A Palm Beach condominium association’s bank account was drained by nearly $100,000 in unauthorized transactions, leading investigators to a Michigan man who stands accused of money laundering and grand theft. The Palm Beach Police Department (PBPD) said that on January 9, 2024, a property manager reported suspicious transactions on the condominium association’s bank account, Read […]
Documents Seized From Holiday City Clubhouse In Toms River (NJ)
Law enforcement officers seized multiple boxes of documents from the clubhouse at Holiday City Phase II in the Silverton section of Toms River on Wednesday morning, photos and videos provided to Patch show. At least a dozen boxes were removed from the clubhouse, witnesses said. Read the article…………………………….
Condo Association Fraud: How South Florida Boards Can Prevent Embezzlement and Mismanagement
Stories of condo association fraud have made headlines across South Florida in recent years, from high-profile embezzlement schemes to routine mismanagement of association funds. These cases not only damage the financial standing of associations but also erode trust among residents and fuel legal action. As board members and residents alike seek accountability, understanding how fraud […]
Hand in the HOA’s Cookie Jar
An excerpt from a recent news story read: “Bridgett Freeman of Sheboygan stole more than $11,000 from the Westridge Homeowner’s Association in West Bend. Thursday, she was sentenced to six months in jail and three years probation, and was ordered to pay back $11,617.41. She said she was sorry.” Read the article…………………………….
Former Miami-Dade HOA president accused of stealing over $15K in association funds (FL)
A former homeowners association president has been arrested for allegedly misusing more than $15,000 in HOA funds, according to the Miami-Dade Sheriff’s Office. Roberto Montalvo Jr., 63, was taken into custody on Wednesday following an investigation by the agency’s Organized Crime Bureau and Real Estate Fraud Squad. Detectives say Montalvo used $3,150 in HOA funds […]
Former Annapolis beach community president gets two years’ probation for embezzlement (MD)
(This article is behind a subscription paywall) The former president of the community association of Oyster Harbor in Annapolis was sentenced Monday to two years’ probation for pilfering more than $18,000
Not on my watch: Avoiding financial fraud in communities
Things have stabilized at the Hammocks Community Association near Miami more than three years after local prosecutors began filing criminal charges against previous board members for allegedly defrauding owners of more than $2 million in a financial fraud scheme. Read the article…………………………….
Former local HOA president enters plea in theft case (OH)
The man accused of stealing from a Warren condo association has pleaded guilty to an amended indictment. Randy Rule entered the plea to a felony charge of attempted grand theft. The crime happened from January 2015 to December 2022 while Rule was president of the Surrey Point II Homeowners Association. Read the article…………………………….
Shielding Your Community Association from Payment Fraud Schemes and Cyber Threats
Don’t wait for fraud to strike – learn how to proactively protect your association’s finances. Join Sean Madigan, senior director, Field Sales Property Management, at Edenred Pay and Mark Brousseau, president Brousseau & Associates Fraudsters, for this informative webinar to learn the latest fraud schemes targeting community associations, reveal common vulnerabilities in AP processes, and […]
Miami Lakes insurance agent personally ‘pocketed’ HOA’s $220K premium, authorities say (FL)
A Miami Lakes insurance agent is facing multiple felony charges after state investigators said he personally “pocketed” a more than $220,000 insurance premium on a condominium association’s policy. But he’s already staring down a three-year federal prison sentence in an unrelated case for an even bigger swindle. Read the article…………………………….
Miami Insurance Broker Sentenced to 3.5 Years in Condo Premium Finance Scheme
A federal judge on Wednesday sentenced a Miami insurance broker to 41 months in prison and more than $5 million in restitution for defrauding a Georgia credit union by obtaining loans for condominium associations’ premium financing, then using the loans for personal gain. Read the article…………………………….
Property manager defrauds HOAs and bank out of $2.1M, uses money to gamble, feds say (CA)
While managing HOAs and properties in Utah, a man defrauded tenants, a Las Vegas bank and others of more than $2.1 million over a span of five years, federal prosecutors said. Blake Floyd Cozzens, of Cedar City, used the money belonging to two HOAs, his tenants and property owners he managed to benefit himself from […]
Not on my watch: Avoiding financial fraud in communities
Things have stabilized at the Hammocks Community Association near Miami more than three years after local prosecutors began filing criminal charges against previous board members for allegedly defrauding owners of more than $2 million in a financial fraud scheme. Read the article…………………………….
Trump Tower’s ex-condo association director accuses Trump Inc., building management of financial mismanagement, fraud (IL)
The ex-director of the Trump Tower condo board in Chicago accused the owners and managers of the skyscraper of fraud in a federal lawsuit filed Tuesday, alleging they retaliated against him for speaking out about alleged financial malfeasance and had him arrested while he was taking a steam in the tower’s spa. The complaint, which […]
Owners want property manager out of their communities after his arrest (FL)
Homeowners from several communities are wondering what’s next for them after their property manager was accused of stealing hundreds of thousands of dollars from a homeowner’s association at another community where he worked. NBC6 was first to report on the arrest of Michael Curtis of BDM Property Management earlier this month. The news sent shockwaves […]
Why it’s not enough for just the police to crack down on community association fraud (FL)
Changes to add teeth to Florida’s laws against fraud, theft and abuse in community associations were enacted in 2017 and last year in response to numerous cases that made headlines throughout the state. Prior to the 2017 legislative changes, such cases were not receiving the attention they deserved from law enforcement, which would often defer […]
Employee Used Community Association Account To Buy Gift Cards: Cops (IL)
A country club groundskeeper is accused of using the community association’s commercial account to fraudulently purchase e-gift cards, Palos Heights police said. Christopher Mashburn, 44, of Sauk Village, is facing a felony count of online theft by deception. Read the article…………………………….
Colorado homeowners outraged their new HOA company may be linked to former manager who reportedly stole $700,000
For years, homeowners in the Shadow Creek community in Aurora, Colorado, say they struggled with their homeowners association’s (HOA’s) management management company, Mastino Management, claiming there were problems with its payment system. When residents began to dig deeper, they discovered something troubling. Kim Bacon, owner of Mastino Management, last spring was ordered to pay more […]
Federal court urged to allow sale of Snowmass condo (CO)
A condominium in Snowmass Village is at the center of a dispute between the federal government and a Castle Rock couple alleged to have bought real estate in the Roaring Fork Valley using pandemic relief money they obtained through fraudulent means. Read the article…………………………….
Wayne County woman faces identity theft, forgery charges (PA)
A Lake Ariel woman faces charges after an investigation revealed she had fraudulent permits for entering The Hideout, Wayne County District Attorney A.G. Howell announced in a news release…..A Hideout public safety officer discovered an overturned vehicle Jan. 22 while patrolling the gated community, per the news release. While rendering aid, the officer found Hideout […]
Colorado homeowners claim HOA management company that stole hundreds of thousands of dollars is connected to a new group
More than $2 million is how much a Colorado judge ordered Mastino Management and owner Kim Bacon to pay to an HOA that she was responsible for operating. “We started digging around right around as soon as all this all came to light,” Craig Haynes, a former resident, said. Court records show that last spring, […]
‘Total control:’ $1 million Florida condo scandal sparks manhunt, fee spikes for residents (FL)
A former condo president in New Smyrna Beach has been accused of taking about $1 million from a condo association, leading to huge fee hikes for residents, according to the Volusia Sheriff’s Office. In a news release, deputies said that an investigation into the theft began after the sheriff’s office received complaints in April 2024 […]
Cedar City property manager faces civil lawsuit following felony charges (UT)
A Cedar City property manager already facing multiple felony charges for alleged financial crimes is now the subject of a civil lawsuit seeking to recover more than $750,000 that was allegedly misappropriated. The lawsuit, filed in 5th District Court by Velocity Holdings LLC, claims that Blake Floyd Cozzens and his company, Blake Cozzens Holdings Inc., […]
A tragic ending for woman police attempted to arrest (CO)
A woman fired in January for embezzling from an Aspen homeowners association died from a self-inflicted gunshot wound Thursday night after police attempted to serve her with an arrest warrant for stealing from a Basalt property management and construction company. Read the article…………………………….
How HOA Board Members Can Avoid Cyber Fraud (NC)
Homeowner’s Associations (HOAs) have become prime targets for cybercriminals. Why? HOAs often handle large amounts of money but may use less stringent security measures. This makes them an appealing opportunity for cybercriminals who exploit vulnerabilities in vendor networks, email systems, and other communication platforms. Read the article…………………………….
Bookkeeping scandal erupts at homeowners association (CO)
A bookkeeper recently resigned from an Aspen homeowners association after she confessed to theft and reimbursed them with a cashier’s check for just over $200,000, according to an email and people knowledgeable about the situation. The board of directors representing the HOA for Burlingame Ranch I Condominiums accepted the payment from Elizabeth Stewart, who confessed […]
Cedar City residents respond to allegations of HOA manager embezzling funds (UT)
A Cedar City community told ABC4 they were shocked to find a notice detailing allegations that their HOA manager was in custody for embezzlement. Video news report……………………..
Cedar City property manager facing felony charges for alleged financial crimes (UT)
A Cedar City property manager is facing multiple felony charges following an investigation that uncovered alleged financial irregularities involving a homeowners association account. Blake Floyd Cozzens, 39, was arrested Wednesday and charged with 10 counts of unlawful fiduciary dealing, each a second-degree felony. Read the article…………………………….
NJ woman accused of scamming $1M as condo property manager
A 43-year-old Morris County woman has been accused of scamming more than $1 million from her employer while working as an on-site property manager at a condo complex. Martinia Heath, of Morris Plains, was charged with second-degree counts of theft by deception and impersonation, as well as one count each of third- and fourth-degree forgery. […]
Grand Lake Homeowners Association hit with $100,000 theft (OK)
A Grove woman accused of stealing over $100,000 from a Grand Lake gated community homeowners association is released from jail after posting bail, online court records show. Christina Antoinette Dentmon, 42, is charged with embezzlement in Delaware County District Court in Jay. Court records show that between July 9, 2018, and July 8, 2024, Dentmon […]
Man who led Las Vegas HOA takeover scheme has prison sentence commuted by Biden (NV)
The ringleader of a scheme to take control of Las Vegas homeowners associations from 2003 to 2009 is among the 1,499 people who had their sentences commuted by President Joe Biden on Thursday. Read the article…………………………….
Alleged Santa Rosa fraud scheme, now with criminal charges, reflects worsening wildfire and insurance crises (CA)
After the 2019 and 2020 wildfires, Vallen Cooper and her son Chad handled insurance claims worth millions of dollars for smoke and ash cleanup at the Villa Rosa condominium complex in Santa Rosa and other properties they managed. Chad Cooper’s company, Accurate Janitorial & Maintenance, which he ran with his fiancee, handled the work. The […]
Woman sentenced to 2 years in prison for embezzling over $1M from HOA (VA)
A Warrenton woman has been sentenced to two years in prison for wire fraud of over a million dollars from homeowner associations she managed. The suspect, 60-year-old Rose Kasande Bailey, formed Rosewood Management and Consulting Services, LLC, a property management company in Fairfax that specialized in property management for HOAs, according to court documents, in […]
8th arrest made in Hammocks HOA fraud scheme involving $6 million theft, officials say (FL)
An eighth suspect has been arrested in connection with the alleged multimillion-dollar theft scheme that drained funds from the Hammocks Homeowners Association. Jesus Cue, 63, the HOA’s controller and accountant, faces multiple felony charges, including racketeering, unlawful compensation and money laundering, according to the Miami-Dade State Attorney’s Office. Read the article…………………………….
Woman accused of stealing $650,000 from Colorado HOAs
A woman has been arrested by Johnstown Police after a monthslong investigation into numerous reports of fraudulent activity from multiple northern Colorado homeowners associations, police said on Monday. Sandra Oldenburg, 48, was the lone suspect in the case, police said. She is a representative and partner in Poudre Property Services, a.k.a. RCE Inc., and NOCO […]
MA woman is accused of stealing $75K from Norwalk condo association through wire scam
A Massachusetts woman allegedly defrauded a Norwalk condo association run by a Stamford company out of $75,000 through a wire scam, according to an arrest warrant. Iara Maximo, 66, of Revere, Mass., was arrested by Stamford police on a first-degree larceny charge that they say stemmed from a wide-reaching scheme to steal funds and convert […]
EmeraldBay property manager who brought condo corruption to Key Biscayne gets probation (FL)
Former EmeraldBay property manager Maria Rodriguez – the person who brought condo corruption to Key Biscayne’s doorstop – received a sentence of three years of reporting probation on Friday, where under a plea agreement she won’t even have a criminal record if she meets all conditions. Read the article…………………………….
Unraveling the Fraud Triangle: Safeguarding Your HOA from Deception
Homeowners’ Associations (HOAs) play a crucial role in maintaining the integrity and value of your residential community. However, with responsibility comes the potential for financial mismanagement and fraud. Understanding the fraud triangle and implementing appropriate protective measures can safeguard your HOA and ensure it operates with transparency and accountability. Read the article…………………………….
How did scammers cheat two Columbia County homeowners’ associations out of $30,000? (GA)
Scamming impostors used sham emails to chisel the manager of two Grovetown neighborhood associations out of nearly $30,000. Community Connect Partners is the manager of the Estates of Deer Hollow subdivision off Wrightsboro Road in Grovetown. An CCP employee told the Columbia County Sheriff’s Office on Thursday that she had received emails doctored to resemble […]
Judge sets $50,000 bond for man charged with racketeering in 2022 Hammocks HOA investigation (FL)
A man arrested for alleged connection in the Hammocks Homeowners Association multimillion-dollar fraud investigation appeared in bond court Friday. Miami-Dade State Attorney’s Office announced on Thursday the arrest of Ivan Dario Diez. According to prosecutors, Diez is one of five HOA board members accused of racketeering and stealing more than a million dollars from residents. […]
Authorities announce additional arrest in Hammocks HOA fraud investigation (FL)
Miami-Dade State Attorney Katherine Fernandez Rundle is holding a press conference Thursday to announce the most recent arrest in the ongoing investigation into the Hammocks Community Association. Authorities booked Kevin Leonardo Alzate, 32, the cousin of former homeowners association president Marglli Gallego, into the Turner Guilford Knight Correctional Center last December. He’s facing charges of […]
Aventura condo association president charged with money laundering to pay bond with step-daughter’s bank account (FL)
A former Aventura condo president, accused of a laundry list of crimes, is hoping to bond out of jail. After spending weeks behind bars, a judge allowed Gregori Arzumanov to go back to the same condo that, prosecutors said, he stole from. Read the article…………………………….
Home sales are being completed at fraud-tied San Jose condo complex (CA)
Housing sales are being completed in a San Jose condominium complex that’s one of several properties mired in a massive Bay Area real estate fraud case, raising hopes for investors who lost money. Read the article…………………………….
$15,000 check raises new questions about former Aventura condo president accused of stealing $1.5 million from association (FL)
There are new questions after the arrest of a South Florida condo president. They center around a check obtained by 7Investigates. 7’s Heather Walker investigates. Katherine Fernandez Rundle/Miami-Dade State Attorney: “It turns out there was trouble in paradise.” That trouble centered around the president of an Aventura condo association seen here handcuffed and arrested. Read the […]
Annapolis beach community roiled by president’s theft charges: ‘He betrayed us all’ (MD)
Oyster Harbor, one of 62 “special tax districts” in the county, collects $400,000 a year from a surcharge tacked onto residents’ property bills. The additional revenue is supposed to go to clearly defined community projects, like snow removal or shoreline erosion. But the county relies on community associations, usually run by volunteers, to enforce how […]
Aventura condo board president arrested, accused of racketeering, stealing $1.5 million (FL)
Aventura police arrested a condominium board president on several felony charges, including racketeering and money laundering, on Tuesday after they accused him of embezzling more than $1.5 million from unit owners since 2017. According to an online biography, Arzumanov, originally from the former Soviet country of Georgia, has served as the association president since 2008. […]
Why you should pay special attention to closing your books this year
I’ve been posting the condo and HOA news for over 20 years now. During the first 6 years, I might have run across 3 or 4 cases of people stealing from an association. During the last 2 years, I’ve seen over 20. And most of them haven’t been for small amounts. The scams were often […]
Embezzlement uncovered at Dunvegan Woods: Condo board alleges late manager stole $200K (NH)
Condo owners at Dunvegan Woods are reeling after learning the late president of their association allegedly embezzled hundreds of thousands of dollars, leaving the complex with only a few thousand dollars in the bank…..According to a letter sent in mid-September to Dunvegan condominium owners by the board of directors, following the death of long-time association […]
Fraud Alert – Beneficial Ownership Reporting
The Beneficial Ownership Reporting under the Corporate Transparency Act requires businesses to provide information (including personally identifiable information) to the federal government to combat fraud, terrorism, and money laundering. However, the passage of this Act has created additional opportunities for fraudsters. FinCEN has issued a warning about a scam targeting individuals and companies subject to […]
Woman who embezzled more than $375K from Upper Gwynedd employer gets probation (PA)
A Berks County woman who stole more than $375,000 from her Upper Gwynedd employer avoided being sentenced to jail time on felony theft-related charges and received seven years’ probation for her crime…..Butt also must repay $375,928 in restitution to the Gwynedd Office Condominium Association at 311 Sumneytown Pike within seven years, where she worked as […]