NSW Fair Trading is investigating allegations a prominent builder photoshopped images of a Sydney family's dream home to include a crucial structural aspect that was, in fact, not there.
After a fire in Salv and Melissa Barbagallo's house in 2019, the family contracted Metricon — considered the nation's top residential builder by the Housing Industry Association — to build a new one.
They had initially hoped to move in by the end of 2020, but their house is still not ready.
By September 2020, the family had become so worried about the project they engaged a separate engineering consultant to inspect it.
They found the brickwork was missing crucial "expansion joints" which allow for brick walls to move and grow over time.
Without them "the brickwork in the house is likely to crack from brick growth and thermal expansion", the consultant's report said.
In response to this, the builder sent a series of images, including one altered to show an expansion joint which does not exist.
In that email, there was no explanation as to why the image had been altered.
NSW Fair Trading Commissioner Natasha Mann confirmed her agency was investigating "allegations of fraud and unconscionable conduct by Metricon".
Ms Mann told the ABC Fair Trading would also reviewing the Home Building Act, and consider whether the Building Commissioner David Chandler's powers, which currently only apply to apartment blocks, could be extended to private homes as well.
In a statement, Metricon's NSW general manager Patrick Eather said the photograph was enhanced to highlight where the joint would be located, disputing there was any intent to deceive the family.
"Metricon have had no contact from the NSW Police and is not aware of any investigation, by the police or Fair Trading," he said.
"We are working cooperatively with Fair Trading to finish the Barbagallos' home and are on track to complete it within the next two weeks."
According to the contract, the home should have been finished in May last year.
'It all falls on deaf ears'
The Barbagallos first raised concerns about the build with Fair Trading in late 2020, and, when they were dissatisfied with the response they received, took their case to NSW's Civil and Administrative Tribunal.
In those proceedings, the builder provided an expert to assess the development, who agreed the external brickwork contained defects.
The walls were eventually demolished and rebuilt.
Over the past few months, Fair Trading has inspected the home and been in touch with both the Barbagallos and the builder about the house's progress.
Salv Barbagallo said he and his family felt let down by the system.
"The tough thing is, we went to all of the respective authorities, the relevant ministers, the New South Wales Building Commissioner also attended," he said.
"And sadly, it all falls on deaf ears.
"Even when they attended our sites, sadly the best that it gave us was false hope, because nothing has eventuated from it."
His wife, Melissa, said "there's no one protecting us".
"Fair Trading pretty much said to us, 'off you go, go and fight a billion dollar company on your own, because we're not there to help to basically protect you, support you'."
System 'stacked against homeowners'
Greens MLC David Shoebridge has been advocating for the family, referring the matter, with specific reference to the altered photo, to the Police Minister and Commissioner, the Minister for Homes and the NSW Fair Trading Commissioner.
Mr Shoebridge said: "This case shows how the system is just stacked against homeowners."
"They're literally stuck with the builder despite defect after defect until the builder finishes the contract and walks away. And then years later, Fair Trading may help them clean up the mess.
"While [the building commissioner] David Chandler can do something for apartment owners, he literally has no power for these kinds of standalone homes anywhere across the state."
The Minister for Fair Trading Eleni Petinos said in a statement there were no plans to change the existing regulatory arrangements.
In a statement, Ms Mann said Fair Trading was "planning a comprehensive review of the Home Building Act which will commence in the first half of this year".
She said the review would consider whether the building commissioner's powers should be expanded.
"Building a home should be an exciting and rewarding moment in a family's life and it is disheartening to see the struggles the Barbagallos have faced," she said.
On Friday, Commissioner Mann, under questioning by Mr Shoebridge in Budget Estimates, confirmed Fair Trading was investigating Metricon.
The Barbagallos met with Ms Mann on Monday and said they left feeling hopeful.
But it won't undo the toll it's taken on their family, which is still living elsewhere, nearly three years on from the fire.
"We try to keep going, but we live and breathe this every day, and we pretend that everything's OK but it's not," Mrs Barbagallo said.
"We keep going for the kids, if we didn't have kids, I don't know how most people would go on."
Do you know more about this story?
- Email Kathleen Calderwood at calderwood.kathleen@abc.net.au.
