A Southern California real estate agent was sentenced to probation, community service and ethics training for false advertising arising out of an attempt to price gouge a couple who lost their home in the Eaton Fire, officials announced Thursday.
Mike Kobeissi must also pay $20,000 to a disaster relief fund and submit a letter of apology to the victims, according to California Attorney General Rob Bonta.
The California Department of Justice filed charges against Kobeissi following an investigation spurred by a consumer complaint sent to DOJ by the evacuated couple, which detailed their attempt to rent a home after Gov. Gavin Newsom issued an emergency order protecting fire victims from price gouging.
The investigation revealed that the couple applied to rent a La Cañada Flintridge home listed by Kobeissi, but after the application was received, they were informed the rent had increased by 38%. They decided not to rent the house due to the price increase.
Kobeissi’s sentence handed down in Superior Court includes 12 months of probation, 100 hours of community service and a mandatory professional ethics course through the National Association of Realtors.
“As I have said repeatedly, price gouging during a state of emergency is illegal,” Bonta said in a statement. “May this announcement serve as a stern warning to those who would seek to further victimize those who have lost everything. My office is aggressively and relentlessly pursuing those who are trying to make a quick buck off someone else’s pain.”