Attorney General reviewing complaints against Holtzman Construction after bankruptcy

Holtzman Construction and Remodeling customers continue to reach out to FOX 10 with stories of abandoned projects and lost money.

One of the affected families tells FOX 10 they not only blame the company for their troubles, but also the state agencies they say have failed to help.

‘After we paid them, they went away’

What they’re saying:

“How many other people could’ve been saved the same kind of financial loss?” David Rosenkrance said.

The Rosenkrance family’s business dealings with Holtzman Construction started in February with a check written for over $57,000 and a plan to build a casita in their backyard.

“And it was handicap-accessible like I said, so my mom, who’s 84, can move in here, and we can help take care of her and help make her meals and she can see her great-grandkids and everything,” Rosenkrance said.

When asked when the red flags started, Rosenkrance said, “Well, they started right away because they were supposed to start construction in March, and we didn’t hear anything for quite some time until April, when they billed us for starting work that was supposed to happen in May.”

They paid Holtzman again, this time over $28,000, but the yard remained untouched.

“Unfortunately, after we paid them, they went away, the calendar was cleared, and we didn’t hear from them again until June, when they wanted more money,” Rosenkrance said.

At this point, the Rosenkrances filed a complaint with the Arizona Registrar of Contractors.

“They scheduled a site visit. Three days later they decided to dismiss the case,” Rosenkrance said.

The reason given? The family had filed a lawsuit against Holtzman Construction, and the agency said state standards are set to avoid parallel civil and administrative proceedings. Rosenkrance describes the process to get assistance like a never-ending loop.

“I went to the sheriff’s office, and they wouldn’t touch it because there was a contract. So they said I had to litigate. So I litigated, the ROC says you litigated, we’re not going to help you either, so it seems like the entire system is set to protect bad contractors,” Rosenkrance said.

Dig deeper:

ROC Director Tom Cole telling FOX 10 in a recent interview the agency is operating based on state statutes.

“When you see that a case is closed or dismissed on the record, there are a number of reasons why the ROC might dismiss a case,” Cole said. “It’s not arbitrary, and so we really hope folks understand that our team are subject matter experts in this area, and we’re giving them the correct information on what comes next.”

Rosenkrance says he doesn’t understand.

“The ROC, I think, has totally failed Arizonans at this point, in my opinion,” Rosenkrance said.

As for the state’s top cop? FOX 10 obtained emails from the Arizona Attorney General’s Office pointing Holtzman clients who filed complaints to the ROC, local law enforcement, and private attorneys. The AG’s office told FOX 10 consumer complaints are being reviewed by the Criminal Division, but the office could not comment on current or potential investigations into any company.

‘We’re gonna have to go to plan B’

Meanwhile, the Rosenkrances are forced to move on from the plan to bring their matriarch to Arizona.

“We can’t afford an extra casita that we didn’t plan on paying for, we can’t afford two of them,” Rosenkrance said. “We’re gonna have to go to plan B. We’re not sure what that looks like, but it’s not gonna be having mom here where she can see her great-grandkids.”

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The other side:

A reminder, four different Holtzman LLCs filed for Chapter 7 bankruptcy last week.

Owner Brandon Holtzman sent FOX 10 a statement on the same day as the filings that read as follows: “We had a unique and unexpected challenge to our business. We are sorry for our customers, our subcontractors and our employees that we were not able to recover. We are committed to being open and transparent about what happened in the bankruptcy process. You can also contact our attorney for information.”

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