Five people were indicted on dozens of counts of racketeering and theft for allegedly defrauding metro Denver homeowners of nearly $1.2 million for remodeling projects they never completed, according to the Colorado Attorney General’s Office.
Schwalb Builders and Avi’s Remodeling and Contracting owners Sean Schwalb and Avi Schwalb, along with three of their employees, are accused of carrying out a widespread contractor fraud scheme from July 2021 through December, Attorney General Phil Weiser said in a news release Friday.
Sean Schwalb is Avi Schwalb’s son, according to the indictment. Customer complaints about the company’s practices were previously reported by Denver7 last year.
The group solicited home renovation projects, collected deposits from customers and didn’t complete the work. In some cases, they started demolition or did faulty work before abandoning the projects, according to state officials.
Investigators allege the Schwalbs received approximately $1.2 million from customers that they never used on the projects or returned to customers who asked for a refund.
Sean Schwalb is in custody at the Downtown Denver Detention Center on a $1.1 million bond and is set to appear in court Monday, according to jail records.
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