The Face of Condo Fraud

December 2016

A California condo manager has become the face of condo fraud.

The condo manager has been charged with conspiring to defraud homeowners between 2007 and 2013.

The alleged crimes were discovered after she was fired from a 990-unit condominium association. Nearly 150 false invoices for uncompleted construction work were uncovered.

It is alleged that she conspired with the owner of a painting company by preparing and paying invoices for work. Her co-conspirator would deposit cheques in an account. They shared the proceeds.

The condominium association has an annual budget of nearly $5 million. The condo manager had been employed by the association for more than a decade and received approximately $200,000 a year.

The board became aware of suspicious activity on a bank statement from the debit card issued to the condo manager. Withdrawals had been made at casinos. There were also personal purchases that included clothing.

The condo manager had initiated a board policy that prevented board members from communicating with vendors or contractors. At times she claimed harassment when her actions were questioned.

The condo manager filed a lawsuit against two residents in 2004 after being accused of taking “kickbacks” from a contractor.