An investigation by the team at Marketplace has revealed issues surrounding the abrupt closure of a prominent home renovation company, AGM Renovations, based in Ontario. The investigation uncovered several unfinished projects, allegations of fraudulent activities, and an ongoing police inquiry. The search for answers led Marketplace journalists on a lengthy journey overseas to locate the individual responsible for the company.
The closure of AGM Renovations has left clients like Drew Carmichael in a difficult situation. Carmichael hired the company to convert his basement into a legal apartment in August 2024. However, by September of the same year, he found his $150,000 loan exhausted with minimal progress on the project. When AGM announced its closure on February 14, Carmichael estimated that the project was only 30 to 40 percent complete, with numerous promised upgrades and materials never delivered.
Subsequently, Carmichael engaged new contractors to complete the renovation, incurring additional costs exceeding $150,000, on top of the outstanding loan with Financeit. The ordeal has not only strained his finances but also taken a toll on his health, evident from deteriorating health metrics in recent months.
Carmichael is now part of a group of eight plaintiffs pursuing legal action against AGM Renovations and its CEO, Ivan Atanasov. The lawsuit alleges fraud, negligence, and breach of contract, seeking damages totaling $1,360,655.58. However, locating Atanasov has proven challenging, with some cases resulting in default judgments against the company, leaving doubts about potential compensation for the affected parties.
Additionally, the investigation has revealed that the Halton Regional Police Service in Ontario is actively looking into two complaints lodged against AGM Renovations, although specific details remain undisclosed.
Ramon Guanzon, another affected client, hired AGM for a basement project in January 2025, only to face disappointment when the company closed shortly after receiving his payment of $66,449.14. Despite his efforts to seek a refund directly from AGM and reaching out to Consumer Protection Ontario for assistance, Guanzon found little support. The response from the consumer protection agency directed him to other entities, leaving his situation unresolved.
The callous response from Consumer Protection Ontario has drawn criticism from NDP consumer affairs critic Tom Rakocevic, who advocates for stronger regulatory measures to shield consumers from such predicaments. The lack of effective consumer protection mechanisms has prompted calls for the establishment of an independent consumer watchdog with the capacity to investigate and penalize wrongdoers in the industry.
As efforts to hold Atanasov accountable continue, Marketplace’s attempts to reach him have been met with silence. Atanasov’s whereabouts were traced to Bulgaria, where he recently acquired property. However, attempts to confront him directly were hindered by police interference, prompting a remote approach through a Bulgarian journalist.
In light of the unfolding events, Financeit, the loan company associated with AGM Renovations, has initiated legal action against the company and Atanasov, citing fraud and deceptive business practices. The company expressed challenges faced by both homeowners and Financeit following AGM’s closure, emphasizing a case-by-case review to determine suitable resolutions.
Guanzon, among the affected clients, has accepted an offer from Financeit to reduce his debt burden by 50 percent, demonstrating a partial resolution in his case.
