Builders in troubled Grand County subdivision plead guilty to multiple counts of theft
April 27, 2011
ADS Builders principals James Barnett, 50, of Westminster and Christopher Foster, 38, of Parker have each agreed to amend their original pleas to guilty on 13 counts of Class 1 misdemeanor theft and one deferred judgment on a charge of Class 4 felony theft.
The two men were accused of not paying subcontractors and suppliers after receiving construction draws and builders’ deposits in the amount of half a million dollars. They were also suspected of hijacking homebuyers’ deposits and loan payments without delivering finished construction work at an abandoned Highway 34 subdivision across from Lake Granby, according to the 16-page affidavit for arrest warrant prepared by Sgt. Leo Piechocki of the Grand County Sheriff’s Office, dated Dec. 29, 2009.
In November 2010, the two men pleaded not guilty and were arraigned on charges of seven counts of class 3 felony theft and seven counts of class 4 felony theft.
Barnett was president of ADS Builders, which had companion companies Mile High Construction and Legacy Construction Services, all based in Broomfield. A year-long sheriff’s investigation alleges that the suspects received about $2 million from closing costs and builder deposits drawn from homebuyers’ loans, but never finished (and in some cases, never started) building investors’ homes with that money.
The affidavit for the arrest warrant of Barnett and Foster listed the homebuyers of 31 homes in a sub-community of the Colorado Anglers Club, the buyers of which acquired their loans through National City Bank.
The Grand County investigation focused on The Colorado Anglers Club, although other smaller ADS projects in Grand County were also mentioned in court documents.
The April 18 plea agreement lists $300,000 in restitution to be paid jointly by the two men, with $100,000 to be paid on the day of sentencing, set for 3 p.m. June 17, 2011.
– Tonya Bina can be reached at 970-887-3334 ext.19603