Corona Woman Sentenced In Federal Embezzlement Case (CA)

A Corona woman was sentenced Friday to four years and nine months in federal prison for embezzling nearly $1 million from her employer.  Jenev Boyd, 60, was sentenced by U.S. District Judge Sunshine S. Sykes, who also ordered her to pay $780,810 in restitution.  Boyd was a long-time employee and director of accounting for Corona-based […]

Mother-daughter-boyfriend trio accused of defrauding West Kendall HOA; 2 arrested (FL)

Thirty-eight-year-old Yasnely Pedroso had once been fired from the Westwind Lakes Garden Homes Condominium Association, Inc. for destroying records, among other things, according to police.  Enter her mother, Idoris Pedroso. According to Miami-Dade police, when the 63-year-old became board president, she rehired her daughter as an assistant.    Read the article…………………………….

Inside the battle for the Hammocks HOA’s future leadership (FL)

Over a year after five people were charged with running a massive fraud at the Hammocks, the homeowners association is again embroiled in contention.  Court-appointed receiver David Gersten has been overseeing the HOA since the November 2022 arrests of four ex-board members and a fifth person.   Read the article…………………………….

Essex County Man Pleads Guilty in $470,000 Condo Complex Fraud Scheme (NJ)

Federal officials said Smith, alongside his conspirators Nathaniel Obedos and Ranaldo Bennett, orchestrated a kickback scheme targeting the condominium complex where Bennett served as the lead property manager, and Smith held the position of superintendent.  The trio manipulated repair and maintenance operations to benefit Obedos’s company, through which they executed their fraudulent activities.    Read the […]

Dozens of swanky Florida country clubs and HOA’s are being sued for $29 million in alleged PPP fraud. One is in Key Biscayne (FL)

A lawsuit unsealed in federal court last month alleges dozens of South Florida’s most luxurious country clubs and homeowners associations – including one in Key Biscayne – improperly got as much as $29 million in federal pandemic or “PPP” loans and should be ordered to pay up to triple damages.    Read the article………………………….

Ex-Laurelwood HOA President Charged with Embezzlement (MS)

Flowood Police arrested former Laurelwood HOA President Emary Walker for embezzlement and possession of a controlled substances.  The police report states a “local attorney” notified the police of possible embezzlement of Laurelwood HOA funds. The report accuses Walker of using HOA funds to purchase personal items from Amazon.   Read the article……………………………..

Condominium Associates and Precedent Hospitality Join Movement to Shine a Spotlight on Fraud

Fraud costs organizations worldwide an estimated 5 percent of their annual revenues, according to a study conducted by the Association of Certified Fraud Examiners (ACFE). “Occupational Fraud 2022: A Report to the Nations” analyzed 2,110 occupational fraud cases that caused a total loss of more than $3.6 billion.   Read the press release……………………………

Neronha (AG) opens criminal probe of condemned condos’ management company (RI)

The R.I. Attorney General’s office has launched a criminal investigation into the North Providence property management company that has recently come under fire for allowing poor living conditions that led to the city condemning a 56-unit condominium complex and the 24-hour eviction notice sent to its residents.  Read the article………………………………..

“So screwed up”: Senior condo complex in Miami-Dade is an alleged hotbed for grift, hefty assessments (FL)

In lawsuits filed against the association and in interviews with The Real Deal, unit owners claim association leadership illegally imposed $3 million in special assessments, but failed to make promised and required repairs. Unit owners suspect some former and current association leaders of a self-enrichment scheme, as many of the 17 buildings remain in poor […]

Defrauded HOA Trying to Unravel the Mess (FL)

At the Hammocks in West Kendall, 6,500 homeowners are anxious for a return to self-rule after seven years under the thumb of a tyrannical, secretive board of directors that is accused of stealing millions in monthly fees from their neighbors.   Read the article………………………..

Two Jersey City Men Charged in Scheme to Defraud Owner of Condo Complex (NJ)

According to U.S. Attorney Philip R. Sellinger, the men, Ranaldo Bennett, 40, and Nathaniel Obedos, 56, conspired with Jonathan Smith, 56, of Montclair, to inflate charges for repairs and maintenance at the complex and pay the excess money to Bennett and Smith as kickbacks.   Read the article………………………..

Condo board member: More fraud at EmeraldBay (FL)

A second unit owner at a ritzy Key Biscayne apartment building told condominium officials that he too was defrauded by a longtime property manager who was arrested this week on fraud and grand theft charges involving another owner, according to a member of the EmeraldBay board of directors.   Read the article………………………..

Repeat scammer sentenced to prison after embezzling $80K from Orange County HOA (VA)

Like many neighborhoods in the early days of the pandemic, the Germanna Heights Phase I community in Orange County found itself with a dissolved homeowners association. What was once a seven-member board was reduced to a single caretaker: Machell Marie Sims  In 2020, Sims was placed in charge of the HOA’s financial reserves, amounting to […]

Monitoring Fraud in Condo Associations: The Do’s and Don’ts (IL)

Condominium associations hold a significant level of trust, as they are responsible for managing the community’s financial affairs and overall well-being.  Fraud can have devastating consequences for the condominium, both financially and reputationally. Not only does fraud have the potential to break down relationships between neighbors, but it can also cause a significant increase in […]

Woman who stole nearly $80k from Virginia neighborhood faces jailtime

On Monday, July 31, Machell Marie Sims was sentenced on three felony charges of embezzlement, which she had previously pled guilty to in April.  Sims took over the the Homeowners Association’s (HOA) finances for Germanna Heights Phase I, a neighborhood in Orange County, after the neighborhood’s 7-member board dissolved during the early parts of the […]

Lakeshore Gardens senior community targeted in apparent scam (CA)

Seniors at Lakeshore Gardens have reported a rash of scams involving two men allegedly posing as employees of the Carlsbad Lexus and Toyota dealerships and convincing unsuspecting residents to pay for subpar or non-existent vehicle services.   Read the article………………………..

Former CFO Pleads Guilty to Embezzling More Than $3 Million from Employer (MN)

According to court documents, David Efrem Katz, 56, was the former Chief Financial Officer (CFO) of Durand and Associates (“D&A”), a property management company that specialized in servicing homeowner associations (“HOAs”). Between 2012 and 2017, Katz embezzled over $3 million from D&A and its client HOAs.   Read the article………………………..

Investigation at luxury Key Biscayne condo widens (FL)

Widening the scope of a criminal probe at the posh EmeraldBay condominium, the State Attorney’s Office confirmed this week it is now involved in a “misappropriation of funds” case that is now in its seventh week.   Read the article………………………..

Judge rules Sammie Sias, ex-commissioner, will not get a new trial (GA)

During the trial last summer, FBI agents testified that Sias deleted 7,000 files in minutes after receiving a grand jury subpoena for bank records. The subpoena came as part of an investigation into the spending of tax dollars at the Jamestown Community Center.  Sias served as president of a homeowner’s association which received the $150,000 […]

Gillette woman’s prison sentence commuted (WY)

The prison sentence of a Gillette woman convicted of embezzling hundreds of thousands of dollars from a homeowners association in the early 2000s has been reduced to time served, making her eligible for release.   Read the article………………………..

South Africa: Woman sentenced to five years in prison

According to a statement by the Directorate for Priority Crimes (Hawks) Holtzhauzen was employed as a financial administration manager at Zandspruit Homeowners Association NPC situated in Hoedspruit. “Some of her responsibilities as a manager, include paying service providers for services rendered.  Instead of paying the service providers, the accused created fictitious claims and transferred the […]

Shadow Creek Ranch manager pleads guilty to wire fraud, scamming HOA company (TX)

A 63-year-old Houston resident has pleaded guilty to wire fraud, U.S. Attorney Alamdar S. Hamdani announced Friday.  Maria Denise Southall-Shaw, a former manager of Shadow Creek Ranch in Pearland, admitted to defrauding FirstService Residential, a company which managed Shadow Creek Ranch’s homeowner associations and had employed Southall-Shaw, according to a release.    Read the article………………………..

Serial scammer took over $60k from Virginia neighborhood, school division

“She was putting her personal account number in there, and people were paying her,” she said.  And once they began uncovering her lies, more were revealed. Around the same time Sims took over the HOA, she was charged with embezzlement in Prince William County.   Read the article………………………..