Calgary

Phoney Calgary realtor Derek Johnson arrested after failing to attend court sentencing

A phoney Calgary realtor who preys on vulnerable people by dealing in real estate without a licence has been taken into police custody, the province's real estate council says.

Derek Johnson operated for two years despite court order

Derek Johnson has been fined more than $100,000 in administrative penalties and has been found in civil contempt of court for refusing to stop conducting real estate deals. (Brady Strachan/CBC)

A phoney Calgary realtor who preys on vulnerable people by dealing in real estate without a licence has been taken into police custody, the province's real estate council says.

Derek Johnson was sentenced in absentia to two months in jail last month when, after he and his business partner Kevin Kumar continued to broker real estate deals despite an explicit order to stop

Kumar, who was also sentenced to jail time, remains at large and a Canada-wide warrant has been issued for his arrest.

'Strong message'

The Real Estate Council of Alberta (RECA), which initiated the court action, said it was pleased with the development.

"We're hopeful Mr. Johnson's arrest sends a strong message to other individuals who engage in unlicensed real estate and mortgage brokering activity that RECA will protect consumers," said spokesperson Natalie Scollard.

RECA has issued five administrative penalties against Johnson totaling more than $100,000, and one administrative penalty of $25,000 for unlicensed activity to Kevin Kumar.

At the sentencing on June 7, Justice Sheilah Martin said jail time was the only penalty that would demonstrate the authority of the court in light of the pair's "contemptuous conduct" and "deliberate disobedience of court orders."

Eric Vance lost title to his property because of one of Johnson's schemes and had to pay $6,000 to get his house back.

After the sentencing, Vance said he had hoped for a longer jail sentence, but expressed relief that "finally something has happened."