Category Archives: Fraud

Drought Arrogance in Bel Air, California

Ah, the arrogance of those Los Angeles elites.

CBS-LA reports that one homeowner in the ritzy Bel Air area used 12 million gallons of water in a single year during the worst drought anyone can remember. TWELVE MILLION GALLONS! The water bill was 90,000 dollars.

I have no idea what it costs to fill an Olympic sized swimming pool, but I would bet you could fill a swimming pool at least once a week with that budget.

The real stench, though, is that public officials won’t release this person’s name or address “for privacy reasons.” This one homeowner needs to be targeted and his name and address publicized. With a drought so severe it really threatens our national stability (agriculture), there’s no need to respect privacy. Drought shaming. Someone should do it.

(link to story on 12 million gallon ‘star’)

 

 

A Long Read, But Worth It!

Many years ago I read a hilarious article By Bill Vaughn in Outside Magazine. It’s not about Homeowners Associations, per se, but it’s a fantastic story about living with crappy neighbors. I re-read the story about once a year just to keep my spirits up. Now I want to share it with you!

http://www.outsideonline.com/1819496/wontcha-be-my-neighbor

Embezzlement, Texas Style

guest blog by Deborah Goonan

East Texas, Big Woods Springs HOA is a relatively small community of 85 homes, with low assessment payments of $35 per month. They need the money to maintain their road, a small bridge, and a dam for their lake. Homeowners have just been “blindsided” by the theft of $31,000 from their HOA.

The theft allegedly occurred over a 26-month period, by their neighbor and former Treasurer, Letha Anna Thomas. Owners became suspicious when their repeated requests to see financial statements were ignored.

The new Board members vow to operate with transparency, and intend to conduct background checks on all future Board candidates.

Note that $31,000 represents about a year’s worth of assessment payments for the Association. Most of the residents are on fixed incomes.

Just because the community is small and assessments are low, don’t assume that the HOA cannot be a target for embezzlement.

7 on your side: HOA theft victims say, “We’ve been kept in the dark for years.”

(link to KLTV-TV story on latest embezzlement)

 

Now, South Carolina

Slowly, but surely state legislators are hearing from bullied homeowners that the national HOA scam is ruining lives. And more news agencies are doing stories on out-of-control boards. The story linked below is from South Carolina which has a growing number of homeowner complaints.

Legislators tell themselves, “Of course, we can pass some laws.” Only problem is they can’t. The U.S. Constitution guarantees the ‘right to contract.’ And you certainly can sign a contract to give up your constitutional rights. That’s the rub. Florida’s Deborah Goonan has it right when she says at least we can license HOA management companies. That’s a good start. But it won’t end the nightmare of board members who feel entitled and empowered to throw their weight around.

Still, the more people who complain to legislators, the better. Ultimately, though, the solution has to come from the courts.

(link to homeowner complaints in South Carolina)