Tuesday, October 30, 2007

31 arrested in sweep of contractors

BY COLBY FRAZIER
DAILY SOUND STAFF WRITER

A two-day sting by local law enforcement agencies that targeted construction contractors resulted in the arrest of 31 unlicensed contractors for operating without a license, using deceptive advertising violations and for demanding excessive down payments, according to a statement from the Santa Barbara District Attorney’s Office.


The sting took place last Thursday and Friday in North County and involved the Sheriff’s Department and a fraud team from the California Contractors State License Board. The statement from the DA’s office said the fraud team posed as homeowners and invited suspected unlicensed contractors to bid on various home improvement projects such as landscaping , fencing, kitchen remodeling, concrete work, roofing and painting and during the two days, the 31 unlicensed contractors made bids.
Two of the arrested operators were registered sex offenders and one of those was a former state prison parolee on a rape charge, the statement said. Six of the violators were either on probation or had previously been on probation.
According to the DA’s office, all contractors who perform work totaling more than $500, including labor and materials, must be licensed by the License Board.
“Licensing provides for at least minimum standards of experience, competency and business knowledge for a contractor,” the statement says. “In addition, anyone licensed by the [license board] first undergoes a complete background check by the Department of Justice before being given a license.”
The statement says first time convictions for contracting without a license carry a maximum of six months in jail or a 1,000 fine, or both. A second violation carries a mandatory 90-day jail sentence and a minimum $4,500 fine.
The maximum down payment a licensed contractor can ask for cannot exceed $1,000 or 10 percent of the total cost of the job, whichever is less, the statement says.
“Once the project has begun,” the statement says. “The legitimate contractor is not allowed to demand payment for more than the work already completed.”
Before hiring any contractor, the DA’s office said homeowners should go online or check the License Board’s automated phone system to verify that a contractor has a valid license. The web site is www.cslb.ca.gov and the automated phone number is 1-800-321-CSLB.
“They can also check out the contractor’s license history, get contractors’ bonding, workers compensation insurance, and personnel information,” the statement says. “Check it careful -- many unscrupulous contractors will take the license number of a legal contractor, print it on their business cards and use that deceive homeowners.”
The statement says anyone looking to hire a contractor should get three bids from different contractors, check references, negotiate a written contract, never pay more than 10 percent down or $1,000, do not pay cash and don’t let the payments get ahead of the work already completed.
The statement says licensed contractors are being targeted by home repair groups trying to get them to serve as “qualifiers” on the groups’ licenses. It says legitimate contractors could be responsible for all contracts entered into by such companies, even if the legitimate contractor is not involved in the job.
The License Board investigates more than 20,000 complaints against contractors each year and conducts stings throughout the state on a regular basis.

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