Tuesday, June 21, 2011

SITE BUILDER CHARGED WITH STEALING $300,000

As I read through my morning news feeds, I am always finding little gems that make me glad I'm in the modular housing side of new home construction.  Yesterday I found another reason to give modular home builders a second look.

The story is about a contractor that stole $300,000 from his subcontractors and suppliers by not paying them.  In this tough economy, you might expect that to happen more often but it is still rare. 

What makes this story so interesting is that he has done this before and people still went to him to build their home!



CLICK HERE to read the story.

2 comments:

Isaac said...

I guess it just goes to show you cant trust a contractor with a mop top mullet! But seriously folks, you see this everyday in stick built construction, and the more subs and sub subs you bring in the more backstabbing, blundering, misunderstandings and mismanagement occurs. ( not to say there are no misunderstandings within the modular industry) but at least if your communications and expectations are clearly defined and stated you know that the factory will indeed build the home you request with the only wildcard being the onsite builder - who has much less of a task to fill then when constructing a home onsite. This keeps subs and opportunities for foul play to a minimum. :)

Anonymous said...

In the same light....I recently ran across a buyer of a modular from a very reputable factory whereby the builder took her full cash payment and walked out the door and did not finish the house/ When they questioned the builder he told them to sue him if they wanted because he would just take his company into bankruptcy and start a new one. I only mention this because we cannot sit here and point fingers at the type of builder that is doing this. They come from all types of construction and if they buyer is a cash buyer and is not savvy to the way things are done, in some cases the buyer can kiss his money bye-bye regardless of the type of builder. Again. this does not happen all of the time in either the stick built or modular industry but it does happen in BOTH cases. In the meantime, the buyer has paid someone else to come in and finish the house.