Kelowna Rental Property Brokerage Ordered to Cease Operations, Accounts Frozen

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Gavel, scales, and law book on brightly lit table by window

Menethil Properties Ltd. has been ordered to stop providing real estate services and its trust accounts have been frozen. This comes after the brokerage’s managing broker’s licence was suspended in February 2025, rendering it unauthorized to operate.

A rental property brokerage in Kelowna has been ordered to stop providing services and had its trust accounts suspended after BC Financial Services Authority (“BCFSA”) found it was operating without being authorized to do so.

Upon learning that Menethil was continuing to provide real estate services despite not being authorized, BCFSA issued an Urgent Order to freeze its trust accounts, suspend its brokerage licence and ordering the brokerage’s director, David Song, to cease providing real estate services.

The order comes after BCFSA suspended the licence of Tao (Terry) Guo on February 10, 2025, following an investigation that found Guo had abandoned his duties as managing broker of Menethil. All real estate brokerages are required to have a managing broker in place to supervise to brokerage, and without a managing broker, Menethil has not been authorized to operate since February 10, 2025.

Menethil provides rental property management services for approximately 100 properties in Kelowna, as well as trading services. Landlord clients of Menethil, and tenants who are renting a home through a Menethil property manager, are encouraged to review BCFSA’s consumer alert on this matter to understand potential impacts to them.

There are no immediate impacts to tenancy agreements as a result of this Urgent Order. Tenants are protected by the Residential Tenancy Act and are advised to continue paying their rent according to the terms of their tenancy agreement.

“We acknowledge the impact this may have on landlords and tenants who continued to receive property management services from Menethil despite being unauthorized to provide real estate services,” said Jon Vandall, BCFSA’s Senior Vice President, Compliance and Enforcement. “Freezing Menethil’s trust accounts is an unfortunate but necessary step to protect the funds held in trust on behalf of their clients, and to protect the interests of consumers.”

Landlords and tenants with concerns about their obligations under their tenancy agreements, including rent payment, returning security deposits, and dispute resolution, can find information on the Residential Tenancy Branch website.

Consumer Alert – Information for Tenants and Landlord Clients of Menethil Properties Ltd. – April 25, 2025
Reasons for Order in Urgent Circumstances and Order to Freeze Property – Menethil Properties and Yu (David) Song – April 28, 2025
News Release — Kelowna-based Rental Property Brokerage No Longer Authorized to Operate Following Urgent Order to Suspend Licence of Managing Broker – February 13, 2025
Consumer Alert – Menethil Properties & Tao (Terry) Guo – February 13, 2025
Order in Urgent Circumstances Menethil Properties & Tao (Terry) Guo – February 13, 2025
September 2023 decision regarding Yu (David) Song & Menethil Properties Ltd.
News Release: Managing Broker Receives $25,000 Fine, Cancelled Licence for Professional Misconduct – September 15, 2023

About BCFSA

BC Financial Services Authority is the province’s regulator for the financial services sector that helps to protect British Columbians during some of the most important financial decisions of their lives. As a Crown agency of the Government of British Columbia, BCFSA oversees credit unions, trust companies, insurance companies, pension plans, mortgage services, real estate services, real estate development marketing, and money services businesses. BCFSA also administers the Credit Union Deposit Insurance Corporation of British Columbia (“CUDIC”). BCFSA’s mission is to instill confidence in the financial services sector by focusing on the safety and soundness of regulated entities and consumer protection.

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Kate Bilney
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