A real estate developer and his company in British Columbia have been fined the maximum legal amounts after an investigation found they illegally resold presale condominium units that had already been purchased, impacting dozens of homebuyers and triggering new provincial regulations.
Key Takeaways
- BC developer and company fined maximum allowed under former rules for repeated condo resales
- Buyers faced significant financial losses and distress
- Two real estate agents and two accountants also penalized for involvement
- Scandal prompted provincial changes, raising future penalties tenfold
Developer and Company Penalized for Double Selling
Mark Chandler and his firm 0981478 Ltd. have been ordered to pay the harshest fines permitted under BC’s Real Estate Development Marketing Act (REDMA) as it stood at the time. The infractions took place between 2014 and 2017, revolving around the Murrayville House project in Langley, BC. Regulators discovered that Chandler and his company sold condos twice—accepting deposits from new buyers for units already under contract.
Chandler was personally fined $25,000, while the company received a $50,000 fine. Both were also required to reimburse $66,498.86 in investigative expenses. At the time of the violations, these were the highest penalties possible. In total, over $10 million in buyer deposits were improperly managed, with significant amounts funneled outside the development, some for Chandler’s personal use.
Financial Fallout for Buyers and Legal Developments
Dozens of original purchasers incurred financial and emotional hardship as some lost their deposits or were left uncertain about their homes. The financial misconduct was further compounded by Chandler requiring deposits to be handed over directly to him, rather than kept in trust as required by law, worsening buyers’ vulnerability.
The case suffered years of delays. Following a cease-marketing order in 2017, Chandler was extradited to the US on unrelated charges and served six years in prison. He was deported back to Canada in 2025 and did not attend his regulatory hearing later that year.
Agents and Accountants Also Face Penalties
The investigation extended to two licensed real estate agents, Gurpreet Singh Chhina and Rashpal Singh Kambo, who knowingly assisted in reselling nine already-sold units at discounted rates. Both had their real estate licenses suspended for a year (until October 2026), were each fined $10,000, and collected over $2 million in deposits. Both agents also received significant referral fees.
Accountant Vasant Patel and his associate Chattar Flora were sanctioned in March 2025 for assisting the scheme and offering unlicensed real estate services, resulting in combined penalties of $110,000.
Scandal Triggers Legislative Response
In the wake of the Murrayville House controversy, the BC government amended REDMA in 2018 to significantly increase the maximum financial penalties. Individual fines can now reach $250,000, and corporation penalties up to $500,000, making clear the province’s commitment to curbing real estate marketing violations.
The case serves as a stark warning to industry professionals regarding the repercussions of unethical conduct, and highlights the province’s increased oversight to protect property buyers from similar harms in the future.
