Brothers Face 35 Felony Charges After Abandoning Tiny Home Projects

The Contractors State License Board (CSLB) has announced that Colton and Austin Palhus have officially been charged after a lengthy investigation, sharing the news in an Oct. 20 press release. According to the statement, each of the brothers faces 33 counts of diversion of construction funds, one count of employee wage theft, and one count of conspiracy to commit a crime.

An investigation into the brothers looked at more than 200 complaints spanning 18 different counties in California. The brothers, who owned Anchored Tiny Homes, are accused of abandoning accessory dwelling unit (ADU) projects, accepting payments in advance for work that wasn’t performed or completed, not paying subcontractors, and using homeowner funds for other purposes.

CSLB wrote in the statement that the organization decided to pursue a criminal investigation into Anchored Tiny Homes due to the severity of the complaints. The group worked with the Sacramento County District Attorney’s Office…

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