Enforcement Action: Monetary PenaltyIssue Date: January 24, 2018
On January 24, 2018, pursuant to s. 28.3(1)(b) of the Homeowner Protection Act (the “Act”), Ideal Primetime Holding Co. Ltd. (IPHCL), Satinder Sethi (“S. Sethi”), and Surjit Singh Sethi (“S.S. Sethi”), jointly and severally, were issued a monetary penalty in a daily amount of $220, to a maximum of $6,600, for each day that passes until the demands contained in Compliance Order 17-0038 have been satisfied. This Monetary Penalty was issued for the following reasons:
- IPHCL, S. Sethi, and S.S. Sethi (S. Sethi and S.S. Sethi together, “the Sethis”) constructed a new home in White Rock, BC (the “New Home”), between April 13, 2015, and March 21, 2017. Although IPHCL has been a BC Housing (“BCH”) Licensed Residential Builder (“LRB”) (32020) since August 11, 2009, and obtained a commitment from an approved home warranty insurer on March 26, 2015, to provide home warranty insurance (“HWI”) on the New Home as required by the Act and the Homeowner Protection Act Regulation, the New Home was de-enrolled from HWI coverage on March 21, 2017, contrary to section 22(1) of the Act;
- The contravention of the Act by IPHCL and the Sethis is the subject of Compliance Order 17-0038 (the “CO”) issued by a Compliance Investigator on November 8, 2017. The date for complying with the CO was November 30, 2017;
- The CO directed that IPHCL and the Sethis cease all construction activities on the New Home and immediately register the New Home for coverage by HWI provided by a warranty provider pursuant to section 22(1) of the Act, or provide BCH Compliance Department with proof that the New Home is being built by a LRB, and is enrolled in a policy of HWI pursuant to section 22(1) of the Act; and
- IPHCL and the Sethis failed to comply with the orders contained in the CO by the requested compliance date.