News Sheet

Colorado Contracting Scam Probation Raises Questions

Portrait from supplied reference image beside an unfinished Colorado home renovation and courthouse imagery.
The paperwork may close a case. Homeowners still have to live with the mess.
Written by Scott K. James

A former Schwalb Builders project manager received probation and restitution after a plea deal in a wider Colorado contracting case.

Denver7 reports that Kevin Allbritton, a former project manager for the now-defunct Schwalb Builders, has been sentenced to two years of probation and ordered to pay just over $93,000 in restitution to clients. Allbritton was arrested after a grand jury indictment and had faced more than 20 counts involving theft, money laundering, and Colorado’s organized crime law before accepting a plea deal.

The Denver7 investigation says customers had complained for years about paying substantial sums only to see projects never begin or homes left in terrible condition. Allbritton was one piece of a much larger case involving the company’s ownership and other employees. Some defendants have taken plea deals, while Avi Schwalb was convicted on 47 counts and sentenced to 10 years in prison.

And now Allbritton gets probation. Maybe the facts negotiated in his plea agreement justify that result. The Denver7 story does not give us enough detail to pretend we know everything the judge knew. Fair enough. But to the Colorado homeowner reading the headline, “two years of probation” has all the reassuring heft of being told the fox has been formally warned about henhouse etiquette.

The Bullet Point Brief

  • Two years of probation. Allbritton will also pay more than $93,000 in restitution. That is real money, but “probation” is not exactly a word that makes would-be scammers clutch their pearls in terror.
  • This was not a parking-ticket case. Denver7 reports Allbritton originally faced more than 20 counts involving theft, money laundering, and organized crime allegations before reaching a plea deal covering felony and misdemeanor charges.
  • Customers were left dealing with the wreckage. Denver7 says it spoke with Schwalb Builders customers who reported paying large sums while work either never started or their homes were left in ruins. Hiring a contractor should not require a forensic accountant, a lawyer, and a prayer circle.
  • The victims themselves were divided. Prosecutors said some were pleased to recover money, while others were upset with the outcome. One victim told the court it was fair for Allbritton to return commissions he earned on projects he managed.
  • The larger Schwalb case is still grinding along. Other employees have accepted plea deals, Avi Schwalb received a 10-year prison sentence after his conviction, and Denver7 reported that Sean Schwalb’s case was headed toward trial. In other words, this particular circus still has tents standing.

My Bottom Line

Colorado homeowners should not need a background in criminal investigations to hire somebody to remodel a kitchen. You ought to be able to sign a contract, write a check, and reasonably expect the person on the other side to perform the work. That is not some wild Reagan-era fantasy. That is how functioning commerce works.

The reporting here is too limited to declare that Allbritton’s sentence was legally outrageous. Plea agreements involve facts, cooperation, culpability, evidence, and considerations that do not always fit neatly into a television news story. If two years of probation was the appropriate sentence based on those facts, then somebody in the justice system ought to be able to explain why in plain English.

Because from the cheap seats, this looks soft. And appearances matter when you are trying to deter the next guy who thinks customer deposits are Monopoly money. Restitution matters. Convictions matter. But consequences also have to be sturdy enough that honest contractors see a system protecting their reputation, while dishonest ones see something more frightening than paperwork and periodic check-ins.

Colorado already makes ordinary people jump through enough hoops to live, build, work, and run a business. The least government can do in return is make sure the rules have some teeth when somebody abuses the trust that makes all of that possible. Otherwise, we are not regulating an industry. We are supervising the cleanup.


Source: Denver7

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