BALTIMORE — Attorney General Anthony Brown announced charges have been filed against the Korey Homes Building Group, LLC for violating laws protecting home buyers.
Kenneth Smith and his son Korey Smith, principals of Korey Homes, allegedly failed to comply with the Consumer Protection Act, New Home Deposits Act, Custom Home Protection Act and Home Builder Registration Act.
According to the charges, Korey Homes accepted hundreds of thousands of dollars from people who wanted the company to build custom homes in Harford County.
This includes Deborah Reilly.
Back in 2018, Reilly hired Korey Smith to build her and her husband a retirement home.
Right before the job was complete, Smith went out of business. The Reilly's repeatedly contacted Smith about the incomplete work, but he never responded.
Soon after, Reilly started receiving liens from unpaid subcontractors.
She said she paid Bel Air Carpet through Smith, but the money slated to go to the subcontractors didn't. The Reilly's then spent $6,000 in legal fees to fight the liens.
The Korey Homes office in Forest Hill is now closed, the website is no longer active, and the business phone has been disconnected.
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The charges allege Korey Homes, Kenneth Smith and Korey Wayne Smith violated the laws protecting new home purchasers.
This includes breaching the trust of the buyer, misappropriating money, making false and misleading statements and failing to state material facts.
