Recommendation Based upon the foregoing Findings of Fact and Conclusions of Law, the Hearing Officer recommends that the Florida Real Estate Commission revoke the registration of Ronald W. Hoffman as a registered real estate salesman. DONE AND ORDERED in Tallahassee, Leon County, Florida, this 15th day of August, 1977. STEPHEN F. DEAN Hearing Officer Division of Administrative Hearings Oakland Building 2009 Apalachee Parkway Tallahassee, Florida 32301 (904) 488-9675 Filed with the Clerk of the Division of Administrative Hearings this 15th day of August, 1977. COPIES FURNISHED: Bruce I. Kamelhair, Esquire Florida Real Estate Commission 2699 Lee Road Winter Park, Florida 32789 Mr. Ronald W. Hoffman 722 Lithia Road Brandon, Florida 33511 ================================================================= AGENCY FINAL ORDER ================================================================= FLORIDA REAL ESTATE COMMISSION FLORIDA REAL ESTATE COMMISSION, An Agency of the State of Florida, Petitioner, PROGRESS DOCKET NO. 3140 HILLSBOROUGH COUNTY vs. CASE NO. 77-679 RONALD W. HOFFMAN, Respondent. /
Recommendation Based upon the foregoing Findings of Fact and Conclusions of Law the Hearing Officer recommends that the Florida Real Estate Commission take no action against the registration of Cindy Realty of Hernando, Inc., and William Colello as real estate brokers. DONE and ORDERED this 30th day of April, 1979, in Tallahassee, Leon County, Florida. STEPHEN F. DEAN Hearing Officer Division of Administrative Hearings Room 530, Carlton Building Tallahassee, Florida 32301 (904) 488-9675 COPIES FURNISHED: Fred Langford, Esquire 400 West Robinson Street Post Office Box 1900 Orlando, Florida 32802 Stephen C. Booth, Esquire 1604 U.S. Highway 19, North New Port Richey, Florida 33552
Findings Of Fact The Respondent, Terry G. Jewell, (Jewell) is now and was at all times material to this case a licensed real estate broker-salesman in the State of Florida, having been issued license number 0131811 in accordance with Chapter 475, Florida Statutes. He has held this license since 1974, even though he has worked in the real estate business only off and on since that time. In November, 1984, Jewell started Sun Country Homes of North Florida, Inc., with E. M. Coullias and another investor. Jewell owned 32 1/2 shares of the corporation and was an employee of the corporation. Coullias was president and chief operating officer of the corporation. Jewell's duties included managing sales, advertising, development of sales materials, preparation of house plans and procurement of mortgage financing for customers. Coullias was in charge of field supervision of construction of the homes, keeping the books and records of the corporation, and paying all accounts. The corporation had another employee, Joan Mead, who acted as a secretary and sales person. On March 25, 1986, Anne and Frank Koblinski entered into a contract with Sun Country Homes of North Florida, Inc., to have a house built. After the execution of that contract, an account was opened at the Gainesville State Bank in Gainesville, Florida, jointly between Jewell, representing the corporation, and Willern Koblinski, representing his parents. The Koblinskis deposited $48,000 into that account. At the time the contract with Sun Country Homes of North Florida, Inc., was executed by the Koblinskis, they were living in the Fort Myers area, so they designated their son, Willern Koblinski, as the person authorized to disburse funds from the joint account on their behalf. Willern Koblinski lived across the street from the property where the home was to be built. He regularly inspected the building site and determined whether Sun Country was entitled to a draw in accordance with the draw schedule contained in the contract. Generally, Joan Mead, the secretary for Sun Country, would call Willern Koblinski on his pager to request a draw. After he inspected the property, Willern Koblinski would draw a check on the joint account and drop it off at the corporation's office. During the course of construction, the following draws were made from the account and were disbursed by checks made payable to Sun Country Homes of North Florida, Inc., and were signed by both Jewell and Willern Koblinski: Date Amount 5/8/86 (1st draw) $ 9,570.00 5/21/86 (partial 2nd draw) $16,000.00 The following draws were made from the account payable to Sun Country Homes of North Florida, Inc., but were never signed by Jewell: Date Amount 6/10/86 (balance 2nd draw) $ 3,140.00 6/25/86 (partial 3rd draw) $ 3,000.00 7/11/86 (balance 3rd draw) $ 6,570.00 7/30/86 (partial last draw) $ 5,000.00 The total draws were $43,280. Each draw was deposited in the general operating account of Sun Country Homes of North Florida, Inc. On July 19, 1986, Jewell took a vacation and was out of town until July 30, 1986. When he returned, he discovered that some of the homes under construction were behind schedule. Jewell also discovered that several subcontractors and suppliers had not been paid. Jewell left messages for the president of Sun Country Homes, E. M. Coullias, and attempted to contact Coullias to discuss the problems with the construction schedules on several homes and the subcontractors who had not been paid. Jewell and Coullias had a large confrontation regarding the homes that were behind schedule and the non-payment of subcontractors Shortly after that confrontation, Jewell resigned as an officer and employee of Sun Country Homes of North Florida, Inc. Even after his resignation, Jewell personally went to the job site of the homes being construction for Waters, Ross, and Koblinski, and completed these homes so that the buyers could occupy them. At the time of Jewell's resignation from Sun Country Homes of North Florida, Inc., there was $5,332.00 remaining in the joint account for the Koblinskis' house. As soon as Jewell realized that Coullias had spent the funds previously paid to Sun Country Homes of North Florida, Inc., and could not pay the subcontractors, Jewell advised Mrs. Koblinski and Willern Koblinski to withdraw the remaining funds from the joint account and to use those funds to pay any subcontractors or suppliers who had not been paid. Jewell signed a blank check in order to permit Willern Koblinski to withdraw those funds. During the time that Jewell worked for Sun Country Homes of North Florida, Inc., the corporation sold and constructed approximately 25 homes. Before the situation arose on the Koblinski contract, Jewell knew of no other incidents where Sun Country Homes failed to pay subcontractors or suppliers. During the entire time that Jewell worked for Sun Country Homes of North Florida, Inc., Coullias was President of the corporation and controlled and managed the collection and deposit of receipts of the company and disbursement of these funds. Jewell first learned of unpaid subcontractors and suppliers after he returned from vacation on July 30, 1986. After his resignation from Sun Country Homes, Jewell attempted to help the Koblinskis in completing their house. He came to their house and finished a "punch list." Jewell received no payment from Sun Country Homes for any of these efforts. The Koblinskis used part of the funds disbursed to them to pay the air conditioning and plumbing subcontractors. They have about $1,062 left from these funds. After subcontractors and suppliers were not paid, Coullias told Willern Koblinski that they would be paid. He also told Jewell to have no further contact with the Koblinskis. However, Sun Country Homes of North Florida, Inc., closed its doors without paying the subcontractors and suppliers. Apparently Coullias has left the area and cannot be located. There are at least four subcontractors who worked on the Koblinski house who have not been paid: Sun Coast Insulation $1,191.00 Landmark Truss $1,322.39 Dyson Cabinet Millwork $4,029.79 Myers Brothers Septic Tank $ 785.00 Dyson and Myers have filed liens against the Koblinski home for the amount of their respective bills. Jewell did not receive any funds disbursed to Sun Country Homes for the Koblinski house. The only funds he received from the corporation were salary and reimbursement for expenses. He did not receive any bonuses or cash loans. If the funds paid to Sun Country Homes of North Florida, Inc., for the Koblinski draws were not used to pay the bills on the Koblinski construction, Jewell did not receive any benefit in any way from those funds.
Recommendation Based upon the foregoing Findings of Fact and Conclusions of Law, it is RECOMMENDED that: The Florida Real Estate Commission enter a final order dismissing the Administrative Complaint filed against Terry G. Jewell. DONE and ENTERED this 25th day of September, 1987, in Tallahassee, Florida. DIANE K. KIESLING, Hearing Officer Division of Administrative Hearings 2009 Apalachee Parkway Tallahassee, Florida 32301 (904) 488-9675 Filed with the Clerk of the Division of Administrative Hearings this 25th day of September, 1987. APPENDIX TO RECOMMENDED ORDER, CASE NO. 87-2192 The following constitutes my specific rulings pursuant to Section 120.59(2), Florida Statutes, on all of the proposed findings of fact submitted by the parties in this case. Specific Rulings on Proposed Findings of Fact Submitted by Respondent, Terry G. Jewell Respondent's proposed findings of fact 1 - 30 are adopted in substance as modified in Findings of Fact 1 - 28. COPIES FURNISHED: Arthur Shell, Jr., Esquire Department of Professional Regulation Division of Real Estate 400 West Robinson Street Orlando, Florida 32801 William C. Andrews, Esquire Post Office Drawer C Gainesville, Florida 32602 Harold Huff, Executive Director Department of Professional Regulation Division of Real Estate 400 West Robinson Street Orlando, Florida 32801 Joseph A. Sole, General Counsel Department of Professional Regulation 130 North Monroe Street Tallahassee, Florida 32399-0750 Tom Gallagher, Secretary Department of Professional Regulation 130 North Monroe Street Tallahassee, Florida 32399-0750
Findings Of Fact Robert Hartnett was at all times pertinent to this complaint a registered real estate broker. Bill Dew and Dave Allman sought to lease a specific piece of real property for business purposes. In this regard they contacted William Hartnett, who had previously leased a piece of real property which included the specific piece of property Messrs. Dew and Allman desired to lease. Messrs. Allman and Dew entered into an agreement to sublease a portion of the Hartnett leasehold. A contract was prepared by William Hartnett and delivered by Robert Hartnett to Dew and Allman, who executed the contract. Although there is conflicting testimony, the testimony of Robert Hartnett is accepted as the more accurate explanation of his role in the transaction. Robert Hartnett had no interest in William Hartnett's business venture or in the leasehold, and did not appear or function as a real estate broker in this transaction. The owner of the property, Mr. Grossinger, testified he agreed to lease the property to William Hartnett. Hartnett was permitted to occupy the premises and paid rent. William Hartnett prepared a written lease which was not signed by the owner, Mr. Grossinger. Grossinger terminated the agreement when Hartnett subleased the premises to Allman and Dew without notifying him and instituted legal action to evict William Hartnett. Under the circumstances, there was an oral lease between Hartnett and Grossinger. Messrs. Dew and Allman made arrangements with contractors to make modifications to the subleased premises, and the modifications were begun. These modifications were in part the cause for the owner terminating the lease with William Hartnett. Messrs. Dew and Allman or their agents did have occupancy of the premises.
Recommendation Based upon the foregoing Findings of Fact and Conclusions of Law the Hearing Officer recommends that the Florida Real Estate Commission take no action against Respondent Robert Hartnett. DONE and ORDERED this 14th day of June, 1979, in Tallahassee, Leon County, Florida. STEPHEN F. DEAN Hearing Officer Division of Administrative Hearings Room 101, Collins Building Tallahassee, Florida 32301 (904) 488-9675 COPIES FURNISHED: Manuel E. Oliver, Esquire Florida Real Estate Commission 400 West Robinson Street Post Office Box 1900 Orlando, Florida 32802 Louis M. Jepeway, Esquire 619 Dade Federal Building 101 East Flagler Street Miami, Florida 33131
Findings Of Fact Based on the admissions of the Respondent, on the testimony of the witnesses, and on the exhibits received in evidence, I make the following findings of fact: Respondent Larry L. Toney is now and was at all times material hereto a licensed real estate broker in the State of Florida, having been issued license number 0089521 in accordance with Chapter 475, Florida Statutes. The last license issued was as a broker, t/a Larry L. Toney Realty, Inc., 4629 Moncrief Road West, Jacksonville, Florida 32209. At the time of the events described below, Ernest W. Mabrey was the owner of a house located at 3926 Perry Street, Jacksonville, Florida. On or about March 3, 1986, the Respondent met with Josephine Watkins, who is the daughter of Ernest W. Mabrey, at her home in Lake Butler, Florida, and advised her and Mr. Mabrey that the property described above, then owned by Mr. Mabrey, was in foreclosure. Ernestine Byrd, another daughter of Mr. Mabrey, was also present. An action to foreclose the mortgage on the subject property had in fact been filed at the time the Respondent met with Ernest W. Mabrey and members of his family. The Respondent requested that Ernest W. Mabrey sign a warranty deed to evidence the fact that he, Ernest W. Mabrey, had no interest in saving the subject property from the then pending mortgage foreclosure action. Josephine Watkins and Ernestine Byrd discussed the proposed transaction before any papers were signed. Ernest W. Mabrey did not object to transferring the subject property. On or about March 3, 1986, Ernest W. Mabrey, as grantor, signed a warranty deed which conveyed the subject property to Emory Robinson, Jr. Mr. Mabrey willingly signed his name to the warranty deed with the understanding that he was releasing his interest in the subject property because he was sick and neither he nor his daughters had the funds necessary to redeem the property. Josephine Watkins helped her father, Mr. Mabrey, write his name on the warranty deed and Ernestine Byrd signed the warranty deed as a witness to her father's signature. At the time the warranty deed was signed, no payments had been made on the mortgage for approximately five years. The Respondent did not promise to pay any money to Mr. Mabrey or his daughters in connection with the transfer of the subject property, nor did they expect to receive any money. The Respondent did not forge any signatures on the warranty deed described above. All of the signatures on that warranty deed are genuine. The grantee in the subject transaction, Emory Robinson, Jr., paid the holder of the first mortgage the sum of $6,787.11 in order to bring the payments to a current status and he assumed the mortgage. The mortgage foreclosure action was then voluntarily dismissed.
Recommendation For all of the foregoing reasons, it is RECOMMENDED that the Florida Real Estate Commission issue a final order in this case dismissing all charges against the Respondent. DONE AND ENTERED this 5th day of May, 1988, in Tallahassee, Leon County, Florida. MICHAEL M. PARRISH Hearing Officer Division of Administrative Hearings The Oakland Building 2009 Apalachee Parkway Tallahassee, Florida 32399-1550 (904) 488-9675 Filed with the Clerk of the Division of Administrative Hearings this 5th day of May, 1988. APPENDIX TO RECOMMENDED ORDER The following are my specific rulings on all proposed findings of fact submitted by the parties. Findings Proposed by Petitioner: Paragraphs 1, 2 and 3: Accepted. Paragraph 4: First two lines accepted. Last line rejected as not supported by competent substantial evidence. Paragraph 5: First sentence is rejected as contrary to the greater weight of the evidence. Second sentence is rejected as constituting subordinate and unnecessary details. Paragraph 6: Rejected as contrary to the greater weight of the evidence. Paragraph 7: Accepted in substance, with additional findings for clarity and completeness. Paragraph 8: It is accepted that the house was conveyed to Mr. Robinson. The remainder of this paragraph is rejected as contrary to the greater weight of the evidence or as not supported by competent substantial evidence. Findings Proposed by Respondent: All of the findings proposed by the Respondent have been accepted in whole or in substance, except as specifically set forth below. In making my findings of fact, I have omitted a number of unnecessary details proposed by the Respondent. Paragraph 8: Rejected as constituting subordinate and unnecessary details. Paragraph 18: Rejected as constituting subordinate and unnecessary details. Paragraph 19: Rejected as subordinate and unnecessary details and as legal argument. COPIES FURNISHED: JAMES H. GILLIS, ESQUIRE DIVISION OF REAL ESTATE POST OFFICE BOX 1900 ORLANDO, FLORIDA 32802 HENRY E. DAVIS, ESQUIRE ROBERTS & DAVIS 816 BROAD STREET JACKSONVILLE, FLORIDA 32202 DARLENE F. KELLER, EXECUTIVE DIRECTOR DIVISION OF REAL ESTATE POST OFFICE BOX 1900 ORLANDO, FLORIDA 32802 WILLIAM O'NEIL, ESQUIRE GENERAL COUNSEL DEPARTMENT OF PROFESSIONAL REGULATION 130 NORTH MONROE STREET TALLAHASSEE, FLORIDA 32399-0750
Recommendation Based on the foregoing Findings of Fact and Conclusions of Law, the Hearing Officer recommends that the registration of Thompson be suspended for a period of one year. DONE and ORDERED this 6th day of December, 1977, in Tallahassee, Florida. STEPHEN F. DEAN Hearing Officer Division of Administrative Hearings Room 530 Carlton Building Tallahassee, Florida 32304 COPIES FURNISHED: Robert J. Pierce, Esquire Florida Real Estate Commission 2699 Lee Road Winter Park, Florida 32789 Calvin Dawson Thompson Route 1, Box 1075 Oviedo, Florida 32765 =================================================================
Findings Of Fact Respondent, who was 54 years old at the time of the hearing, grew up in Blountstown, where he knew Ralph W. and Kate Foster, and their three children: Ralph, Jr., Alice and Mary. Kate Foster was his first grade teacher. Only Mary survives. Alice died in 1971, leaving two children. Ralph, Sr., died in 1973, less than two weeks before Kate died. Ralph, Jr., died in 1974, leaving Folly Hayes Foster a widow. In 1949, respondent moved to Mexico Beach, Florida, and in 1950, he went to work for Mexico Beach Corporation, selling and renting property. In that year he registered with petitioner as a real estate salesman. He is presently a registered real estate broker. Over the years, the Fosters acquired various parcels of Mexico Beach real estate and built cottages; Mary and Alice each ended up with a beach cottage, but for many years Ralph, Jr., had no cottage. Kate Foster wanted her son to have her cottage after her death. She consulted a lawyer in Blountstown who drew a deed in favor of Ralph, Jr., reserving in Kate a life estate. This deed mistakenly contained the legal description not of Lot 8, the improved lot Kate intended to convey, but of an adjoining, unimproved lot. Kate did not notice this when she executed the deed and everybody in the family was under the impression that Lot 8 had been conveyed. After her mother's death, Mary saw to it that the rental income from Let 8 was deposited first to her brother's account, then, after his death, to the account of Folly Hayes Foster. In 1975, Polly Hayes Foster told Mary that she wanted to sell Lot 8. As a result, Mary asked respondent to try to sell Lot 8. According to tax records respondent had copies of at the time, "Foster, R.W." had title to the property. Respondent had kept up with the Fosters and, like the family itself, was under the impression that Polly Hayes Foster had acquired Lot 8 upon her husband's death. Respondent showed Lot 8 to James C. and Mary B. Williams, who decided they wanted to buy it. Respondent prepared a warranty deed by filling in a form. Petitioner's exhibit No. 1. Among the items filled in was the legal description of Lot 8. In connection with their purchase of this property, the Williamses borrowed money from the Citizens Federal Savings & Loan Association of Port St. Joe, which, on the advice of counsel, accepted a mortgage on Lot 8 as security for repayment of the loan. In the course of trying to sell two lots the family thought belonged to Kate's estate, Mayo C. Johnston, the lawyer handling the estate, discovered that one of the Lots had been conveyed to Ralph Jr. Petitioner's exhibit No. 4. It soon came to light that this lot had been mistakenly conveyed instead of Lot 8. With the active cooperation of respondent, deeds of rectification were drawn and record title was made to conform to the intentions and understanding of everybody involved. Neither the Williamses nor any member of the Foster Family has suffered any financial harm as the result of these transactions.
Recommendation Upon consideration of the foregoing, it is RECOMMENDED: That petitioner dismiss the administrative complaint against respondent. DONE and ENTERED this 1st day of August, 1979, in Tallahassee, Florida. ROBERT T. BENTON, II Hearing Officer Division of Administrative Hearings Room 101, Collins Building Tallahassee, Florida 32301 (904) 488-9675 COPIES FURNISHED: Kenneth M. Meer, Esquire Post Office Box 1900 Orlando, Florida 32802 Robert W. Moore, Esquire 203 Third Street Port St. Joe, Florida 32456
Findings Of Fact Respondent, Janis K. Hinsch (Hinsch), was at all times material hereto a licensed real estate broker in the State of Florida, having been issued license No. 0350063. Hinsch was the vice president and sole qualifying broker of Respondent, Huntco of Marco, Inc., a Florida corporation, licensed as a real estate broker in the State of Florida, license No. 0222987. During all times material hereto Huntco was the owner of the Sea Oats Beach Club, a condominium located in Charlotte County, Florida. Huntco marketed the Sea Oats Beach Club under a time-share plan. The gravamen of the complaint in this case involves the sale of eight time-share units during the period of April 9, 1983 through August 11, 1983. The purchase agreements executed by the eight purchasers in question provided in pertinent part: 8. CLOSING AND TITLE At closing, . . . Seller shall deliver its warranty deed conveying fee title to the Unit Week(s) to Buyer under a plan of Interval Ownership as defined in the Declaration of Condominium . . . . The closing will be . . . not later than one (1) year from the date of this Agreement. Petitioner contends Hinsch and Huntco are guilty of violating Section 475.25(1)(b), Florida Statutes, because the deeds for the eight units were not delivered to the clerk of the court for recording within one year of the date the purchase agreements were executed. Petitioner's assertion is ill-founded. The deeds for each of the units in question were executed within 30 days of the date the purchase agreements were executed. The deeds, together with other pertinent documents, were delivered to a title company for closing and for issuance of an owner's title insurance policy. The title company, subsequent to closing, was to have forwarded the deed to the clerk for recording and, upon return of the recorded deed by the clerk, to have delivered the deed to the purchaser(s). However, the title company, through a clerical error, failed to deliver the deeds for these eight units to the clerk for recording. Respondent, upon receiving notice that purchasers had not received their deeds, immediately inquired of the title company to discern the reason, the error was discovered, and the deeds were promptly recorded. Admittedly, the deeds were not recorded within one year of the date the purchase agreements were executed, but the purchase agreements only required that the closing be held within one year. There is no evidence to suggest that the deeds in question were not delivered to the title company, or that these transactions were not closed, within one year of the date the purchase agreements were executed.
The Issue The Administrative Complaint alleges that the Respondents are guilty of fraudulently withholding a commission and failing to account for said commission. The Respondents contend that there was no commission owed to the salesperson because the salesperson did not obtain the listing contract upon which the transaction closed and had been discharged for cause before a contract for purchase was obtained. The factual issues upon which the case is determined is whether the listing contract upon which the transaction closed was obtained by the salesperson who claimed the commission, and whether the contract for purchase was received before the salesperson was discharged for good cause. Both parties submitted posthearing findings of fact, which were read and considered. Those findings not incorporated herein are found to be either subordinate, cumulative, immaterial, unnecessary, or not supported by the evidence.
Findings Of Fact At all times relevant to the allegations of the Administrative Complaint and at the time of hearing, the Respondent, Jacqueline B. Ousley, held real estate broker's license number 0333339 and operated the Respondent corporation, Touch of Class Realty, Inc., which held corporate real estate broker's license number 0218522. Both licenses were issued by the Florida Real Estate Commission. (See Petitioner's Exhibit 1.) Diane Carroll was employed by the Respondents as a real estate salesperson from February to June l2, 1982. On June 13, 1982, Ms. Carroll was discharged for good cause by the Respondents. On May 25, 1982, Ms. Carroll obtained an open listing on the Breezeway Motel, 2001 North Dixie Highway, Lake Worth, Florida, from Carl C. Summerson. This listing was good through June 25, 1982. (See Petitioner's Exhibit 2.) Based upon this contract, the Respondents showed the property to prospective buyers, to include Anthony and Deborah Hedley, the ultimate purchasers of the property. However, after the Hedleys had become interested in the property, the Respondents became aware that Summerson was not the sole owner of the Breezeway Motel. Because of the interest of the Hedleys and the prospects of selling the property, the Respondents sought and obtained an exclusive listing agreement from both owners of the motel, Carl Summerson and Roy Chapin, which was signed on June 14, 1982. As an exclusive listing, this contract supplanted the open listing obtained by Ms. Carroll on May 25, 1982. The Respondents obtained an offer to purchase the Breezeway Motel from the Hedleys on June 16, 1982, which offer was accepted by Summerson and Chapin. This transaction closed, and the Respondents received one-half of the ten percent commission, $33,800. The custom of the profession is that salespersons earn a listing commission on a listing contract obtained by them while they were employed if a contract for the purchase of the property is obtained before the salesperson leaves the broker's employment. The Respondents tendered a "referral fee" of $845 to Ms. Carroll, as opposed to a salesperson's share of the commission which was $5,070. Ms. Carroll has a civil action pending, seeking to obtain payment of the commission.
Recommendation Having found the Respondents not guilty of violating Sections 475.25(1)(b) and (d), Florida Statutes, as alleged in the Administrative Complaint, it is recommended that the Florida Real Estate Commission dismiss the Administrative Complaint against the Respondents, Jacqueline B. Ousley and Toch of Class Realty, Inc. DONE and RECOMMENDED this 3rd day of October, 1983, in Tallahassee, Leon County, Florida. STEPHEN F. DEAN, Hearing Officer Division of Administrative Hearings The Oakland Building 2009 Apalachee Parkway Tallahassee, Florida 32301 (904) 488-9675 Filed with the Clerk of the Division of Administrative Hearings this 3rd day of October, 1983. COPIES FURNISHED: Fred Langford, Esquire Department of Professional Regulation 400 West Robinson Street Orlando, Florida 32801 Donald P. Kohl, Esquire 3003 South Congress Avenue, Suite 1A Palm Springs, Florida 33461 Frederick Roche, Secretary Department of Professional Regulation 130 North Monroe Street Tallahassee, Florida 32301 Harold Huff, Executive Director Florida Real Estate Commission 400 West Robinson Street Orlando, Florida 32801 Randy Schwartz, Esquire Department of Legal Affairs 400 West Robinson Street, Suite 212 Orlando, Florida 32801 =================================================================
The Issue Whether Petitioner's application for a real estate salesman's license should be approved?
Findings Of Fact Sometime in late February or early March, 1988, Petitioner submitted an application for licensure as a real estate salesman. Petitioner's answers to questions 6 and 7 of the application reflected that in June or July 1987, he had pled guilty to conspiring to defraud the United States and was sentenced to serve 2 years on probation and assessed a $5,000 fine. Based on Petitioner's answers to questions 6 and 7 of the application, Respondent denied Petitioner's application for licensure. Petitioner's conviction for conspiring to defraud the United States was due to his involvement with two Farmers Home Administration projects to build low-income housing in Michigan. In 1983, the Farmers Home Administration had allotted approximately $500,000 to fund each of 2 low-income housing projects consisting of 18 units each. The funding had been committed to a developer other than Petitioner. The developer had been unable to arrange for the projects to be built. The developer had let out bids on both projects. The bid on one project came back under the amount allotted; however, the bid for the other project came back at approximately $105,000 over the amount allotted. At this point, Petitioner was contacted by the developer and became a partner in the development of the two projects. Petitioner's job was to get the projects built. Petitioner determined that it might be possible to construct the two projects for the total amount allotted, $1,000,000, if both projects were bid out together, since efficiencies should be achieved by bidding both projects as one. Petitioner let out a bid for the construction of both projects. The bid came back at a slightly higher amount than that allotted. However, after some negotiations with the Farmers Home Administration the two projects were allowed to proceed. However, the fact still remained that one project was more expensive than the other to build, and that the costs of the more expensive project exceeded the amount allotted by the Farmer's Home Administration. In order to resolve this problem, Petitioner falsified some documents to make the accounting for each project show that both projects came in under the amount allotted even though this was not true. In effect, Petitioner used money allotted to the less expensive project to pay for the more expensive project. In 1985, the Federal Bureau of Investigation began an investigation of all Farmers Home Administration projects in Michigan. Out of this investigation, Petitioner's involvement with the two projects was uncovered, and his subsequent plea of guilty and conviction were due to his falsifying the documents. Petitioner held a real estate salesman's license in Michigan from 1975 to 1978. From 1978 to the present time, Petitioner has held a real estate broker's license in Michigan. No disciplinary action has been taken by the State of Michigan on account of Petitioner's actions which led to his conviction. Also, no action has ever been brought in Michigan arising out of Petitioner's activities representing buyers and sellers of real estate. Petitioner has paid $150.00 of the $5,000.00 fine imposed by the Federal government. He has paid when he has had work. Petitioner is in the process of filing for Chapter 11 reorganization in order to facilitate the payment of some debts.
Recommendation Based upon the foregoing Findings of Fact and Conclusions of Law, it is RECOMMENDED that the Florida Real Estate Commission issue a Final Order approving Petitioner's application for license as a real estate salesman. DONE and ORDERED this 14th day of November, 1988, in Tallahassee, Florida. JOSE A. DIEZ-ARGUELLES Hearing Officer Division of Administrative Hearings The Oakland Building 2009 Apalachee Parkway Tallahassee, Florida 32399-1550 (904) 488-9675 Filed with the Clerk of the Division of Administrative Hearings this 14th day of November, 1988. APPENDIX TO RECOMMENDED ORDER, CASE NO. 88-3479 The parties submitted proposed findings of fact which are addressed below. Paragraph numbers in the Recommended Order are referred to as "RO ." Petitioner's Proposed Findings of Fact Proposed Finding of Fact Number Ruling and RO Paragraph Accepted. Accepted. Accepted. Rejected as not a finding of fact. Accepted. Rejected as not a finding of fact, but see Conclusions of Law section of RO. Rejected as not a finding of fact. Respondent's PRO posed Findings of Fact PRO posed Finding of Fact Number Ruling and RO Paragraph Accepted as modified in RO 1. Accepted as modified in RO 3. Subordinate. Accepted as modified in RO 2, 4 and 12. Accepted as modified in RO 11 and 12. Accepted as modified in RO 16 and 17. First 7 words are not a finding of fact; remainder of sentence is Rejected as contrary to the weight of the evidence. COPIES FURNISHED: George Joseph Laufersky 7 Oak Lane Lady Lake, Florida 32659 Lawrence S. Gendzier Assistant Attorney General 400 West Robinson Room 212 Orlando, Florida 32801 Darlene F. Keller, Executive Director Division of Real Estate 400 West Robinson Orlando, Florida 32801 Bruce D. Lamb General Counsel Department of Professional Regulation 130 North Monroe Street Tallahassee, Florida 32399-0750
