State: David Crisp banned from real estate for three years
| Monday, Nov 23 2009 04:42 PM
Last Updated Monday, Nov 23 2009 04:53 PM
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David Crisp
The California Department of Real Estate has barred former real estate agent David Crisp from working in any real estate-related field for three years.
The ban applies to all real estate firms, including lenders, banks, escrow companies and title companies. It became effective at noon Monday, the same day the state announced its order.
Crisp had initially intended to fight the order and two hearings were set, but he failed to show up to either one and lost by default, according to Department of Real Estate spokesman Tom Pool.
The state's ability to revoke a real estate license is not new, but its authority to ban someone from real estate entirely was only granted last year with the passage of SB 1737.
"Statutorily, we can only go for three years, so that was the maximum allowed by law," Pool said. "It's really targeted toward the most egregious offenders, and David Crisp would qualify."
Crisp could not be reached for comment Monday.
In fall 2007, FBI and IRS agents raided 13 sites related to Crisp, Cole and Associates, the now defunct real estate firm Crisp ran with partner Carl Cole.
The state revoked the licenses of Crisp and Cole last year after finding them guilty of fraud and dishonest dealings, among other charges, in an administrative hearing.
More than 140 properties connected to Crisp, Cole and their relatives and business associates are troubled, with most going into foreclosure.
In September, Jerald Allen Teixeira, a loan officer who worked for Crisp and Cole for more than a year, pleaded guilty to being a part of mortgage fraud. He was offered leniency in exchange for promising to assist federal prosecutors.
Meanwhile, the company's officers and their associates face several civil lawsuits from lenders.
Crisp's actions "epitomized the rampant greed that contributed to the market collapse," Real Estate Commissioner Jeff Davi said in a statement released Monday. "He should not be allowed to work in any capacity related to finance or real estate."
As of Monday, there was no ban on Cole.
"That isn't to say there won't be one in the future, but at the moment there is not," Pool said.
Cole hung up when contacted by a reporter Monday.
