Fair Trading Deputy Commissioner Steve Griffin today said an unlicensed Brookvale builder has been placed on a six months’ good behaviour bond under the Crimes (Sentencing Procedure) Act and his company ordered to pay $6,058 in fines and costs by Downing Centre Local Court.

Mr Griffin said Wayne Scharer was the director of Finishing Touch Refurbs Pty Ltd at the time the company breached the Home Building Act 1989 by representing to do home building work while unlicensed, representing that it held a contractor’s licence, and for receiving payment without obtaining the necessary home warranty insurance. The company was convicted for those offences.

“Mr Scharer did not meet his obligations under the Act,” he said. “The company was in breach of the laws that govern the NSW home building industry.”

Between 2004 and 2008, the company coordinated building work to convert a ten-bedroom house to two apartments in Sydney’s north at a cost of more than $500,000.

The company did not have a contractor’s licence or a contract for home warranty insurance in place.

During construction, Mr Scharer, as the director of the company, sought further work from the homeowner, proposing to construct a third floor addition at a estimated cost of more than $800,000.

Mr Griffin said any person who carries out residential building work in NSW worth more than $1,000 in labour and materials must have a licence.

“For specialist work, such as plumbing, electrical, air conditioning and refrigeration there is no threshold for labour and materials,” he said.

A trader’s credentials can be quickly and easily established by checking licence details with NSW Fair Trading and asking for references and contact details of recent customers. Consumers can check the licence details online or by contacting Fair Trading on 13 32 20.

Mr Griffin said individuals carrying out unlicensed building work face fines of up to $22,000 and corporations face fines of up to $110,000.

“Home warranty insurance is an integral part of the consumer protection package and must be obtained by the home building contractor where the contract price is over $12, 000,” he said.

“Insurance must be in place before the commencement of work and before demanding or receiving any payment.”

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