Revocation By Home Regulator

Feb 15th, 2023

Builder convicted of failing to enrol homes in warranty program loses its licence

TORONTO February 15, 2023 – Albion Building Consultant Inc. (“Albion”) has had its licence to build and sell homes in Ontario revoked, the most severe action the Home Construction Regulatory Authority (HCRA) can take against a licensed builder.

The HCRA is revoking the builder’s licence following Albion’s prior convictions in the Ontario Court of Justice for failing to enrol new homes in the warranty program with Tarion – adding to a history of non-compliance with provincial rules and laws.

“Enrolling a home is essential to ensuring consumer protection,” says Wendy Moir, the HCRA’s Chief Executive Officer and Registrar. “Licensed home builders must act in accordance with the law, and with integrity and honesty – or face serious consequences.”

Last year, Albion Building Consultant Inc. was convicted of failing to enrol new homes in the warranty program with Tarion. The convictions stemmed from an investigation concluding that Albion had built 11 new homes without first enrolling them with Tarion. Albion was sentenced to a fine of $15,000 plus a $3,750 victim fine surcharge for each of the 11 counts, bringing the total fine amount to $206,250 – this fine, to be paid to the Ontario Court of Justice, has not been paid.

In addition, Mr. Zamal Hossain was convicted of acting as an officer/director of a company that failed to enrol new homes. Ms. Farida Haque was convicted of acting as a vendor of a new home without being licensed. Even prior to these convictions, Albion and its officers and directors had a history of non-compliance for building homes without registering as a builder and for failing to enrol new homes in the Greater Toronto Area, including convictions in 2016 and 2019.

In light of these convictions, the HCRA notified Albion, through a formal Notice of Proposal, of its intention to deny Albion’s licence renewal application. Albion unsuccessfully appealed this decision at the Licence Appeal Tribunal in January 2023.

To protect the interests of existing home buyers, Albion may continue to complete homes that were already under construction – upon completion of these homes Albion’s licence will be immediately revoked. The Ontario Builder Directory will subsequently be updated to officially recognize Albion’s licence status as revoked.

“Revocation is the most severe consequence for a licensee,” says Moir. “Following the completion of the remaining homes, Albion will no longer be able to do business, and we sincerely hope this is a rare occurrence – but we will use it to send a clear message to the industry and ensure that consumers are protected.”

To receive and maintain a licence, builders and vendors must demonstrate that they have the right technical skills to build homes, the financial capacity to run a homebuilding operation and will adhere to the requirements in the Ontario New Home Warranties Plan Act as well as New Home Construction Licensing Act, 2017 including the Code of Ethics.

About the HCRA

The Home Construction Regulatory Authority is responsible for regulating and licensing the people and companies who build and sell new homes in Ontario. The HCRA enforces high professional standards for competence and conduct in the homebuilding industry, giving new home buyers confidence in one of the biggest purchases of their lives. The HCRA also maintains consistency across the sector, curtailing unethical and illegal builders.

In addition to licensing, the HCRA provides educational information for consumers on their home buying journey, and hosts the Ontario Builder Directory – the authoritative source of background information about each of Ontario’s more than 6,500 new home builders and vendors.

Contact: Tess Lin