A former HGTV reality show star was sentenced to jail time after being convicted of multiple real estate fraud schemes.
During his sentencing on April 16, Charles “Todd” Hill was remanded to four years in jail and ordered to pay back nearly $10 million in restitution to his victims. Additionally, he is required to serve 10 years of probation.
Mr. Hill, best known for the HGTV series “Flip It to Win It,” was convicted in September last year after admitting to grand theft with aggravated white-collar enhancements.
Following an initial investigation by the Santa Clara County District Attorney’s office, the 58-year-old was indicted in 2019 for committing real estate and financial fraud against 11 total victims.
The concept of the show featured teams buying dilapidated homes and fixing them before selling them for a profit. This is where prosecutors allege Mr. Hill spent millions on over-budget remodels before laundering those profits and pocketing millions in fraudulently obtained money.
Some victims were present at Mr. Hill’s hearing, speaking out against his crimes. They noted as a result, they are still suffering from the financial and professional damages from the fraud.
Another victim in the case, Richard Pfaff, who worked as a general contractor for Mr. Hill, is still paying the price. He was forced to pay $100,000 and still owes $80,000 after Mr. Hill forfeited his tax obligations.
Mr. Pfaff told investigators that the TV personality spent too much money on fixing houses while his business, which employed nearly 50 people, struggled to profit from sales.
He went on to claim that Mr. Hill, along with his accountant Susan Goodwin, were also allegedly behind on paying payroll taxes. He said the duo were “cooking the books” for years in an attempt to hide an unprofitable business venture.
History of Scheme Incidents
According to the DA’s office, a number of Mr. Hill’s scams date back to before his time on the show.Mr. Hill was involved in a Ponzi scheme in which he used investor funds with the intent to buy homes and spend on a lavish lifestyle. He reportedly was able to fly under the radar by creating false balance sheets and used fraudulent information to obtain loans.
He was also found to have diverted construction money for his personal use, and in another case, an investor spent $250,000 for a home to be remodeled but instead found it to be a “burnt down shell with no work done on it.”
Prosecutors say further evidence shows Mr. Hill spent laundered money on vacations, hotels, luxury cars, and even rented an apartment in San Francisco.
Prosecutor Oanh Tran said Mr. Hill’s scams impacted 18 homes in the Bay area, and victims were either left with unfinished homes or unable to complete the projects themselves. “Businesses were shut down, one victim lost his home, so the consequences of his fraud are far reaching that cover various aspects of life that these victims are still dealing with,” said Ms. Tran.
After airing in 2014, “Flip It to Win It” ran for 13 episodes and was described as a “high-stakes hour in which three auctions are won, three houses are renovated, and then all three houses go on the market for top dollar.”
The Epoch Times has reached out to HGTV for comment.
