RECA releases information to the media and the public when we have announcements, issue a consumer alert, suspend a licensee, or when licensees take a lifetime withdrawal. Media should contact communications@reca.ca for more information.
RECA’s consumer protection mandate means RECA must use every means at its disposal to communicate important information to consumers. Browse the 2022 news releases below or select another year from the archives menu:
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Calgary, Alberta — on September 6, 2022, a Hearing Panel (the Panel) for the Real Estate Council of Alberta (RECA) cancelled the licence of James Kenneth Knutson and barred Knutson from becoming eligible for licensing for five years from the date of the decision. Should Knutson choose to become licensed after the five years have passed, Knutson will be required to successfully complete all education requirements before being eligible to apply. Knutson is not currently licensed to trade in real estate in Alberta and has been deemed ungovernable by the Panel.
Being ungovernable can diminish public confidence in the industry and bring the industry into disrepute. There is a risk of harm to the public as it means the licensee rejects their obligations to be bound by the rules governing their profession.
RECA publishes these decisions to protect consumers, ensure transparency, and educate existing RECA licensees on the standards of practice.
The Panel determined that Knutson breached the following:
Real Estate Act s.38(4)(a)
A person who is required under subsection (2) to answer the questions of a person conducting an investigation
(a) shall co-operate with the investigator and promptly respond to the questions
Real Estate Act Rules s.41(a)
Licensee must:
(a) act honestly
Real Estate Act Rules s.42
Licensee must not:
(g) engage in conduct that undermines public confidence in the industry, harms the integrity of the industry, or brings the industry into disrepute
Knutson was last registered as a real estate associate with Devonshire (The Park) Inc. O/A Maxwell Devonshire in 2019.
Please see the full details of the Hearing Panel Decision.
Share this story: October 26, 2022 – James Kenneth Knutson: Real Estate Licence Cancelled
Calgary, Alberta—the Minister of Service Alberta has appointed Elan MacDonald, ICD.D, as the new Board Chair of the Real Estate Council of Alberta (RECA). MacDonald will officially assume the role as Chair on October 1, 2022. David James had previously served as RECA’s Interim Board Chair.
MacDonald brings extensive experience in government relations and communications to the Board with a career spanning over 25 years. MacDonald is currently the Vice President, External Relations at the University of Alberta, and has spent her career advising organizations and corporations across Alberta on how to grow and sustain their businesses by navigating government, policy development, and the regulatory and legislative processes. She is also the Past Chair of the Edmonton Chamber of Commerce and a Director on numerous boards across Alberta. MacDonald also served as Deputy Chief of Staff and Political Advisor to two Alberta Premiers, and as a political advisor to several Cabinet Ministers.
“On behalf of RECA, I want to welcome Ms. MacDonald as the new Board Chair,” said RECA CEO Russ Morrow, “I look forward to working closely with Elan as we ensure RECA fulfills its consumer protection mandate and remains focused on its new strategic direction. As we move forward, I would like to express my sincere appreciation and gratitude to David James for his work and guidance as the Interim Chair over the past several months.”
“I want to take this opportunity to thank the other Board members, the Industry Councils, CEO and staff at RECA, and all the stakeholders I have worked with over the past several months,” said Interim Board Chair David James. “The real estate industry is a pivotal sector of Alberta’s economy with professionals working with businesses and individuals on some of the biggest decisions they make. I know Ms. MacDonald will bring her passion and extensive experience to ensure real estate regulation in Alberta moves forward in the public interest.”
The Chair will lead the Board and ensure it effectively sets the strategic direction for all of RECA and provides for smooth communication and collaboration between the Industry Councils.
“I feel very privileged to be appointed as the RECA Board Chair,” said MacDonald. “I look forward to working closely with the other Board members, Industry Councils and RECA administration. I can’t wait to hit the ground running.”
“RECA will undertake important and comprehensive consultation on the Real Estate Act Rules in the coming months,” continued MacDonald. “As Chair, I look forward to working with the Board, the Industry Councils, and management to ensure stakeholders have meaningful input during the review, and to help improve RECA’s strategic direction.”
The Board of Directors is composed of three members of the public appointed by the Minister of Service Alberta, and four licensees, one appointed from each of the four Industry Councils from among their licensee members. Board members are appointed for terms up to three years and can serve two terms consecutively.
Share this story: September 29, 2022 – Announcing RECA’S New Board Chair
Calgary, Alberta—On September 12, 2022, RECA’s registrar suspended the licence of Garry Shantz Real Estate Inc.
Under Section 35(2)(b) of the Real Estate Act Rules, the registrar may suspend the licence of a brokerage if the registrar receives information that indicates the individual who is registered as the broker has ceased to be the broker.
All active trades in real estate involving this brokerage are affected. Brokerages or consumers who have pending purchases, leases, or sales with deposits being held in trust with this brokerage should consider amending their contracts to transfer their trust deposit to a different brokerage or lawyer.
If you have questions or concerns regarding this suspension, please contact RECA at: 1-888-425-2754, or by email at: info@reca.ca.
Share this story: September 13, 2022 – Garry Shantz Real Estate Inc. Brokerage Licence Suspended
Calgary, Alberta — On August 16, 2022, a hearing panel for the Real Estate Council of Alberta (RECA) ordered the lifetime cancellation of the real estate broker licence of David Stephen Kennedy.
Kennedy was also prohibited from applying for a real estate associate licence for a period of 36 months, and fined $1,500 in costs associated with RECA’s investigations and hearings.
A real estate broker licence is required for individuals who run a real estate brokerage. Each brokerage can only have one broker, who is responsible for all activity within a brokerage. A real estate associate licence is required for individuals who register with a brokerage to carry-out real estate activities on behalf of the brokerage. Each brokerage can have multiple associates.
During the hearing process, Kennedy admitted to 21 breaches of the Real Estate Act Rules. Details of the breaches are found in the Hearing Panel’s written decision on reca.ca. RECA publishes these decisions to protect consumers, ensure transparency, and to educate existing RECA licensees on standards of practice.
CORRECTION: The Hearing Panel Decision originally indicated a conflict of interest in this case due to Kennedy holding financial interest in Shea Floors of Red Deer. This information was incorrect: Kennedy has never held interest in Shea Floors. The conflict of interest in this case stemmed from a separate joint investment with the owner of Shea Floors in a property that was unrelated to the business itself. This clarification does not impact the outcomes of this case.
These facts have been confirmed by all parties and have since been corrected in the published Hearing Panel Decision.
Kennedy’s broker licence has been suspended since December 13, 2019. This was done to protect the public while RECA conducted its investigation into Kennedy’s conduct. The Hearing Panel’s decision to impose a 36-month prohibition to apply for a real estate associate licence commenced on the date of their original suspension, and ends on December 13, 2022. After that date, Kennedy may reapply for an associate licence. Kennedy may at no point apply for a real estate broker licence, due to their lifetime cancellation order.
If Kennedy chooses to apply for an associate licence after December 13, 2022, RECA will first require Kennedy to successfully complete all the pre-licensing education courses required for new associates.
Kennedy was licensed with RECA beginning in 1997, and was formerly registered with Manor Management Ltd.
Share this story: August 16, 2022 – David Stephen Kennedy – Lifetime Cancellation of Real Estate Broker Licence
Calgary, Alberta—On July 19, 2022, RECA’s registrar suspended the licence of Largo Capital Limited.
Under Section 35(2)(b) of the Real Estate Act Rules, the registrar may suspend the licence of a brokerage if the registrar receives information that indicates the individual who is registered as the broker has resigned or ceased to be the broker.
All active mortgage deals involving this brokerage are affected.
If you have questions or concerns regarding this suspension, please contact RECA at: 1-888-425-2754, or by email at: info@reca.ca.
Share this story: July 20, 2022 – Largo Capital Limited Brokerage Licence Suspended
Calgary, Alberta—On April 13, 2022, the Residential Property Manager Industry Council of the Real Estate Council of Alberta (RECA) approved an application by David Lawrence Bauer under section 54 of the Real Estate Act to permanently withdraw their licence, effective immediately.
At the time of their application, Bauer was the subject of an investigation under the Real Estate Act Rules. The issues under investigation regarding Bauer were with respect to:
The review into these matters is complete. No finding of conduct deserving of sanction or a referral to a hearing has been made by RECA’s Registrar on any of the issues under investigation.
Under the Real Estate Act, the approved withdrawal application results in Bauer’s lifetime prohibition as a licensee, effective immediately. It also results in the discontinuance of the aforementioned conduct proceedings.
For more information, please see the approval letter issued by the Chair of Residential Property Manager Industry Council.
Share this story: April 13, 2022 – David Lawrence Bauer: Lifetime Withdrawal from Industry
Calgary, Alberta—on February 16, 2022, a Hearing Panel for the Real Estate Council of Alberta (RECA) suspended the mortgage associate licence of Rajneesh Aery for the period of three months, beginning April 1, 2022.
The Hearing Panel determined that Aery breached the following:
Real Estate Act Rules s.42
Licensee must not:
(a) make representations or carry on conduct that is reckless or intentional and that misleads or deceives any person or is likely to do so
(b) participate in fraudulent or unlawful activities in connection with the provision of services or in any dealings
The Hearing Panel also imposed fines and costs to Aery of:
Aery was most recently registered as a mortgage associate with 1170245 Alberta Ltd. o/a Dominion Lending Centres Global.
Share this story: April 4, 2022 – Rajneesh Aery Licence Suspended
Calgary, Alberta—On March 17, 2022, the Mortgage Broker Industry Council of the Real Estate Council of Alberta (RECA) approved an application by Stefanie Rae Davidson under section 54 of the Real Estate Act to permanently withdraw their licence, effective immediately.
At the time of their application, Davidson was the subject of an investigation under the Real Estate Act Rules. The issues under investigation regarding Davidson were with respect to:
The review into these matters is complete. No finding of conduct deserving of sanction or a referral to a hearing has been made by RECA’s Registrar on any of the issues under investigation.
The investigation found no evidence of fraud or criminal activity, therefore there were no barriers to approving the application under the Real Estate Act s.54(4).
Under the Real Estate Act, the approved withdrawal application results in Davidson’s lifetime prohibition as a licensee, effective immediately. It also results in the discontinuance of the aforementioned conduct proceedings.
For more information, please see the approval letter issued by the Chair of the Mortgage Broker Industry Council.
Share this story: March 18, 2022 – Stefanie Rae Davidson: Lifetime Withdrawal from Industry
Calgary, Alberta—on February 24, 2022, a Hearing Panel for the Real Estate Council of Alberta (RECA) cancelled the licence of Shelley Bonwick and barred Bonwick from becoming eligible for licensing for seven years. Bonwick is not licensed to trade in real estate in Alberta and has been deemed ungovernable.
The Hearing Panel also ordered total fines of $48,000 for breaching the Real Estate Act and Rules, and ordered costs of $42,585.
Bonwick’s licence had been suspended since November 14, 2018, when it was determined it was in the public interest to temporarily suspend Bonwick’s licence pending the conclusion of disciplinary proceedings.
The Panel determined that Bonwick breached the following:
Real Estate Act s.17
Licensee must not:
(a) trade in real estate as a real estate broker
(b) deal as a mortgage broke
(d) advertise himself or herself as, or in any way hold himself or herself out as, a mortgage broker, real estate broker or property manager
unless that person holds the appropriate license for that purpose issued by the Industry Council relating to that industry
Real Estate Act Rules s.38(4)
A person who is required under subsection (2) to answer questions of a person conducting an investigations
(a) shall cooperate with the investigator and promptly respond to the questions
(b)shall not be excused from answering any question on the ground that the answer might tend to
(i) incriminate the person
Real Estate Act Rules s.41
Licensee must:
(b) provide competent service
(d) any business the licensee owns or has participated in as a partner, director or officer in the past three years, has any judgment(s) rendered against the business
(f) disclose to their clients, at the earliest practical opportunity, any conflict of interest they may have in the course of providing services to, or in their dealings with, a client
Real Estate Act Rules s.42
Licensee must not:
(a) make representations or carry on conduct that is reckless or intentional and that misleads or deceives any person or is likely to do so
(b) participate in fraudulent or unlawful activities in connection with the provision of services or in any dealings
(g) engage in conduct that undermines public confidence in the industry, harms the integrity of the industry, or brings the industry into disrepute
Real Estate Act Rules s.53
A real estate associate broker and associate must:
(a) trade in real estate only in the name that appears on that individual’s licence and in the name of the brokerage with which that individual is registered
Real Estate Act Rules s.54(1)
A real estate broker, associate broker or associate, as the case may be, must not:
(a) trade in real estate on behalf of a brokerage other than the brokerage with which he is registered
Real Estate Act Rules s.58
The basic obligations of a licensee who is in a sole agency relationship with a buyer are to:
(j) disclose, in a timely manner, to the buyer all relevant facts known to the licensee affecting a property or transaction
Bonwick was previously registered as a real estate associate registered with 1853147 Alberta Ltd. o/a Engel & Volkers Calgary; 2008863 Alberta Ltd. o/a The Alberta Collection; The Alberta Collection Inc.; Grand Realty & Management Ltd. o/a Grand Realty; Discover Real Estate Ltd.
Share this story: March 9, 2022 – Shelley Bonwick: Real Estate Licence Cancelled, Barred from Becoming Licensed for Seven Years
Calgary, Alberta—on March 7, 2022, the Registrar of the Real Estate Council of Alberta (RECA) suspended the real estate brokerage licence of the David Bauer Real Estate Group Ltd. o/a MaxWell Direct Realty. The brokerage is not licensed to trade in real estate or provide property management services.
The brokerage failed to immediately fund a trust shortage as directed by the Registrar. As a result, the Registrar has suspended the brokerage licence under section 35(1)(b) of the Real Estate Act Rules, which states:
35(1) In addition to the circumstances under which a licence may be suspended or cancelled under the Act, the registrar may suspend or cancel a brokerage for any of the following reasons:
Consumers currently engaged in a property management agreement with The David Bauer Group Ltd. should contact them to discuss how their licence suspension impacts their ability to meet the obligations under their individual agreement. The brokerage can no longer provide any services that require a licence.
Consumers with money currently held in trust by the David Bauer Real Estate Group Ltd. o/a MaxWell Direct Realty should contact RECA by emailing info@reca.ca.
Share this story: March 8, 2022 – The David Bauer Group Ltd. Real Estate Brokerage Licence has been Suspended
Calgary, Alberta—March marks the beginning of Fraud Prevention Month (FPM) across Canada. The Real Estate Council of Alberta (RECA) is taking action to raise awareness about common fraud scenarios in the real estate sector.
“During the pandemic we’ve seen an increase in types of fraud schemes that use social media, free posting sites or mobile chat apps which attempt to use popular online platforms to try and attract victims” said Charles Stevenson, RECA’s Registrar.
“We’ve seen reports of fraudsters targeting vulnerable individuals whose houses are in foreclosure by posting online ads offering debt-consolidation deals, that are in fact scams.”
Fraud isn’t a single situation with a single type of transaction. It occurs in a variety of ways, for a variety of purposes.
RECA recommends consumers do their research, and if a deal seems too good to be true, it likely is.
“This year we are partnering with other organizations, such as local police services and the Better Business Bureau (BBB), to connect with the Alberta public and raise awareness about fraud,” said Stevenson.
“It’s about stepping up and raising awareness about what we’re seeing as a regulator and making sure that consumers are aware and informed in their dealings.”
Posters, infographics, and articles about various types of real estate and mortgage fraud are available on reca.ca, and consumers can follow us on social media for fraud prevention tips throughout the month of March.
RECA Senior Investigator Cheryl Rumpel will be hosting a virtual presentation:
Online Real Estate Fraud – Protect Yourself!
March 31, 2022
2 p.m. – 2:30 p.m.
Register
Review the full Fraud Prevention Month webinar schedule and registration information.
Share this story: March 1, 2022 – RECA warns public of common fraud schemes as part of Fraud Prevention Month
Calgary, Alberta – On February 25, 2022, the Real Estate Council of Alberta (RECA) froze the trust accounts of The David Bauer Real Estate Group Ltd. o/a MaxWell Direct. The David Bauer Real Estate Group Ltd. is licensed in property management and real estate.
At this time no deposits, withdrawals, or transfers can be made involving the brokerage’s trust accounts.
This action was undertaken to protect consumers while RECA completes an investigation. At present, RECA has not issued any sanctions nor determined there has been any conduct deserving of sanction.
Consumers with money currently held in trust by The David Bauer Real Estate Group should contact RECA by emailing info@reca.ca.
Share this story: February 28, 2022 – The David Bauer Real Estate Group Brokerage Trust Accounts Frozen
Please note this Hearing Panel Decision was appealed on August 16, 2023 and some of the administrative penalties were amended or withdrawn. Review the Appeal Decision for details.
Calgary, Alberta – The Real Estate Council of Alberta (RECA) is warning consumers against hiring Gagandeep Singh who is not licensed to provide real estate and mortgage services in Calgary.
Singh was formerly licensed with RECA, but his licenses were suspended by RECA on November 30, 2020, pending the result of an investigation into Singh’s activities.
Between April–September 2021, RECA issued Singh six separate $25,000 administrative penalties, totaling $150,000, for unlicensed trading in real estate and dealing in mortgages.
Despite being suspended, Singh continued to represent himself as a real estate and mortgage licensee to clients. This activity involved showing clients properties, negotiating the terms of a contract, and providing advice to clients in relation to a real estate or mortgage transaction.
At no time, did Singh inform clients that his licence to trade in real estate or deal in mortgages had been suspended.
Gagandeep Singh has aliases in his dealings with consumers and licensees. Singh is also known as:
Consumers using Singh’s services for real estate or mortgage activities may not be protected by the consumer protection fund or covered under the professional’s errors and omissions insurance. These are only available if a consumer is using a licensed professional.
Using licensed brokerages and individual licensees protects you as a consumer. It ensures the licensee has the necessary education and experience to best provide you services and protects you under the consumer protection fund in case of fraud or breach of trust.
RECA urges consumers and licensees to verify the licence status of brokerages and individuals on RECA’s website by following these steps:
If you have concerns regarding Singh or any licensees, contact us at info@reca.ca.
Share this story: February 18, 2022 – Consumer Alert: Gagandeep Singh’s Unlicensed Activity
