Has A History of Fraud
Courtney Simpson is no stranger to fraud—she previously served time for it. In 2007, she was convicted of a mortgage fraud scheme that saw investors lose between $300k and $1.5 million. There were an estimated 60 victims that lost a combined $15 million, and less than $7 million was recovered. She served 5 years in jail for the crime.
That begs the question—how does someone convicted of mortgage fraud exit jail and become a Realtor? Considering real estate is the largest source of wealth for many Canadians, it’s shocking the country allows the industry to be largely self-regulated with passive enforcement.
OTTAWA – The Canadian Real Estate Association says the number of homes sold in August fell compared with a year ago as the market remained largely stuck in a holding pattern despite borrowing costs beginning to come down.
The association says the number of homes sold in August fell 2.1 per cent compared with the same month last year.
On a seasonally adjusted month-over-month basis, national home sales edged up 1.3 per cent from July.
CREA senior economist Shaun Cathcart says that with forecasts of lower interest rates throughout the rest of this year and into 2025, “it makes sense that prospective buyers might continue to hold off for improved affordability, especially since prices are still well behaved in most of the country.”
The national average sale price for August amounted to $649,100, a 0.1 per cent increase compared with a year earlier.
The number of newly listed properties was up 1.1 per cent month-over-month.
This report by The Canadian Press was first published Sept. 16, 2024.
MONTREAL – Two Quebec real estate brokers are facing fines and years-long suspensions for submitting bogus offers on homes to drive up prices during the COVID-19 pandemic.
Christine Girouard has been suspended for 14 years and her business partner, Jonathan Dauphinais-Fortin, has been suspended for nine years after Quebec’s authority of real estate brokerage found they used fake bids to get buyers to raise their offers.
Girouard is a well-known broker who previously starred on a Quebec reality show that follows top real estate agents in the province.
She is facing a fine of $50,000, while Dauphinais-Fortin has been fined $10,000.
The two brokers were suspended in May 2023 after La Presse published an article about their practices.
One buyer ended up paying $40,000 more than his initial offer in 2022 after Girouard and Dauphinais-Fortin concocted a second bid on the house he wanted to buy.
This report by The Canadian Press was first published Sept. 11, 2024.
MONTREAL – The Quebec Professional Association of Real Estate Brokers says Montreal-area home sales rose 9.3 per cent in August compared with the same month last year, with levels slightly higher than the historical average for this time of year.
The association says home sales in the region totalled 2,991 for the month, up from 2,737 in August 2023.
The median price for all housing types was up year-over-year, led by a six per cent increase for the price of a plex at $763,000 last month.
The median price for a single-family home rose 5.2 per cent to $590,000 and the median price for a condominium rose 4.4 per cent to $407,100.
QPAREB market analysis director Charles Brant says the strength of the Montreal resale market contrasts with declines in many other Canadian cities struggling with higher levels of household debt, lower savings and diminishing purchasing power.
Active listings for August jumped 18 per cent compared with a year earlier to 17,200, while new listings rose 1.7 per cent to 4,840.
This report by The Canadian Press was first published Sept. 6, 2024.
