Adrian Knott, who runs the Berkeley Square-based AK Partnership, let his property to up to 23 guests a time even once he knew the property was unsafe.
Knott charged £4,000 a weekend for the property in Torquay in the South West.
The Financial Conduct Authority is now studying the case.
Knott, a former Conservative party campaign organiser, promised the fire service he would stop letting out the house until it was inspected by them.
However, when safety officers arrived in July 2018, they found 15 guests in the property.
The house, valued at £1.25m, has since been made safe by extensive works.
As a result of his misdoings, Knott admitted four counts of failing to comply with safety regulations. In addition to his fines, Judge Peter Johnson at Exeter Crown Court ordered Knott to complete 160 hours of unpaid community work.
Judge Johnson said: “You flagrantly put at risk the safety of many members of the public. Your desire to make money rode roughshod over your legal duty to your customers to keep them safe.
“You failed to carry out even the most basic fire safety measures. In my judgment, you thwarted the fire officer’s attempts to inspect so you could rake in large sums.
“You continued to allow the property to be used. It is said on your behalf that this was out of misplaced loyalty to your customers.
“I regard it as misplaced loyalty to your bank balance.
“Even when you knew the danger, you allowed it to be used in breach of an undertaking which you gave to the fire officers.
“What I regard as your arrogance continued when in November you wrote to say it was not in the public interest to take the matter further.”
