The Ontario regulator responsible for licensing home builders is charging seven companies linked to a single developer with the unauthorized sale of 453 homes.
Charges have been brought against StateView Homes, a Vaughan-based residential developer, following an inquiry by the Home Construction Regulatory Authority (HCRA) that identified hundreds of alleged provincial regulation breaches.
Violations of the 2017 New Home Construction Licensing Act and the Ontario New Home Warranties Plan Act include the sale of “dozens” of homes while unlicensed and failing to obtain the necessary approvals or enrolments in Ontario’s new home warranty program for hundreds of homes, the HCRA said in a press release.
“Ontario homebuyers deserve confidence that their builder is acting in good faith and complying with the law,” HCRA chief executive and registrar Wendy Moir said in the May 20 release.
“When builders fail to meet their legal obligations, the HCRA will take every necessary step to hold them accountable, protect consumers, and maintain confidence in the new home marketplace.”
The HCRA suspended the licences of Stateview in July 2023. After conducting a comprehensive investigation, “the scale of violations and the financial harm involved” led the HCRA to initiate legal action against the company, the regulator said.
Three senior executives of the company, Daniel Ciccone, Carlo Taurasi, and Dino Taurasi were also charged under the New Home Construction Licensing Act.
Builders are required to obtain a licence from the HCRA to legally sell new homes in Ontario, according to the regulator’s website.
“A licence confirms that the builder has met the requirements for a licence, and is committed to maintaining ethical practices, including honesty and integrity,” the website says.
Contractors also require authorization from Tarion, Ontario’s home warranty agency, and must register each residence in a warranty program.
StateView Homes is accused of violating regulations by selling numerous homes while unlicensed and failing to acquire the required Tarion approvals or enrolments in Ontario’s new home warranty program for hundreds of homes, even after obtaining a licence, the regulator said.
It has also had hundreds of chargeable conciliations brought against it over the years, according to the HCRA website. The charges are associated with the number of warranted items in newly constructed homes that Tarion has identified as needing resolution by the builder.
“To legally sell new homes in Ontario, builders must be licensed by the HCRA, obtain Tarion authorization, and enrol each home in the warranty program,” Moir said. “Compliance with all regulatory requirements is not optional. Builders who do not meet these obligations are operating illegally, and the HCRA will take strong enforcement action.”
