12:19 AM CDT on Wednesday, May 24, 2006

By BRAD WATSON / WFAA-TV

With temperatures in North Texas over 90 degrees, many homeowners will soon be looking for someone to keep their strained air conditioners running.

However, authorities warn that they should beware of unlicensed contractors out there offering to do the work.

Unlicensed contractors can often do shoddy work that ends up costing homeowners thousands of dollars.

Undercover investigators for the Texas Department of Licensing and Regulation set up an undercover sting to catch unlicensed air conditioning and electrical contractors at a Mesquite home.

Ray Fallberg was among those who came to the Mesquite home. Fallberg pulled up with air conditioning condenser units in his truck, which he said he was ready to install for a fast $975.

"I pick them up at a supplier," he said. "...I filled up my barn with them and I still have a few more left. I ran that ad a few weeks ago and I guess I sold 30 units."

As part of the sting, the investigators told Fallberg the unit at the home needed replacing and a power line would have to be run from the unit to the breaker box.

Fallberg thought a new furnace was needed as well and offered to do all the work for a check made payable to him for $2,400.

"He doesn't even know what size unit even needs to go in here," the investigator said. "The unit could be undersized, oversized and he just wants to come in here and thrown any old unit in. That's definitely a danger to the public."

State records showed Fallberg held no air conditioning or electrician's license.

However, Fallberg said he was licensed and worked for RES Mechanical, which he said was an air conditioning company. But TDLR said they have no record of an RES Mechanical and the investigator gave Fallberg a stern warning.

"You need to cease all air conditioning contracting from this moment on because you are in violation of state law and our rules," the investigator said.

Fallberg agreed to stop doing air conditioning work.

TDLR said consumers should also watch out for contractors wanting something other than a straight deal.

The state shows no record that Curtis Hilton holds an air conditioning or electrician's license. Yet, before News 8 cameras, Hilton offered in writing to do electrical work, but told the investigators he was reluctant to leave a paper trail since he was asking for government disability payments.

"But I can't show you any income right now because I'm applying for SSI, an application," he said. "But I'll send you a receipt. I'll give you an estimate on that."

Believing that an insurance payment would cover the repairs, Hilton proposed splitting it.

However, two days later Hilton's memory turned cloudy and he denied he proposed to do electrical work without a state license.

"I haven't even issued a bid," he said. "I just told them that their unit was messed up. I haven't given a proposal."

TDLR said they plan to file complaints against Hilton and Fallberg that could result in stiff fines.

"That's the way they operate, to fly under the radar," an investigator said. "They don't show receipts, invoices or have anything that could actually draw attention or be some kind of piece of evidence in a court of law."

E-mail bwatson@wfaa.com