Category Archives: States

Embezzlement, Texas Style

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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)

 

Arizona HOA Law Firms Are Whining

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Anybody who’s seen the ugly insides of the national HOA scam knows that Homeowners Associations are lawsuit machines. In most lawsuits and criminal actions Americans have access to the Due Process clause of the U.S. Constitution. In the typical Homeowners Association each member unknowingly contracts away that access. Bam! In Pennsylvania Dutch, “there goes the egg money!”

Throw away your access to Due Process and every lawyer within spitting distance knows there’s money to be had. Free money. Your money. Paint your door the wrong color and you get fined, liened, sued and you pay all the HOA’s legal expenses. Lawsuit machines. No other possible description.

In Arizona, a prominent HOA law firm is all upset by a court ruling that says lawyers can’t tack on extra legal fees they rack up trying to garnish the wages of a losing homeowner.

Rest assured, though, this law firm has a number of sneaky plans to hijack this decision. The lawyers win. The lawyers always win.

(link to column by the HOA Institute)

 

Second Arrest in HOA Embezzlement

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They got him! A couple of days ago a longtime HOA manager in San Mateo, California was arrested and accused of stealing 2.8 million dollars from the Woodlake Homeowners Association. Now they’ve arrested her partner, a man who allegedly wrote fake invoices for construction work that was never done. It sure sounds like a copycat of the decade-long swindle of homeowners in Las Vegas.

And it sounds a lot like the multi-million dollar organized crime racketeering swindle of Homeowners Associations in Colorado.

And Homeowners Associations in Florida.

In Alabama.

Virginia.

Texas.

And every other state.

Still, you keep hearing from Realtors, and Congressmen, lawyers, city officials and state representatives that this kind of swindle is extremely rare. What are these guys smoking, anyway?

(link to arrest story in San Mateo Daily Journal)

 

Corruption in Hotel California

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I’ve said it before, and I’ll say it in the future. When you’re investing your life savings in your home, don’t trust anybody. Don’t trust the Realtor. Don’t trust the county’s master plan, and above all do not trust your HOA. Homeowners in Chula Vista, California are learning about what all west coast residents know as ‘Californication.’

They bought into a peaceful valley where traffic was minimal, wildlife was everywhere, no smog was in the air. Life in the Eastlake III Homeowners Association was Heaven on Earth. The master plan showed their pristine way of life would last forever. But that kind of promise evaporates the minute land developers start knocking on doors. All of a sudden builders began jamming high density neighborhoods all around, packing in low quality homes like sardines in a can.

Eastlake III is no longer the promised land. The Homeowners Association is embroiled in legal disputes, recall elections, charges of corruption, violence threatened. Police are being hired to maintain the peace in HOA meetings.

Promises are like…. no, discretion says “don’t go there.” Let’s just say that promises are hollow. And promises made by a Homeowners Association are especially worthless.

(link to story in the San Diego Reader)

 

Little Free Library Must Go Says The HOA!

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guest blog by Nila Ridings

Jennifer Fontanilla of Stockton, California had no idea she could not erect a Little Free Library in her front yard. Well, let’s say she had no idea her LeBaron Estates Owners Association could prohibit her from keeping the Little Free Library she won and then erected.

It’s got a bright yellow door and gives the impression literacy is just tempting inquiring minds of the young and old to open it. Take a peek inside. Find something interesting. And take it home to read.

OMG! What if there was a copy of Neighbors At War The Creepy Case Against Your Homeowners Association by Ward Lucas in there? What if Miss Jennifer and her neighbors learned the TRUTH about the risks of owning in the HOA? What if they came across this website and read these blogs about abusive bullies on the HOA boards? What if she has no idea the board members can spend massive amounts of money to drag her into a lawsuit, a jury trial, and foreclose and take her home and life’s savings? All because she was providing FREE BOOKS to her neighbors to READ! Tell me dear readers, has there ever been a greater sin?!?!

The Little Free Library movement has gone global. To me, it’s a wonderful thing. I’ve been known to put books in the ones in my area, but NONE OF THEM ARE IN MY HOA! I would love to build one and fill it with books. But I know I would have to figure out a way to live in it because my HOA would definitely foreclose and take my townhouse if a Little Free Library appeared anywhere near here.

The ignorance in America continues to grow. Shouldn’t we be willing to do anything possible to encourage learning? Are we really this stupid to believe a Little Free Library across the street is going to depreciate property values? And are we willing to pay dues so a bunch of bullies can sue the neighbor that has a Little Free Library that most everybody enjoys?

When will we stand up and say, ENOUGH IS ENOUGH?

Jennifer Fontanilla has another ‘hearing’ about this issue on July 14th. Can we figure out a way to show our support for her from all across America?

A special thank you to Record staff writer, Nicolas Filipas for exposing more insanity from a California HOA.

(link to Little Free Library story)

http://www.recordnet.com/article/20150703/NEWS/150709883#ReaderReaction