CBC
Tue, October 10, 2023
Alan Hrehirchuk stands between Drew and Jonathan Scott from the popular Property Brothers HGTV show. Hrehirchuk and his company, Envision Custom Renovations, did work on at least two episodes of the show. (Facebook/Envision Custom Renovations Inc. - image credit)
A Calgary contractor accused of defrauding homeowners out of hundreds of thousands of dollars can continue working, but has been ordered to stop entering into prepaid contracts following a Service Alberta investigation.
Alan Hrehirchuk, 53, was charged with fraud and forgery in July. He is accused of forging subcontractor invoices and defrauding a couple who spent more than $100,000 on work they say was never done.
Now, Service Alberta, the provincial ministry responsible for consumer protection, has issued a director's order against Hrehirchuk following an investigation that found he breached the province's Consumer Protection Act (CPA) by having clients sign prepaid contracts that were "harsh, oppressive or excessively one-sided."
The order is in response to, "in the opinion of the director, contraventions of the Act," by Hrehirchuk and his company, Envision Custom Renovations, according to a public notice posted online.
The investigation was launched after Service Alberta says eight people reported Hrehirchuk and his company, Envision Custom Renovations, to the Calgary Police Service (CPS).
Hrehirchuk's licence to enter into prepaid contracts expired in June, according to Service Alberta.
Hrehirchuk could face jail term
The director's order prohibits Envision, Hrehirchuck or any of his employees from entering into prepaid contracts until the proper licencing is in place.
The order also requires Hrehirchuk to ensure all future contracts are in compliance with the CPA.
If Hrehirchuk is found to be in violation of the order, he could face steep fines and up to two years in jail.
According to Service Alberta, the eight complainants allege they paid for work that was never done and say they have been unable to get their money back from Hrehirchuk.
Couple living in basement
In the summer, CBC News spoke with several people who allege they are victims of Hrehirchuk. Two sets of homeowners said Hrehirchuk used a celebrity endorsement from the Property Brothers HGTV show to entice clients.
Within about a month of the announcement of criminal charges involving one Calgary couple, police said they'd received about a dozen new complaints against Hrehirchuk and Envision.
One couple, in their 60s, have been living in their basement after they say Hrehirchuk began work on their home but failed to pay the tradespeople and left the job unfinished.
Peter Razniak, who was hired by Envision in December as a project manager, says the situation got so bad that by the spring of this year, Hrehirchuk told him to lock the doors to the showroom to escape angry tradespeople who were showing up, demanding to be paid.
Hrehirchuk due in court Tuesday
Court documents show nine lawsuits were filed against Hrehirchuk's company, Envision Custom Renovations, in 2023.
CBC News did contact Hrehirchuk's lawyer for a comment about the Service Alberta investigation but did not receive a response.
In August, defence lawyer Cory WIlson said his client "denies the allegations" made by former clients.
He is due in court to face his criminal charges on Tuesday.
Those found to be in contravention of the CPA can face licence suspension or cancellation, an administrative penalty, prosecution or a director's order, as is the case for Hrehirchuk.
CPS was not immediately able to respond to CBC's request for information, but in July a spokesperson for the service said the criminal investigation was ongoing and did not rule out the possibility of further charges.
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