Ot: OXGN PL STATE OF FLORIDA FLORIDA REAL ESTATE COMMISSION FLORIDA DEPARTMENT OF BUSINESS AND PROFESSIONAL REGULATION, DIVISION OF REAL ESTATE, Petitioner, Vv. DBPR Case N° 2007062431 DAVID NICHOLAS GREGO, Respondent. Oo _/ ADMINISTRATIVE COMPLAINT State of Florida, Department of Business and Professional Regulation, Division of Real Estate (*Petitioner”) files this Administrative Complaint against: David Nicholas Grego (“Respondent”) and alleges: ESSENTIAL ALLEGATIONS OF MATERIAL FACT 1. Petitioner is a state government licensing and regulatory agency charged with the responsibility and duty to prosecute Administrative Complaints pursuant to the laws of the State of Florida, in particular Section 20.165 and Chapters 120, 455 and 475, of the Florida Statutes and the rules promulgated pursuant thereto. 2. Respondent is and was at all times material hereto a licensed Florida real estate broker, issued license number 3107004 in accordance with Chapter 475 of the Florida Statutes. 3. The last license issued was as a current active broker H\ac\Graca.doc 1 FDBPR v. David Nicholas Grego Case No. 2007062431 Administrative Complaint with Island Breeze Realty LLC, 12699 Overseas Hwy, Marathon, FL 33050. 4. At all times material, Respondent was a sales associate registered with Century 21 Prestige Realty Group, Key Largo, FL 33037. 5. On or about early February of 2006, Vicari, owner of 1695 Harbor Dr., Marathon, Florida 33050, was approached by Respondent. Respondent stated to Vicari that he had a buyer/client who wished to buy Vicari’s property. Vicari’s property was not listed for sale. 6. Vicari and buyer entered into a lease/purchase contract with a sale price of $410,000. See Petitioner’s Exhibit 1. 7. Respondent requested Vicari pay him a 2% commission for bringing the buyer to Vicari. 8. Vicari asked Respondent if he should make the commission check payable to Respondent’s broker Century 21. Respondent told Vicari to make the check payable to his wife Jo Grego in the amount of $8,100. 9. At Respondent’s request, Vicari made the check out to Respondent's wife, Jo Grego, an unlicensed individual. 10. Respondent’s broker was unaware of the above transaction between Respondent, Vicari and buyer. 11. At all times material, neither Respondent nor his wife H \ac\Graco.doc 2 FDBPR v. David Nicholas Grego Case No. 2007062431 Administrative Complaint had any ownership interest in the Subject Property. COUNT ONE Based upon the foregoing, Respondent is guilty of fraud, misrepresentation, concealment, false promises, false pretenses, dishonest dealing by trick, scheme or device, culpable negligence, or breach of trust in any business transaction in violation of Section 475.25(1) (b), Florida Statutes. COUNT TWO Based upon the foregoing, Respondent is guilty of having operated as a broker while licensed as a sales associate in violation of Section 475.42(1)(b), Florida Statutes and, therefore, in violation of Section 475.25(1)(e), Florida Statutes. COUNT THREE Based upon the foregoing, Respondent is guilty of failure to account or deliver funds in violation of Section 475.25(1) (d)1., Florida Statutes. COUNT FOUR Based upon the foregoing, Respondent is guilty of sharing a commission with, or paid a fee or other compensation to, a person not properly licensed as a broker, broker-salesperson, or salesperson under the laws of this state, for the referral of real estate business, clients, prospects, or customers, or for any one or more of the services set forth in Section 475.01(1) (a), Florida Statutes and, therefore, in violation of Section 475.25(1) (h), Florida Statutes. HAae\Graco.doc 3 FDBPR v. David Nicholas Grego Case No. 2007062431 Administrative Complaint COUNT FIVE Based upon the foregoing, Respondent is guilty of having collected any money in connection with any real estate brokerage transaction except in the name of the employer and with the express consent of the employer and is guilty of commencing or maintaining any action for a commission or compensation against any person except his registered employer in violation of Section 475.42(1) (d), Florida Statutes and, therefore, in violation of Section 475.25(1) (e), Florida Statutes. COUNT SIX Based upon the foregoing, Respondent is guilty of aiding, assisting, procuring, employing, or advising any unlicensed person or entity to practice a profession contrary to Chapter 455, 475 or the rules of the Petitioner in violation of Section 455.227(1) (4), Florida Statutes. WHEREFORE, Petitioner respectfully requests the Florida Real Estate Commission, or the Department of Business and Professional Regulation, as may be appropriate, to issue a Final Order as final agency action finding the Respondent(s) guilty as charged. The penaities which may be imposed for violation(s) of Chapter 475 of the Florida Statutes, depending upon the severity of the offense(s), include: revocation of the license or registration or HAac\Graco.doc 4 FDBPR v. David Nicholas Grego Case No. 2007062431 Administrative Complaint permit; suspension of the license, registration or permit for a period not to exceed ten (10) years, ‘imposition of an administrative fine of up to $5,000 for each count or offense; imposition of investigative costs; issuance of a reprimand; imposition of probation subject to terms including, but not limited to, requiring the licensee, registrant or permitee to complete and pass additional real estate education courses; publication; or any combination of the foregoing which may apply. See Section 475.25(1), Florida Statutes and Florida Administrative Code Rule 61J2-24.001. The penalties which may be imposed for violation(s) of Chapter 455 of the Florida Statutes, depending upon the severity of the offense(s), include: revocation of the license, registration, or permit; suspension of the license, registration, or permit for a period not to exceed ten (10) years; imposition of an administrative fine of up to $5,000 for each count or offense; imposition of investigative costs; issuance of a reprimand; imposition of probation subject to terms including, but not limited to, requiring the licensee, registrant, or permitee to complete and pass additional real estate education courses; . publication; restriction of practice; injunctive or mandamus relief; imposition of a cease and desist order; or any combination of the foregoing HAackGraco.doc 5 FDBPR v. David Nicholas Grego Case No. 2007062431 Administrative Complaint which may apply. See Section 455.227, Florida Statutes and Florida Administrative Code Rule 61d32-24.001. SIGNED this@Oday of « et 90,2. ) , 2008. a Department of Business and Professional Regulation Thomas O’Bryant, Jr. Director, Division of Real Estate ATTORNEY FOR PETITIONER Patrick James :Cunningham Senior Attorney Florida Bar N° 469221 Division of Real Estate Department of Business and Professional Regulation, Legal Section - Suite N 801 Hurston Bldg. North Tower Kau __ 400 West Robinson Street ao —_—_—_—" Orlando, Florida 32801-1757 . (407) 481-5632 ; . Wlaoley..... : - (407) 317-7260 FAX /k PCP: MV/RM 10/08 NOTICE TO RESPONDENTS PLEASE BE ADVISED that mediation under Section 120.573 of the Florida Statutes, is not available for administrative disputes involving this type of agency action. H\ae\Graco.doc 6 FDBPR v. David Nicholas Grego Case No. 2007062431 Administrative Complaint PLEASE BE FURTHER ADVISED that pursuant to this Administrative Complaint you may request, within the time allowed by law, a hearing to be conducted in this matter in accordance with Sections 120.569 and 120.57 of the Florida Statutes; that you have the right, at your option and expense, to be represented by counsel or other qualified representative in this matter; and that you have the right, at your option and expense, to take testimony, to call and cross-examine witnesses, and to have subpoena and subpoena duces tecum issued on your behalf if a formal hearing is requested. PLEASE BE FURTHER ADVISED that if you do not file an Election of Rights form or some other responsive pleading with the Petitioner within twenty-one (21) days of receipt of this Administrative Complaint, the Petitioner will file with the Florida Real Estate Commission a motion requesting an informal hearing and entry of an appropriate Final Order which may result in the suspension or revocation of your real estate license or registration. Please see the enclosed Explanation of Rights and Election of Rights form. [Aac\Graco.doc 7 LEASE-PURCHASE AGREEMENT THIS AGREEMENT, dated March IK 4006, is between Sam Vicari., the Landlord(s) edly / ty , & Olga M. Padron, the Tenant(s). , SAY é ee, digs the covert 5 SH oF ee and agreements by the Tenant(s) hereinafter set forth, the Landlord(s) do hereby eae the ~— In consideration of the payment of rent and the keeping and performance: Tenant(s), the following described premises situate in the County of Monroe, State of Florida, and better known as: 1695 Harbor Drive, Marathon, Florida, 33050. Rent for the premises is payable in monthly installments of: $2,500.00, to be paid on or before the first day of the month for which rent. is Cg get. .00 NON REFUNDABLE Poo SY. &,9. DEPOSIT shall be credited toward the purchase price of the property, as part of the purchase option given by Landlord. Terns of the Lease will be one year, with no provision for renewal. Tenant must advise Landlord of their intention to exercise their lease option to purchase or to vacate the premises thirty days prior to expiration of the lease term. If tenants do not exercise option to purchase any commission paid. to Real Estate Agent(s) involved in the transaction shall be refunded. THE TENANT(s), CONSIDERATION OF THE LEASING OF SAID PREMISES AS AFORESAID, COVENANTS AND AGREES AS FOLLOWS: To pay the rent for said premises as hereinabove provided; To keep said premises in good condition and repair. It is agreed that if the tenant shall be in arrears in the payments of any installment of rent, or any portion thereof, or in default of any of the covenants or agreements herein contained to be performed by the Tenant, which default shall be uncorrected for a period of five (5) days after the Landlord has given written notice thereof, Landlord may, at his option without liability for trespass or damages, enter into and upon said premises, or a portion, thereof; declare the term of this lease ended; repossess the said premises as of the Landlord’s former estate; peaceably expel and remove the Tenant, those claiming under him, or any person or persons occupying the same and their effects; all without prejudice to any other remedies available to the Landlord for arrears of rent or breach of covenant. vat a fare ITIS FURTHER MUTUALLY AGREED that this lease purchase agreement is entered into between the parties for the express purpose of Tenants agreeing to Purchase the property for the sum of $405,000.00. The Landlord, upon payment of said purchase money, shall convey said premises. by Fee Simple Additional provisions: 1. “AS IS”: Tenant/Purchaser has been made fully aware and all information regarding storm damage to the property has been disclosed. Tenant/Purchaser is aware that property is being purchased “as is” and no further work or repairs are to be conducted by Landlord. Tenant/Purchaser is aware that if they decide not to purchase the property the deposit will not be refunded and they will not be reimbursed for any expenditures made while they resided at the residence. Tenant/Purchaser has been informed of the presence of mold and /or spores, etc: in the residence as a result of storm damage, and has been made aware of the risks of occupying the property without properly removing the storm damaged portions of the residence. Tenant/Purchaser agrees to hold Landlord harmless and fully indemnifies same from any and all existing or future claims regarding its habitability, and/or fitness for occupancy. Tenant/Purchaser acknowledges the existing condition of the home as having mold and other defects and accepts said condition as reflected in the price and terms of the lease. 2. Tithe:eA LL documents necessary for title transfer shall be executed by Landlord. At closing, taxes, water, sewer, HOA dues and mortgages will be prorated as of date of title transfer. Tenant /Buyer. will pay all closing costs associated with the purchase. 3. Jnsurance & Taxes: Landlord/Seller shall make diligent effort to protect Tenant/Buyer’s equitable interest by maintaining hazard insurance upon the property. In the event of destruction in whole or in part of the property, Tenant/Buyer shall have the option to proceed with the closing and accept the insurance proceeds, if any, for said damage, or to declare this agreement null and void, releasing both parties from any obligations hereunder with the understanding that deposit monies are non- refundable and insurance proceeds, if any, will go to Landlord. Tenant/Purchaser shall be responsible for paying the insurance premiums and taxes on the property during the lease term. 4. Assignment: Tenant/Buyer shall not be permitted the right of subletting or assignment. 5. Other provisions : In the event litigation should ensue between the Landlord and Tenant, the prevailing party shall be entitled to the reasonable value of their attorney’s fees. 6. Holdover Status: If tenant remains in the residence beyond the terms of the lease (1 year) without exercising their purchase option, tenant shall be deem a Holdover tenant, entitling the Landlord to all associated relief and damages. This paragraph is not intended to conflict with any eviction or emoval remedies available to said Landlord. 3/8/06 Mion afrifrg rd Date ‘dou of March , 2006 Date Sworn fo Gund Svosuabed Bef me sien cdladn ver's license a icentifettio \abiet.coJ (YR Notaas BRic. BeniSSion Expues — 7 ne f MY cou # DD 344490 EXPI fy 27, 2008 Bonded Thvu Notary Pubjic Underwtters Landlord Galanos 0 Due Iv Ply or lees. 3 (317 oe Dollars (threehuebele WOARAYAONIE AUK UR Ue ap ear OU AU UU UYU cm, ):OLIVIA D. FLORES pons: BankofAmerica __ a” Bank of America Capture Date: 20060407 Sequence #: 6640453042 NAPA VALLEY enuve LU QO040%V000 PAY TO mE SO) li ORDER OF 4 3 Bankef America No Electronic Endorsements Found No Payee Endorsements Found ADMINISTRATIVE COMPLAINT iD Page 2 of 2 THOM TanaDa Batch Fax Req. #5983807 7" cry de t EXHIBIT__. ee PAGE___/] The Jan 11 12:57:50 CST 2007

Docket for Case No: 09-000865PL