By Connie Adair
Real Estate Council of Ontario investigator Dave Tredrea recently received an award from the Council of Licensure Enforcement and Regulation (CLEAR) at its annual educational conference in St. Louis.
CLEAR is an international resource for the regulatory community that promotes excellence through networking opportunities, publications and research services. Tredrea was presented with the Investigative Excellence Award, an individual commendation for his work on a case that resulted in several charges and significant fines for the broker who was the subject of the investigation.
Dave Tredrea
“Dave and our other investigators are at the front line of RECO’s efforts to protect the public interest and enhance consumer confidence in the real estate profession,” says RECO registrar Joseph Richer in a news release.
The Investigations Unit has five investigators, four with law enforcement backgrounds. Tredrea was with the Toronto Police Service for 30 years, 23 of those years as a detective. He handled criminal investigations with many squads, including drug enforcement and major crimes.
When he was eligible to retire, he decided working as a RECO investigator would be the perfect fit. He started with RECO 10 years ago. The learning curve was steep but his law enforcement background was invaluable. “It was like starting a new career. You can learn real estate but you can’t teach 30 years of investigative experience,” Tredrea says.
He says both complainants and accused have told him that they appreciate the investigators’ professional backgrounds and “they thank us for being fair. We’re open-minded. We clear a lot of people. It’s not just prosecution and enforcement.” It’s also about making sure claims are legitimate.
Investigators follow up on complaints involving alleged violations of the Real Estate and Business Brokers Act, 2002, its regulations or behaviour that could affect a real estate professional’s registration. As provincial offences officers, investigators can’t lay criminal charges but can lay charges under the Real Estate and Business Broker’s Act.
Complaints come from the public, police, corporate security from banks or “helpful persons within the industry,” Tredrea says. Investigators work hand-in-hand with the province’s law enforcement professionals and law society members, and have good relationships with bank and fraud investigators, he says.
Of the approximately 1,200 to 1,500 complaints received by RECO each year, about 10 per cent are referred to the Investigations Unit, says Bruce Matthews, deputy registry, regulatory compliance at RECO.
When a case is forwarded to the Investigations Unit, the assigned investigator determines who must be interviewed and which documents are required. Investigators then travel across the province to speak to witnesses and collect documents from brokerages or complainants. The respondent is notified early on in the process and advised that an investigator will contact them.
Following the investigation, the case file is submitted to the unit’s manager for review. Cases are closed if there is no merit to the complaints or if not enough evidence can be collected. Cases go to the registrar only if disciplinary action is required. Cases related to breaches to the Code of Ethics go to a disciplinary hearing. Other offences may go to the Provincial Offences Court. In extreme cases, a proposal is made to suspend or revoke a licence, Matthews says.
RECO investigators opened 126 files during the 2012-13 fiscal year and closed 97. Twenty-nine cases are still active. Forty cases resulted in prosecutions and 57 were closed out with no action taken. The 40 prosecutions that went before the courts resulted in 38 convictions and 205 individual charges. Fines totalled almost $500,000. Approximately $425,000 in restitution payments were ordered by a provincial court. A handful of people were placed on probation.
Each case is unique and involved, with numerous witnesses and untold documents. There is no set amount of time a case takes. Each one is completely and thoroughly investigated, Tredrea says.
“It’s a rigorous but fair process,” says Matthews, adding that actions serve as a deterrent and protect the public but also works to the advantage of Realtors by protecting their professional image.
Although there are numerous possible complaints under the act, many involve mortgage fraud or trading while not registered.
Of the 65,000 agents in the province, the great majority are professional and abide by the rules but salespeople know when something is not right, Tredrea says. “We encourage them to take the necessary steps to allow an investigation to go forward.”
Tredrea is the second RECO investigator to receive the award. Jo Ann Swain won the individual award in 2005, says Matthews.
