Real Estate Broker Scandal: Victim Alleges Fraud and Embezzlement

2023-10-12 04:00:00

A real estate broker allegedly “enfirouaped” a beneficiary attendant who had to repay nearly $35,000 in fees and interest to a private lender following purchasing a modest house in Montreal North.

Marie-Yolène Derosin was ordered in May by a judge to pay nearly $60,000 to a private loan company to which her broker, Harry Mansuy, directed her, according to court testimony.

“She was tricked by a smooth talker who told her anything,” judged Judge Daniel Bourgeois, of the Superior Court, in this case.

The loan was to be used to finance the down payment for the purchase of a house in Montreal North in 2020, according to what was explained in court by the president of the company, Sylvia Gagnon.

The lender, a numbered company, only extended $25,000, but including interest and fees, the amount owed rose to nearly $60,000 in 2023.

In court, Ms. Derosin came to explain that she had never understood what she was signing when she borrowed this sum with her co-purchaser, Samuel Casimir.

Rather, she believed she owed money to her real estate broker, Harry Mansuy, she explained. She also paid him a sum of $28,000.

“I am a victim in this. […] I’m really disappointed,” she said.

Very serious

The testimony of Ms. Derosin made Judge Bourgeois jump, who questioned on more than one occasion the behavior of the broker Mansuy in this case.

The judge notably questioned the validity of the payments made by Ms. Derosin to Mr. Mansuy.

“I suggest you not pay any more money to Mr. Mansuy,” he said.

“It’s so serious what Madame says. […] If indeed there is embezzlement, then alleged fraud, the SPVM must investigate this to prevent[il y ait] other victims,” he continued.

Broker Harry Mansuy, who was present in the room, tried to explain himself, but the judge refused to hear him because he was not himself being prosecuted in the dispute.

Harru Mansuy, real estate broker, involved in a financial affair that went wrong with Marie-Yolène Derosin. Photo credit: photo taken from Centris photo taken from Centris

In a letter later filed in the court file, however, he cast the blame on a notary, Me Jean J. Brossard, involved in the transaction.

“It was the Brossard notary who pulled the strings in this case from start to finish and who was at the center of the discussions between the parties, the signatures and the commitments made,” he asserts.

He also mentions a supposed balance of sale price which would have been due and assures that Ms. Derosin owed him money. Contacted by our Bureau of Investigation, he also said that it was not he who had directed his client to the private lender.

Ms. Derosin testified to the judge that of the $28,000 paid, she had given $6,000 in cash and another part in the form of bank transfers, without it being well established for what reason these sums had been given.

These payments were made at the request of the broker, according to the beneficiary attendant.

Simple story

Contacted by our Investigation Office, notary Jean J. Brossard, now retired, who carried out the transaction, denied having acted wrongly.

“The story is easy. He put the money in his pockets, Mr. Mansuy, instead of paying the loan [au prêteur privé]. She got fooled [Mme Derosin] “, he commented. He denied the existence of any sales price balance in this transaction.

According to the register of license holders of the Organisme d’autoréglementation du courtageimmobilier du Québec (OACIQ), Harry Mansuy already has two disciplinary decisions on his record. In 2016, his license was suspended for 90 days and he was fined $8,000. The sanctions were related to charges of broken commitments and incitement to make a false declaration, among others. In 2019, his license was suspended for 30 days and he agreed to pay $10,000 to a client’s guardian. He had lent money to this client and placed himself in a conflict of interest.

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