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Owners of Aquarius Pools hit by state; could lose contractors' licenses
By Dale Kasler - dkasler@sacbee.com
Published 2:24 pm PDT Monday, October 29, 2007
State officials are targeting the two owners of Aquarius Pools, the Sacramento swimming pool contractor that went under last year, demanding they compensate Aquarius customers and subcontractors.
The Contractors' State License Board filed an administrative action seeking to strip Richard Carnation and Kevin Towle of their licenses, saying they are to blame for the collapse of Aquarius in August 2006. The company owed approximately $1.4 million when it folded.
Carnation and Towle have long blamed the firm's ex-general manager for the company's demise. In a lawsuit they filed last November, the two co-owners said general manager Gregory Wolfe and his wife Teresa "looted the business" by spending company funds on Kings tickets, a Mexico timeshare and more.
But the license board, in its administrative action, said Carnation and Towle must bear responsibility. Although they put Wolfe in charge of day-to-day operations, they "maintained complete and final control over the finances...at all times up to and including August 2006," says the board's accusation.
The board is seeking restitution from the two men and cancellation of their other contracting licenses. Between them, the two men hold four other contracting licenses and operate businesses in Sacramento and Windsor.
Their lawyer, Malcolm Segal, said Carnation and Towle insist that Aquarius Pools' collapse was not their fault. "Carnation and Towle have fully cooperated with law enforcement to demonstrate to them unequivocally that Greg Wolfe is responsible for all the issues at the pool company," Segal said.
Aquarius' collapse left more than 50 homeowners stranded with unfinished swimming pools and numerous headaches. Many found themselves the targets of mechanics' liens filed by subcontractors who hadn't gotten paid by Aquarius for their work.
The company filed for Chapter 7 bankruptcy last December. The Wolfes did the same in March.
http://www.sacbee.com/103/story/460409.html
By Dale Kasler - dkasler@sacbee.com
Published 2:24 pm PDT Monday, October 29, 2007
State officials are targeting the two owners of Aquarius Pools, the Sacramento swimming pool contractor that went under last year, demanding they compensate Aquarius customers and subcontractors.
The Contractors' State License Board filed an administrative action seeking to strip Richard Carnation and Kevin Towle of their licenses, saying they are to blame for the collapse of Aquarius in August 2006. The company owed approximately $1.4 million when it folded.
Carnation and Towle have long blamed the firm's ex-general manager for the company's demise. In a lawsuit they filed last November, the two co-owners said general manager Gregory Wolfe and his wife Teresa "looted the business" by spending company funds on Kings tickets, a Mexico timeshare and more.
But the license board, in its administrative action, said Carnation and Towle must bear responsibility. Although they put Wolfe in charge of day-to-day operations, they "maintained complete and final control over the finances...at all times up to and including August 2006," says the board's accusation.
The board is seeking restitution from the two men and cancellation of their other contracting licenses. Between them, the two men hold four other contracting licenses and operate businesses in Sacramento and Windsor.
Their lawyer, Malcolm Segal, said Carnation and Towle insist that Aquarius Pools' collapse was not their fault. "Carnation and Towle have fully cooperated with law enforcement to demonstrate to them unequivocally that Greg Wolfe is responsible for all the issues at the pool company," Segal said.
Aquarius' collapse left more than 50 homeowners stranded with unfinished swimming pools and numerous headaches. Many found themselves the targets of mechanics' liens filed by subcontractors who hadn't gotten paid by Aquarius for their work.
The company filed for Chapter 7 bankruptcy last December. The Wolfes did the same in March.
http://www.sacbee.com/103/story/460409.html
