California Department of Real Estate - Former Real Estate Agent Barred from Working in Real Estate

Kenneth Doolittle Ordered to Stay Away from Real Estate-Related Businesses

SACRAMENTO, Calif.--(BUSINESS WIRE)--Revoked real estate broker Kenneth Mark Doolittle (Doolittle) has been barred for three years by the California Department of Real Estate (DRE) from holding any position of employment or management in a real estate business. The order also prohibits Doolittle from participating in any real estate-related activity of a finance lender, bank, escrow company or title company.

“While revoking a broker license will keep a person out of the real estate business, the bar order keeps the most egregious offenders out of any associated real estate business”

The bar order comes after a finding that Doolittle, through Monterey Bay Securities, Inc (MBS), was illegally selling securities. Between 1997 and 2005 Doolittle and MBS bought and sold more than 500 manufactured homes, the vast majority of which were sold with seller financing. Doolittle and MBS obtained the funds for the financing by soliciting third party private investors. Doolittle advertised for investors through printed materials and a web site through a program called “Recycled Housing Manufactured Home Promissory Note Mortgage Program.” Doolittle and MBS failed to register the offering with the Department of Corporations (DOC) as required by the law. The DOC later determined Doolittle and MBS made untrue statements of material facts and failed to provide material facts to investors on numerous occasions in connection with the illegal sale of securities to investors.

Based on Doolittle’s illegal activity, the DRE revoked the real estate licenses of Doolittle and MBS. More significantly, in early August the DRE issued a bar order in which Doolittle is precluded, for the statutory maximum of 3 years, from participating in any real estate-related activity including those related to a finance lender, residential mortgage lender, bank, credit union, escrow company, or title company.

“While revoking a broker license will keep a person out of the real estate business, the bar order keeps the most egregious offenders out of any associated real estate business,” stated Real Estate Commissioner Jeff Davi. “The bar order is an effective tool for keeping the bad actors out of the industry all together,” added Davi.

The DRE is a consumer protection and regulatory agency that issues licenses to real estate professionals and protects consumers in real estate transactions. Disciplinary actions taken by the DRE have increased significantly over the past two fiscal years. The DRE took 1,712 actions which represents a 36% increase over the 1,258 actions taken in fiscal years 06/07 and 07/08. And the trend is likely to continue as the DRE currently has nearly 5,400 open investigations. Persons and companies that have received a bar order or otherwise have been disciplined are posted on the DRE’s web site.

Commissioner Davi encourages consumers to visit the DRE’s web site for information on all licensed agents and brokers. “Log on, look ‘em up and check ‘em out” to ensure that a person or company is properly licensed and has not been the subject of disciplinary action, before signing any contract or agreement.

For more information about DRE and its programs visit www.dre.ca.gov.