Ontario’s Home Construction Regulatory Authority (HCRA) has accused a Markham, Ontario developer of illegal home sales, according to the Toronto Star.
Ideal BC Developments has been charged with 10 counts of alleged illegal sale. The HCRA says that the developer launched agreements for a pre-construction townhome in the Oak Ridges area without a license. Ontario’s new home regulator began operations in February, and this is the first instance of it taking action against a developer.
This move by the HCRA follows the Star’s investigation into Shajiraj Nadarajalingam, the CEO of Ideal Developments. According to the publication’s investigation, Nadarajalingam has sold more than 600 condos and townhouse units in the GTA that ultimately ended up being cancelled.
Ideal BC is a multi-million dollar company that also works in venture capital and entertainment. The Star’s reporting cites a cancelled 96-unit condo tower called Modern Manors in Richmond Hill. The project was ultimately cancelled following six years of buyers waiting for their units.
Buyers of Moden Manors homes also learned that despite signing deals with Ideal BC Developments, their units were being sold by another developer. Since 2019, several home buyers and lenders have taken Nadarajalingam to court regarding his business dealings.
The HCRA’s current legal action is tied to a project called Boss Luxury that Nadarajalingam is involved in despite not holding a license. Nadarajalingam says that he has an established relationship with a construction company that holds a HCRA license, and that he expects sales to start again this year, according to the Star.
HCRA licensed builders and sellers are available through the Ontario Builders Directory.