Late bond lodgement costs Pilbara agency more than $10,000
Trading as Crawford Realty, Oresome (WA) Pty Ltd, of South Hedland, has been fined $9,500 and ordered to pay court costs of $970 after failing to lodge bonds ‘as soon as practicable’ as required by law.
Pleading guilty in the South Hedland Magistrates Court to 21 charges of failing to lodge bonds with the Bond Administrator on time, the fine was issued. There has now been a 1 July 2013 change to the act that requires bonds to be lodged as soon as practicable but within 14 days of receipt. At the time the law was to lodge the bonds 'as soon as practicable'.
Lawyers for Consumer Protection told the court that it had taken the company between 15 and 60 days to lodge the 21 security bonds that totalled more than $170,000. These bonds were collected between March and August 2012.
Anne Driscoll, commissioner for consumer protection, said that real estate agents, property managers and landlords needed to keep an eye on their procedures.
“It’s essential that tenants’ funds are safe and secure and lodged with the Bond Administrator as soon as possible. Taking many weeks or even months to do so is unacceptable and is a breach of the law,” Driscoll said.
“The appropriate lodgement and security of tenant’s bond moneys is an issue that Consumer Protection takes seriously. Agents and property managers need to keep their business in order so they don’t run the risk of being prosecuted.”
Western Australia has been particularly active in cracking down on late bond lodgements over the past few years.