Disciplinary action

Penalties for violations of the Real Estate License Law and Commission Rules vary depending upon the particular facts and circumstances present in each case. Due to space limitations in the Bulletin, a complete description of such facts cannot be reported in the following Disciplinary Action summaries.

DORA E. BLANCHARD (Holly Springs) - The Commission revoked Ms. Blanchard's broker license effective August 9, 1996. The Commission found that Ms. Blanchard had misrepresented to the Commission's representatives the extent and nature of the records she created and maintained of the funds she held for others and also had misrepresented her authority and control over bank accounts containing these funds. The Commission further found that Ms. Blanchard had failed to deposit and maintain the funds she held for others in a trust or escrow account; had failed to maintain proper trust account records including ledgers, journals or check stubs, canceled checks, and bank statements sufficient to establish a clear audit trail; and had failed to make transaction records including leases and trust account records available for inspection by the Commission's authorized representatives.

BLUEGREEN CORPORATION F/K/A PATTEN CORPORATION (Boca Raton, FL) - The Commission accepted the voluntary surrender of Bluegreen Corporation's corporate real estate broker license for one year effective November 1, 1996. The Commission dismissed without prejudice charges that Bluegreen Corporation had violated the Real Estate License Law and the rules of the Commission in the conduct of its real estate development business. Bluegreen Corporation denied any misconduct.

MALCOLM H. BURNETTE (Kenbridge, VA) - By Consent, the Commission suspended Mr. Burnette's salesman license for three years effective August 8, 1996. One year of the suspension is to be active and the remaining period stayed for a probationary term of two years. The Commission found that Mr. Burnette, through a corporation he owned, had purchased property from sellers who had hired him to market the property, and that he had immediately resold the property at a gross profit of $20,000 without ever informing his seller-clients about his buyer's interest in the property.

DANIEL B. CALKINS (Charlotte) The Commission accepted the voluntary surrender of Mr. Calkins' broker license for one year effective September 1, 1996. The Commission dismissed without prejudice charges that Mr. Calkins had violated provisions of the Real Estate License Law. Mr. Calkins neither admitted nor denied any misconduct.

COASTAL CONCEPTS, INC. (Surf City) - By Consent, in an order superseding a prior order in the case, the Commission suspended Coastal Concepts, Inc.'s corporate real estate broker license for 180 days effective November 1, 1996. The Commission then stayed the suspension for a probationary term of one year. The Commission found that Coastal Concepts, Inc. had failed to keep proper and adequate records of funds it collected on its clients' behalf. The Commission further found that from time-to-time, Coastal Concepts, Inc. had paid for repairs and maintenance of particular properties using funds belonging to clients who were not the owners of those properties. The Commission noted that Coastal Concepts, Inc. did not convert client monies to its own use and that it has taken steps to correct its record-keeping of trust monies.

JAMES C. COX (Tabor City) - By Consent, the Commission suspended Mr. Cox's broker license for two years effective October 1, 1996. The Commission then stayed the suspension. The Commission found that Mr. Cox had failed to properly control the advertising of a property by a real estate firm of which he was broker-in-charge.

SHIRLEY D. DELONG (Jamestown) - By Consent, the Commission reprimanded Ms. deLong effective July 9, 1996. The Commission found that in 1993, Ms. deLong had submitted to the local REALTORS® association an application for membership in which she had failed to adequately disclose and describe the nature of a 1981 conviction.

DAVID L. DICKEY (Wilmington) - By Consent, the Commission reprimanded Mr. Dickey effective November I, 1996. The Commission found that Mr. Dickey had allowed the use of an unlawful referral program by a corporation of which he was principal broker and broker-in-charge.

CHARLES R. GARDNER, JR. (Charlotte) - By Consent, the Commission suspended Mr. Gardner's broker license for two years effective September 1, 1996. The Commission found that during the course of a real estate transaction, Mr. Gardner, a builder, had failed to disclose to a buyer that foreclosure of the property was imminent. The Commission further found that Mr. Gardner had failed to refund the buyer's $5,000 earnest money deposit after the property was sold to another party in foreclosure. Mr. Gardner neither admitted nor denied misconduct.

MARGARET D. GIBBS (Lenoir) - By Consent, the Commission suspended Ms. Gibbs' salesman license for 30 days effective September 10, 1996. The Commission then stayed the suspension for a probationary term of one year. The Commission found that in advertisements of a property which she had listed for sale, Ms. Gibbs had indicated that the property's detached garage could be used as a separate apartment when, in fact, such a use violated the local zoning ordinance. Ms. Gibbs neither admitted nor denied any misconduct.

GOLD COAST REALTY, INC. (Calabash) - The Commission accepted the permanent voluntary surrender of Gold Coast Realty, Inc.'s corporate real estate broker license effective September I, 1996. The Commission dismissed without prejudice charges that Gold Coast Realty, Inc. had violated the Real Estate License Law and the rules of the Commission in the conduct of a real estate brokerage business.

ELEANOR B. GULLY (Cary) - By Consent, the Commission reprimanded Ms. Gully effective August 23, 1996. The Commission found that Ms. Gully had failed to disclose to a purchaser that a portion of property which Ms. Gully had listed for sale was located in a flood plain. The Commission noted that Ms. Gully had not intended to deceive the purchaser, and that he was able to withdraw from the contract without penalty.

HOME INVEST CORP. (Charlotte) The Commission accepted the voluntary surrender of Home Invest Corp.'s corporate real estate broker license for one year effective September 1, 1996. The Commission dismissed without prejudice charges that Home Invest Corp. had violated provisions of the Real Estate License Law. Home Invest Corp. neither admitted nor denied any misconduct.

GLENN E. HUDSON (Calabash) - The Commission accepted the voluntary surrender of Mr. Hudson's broker license for five years effective September 1, 1996. The Commission dismissed without prejudice charges that Mr. Hudson had violated the Real Estate License Law and the rules of the Commission in the conduct of a real estate brokerage business.

PHILLIP M. JACKSON (Durham) - By Consent, the Commission suspended Mr. Jackson's broker license for 90 days effective September 1, 1996. The Commission then stayed the suspension for a probationary term of one year. The Commission found that Mr. Jackson had signed several documents as secretary of a corporation when he was not actually its secretary. Mr. Jackson neither admitted nor denied any misconduct.

DENEL R. KEASLER (Charlotte) - The Commission accepted the voluntary surrender of Ms. Keasler's salesman license for one year effective September I, 1996. The Commission dismissed without prejudice charges that Ms. Keasler had violated the Real Estate License Law by negligently representing to lot purchasers that property near or neighboring their own was federally protected wetlands when, in fact, it was not. Ms. Keasler neither admitted nor denied any misconduct.

LARRY D. KINGSLEY (Cary) - By Consent, the Commission revoked Mr. Kingsley's broker license effective September 15, 1996. On May 15, 1997, Mr. Kingsley may obtain a salesman license on certain conditions. The Commission found that Mr. Kingsley had listed a property for sale and then had contracted to buy it at the full asking price but without disclosing to the seller that the value of the timber on her property exceeded the contract price. The Commission further found that after closing the transaction and receiving a brokerage fee, Mr. Kingsley had sold a portion of the timber at a significant profit. Mr. Kingsley subsequently paid his profits to the seller.

MAIN STREET REALTY, INC. (Wilmington) - By Consent, the Commission revoked Main Street Realty, Inc.'s corporate real estate broker license effective December 31, 1996. The Commission found that Main Street Realty, Inc. had failed to deposit the funds of others into a designated trust account as required by Commission rule. Main Street Realty, Inc. neither admitted nor denied any misconduct.

EVELYN J. MARSHALL (Lenoir) By Consent, the Commission suspended Ms. Marshall's salesman license for 30 days effective September 10, 1996. The Commission then stayed the suspension for a probationary term of one year. The Commission found that Ms. Marshall had used the presence of a residential apartment in a property's garage as a marketing factor and had advised a potential buyer that the garage apartment could be rented out to generate income when, in fact, the use of the garage for residential purposes violated the local zoning ordinance. Ms. Marshall neither admitted nor denied any misconduct.

MILES J. MCCORMICK, JR. (Surf City) - By Consent, in an order superseding a prior order in the case, the Commission suspended Mr. McCormick's broker license for 180 days effective November 1, 1996. Thirty days of the suspension are to be active and the remaining period stayed for a probationary term of one year. The Commission found that Mr. McCormick had failed to keep proper and adequate records of funds he collected on his clients' behalf. The Commission further found that from time-to-time, Mr. McCormick had paid for repairs and maintenance of particular properties using funds belonging to clients who were not the owners of those properties. The Commission noted that Mr. McCormick did not convert client monies to his own use and that he has taken steps to correct his record-keeping of trust monies.

EVA F. PUCKETT (Fayetteville) The Commission revoked Ms. Puckett's broker license effective August 8, 1996. The Commission found that Ms. Puckett had failed to account for or remit rents and security deposit monies she collected which belonged to her landlord clients and their tenants, had failed to account for her handling of the funds of others or otherwise produce records for inspection by duly authorized representatives of the Real Estate Commission, and had informed her landlord clients that their property was vacant when, in fact, it was occupied by a tenant she had procured.

HUBERT L. RAPER (Murphy) - By Consent, the Commission suspended Mr. Raper's broker license for six months effective September 15, 1996. The Commission then stayed the suspension for a probationary term of six months. The Commission found that in 1994, the firm of which Mr. Raper was principal broker and broker-in-charge had incorrectly represented in advertisements that a listed property could be used as "1 home or 2 apts." The Commission noted that Mr. Raper had relied upon information supplied by the seller of the property.

NANCIE JACK REYNOLDS (Brevard) - The Commission suspended Ms. Reynolds' salesman license for one year effective November 15, 1996. The Commission found that Ms. Reynolds had made a false statement on her application for real estate licensure; namely, Ms. Reynolds answered "no" to the application question regarding criminal convictions when, in fact, she had been convicted of the crime of writing a worthless check. The Commission further found that after her licensure, Ms. Reynolds had written two other worthless checks - including one to the Commission in 1995 for renewal of her license. The Commission noted that Ms. Reynolds subsequently made all three of her bad checks good.

VIVIAN M. RIDDLE (Greensboro) - By Consent, the Commission reprimanded Ms. Riddle effective September 15, 1996. The Commission found that Ms. Riddle had allowed her real estate broker license to expire on June 30, 1995, and had failed to renew it until on or about August 15, 1995, and that her license had been renewed on inactive status because she had failed to complete the continuing education required for active licensure. The Commission further found that Ms. Riddle had continued her brokerage activities while her license was expired and on inactive status. The Commission noted that Ms. Riddle had eventually completed the required continuing education on or about May 24, 1996, and her license was restored to active status.

CHRISTOPHER T. SANDERS (Durham) - By Consent, the Commission suspended Mr. Sanders' salesman license for four years, two months and nine days effective August 23, 1996. If prior to October 30, 2000, Mr. Sanders is released from supervised probation imposed as a result of criminal convictions, the Commission shall stay the suspension and place him on probation for the remainder of the suspension period. The Commission found that Mr. Sanders had been convicted of counterfeiting United States currency.

JOHN N. STARLING (Wilmington) - By Consent, the Commission revoked Mr. Starling's broker license effective December 31, 1996. The Commission found that Mr. Starling had failed to maintain the trust account records required by Commission rule with respect to advance deposits in a pre-sale campaign for a condominium development. Mr. Starling neither admitted nor denied any misconduct.

HARRY G. SUDDRETH (Lenoir) - By Consent, the Commission suspended Mr. Suddreth's broker license for 30 days effective September 10, 1996. The Commission then stayed the suspension for a probationary term of one year. The Commission found that in advertisements of a property for sale, the firm where Mr. Suddreth was broker-in-charge had indicated that the property's detached garage could be used as a separate apartment when, in fact, such a use violated the local zoning ordinance. Mr. Suddreth neither admitted nor denied any misconduct.

ANGELA M. SUTTLES [BRETZ] (Asheville) - By Consent, the Commission suspended Ms. Suttles' [Bretz'] broker license for one year effective July 1, 1996. Three months of the suspension are to be active and the remaining period stayed for a probationary term of nine months. The Commission found that Ms. Suttles [Bretz] had failed to disclose to buyers a furnace inspection report which indicated two cracks in the heat exchanger of the property which she had listed. The Commission further found that Ms. Suttles [Bretz] had then arranged for another inspection which showed no defects.

EUGENE B. WATERS (Plymouth) By Consent, the Commission suspended Mr. Waters' broker license for six months effective September 1, 1996. The Commission then stayed the suspension for a probationary term of one year upon certain conditions. The Commission found that Mr. Waters, while acting as a listing agent for real property, had made an offer to purchase the property for himself for the full list price with no commission to be paid and negligently had failed to disclose to the seller another potential offeror who was interested in the property. The Commission further found that Mr. Waters had negligently failed to advise the other offeror of the recent price reduction by the seller. Mr. Waters neither admitted nor denied any misconduct.

TERI LYNN WELLS (Burlington) - By Consent, the Commission suspended Ms. Wells' broker license for three years effective September 1, 1996. Sixteen months of the suspension are to be active and the remaining period stayed for a probationary term of 20 months. The Commission found that Ms. Wells, without authority or consent, had diverted to her own use certain funds belonging to the real estate firm where Ms. Wells was employed. Ms. Wells believed that she was entitled to the funds. The Commission noted that Ms. Wells has made full restitution of all sums.

JOE E. WILLIAMSON (Wilmington) - By Consent, the Commission reprimanded Mr. Williamson effective August 8, 1996. The Commission found that Mr. Williamson had executed a notary acknowledgment on a deed stating that the two signatories had personally appeared before him when, in fact, one of them had not signed or acknowledged the deed in his presence.

GEORGE F. WILSON, JR. (Winston-Salem) - By Consent, the Commission suspended Mr. Wilson's salesman license for six months effective September 1, 1996. The Commission then stayed the suspension for a probationary term ending February 20, 1998. The Commission found that Mr. Wilson had made an oral offer on a property which was owned by his broker-in-charge and was listed through the real estate corporation where Mr. Wilson was employed as a sales associate. Mr. Wilson then contracted to sell a portion of the property, but failed to immediately advise his broker-in-charge of the contract and failed to turn over to his broker-in-charge the buyers' $500 earnest money check. The Commission noted that when Mr. Wilson's contract to sell the property failed, he returned the buyers' earnest money check uncashed, and neither the buyers nor any other member of the public was harmed by Mr. Wilson's conduct. Mr. Wilson neither admitted nor denied any misconduct.

SANDRA H. YORK (Murphy) - By Consent, the Commission suspended Ms. York's salesman license for one year effective September 15, 1996. The Commission then stayed the suspension for a probationary term of one year. The Commission found that Ms. York had incorrectly represented in advertisements that property which she had listed could be used as "1 home or 2 apts." The Commission noted that Ms. York had relied upon information supplied by the seller of the property.