10/03/2024
ANTHONY FAIRCHILD of Citrus Valley was found in violation of Articles 1, 2, 8, 9, 10, 11 and 13 of the Code of Ethics. As a result of these violations, a letter of reprimand was placed in his file for 3 years, he was fined $15,000, he was suspended from the association for 6 months, and his case was referred to the California Department of Real Estate and the Los Angeles County District Attorney because Fairchild committed violations of the public trust.
Evidence from several witnesses was presented showing that Fairchild engaged in fraudulent activities related to flipping houses. Fairchild took money from clients and promised to perform repairs on houses they purchased, but he instead used this money to either perform repairs on entirely different houses or to purchase additional properties. Fairchild misrepresented his qualifications in his advertising flyers, indicating he had a contractor’s license when he did not. The panel found Fairchild violated Articles 1 and 11 for failing to protect and promote the interests of his clients, failing to treat all parties honestly, and failing to provide competent service. He violated Article 2 because he misrepresented pertinent facts about the transactions to his clients, claiming he would use money they provided to him to perform repairs that were never performed. He violated Article 8 because the money his clients provided to him was never placed in a trust account and was clearly commingled with other funds. He violated Article 9 because he failed to get all agreements in writing with his clients that spelled out the obligations and duties of each party. Fairchild also violated Article 10 as interpreted by Standard of Practice 10-5 because he engaged in hate speech involving a racial slur repeated several times at one of his clients during a conversation. Finally, Fairchild violated Article 13 because he failed to recommend to his clients that they receive legal advice concerning the investments he was recommending and arranging. ( Review Screen shot below) More to come.
