Commercial brokerage accuses former executive of $300K theft

A prominent commercial real estate brokerage in San Antonio is accusing its former president of stealing at least $300,000 and mishandling company finances. 

DH Realty Partners sued John Cannon, who is also a former pastor, alleging he took unauthorized salary increases and stole money through transactions during his time with the firm, from 2016 until last February, the San Antonio Business Journal reported. 

The lawsuit, filed in Bexar County District Court, accuses Cannon of civil theft, fraud, conspiracy, negligence and breach of fiduciary duty. Cannon denies the charges and has filed a countersuit.

Cannon began paying himself more than his authorized salary starting around 2019, leading to overpayments of over $100,000, according to the lawsuit against him. In addition to orchestrating unauthorized salary increases, DHRP, under the management of Sage Seis Partners, has accused him of manipulating financial transactions to enrich himself. DHRP is seeking up to $1 million in damages. 

“The investigation is continuing as to the amounts and how far back, but it is believed to be substantial,” DHRP attorney Samira Lineberger wrote.

The firm is also suing its former accountant, Naomi Faz, for allegedly helping Cannon hide the unauthorized payments. Faz, who left the company in January, is accused of altering records to cover up the financial discrepancies.

Cannon has countersued, alleging DHRP is unfairly blaming him for its financial problems. Cannon claims he even loaned the company money to help cover payroll last November but has not been repaid. The countersuit also claims that the company withheld Cannon’s commissions and the balance of his retirement account.

Cannon, now a senior vice president at Partners Real Estate, argues that DHRP’s financial troubles are not his fault. His lawyer, Trey Wilson, contends that Cannon is being used as a scapegoat while the company deals with cash flow problems and undercapitalization.

— Andrew Terrell

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