Fireworks in Carson City, Nevada

This is shameful.

No state in the union has suffered more from HOA abuse than homeowners in Nevada. No homeowners have been financially stripped and laid bare more than people in Nevada. Organized crime in so entrenched in Homeowners Associations in that state that many people in HOAs have lost up to 90 per in value in their homes. But when Organized Crime sees a chance to put OPM (other peoples money) into their pockets, there’s not much that will hold them back.

But ripped-off homeowners in that state were finally able to convince the U.S. Attorney and the FBI to do an investigation, and 39 people including police officials, attorneys, businessmen, political figures, a well-known TV star were indicted and now face felony trials for theft and official corruption. Well, I’ll modify that, a bit. In typical Nevada fashion, certain key suspects began killing themselves in strangely concocted ‘suicides’, and others began to rat out the bigwigs, eight or nine of whom still face trial for their crimes.

Nevada citizens were even able to get a couple of homeowners advocates placed in key positions on the eminently corrupt Nevada Real Estate Division. These homeowners rights advocates tried to get NRED to respect such Constitutional ‘novelties’ as Due Process, a well-recognized Constitutional Right which protects all the people from government abuse.

Tomorrow and Thursday day is when well-reimbursed stooges on the Division of Real Estate tries to crush that right forever. It’s happening in Carson City. And the largest CAI vultures ever spotted by bird watchers are flying the skies over the state capitol right now making sure their paid minions succeed at stifling any sort of free speech or respect for law and order. Nevada is well known for its deep layers of official corruption. By the end of this week you’ll know whether it’ll be business as usual, or whether those struggling under the weight of oppression can reserve for the people a tiny hope for fairness.


5 thoughts on “Fireworks in Carson City, Nevada

  1. Deborah Goonan

    All HOA residents are asking for is to have a violation hearing process that is similar to what is available to residents that do not live in a HOA. In Nevada and other states, we are seeking equal protection under the law.

    That and an end to abuse of power, and exploiting residents through the often secretive violation hearing-fining-kangaroo court process.

    If CAI talking heads feel that a fair hearing process would be impossible or too burdensome for volunteer Board members in cash-strapped Associations, then why not simply defer to a homeowners’ court system? Clearly HOAs are not up to the task of providing impartiality and proper due process!

  2. hoasavers

    I met a high school teacher today and he said he speaks to his students about HOAs and how they may not want to buy in one…I asked him if most already knew there were problems, and he said yes. While kids know about the problems, the legislators just turn their heads to the issues and continue to work for the CAI. A new generation of homeowners may have an enlightened look at how much work it is to be in one, and ensure that the HOA business is handled appropriately. But in the meantime we can only sue, suffer or sell. No one in power is listening and 70% of communities are underfunded and will get worse.

    On another note, it’s interesting to review 20 plus recent court cases and find that some owners are getting sued for owing less than 2k, while others have balances of 10-18k…HOA collections I’m beginning to see should be regulated to make them fair for all owners in HOAs. And as an owner, it is not right to allow the balances owed to get that high.

    Deborah, once again you made a great post.

    1. Jonathan Friedrich

      There is an error in your comment.
      There were 6 of the 7 Commissioners in attendance

      The vote was 2 to repeal the advisory opinions and 4 to keep them.

      1. Observer

        Thanks Jonathan for your clarification. Readers should also be informed that 3 of the commissioners voting against the Attorney General’s ruling on the language and intent of the law were all industry paid employees of member companies.

        Those 3 represented the developers, the Community Managers and the Community Management companies. All of them would find it difficult to claim their judgement is not influenced by their career business relationships with the collection companies.

        The 4th and deciding vote in favor of the collection companies being allowed to continue to collect millions of unjustified fees from buyers and/or associations was cast by the attorney representing attorneys working in the HOA/Condo markets.

        The old adage of “follow the money” seems appropriate. But, it makes one feel really bad about the potential for obvious corruption within state government.

  3. Louise

    Following is what the Las Vegas Review Journal reported on the results of this week’s NV HOA Commission Meeting:

    I watched the meetings and observed that the Commission majority (4 of 6 attending) willfully and knowingly violated their oaths of office and certain statutes. They openly defied the authority of the NV Executive Branch as represented by the Attorney General, and risked being impeached or sued by the State of Nevada and/or by citizens.

    Why would they take such serious actions? Well, some would suggest the 4 commissioners have executive positions in the HOA and Condo industry that create serious conflicts of financial interests. The collection companies and community management companies highly profit from the unregulated collection company charges. And, the collection fees are usually many times more than the 9 months of unpaid assessments. None of the highly-profitable collection fees are paid to the associations to help offset the losses from foreclosed properties.

    The news article also failed to mention that there were many more illegal “advisory opinions” issued by past HOA Commissions. All of those published opinions have been declared null and void by the NV Attorney General.

    Finally, contrary to normal practices for this HOA commission, the members were not required by the chairman to disclose any possible conflicts prior to the vote.

    It is very strange that on this particular vote for the members to not be required to make public disclosures of this critical nature. One has to wonder what normal disclosure practices could have made in the voting outcome as false or misleading discloses could bring up other types of statute violations.

    Homeowner advocates should follow this issue closely in the future as it may to lead to Attorney General actions and legislation that favors homeowner basic rights and protections from such apparent misconduct.


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