Report: #469130

Complaint Review: Douglas Fonteno And Hilton Head Properties

  • Submitted: Mon, July 13, 2009
  • Updated: Tue, November 27, 2012
  • Reported By: Dallas Texas
  • Douglas Fonteno And Hilton Head Properties
    400 N St Paul, # 1400
    Dallas, Texas
  • Phone: 214-712-9800
  • Web:
  • Category: Realtors

Show customers why they should trust your business over your competitors...

Watch this report close

I am a former employee of this scam artist, convicted felon, douglas t. "chase" fonteno.......he has an investment company called, www.hiltonhead that is far from the truth and here is where it connects to the IRS and Linebarger, Goggan , Blair and Sampson in Dallas.

He has a large number of single family properties in Dallas and Houston and to my knowledge has never paid a single dime of taxes on any of them. He acquires them thru a technique called adverse possession and closes them in his in house title department, with no legal counsel present and all title documents are prepared by doug himself with language to protect him and to take advantage of this that do not speak english or has very little education. There is no regulation on paying the taxes or anytyhing. He currently owes hundreds of thousands of dollars, if not millions in taxes in dallas county alone.

the scheme goes like this-- he had employees called associates or partners (they all quite because he never pays employees, rips them off too, so now he drives around finding vacant houses) find houses that are vacant and he puts a for sale sign in the yard and waits for a call. He then in turn sells the property to them, in house, without any form of clean title. and they put a small down payment, and start making payments. Most clients are low income moinorities and they really don't understand the issues surrounding the property

san antonio district attorney has issued an opinion that there is possible fraud in the procedure and he no longer does business in san antonio, he is terrified of going back to prison.

anyhow-taxes are owed and are never paid. His buyer continues to pay monthly and the tax burden rises and the buyer is unaware until a taxs suit is filed. The Hilton head grorup has no way to ever give a clean title to the client......not ever without paying the taxes as they go.

many clients have filed suits, class action issues against fonteno, but he continues to escape.....the scheme never ends in that the client pays, fonteno doesn't own the property and many times the taxes owed are higher than the note or the value of the his minority client is buying nothing- just paying fonteno to live on ranchero drive and drive his hummer, until it was repoed,now he drives a motorcycle that the finance company has been looking for since the way- that ranchero property , there is over 225k in taxes owed on this....
and why is Lineberger so dumb as to let this happen.....well,. fonteno is a clever little con-man.....he forms LLC's with each of his associates and the houses are in different names, alll under fonteno's control.....such as, blue roan, silver west, bright horizons, gatsby, camden, hyde, novo,
and saige properties to name a few....this way it frees hilton head from any tax liability and tax suits, or lawsuits.....suits come into tthe office at n st paul but directed to the LLC's and they have few assets or money ..

and guess what- he doesn't pay payroll taxes either......hundred of dollars owed currently, and the doors are still open, that is unless he doesn't pay rent, and that happens, that is why he was evicted from the elm st address , because he doesn't pay that either.....the Irs NEEDS TO WAKE UP AND SMELL THE COFFEE OR SMELL THE POOP

doug will boast to you that he has started over 40 companies, and not tell you that they are all in debt or have already closed because of his mismanagement.

Fonteno is a convicted felon, for mostly the same type stuff---ponzi, I mean a real ponzi scheme......he takes money from investors, gives them all the same collateral (either those run down s. dallas adverse possession houses he does not have title to or those condemned condos in houston, which are somewhat worthless....they all think they are getting a real prize for their money, but actually fonteno never spends their money where they think it went, but buys cars, pays company payroll, lavish parties and running women like an olympic sprint, he even prints their pornographic pictures in the office leaving the pictures on the color printer for clients to see when they are there....

this guy needs to be stopped before everyone looses everything.....i cannot think of a single employee who left that was paid current, and many investors who put money in the deal, and there was only one deal-----fonteno...

what does it take to put someone out of his misery-----wake up lineberger and IRS.....your inaction is hurting everyone...

ps: oh yes- he still owes the SEC about 135k-----I wonder what investor will pay for that......don't let it be you......

Dallas, Texas
Is this Ripoff Report About you?
Ripoff Report A business' first line of defense on the Internet.
If your business is willing to make a commitment to customer satisfaction Click here now..

Does your business have a bad reputation? Fix it the right way. Corporate Advocacy Program™

Set the record straight: Arbitration Program

SEO Reputation Management at its best!

This report was posted on Ripoff Report on 07/13/2009 01:31 PM and is a permanent record located here: The posting time indicated is Arizona local time. Arizona does not observe daylight savings so the post time may be Mountain or Pacific depending on the time of year. Ripoff Report has an exclusive license to this report. It may not be copied without the written permission of Ripoff Report. READ: Foreign websites steal our content

Search for additional reports

If you would like to see more Rip-off Reports on this company/individual, search here:

Report & Rebuttal
Respond to this report!
Also a victim?
Repair Your Reputation!

Updates & Rebuttals


#1 UPDATE EX-employee responds

Interesting fake names - Angel & Tongolo - and no evidence provided...

AUTHOR: MWatson - (USA)

It is interesting that people will post a statement as a fact, and use fake names (Angel & Tongolo) and not provide any evidence of any statements.  Like saying I did not work for Hilton Head Properties (I did for several years) and I have provided my legal name on here.  And stating a Mark and Michael never worked for the company.  When in my posting, I even provided proof of a Court Case in Dallas County that went on for over a year and "Michael  Davis" was found guilty and a $7 million award to Hilton Head and Fonteno is on record.  Hmmm... no Michael ever worked there?  In fact there were 3 Michael and Mike's that I remember there (Mike Ogle, Michael Davis and Mike Johnson) and at least 3 Mark's (myself, Mark Wizenhunt & Mark Connally ).

Regardless of that.  If someone is going to post something as a fact, particularly a negative statement like they broke the law, or forged signature or other issues - they should provide some form of evidence.  Fact is - Michael Davis in order to cover his embezzlement, made false claims of forgery, scamming IRS and selling property the company did not own and false documents.   Hilton Head was investigaged by IRS (3 months in our offices at 400 N St Paul), San Antonio Atty General, Houston District Atty and others.  ALL determined 'no further review needed'.   And the IRS determined the claims by Michael Davis were un-founded.  And in the end - Michael Davis's crimes were proven and his effort to cover them up by making statements of HHP and Fonteno to draw attention away from Mr Michael Davis's theft - was found out - and PROVEN in court which is public record at and links to all documents of that trial found at

and by going to the Dallas District Court website directly search for cases with Michael R Davis between 01/01/2008 and 10/10/2010 or look up the two cases Numbers: DC-09-09666 for the slander, libel of false statements of Fonteno and Hilton Head and DC-09-09868 on the fraud and theft.   There you go FACTS.  Not statements without evidence.

Angel & Tongolo ?   You have evidence instead of gossip ?

Respond to this report!

#2 UPDATE EX-employee responds

Fonteno's History of Lying

AUTHOR: Tongolo - (USA)

As a true former employee of the company before it was shut down, we never had a Mark or Michael work for us.  I am sure these stories were created by fonteno  to gather attention and to push the blame of a failiing company onto others as he did the whole time I have known him.  We were instructed to create false documents, to forge signatures, use former employees notary stamps to cover up for Fonteno.  The man is a world class con-man

Respond to this report!

#3 UPDATE EX-employee responds

UPDATE EX-employee responds: FACT: Fonteno/HHP prove in court all reports false, win $7+ mil against former emp. Davis who posted all reports after getting caught embezzling from Fonteno and HHP

AUTHOR: MWatson - (USA)

FACT: The prior report is fake.  The Report (and many others) were filed by Michael R. Davis (posing as various other people) a former employee that was caught embezzling from the company and found guilty.  In court, they used the ip address for all postings and compared it to Mr Davis's ip address he used to access his email and other accounts.

I am a former employee of the company and can testify to these facts. 

But I don't need to - there is a court case for the embezzlement 'and' one for the slander, libel, dispargment and other things Michael Davis did to the company and to Mr Fonteno and Hilton Head Properties, including writing numberous false reports on the rip-off report, filing false new stories, giving false information to Channel 11 and the Dallas District Attorney to cause a live news broadcast - related property of which Mr Fonteno and the company have no ownership or interest in.

All of this was disclosed at court.  Mr Fonteno and the company won almost $8 million in damages against Michael Davis because of false news releases, websites and postings (like this website, pretending to be former employees, clients, etc.)  (you can find out 'real facts' yourself by searching for 'michael r davis maelstrom' and you will find links directly to the Dallas County Courts. 

Court Case Numbers: DC-09-09666 for the slander, libel...  and DC-09-09868 on the bank fraud.

Michael Davis was found guilty of accessig bank accounts online without authorization, violations of the Texas Wiretap Act related to such bank access and other criminal actions.

If you note - all the reports filed on the ripoff report were written during a very short time period - the same period of which Michael Davis was on his attacks.   The company evidently did not realize they had hired a guy to work in accounting (and had him handle many of their bank account activity directly with the bank) that was just weeks after he was out of Federal Prison for loan fraud (apparently the company did not know that).  

You can also go to the Dallas County website at dallascounty dot org and search for cases with Michael R Davis between 01/01/2008 and 10/10/2010 and you will find both cases, or use the case numbers listed above - so you are getting the information directly from the horses mouth - not just someones website.

The ripoff report is a good site to help people point out issues to protect consumers - but in this case, Michael R Davis used the as a tool to damage a company and its boss Mr Chase Fonteno by making false statements to cover his own tracks of embezzlement, fraud and other acts.

This site operates under the guidelines - once posted - it is never 'ever' removed.  (even a judge cannot remove posted information from this website due to an interesting federal law called the 'internet decency act')

You can contect me if you wish.  The attorney that handleded the case for Mr Fonteno and the companies was Kristine Skocpol-Saleh.  Good attorney in Dallas.

And certainly - the company and the attorney are expecting more postings by Mr Davis 'of course - again, posing as other people again', now that all his postings are being responded to.  I volunteered to post the facts.     All the prior postings on here are just words without any facts - till now. 

Don't believe all you read on the internet (even from HHP) 'without checking their basis.  That is the very reason that Hilton Head Properties provided the page on Mr Davis on their website - so you can easily click directly on the court websites and you can also get direct copies of all documents proving their statements.

Check out the facts by doing research in the courts and copies of the petitions, court filings and eventual Court Orders signed by the judge.  Which all are on Hilton Head's website at   Again - if this link is redacted when this listing is published, you can just do a google search for "michael r davis fraud" and you will find information easily.

Respond to this report!
Ripoff Report Recommends
ZipBooks Accounting Software

Advertisers above have met our
strict standards for business conduct.