Shuttered Kelowna property management company fined $18K for ignoring regulator

A Kelowna property management company and its managing broker have been fined $18,000 for ignoring the regulator.

According to a Dec. 3 BC Financial Services Authority decision, Menethil Properties racked up a $9,000 fine having been charged $250 a day after it failed it respond to an investigation letter sent by the regulator in May.

Its managing broker Yu Song, who goes by David Song, was also issued the same $9,000 fine.

In April, the property management company was ordered to cease operations and had its account frozen following complaints from landlords that they hadn’t gotten their money.

In February, Tao Guo, who goes by Terry Guo, had his licence suspended without a hearing after he told the regulator he was leaving the country to look after his aging parents. His absence left the company without a leader, which broke property management rules.

In 2023, the regulator fined Song $25,000 plus $15,000 in costs for failing to file financial statements, properly maintain financial records and respond to the regulator’s requests for information.

A year later, Menethil Properties realtor Donna Craig was fined $15,000 for conflict of interest issues and failing to provide a client with an inspection report on time.

According to the current decision, the company was issued a $2,000 fine plus $250 per day for failing to respond to the letter about the investigation and then ignoring a follow-up. Song was issued the same fine.

“To date, no reply has been received from you,” the decision reads.

Menethil Properties had managed about 100 properties in Kelowna, and landlords began to complain that they hadn’t received money in September 2024. There is no information in the decision about how the issue was resolved with the landlords.