A Perth-based real estate agency that allowed a sales agent to work on more than 100 transactions over a five-year period while unregistered has been fined $7,000.
The government of Western Australia’s Consumer Protection division has revealed Ellenbrook-based HKY Real Estate Pty Ltd employed sales representative Shane David Penny, who it said was unregistered for a period of five years and three months.
While Mr Penny did hold a certificate of registration as a real estate sales representative when he began working for the agency in May 2012, this registration lapsed in September 2013 and was not renewed until November 2018.
According to Consumer Protection, Mr Penny was involved in more than 100 transactions and continued to carry out the duties of a sales representative over the unregistered period.
HKY Real Estate has been fined $7,000 for employing an unregistered sales representative while Mr Penny was fined $1,500.
Costs of $500 for each party have also been incurred for breaching relevant real estate and business agent acts.
According to Consumer Protection, Mr Penny is now registered and continues to work for the agency.
It also said that in HKY Real Estate’s defence, the agency had stated that it wasn’t aware that Mr Penny did not hold a registration for that period of time.
Weighing in on the situation, Commissioner for Consumer Protection Lanie Chopping said real estate agencies must ensure that relevant staff are appropriately registered at all times.
She said agencies need to make periodical checks to ensure that their sales representatives are registered, or take note of expiry dates and confirm that the registrations have been renewed.
“Otherwise, they increase the risk of being liable if one of their staff fails to do the right thing and, as in this case, they will face disciplinary action and suffer a financial penalty,” she concluded.
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Grace Ormsby
Grace is a journalist across Momentum property and investment brands. Grace joined Momentum Media in 2018, bringing with her a Bachelor of Laws and a Bachelor of Communication (Journalism) from the University of Newcastle. She’s passionate about delivering easy to digest information and content relevant to her key audiences and stakeholders.