Texas AG Nails Developer For Illegally Subdividing Land; Deposits Refunded To Unwitting Lot Buyers

From the office of the Texas Attorney General:

• Texas Attorney General Greg Abbott obtained a default judgment against the developer of Tierra Linda Gardens, a residential subdivision development in Cameron County that lacks basic utilities. Thursday’s judgment came less than four months after the Attorney General took action against Manuel J. Montemayor and his company, MG Joint Venture, for violating the state’s colonia-prevention laws. The court ordered Montemayor to pay $30,000 in civil penalties for unlawfully subdividing and selling property without approval from local officials and without providing sewer and water services for residents. Additionally, he must pay the State more than $7,500 for investigative and legal costs. Montemayor also provided refunds of more than $11,000 to each of three consumers who bought his unlawfully-platted lots. The refund amount corresponds to deposits and interest fees the buyers had already paid to the defendant.

For more, see Attorney General Abbott Resolves Legal Action Against Cameron County Colonia Developer (Tierra Linda Gardens developer faces $30,000 in civil penalties for unlawful colonia subdivision).

To view the lawsuit, see State of Texas v. Montemayor.