Nebraska Senator Mike Schneider is asking the governor to call a special session of the legislature to pass new laws against Homeowner Association fraud. He says he’s been reading a blog on the Las Vegas scandal and he doesn’t like the kind of comments being made about suicides committed by suspects indicted in the HOA scandal. (Hmmm, I wonder which blog he’s talking about!)
The Las Vegas Review Journal reports that 14 more people have taken plea bargains in the FBI’s HOA corruption investigation. That brings the total to 24. This four year investigation has taken way too long, far longer than most. But after its bumpy start, federal agents really started homing in on the fraudsters who’ve cheated so many Las Vegas homeowners and stolen their home equity, costing them their life savings and their homes.
The real tragedy of winding this investigation up early is that hundreds of homeowners who lost their homes will sit and wonder, “what to do?” They’ve been cheated of their entire life savings. But they don’t know who to contact to try to get it back.
Federal investigators trying to squeeze the corruption out of Las Vegas Homeowners Associations are just dying (or at least their clients are). How can you run an investigation when your chief witnesses keep ending up drowning in bathtubs, hanging from barn rafters.
Suddenly, swindlers who agreed to rat out fellow conspirators are getting nervous. They’re telling their own attorneys to walk back previous confessions.
But a wilder thing happens when civil lawyers try to bully their way into the feds’ investigation. They start filing civil lawsuits against the chief witnesses in the federal investigation. Those witnesses realize for the first time they’ll be tied up in the courts for years. Offers from the feds to “protect” their witnesses start ringing hollow. And witnesses start acting like rats on the Titanic.