Published March 27, 2015  

In recent weeks we can read or watch in the News nearly daily reports about fraud and embezzlement in Florida ’s community associations.

Does that really mean that white-collar crime in Florida's community associations is on the rise?

I don’t think so. I am working on community association issues here in Florida since more than fifteen (15) years. And from the very beginning I heard all the stories about embezzlement, financial fraud, kickbacks and board members paying themselves – or creating rules that they are exempt from paying the regular maintenance fees.

We heard many stories from disgusted owners at the hearings of the HOA Task Force and State Representative Julio Robaina ’s Select Committee. The list of criminal offenses was long – and never-ending.

But in former years the media was very reluctant to report about all these financial “shenanigans” – and our law enforcement agencies plainly refused to prosecute these crimes. They were always hiding behind the – in my opinion – real stupid excuse that it’s a civil matter – in a way to be treated as a breach of contract.

Honestly, I have never heard a more lame excuse not to do what they are being paid for.

Many years ago I called this State “FRAUD FRIENDLY FLORIDA’’ because law enforcement is sorely missing. The “BAD” guys know full well that they will – in most cases – not being held liable for their crimes and can get away with the money they stole or the kickbacks they received.

The federal investigation into HOA FRAUD in Nevada that recently ended with the conviction of the last four defendants showed how deep this fraud and corruption business in community association goes. In this case thirty-seven (37)  defendants pleaded guilty -- a few of the main defendants actually committed suicide.

Do you believe that it’s only bad in Nevada ? In my opinion it’s even much worse here in Florida .

In my opinion financial crimes in community associations has not increased, it has always been prominent. What has changed is the willingness of the media to report about it!