‘We’re Just Stuck’: Arizona Woman Says Contractor Took $52,500 and Vanished as Company Goes Bankrupt

She saved for years. She picked out every material. She was packed up and ready to move out during the renovation. Then the contractor went quiet — and $52,500 of Johnnie Coletto’s money went with him. The Tempe, Arizona homeowner’s story, featured in an azfamily “On Your Side” report this week, has become the human face of a contractor collapse now rippling across the Phoenix metro — one that ended with four companies filing for Chapter 7 bankruptcy.

“I’m like, ‘Hey! I’m ready to get started,’” Coletto told azfamily’s consumer team. The response: they’d submit a permit. When the Tempe-based contractor asked for more money, she paid. Then, she says, she heard nothing about her project — a kitchen and bathroom remodel that was supposed to include raising the ceiling in part of her home — until a few weeks ago…

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