
Erin Toll contends the Colorado Attorney General has a conflict of interest by representing DORA, as it also has represented her in her capacity as the director of the Colorado Division of Real Estate.
Erin Toll is contending the the Colorado Attorney General can’t represent the Department of Regulatory Agencies in her legal dispute with DORA, because it also represents her, as the director of the Division of Real Estate.
Toll’s attorney, William S. Finger, said it is a conflict of interest for the attorney general’s office to represent both his client and DORA.
He made that argument last Thursday in a legal motion, when he received a one-week extension to respond to a motion to dismiss Toll’s whistle-blower complaint against her boss at DORA. DORA was placed on a paid leave of absence by the head of DORA, Barbara Kelley, last month, following a publicized dispute regarding an investigation Toll launched against American Home Funding and one of its mortgage brokers, Sen. Ted Harvey, R-Highlands Ranch. DORA later said Harvey was not part of the investigation, something Toll disputes. Toll said that Kelley later killed the investigation regarding alleged misleading advertising against American Home Funding. Toll filed a whistle-blower complaint against DORA and Kelley, alleging she should be returned to her job with all of its prior responsibilities and powers.
Conflict laid out
“Ms. Toll has been represented in litigation matters, including pending litigation matters by members of the Attorney Generals Office, some of whom work in the Division and Civil Litigation and Employment,” Finger said in the motion he filed with he State Personnel Board last week. “Ms. Toll has raised an objection to the appearance of any member of the Attorney Generals office, Division of Civil Litigation and Employment, as well as two other divisions from appearing as counsel.”
Fingers, last Friday evening, told InsideRealEstateNews, that “it is a conflict of interest for the attorney general’s office to represent DORA, because they have represented Erin Toll many times in the past.”
He said that the issue may be resolved before this Thursday, the deadline to answer a prior motion filed by Vincent Morscher, First Assistant Attorney General of the Civil Litigation & Employment Law Section, to have Toll’s whistle-blower complaint dismissed. “Disputes should be resolved at the lowest level and and as informally as possible,” according to Personnel Board rules, he argued in his motion to have the whistle-blower complaint dismissed. He also said that being placed on a paid leave is not a disciplinary action.
Outside Counsel Possible
Mike Saccone, spokesman for the Attorney General’s office, said he cannot comment, as they have not reached a decision on what to do yet.
He said they are exploring the possibility of using outside counsel, however. “We’re exploring the matter and I cannot comment publicly on the matter at this time,” he said.
He said whenever there is a “‘high-ranking person in the state that has a lot of case traffic, we look at those issues, but we do not comment on them,” while the decision is still being considered.
Contact John Rebchook at JRCHOOK@gmail.com or 303-945-6865

John Rebchook is a former Rocky Mountain News reporter with more than 30 years of experience in writing and communications... 














Another government employee wasting our money on fivilous legal issues. Why is Toll doing this, just move on like we all do in the private industry. We are all fallible Ms. Toll.
Why does our government put people in lead jobs that have no experience in the field? Both Erin Toll and Zach Urban have never performed an appraisal, worked in the mortgage industry, or sold real estate for a client in their entire lives. They have no idea what is going on in the field.
If Ms. Toll loses this case, we need to penalize her and make her work at an appraisal sweat shop and then find a picture that was posted to the wrong comp and take her license away. Oh, and publish it in the Denver Post, ruin her ability to earn income before the investigation is completed.
Or maybe Toll is actually trying to make a change and the powers that be stifled her. Lets have the day in court and find out.
There is a different picture of Mrs. Toll before each article. She sure did find ways to get her mug in front of the camera as much as she could.
I do believe that the AG may have a conflict of interest. However, Mrs. Toll is fighting a losing battle. I am not sure how you can be a whistle blower when you are blowing the whistle on yourself.
Ms Toll has earned a reputation in the lending industry for being egotistical and over zealous in her pursuit of allegged lending/real estate/appraisal industry wrong doings. However, no one should be above the law especially Sen Ted Harvey. This situation has all the stench of favortism and corruption. I’m glad she is upholding her principles in this scenario.
Whatever the outcome of the conflict-of-interest issue, the Governor should not allow Toll to return to DORA. Toll = too much controversy; too many muscled-out rulings; too little real estate experience; too big of an unearned ego. Hopefully, the Appraiser – Easement issues in southern Colorado aren’t going to be forgotten after this flap is settled. There is a lot at stake for everone involved in that mess.