A Calgary realtor is facing serious legal troubles after being charged with defrauding 16 victims out of more than $1.9 million in an alleged investment scam. Eric Drinkwater, 43, was employed with Re/Max Central and is now facing one count of fraud over $5,000, according to the Calgary Police Service.
The investigation into Drinkwater began last summer when a victim reported to the police that he had invested approximately $80,000 with Drinkwater over the span of a year but had not received any repayment. This victim had entered into a financial agreement with Drinkwater, which included promises of interest payments on his initial investment.
As the investigation unfolded, police discovered that Drinkwater had solicited numerous loans disguised as investment opportunities between March 2020 and February 2024. He allegedly offered short-term, high-interest transactions, leveraging his professional status as a realtor to gain the trust of his clients.
According to police reports, Drinkwater assured victims that he had clients who required funding to close real estate transactions. He claimed this funding was necessary to avoid impacting their credit or borrowing capacity, which made the offers seem more legitimate. Victims were led to believe that their loans would be repaid swiftly, with profits generated from the sale of homes belonging to Drinkwater's clients.
However, these investment opportunities turned out to be fraudulent. Drinkwater allegedly guaranteed the loans, claiming they were backed by garnishment of his commission from Re/Max Central in the event he failed to repay the loans. Unfortunately for the victims, the promised returns never materialized, and many were left with significant financial losses.
Eric Drinkwater is scheduled to appear in court on June 11, 2025, facing the serious charge of fraud. The police have urged anyone with additional information about this case or similar incidents to come forward. Victims can contact the Calgary Police Service at 403-266-1234 or provide information anonymously through CrimeStoppers.
In a related development, a civil lawsuit was filed against Drinkwater by four individuals who claimed they were defrauded. This lawsuit was settled in March 2025, resulting in a judgment of $2,278,114.19 for the funds advanced under fraudulent pretenses, along with $185,124.90 in accrued interest and an additional $1 million in punitive damages. The legal action also named a numbered company, the Real Estate Council of Alberta, and Pat Edward Hare, the owner of Re/Max Central, as defendants.
The lawsuit highlighted the role of the Real Estate Council of Alberta, which was named as a statutory defendant solely as the administrator of the Real Estate Assurance Fund. This fund is designed to protect the public from unscrupulous industry professionals, particularly in cases of fraud. It is anticipated that the Real Estate Assurance Fund may have to intervene in the case to ensure the plaintiffs are compensated if Drinkwater is unable to satisfy the judgment.
Drinkwater's actions have raised concerns within the real estate community, prompting discussions about the need for stricter regulations and oversight to protect consumers from potential fraud. The Real Estate Council of Alberta has already suspended Drinkwater's real estate license, effective June 18, 2024, following the allegations against him.
As the case unfolds, the impact on the victims and the broader implications for the real estate industry will be closely monitored. Victims of similar scams are encouraged to report their experiences to law enforcement in hopes of preventing future occurrences.
The allegations against Drinkwater serve as a stark reminder of the importance of due diligence when engaging in financial transactions, especially those that promise high returns with little risk. Potential investors should exercise caution and thoroughly vet individuals and opportunities before committing their hard-earned money.
As the court date approaches, many are left wondering what consequences Drinkwater will face if found guilty. The outcome of this case could set a precedent for how similar fraud cases are handled in the future, and it underscores the need for vigilance in the real estate investment sector.
In conclusion, the legal proceedings against Eric Drinkwater will not only affect the victims involved but may also lead to broader changes in the regulatory landscape governing real estate practices in Calgary and beyond. The community awaits the court's decision, hoping for justice for those who have suffered losses due to this alleged fraud.
