Harcharan Singh Bhullar, broker of Century 21 Royaltors Realty Inc. Brokerage/LinkedIn.
The Real Estate Council of Ontario (RECO) has frozen the bank accounts of a Brampton real estate brokerage after discovering a shortfall of approximately $150,000 in its real estate trust account.
In an Oct. 23 public advisory, the regulator announced it had issued a freeze order against Century 21 Royaltors Realty Inc. Brokerage, located at 170 Wilkinson Rd. in Brampton, Ont.
The brokerage’s broker of record and branch manager is Harcharan Singh Bhullar, according to RECO’s website. Bhullar expanded to Brampton in 2021, as previously reported by REM.
The regulatory action followed a complaint that prompted RECO to conduct an onsite inspection of the brokerage on Oct. 22. During that inspection, the regulator confirmed the approximately $150,000 shortfall.
RECO said the freeze order was issued to protect consumer deposits held in trust and secure the remaining funds in the brokerage’s accounts.
“The brokerage is still open. Your agent can continue to market your property for sale/lease. There is no need to file any insurance claim at this time,” reads the advisory.
Further regulatory action possible
RECO said it remains actively involved in the matter and that additional regulatory action could follow.
The regulator also acknowledged that freezing the brokerage’s accounts could affect transactions already underway and said it was reaching out to consumers who may be affected.
RECO specifically noted that the regulatory action was not triggered by a submission under its new annual financial filings program.
The program, which took effect Oct. 1, requires Ontario brokerages to submit annual financial information to the regulator.
The advisory did not specify how many consumers or transactions may be affected by the freeze order.
Courtney Zwicker is a digital reporter and associate editor for REM. Based in Atlantic Canada, she has over a decade of experience covering daily business news.
