The Office of Attorney General and the Division of Consumer Affairs announced a settlement Oct. 5 with a South Jersey home improvement contractor who allegedly defrauded senior citizens and others who hired his company to perform remodeling projects.

James Barreras and his Woodbury-based business, South Jersey Home Contracting LLC, were charged in a civil lawsuit by the state last fall that alleged they engaged in unlawful business practices in violation of the Consumer Fraud Act, the Contractor Registration Act, and the Regulations Governing Home Improvement Practices.

That lawsuit was filed after the state received consumer complaints, including 11 from residents over the age of 60. The allegations included:

• That the defendants violated the Consumer Fraud Act through misconduct, such as accepting payments and then failing to complete the work; closing their business after receiving payments for work they never performed; refusing to issue refunds; and accepting payments for work performed by subcontractors – then not paying those subcontractors.
• That the defendants violated home improvement regulations in a number of ways, such as imposing undisclosed charges and fees not included in the contract; directing payment before completing home improvements; failing to begin or complete projects within period stated in the contract; and failing to provide timely notice for any delays, as well as when the work would begin or be completed.

According to the terms of a Final Consent Judgement agreed to by Barreras, the settlement calls for him to dissolve his business; pay $257,000 in restitution to 13 consumers who were impacted; pay a $185,000 civil penalty; and permanently revokes the Home Improvement Contractor registration issued to SJHC.

In a statement, Attorney General Matthew Platkin said that the settlement not only puts the company out of business, but provides meaningful financial relief to consumers harmed by the “unconscionable conduct of the business and its owner.”

“We will not allow unscrupulous contractors to enrich themselves at the expense of New Jersey consumers, especially our senior residents,” said Platkin.

See also:

• Jersey City attorney admits to defrauding clients
• Jersey City real estate investor sentenced for mortgage fraud scheme
• 2 men admit roles in $35M investment fraud scheme