|
|
|
|
|
|
Press Release
|
|
Homeowner Battles to Stop Home Foreclosures for Fines
Texas Senator John Carona's management company manages her HOA
November 20, 2007
By
Amy McCorkle
(View author info)
|
|
|
|
| |
Re: • Homeowner Alleges that Texas Senator John Corona is involved in a homeowner association foreclosure scam - Maintenance dues homeowners pay to his management company will be used for fines so he can foreclose on homes - July 16, 2007 - By Amy McCorkle - Rockwall, Texas
Comment 14. Although everyone references Texas Property Code 209, no one seems to be publicizing the fact that Senator Carona WAS THE AUTHOR of that bill
Amy:
Fox 7 News in Austin did a story on Senator Carona's management company practices November 20 and 21, 2006. In Austin, he engages in the same game via Alliance Association Management - another Associa company. Although everyone references Texas Property Code 209, no one seems to be publicizing the fact that Sen Carona WAS THE AUTHOR of that bill. Please note that Senator Carona authored the bill you refer to.
He is intimately familiar with the bill and it was "gamed" from day one to protect the practices of his management companies. He convinces HOA Boards to adopt these resolutions (which primarily benefit the management company). Although the Patton Boggs attorney seems to suggest that it was the HOA Board that was responsible for this policy, all one needs to do is look at the county clerk's office wherever Sen Carona's Associa companies operate. You will just as (Fox 7 News did) a significant number of HOAs that Carona's companies manage have coincidentally adopted the same resolution!
I doubt that Sen Carona really wants to get pulled into a discovery battle. You would certainly be entitled to discovery and you could demand copies of the "fining resolutions" adopted by every Texas HOA that his Associa companies manage.
The defense to this practice is the Fair Debt Collection Practices Act which at present has not been found to apply to HOAs in Texas. The FDCPA protects homeowners from this scam in many other states. Folks should know that CAI actually has Public Policies promoting elimination of the application of the FDCPA to HOAs. CAI does not advertise this racket which amounts to little more than extortion. Instead they try to eliminate the homeowner's defense to this extortive racket.
If the HOA assigns its "right to collect" to Carona's organization, then all his agents have to decide is how much to take from each homeowner. As it stands now, they can threaten homeowners with accusations of violations with impunity. No court, no judicial determination. The accused has no recourse. His management contracts also usually require the HOA members to indemnify his management companies. Yet another liability saddled on the homeowners against their will. Guess who pays the tab if the homeowner sues the management company to defend against these collection efforts.
You may also find that his management agreement requires payment to the management company of a percentage (10%) of any insurance claim payment exceeding $1,000,000. This fee is in addition to all other compensation fees. This fee is in addition to any deductibles the HOA pays. Since when did insurance pay 111% of the amount required to repair or replace? Either the HOA or the insurance company is likely to get the short end of this stick. Oh yeah, the HOA is paying its insurance premiums to Association Policyholders - another Sen Carona company. Guess it's the members getting the short end of the stick again.
As of the date of this comment, Sen Carona's Associa has updated standard templates for the "community websites" for HOAs his companies manage. Outrageously, the websites all proclaim that these HOA meetings are "open to the public" and that "all members can participate in various committees". This is probably in direct response to demands from homeowners for legislation to mandate open meetings and open records in Texas HOAs. These statements on his website are simply not true and are apparently designed to mislead prospective purchasers.
Aside from highlighting Senator Carona's self-serving legislation and his business practices of preying upon homeowners in these HOAs, there must be a push to impose liabilities on these management companies. In addition to any other actions, homeowners must seek a determination that the FDCPA applies in HOA contexts and that the HOA and its agents have a fiduciary obligation to the members.
Username Withheld
-Austin area, Texas
Posted Nov 20 2007 6:29PM PST
Posted Nov 21 2007 4:04AM CET
|
| |
|
| |
Username withheld
, California |
| |
|
|
| |
I have a great deal of information for Amy McCorkle on her Principal Management Group managed Homeowners Association.
Texas Senator John Carona et al pulled the same stunt on Bear Creek Homeowner Association, Euless Texas. I have names, a court case number, information on a bought and paid for board member [government employed attorney] living within Bear Creek HOA completing some of this dirty work along with under handed TXU, Verizon, and Principal Management Group employees.
Can you contact me?
A. Court Documents
B. Fraudulant Board meeting presntation documents to get a favorable vote
C. District Attorney letters making efforts to discourage my further reporting.
D. False accusation letters from Riddle-Williams concerning events that suposedly happened.
E. Proof of homeownership count versus the number of homes in the PMG contract [219 homes as assigned account members with 215 in the PMG contract]
F. Proof of no FDIC insurance coverage in the Bank of Choice PMG utilizes for Bear Creek HOA fiancial holdings
G. Self-Insuring techniques/underwriting used by PMG to maximize profits
H. Payment of Pulte contruction site electrical bills from the Bear Creek HOA checking account.
I. Attempts by PMG employees to change the non-fining by-laws to an arbitrarilly applied fining procedure. (That was the district court case.)
I can go on, but I do not have the money to fight Texas Politics and more than likely the entire Republican Party of Texas.
Can the resource center help me help Amy McCorkle?
Homeowner
Texas
AHRC Response
We have forwarded your email and contact information to Amy McCorkle.
AHRC Staff
Posted Nov 21 2007 3:51AM CET
|
| |
|
| |
Username withheld
, California |
| |
|
|
| |
I have a great deal of similar information to share with Amy. Past Treasurer and President of Bear Creek HOA in Euless, TX. That was a Pulte development and remains a Pulte controlled HOA for the sake of PMG / John J. Carona and Riddle-Williams. Please contact me.
Posted Nov 21 2007 3:07AM CET
|
| |
|
| |
Myles Opheim
(View Profile)
Fort Worth, Texas |
| |
|
|
| |
My opinion, but based on 'contract law' and 'property' doctrines (which, of course, are not being upheld by the courts at all in many instances, due to the lobbying efforts of the industry faction, and violations of their state constitutions by the legislatures in the various states, and abridgement of law by the municipalities themselves at the outset:
The 'contract' for each homeowner is simply the CC&Rs, which contain the recorded 'use restrictions' as compiled by the developer. As a 'contract' then the only manner in which those restrictions can be 'changed' at all after the date of recordation, is by 'revision' and votes by the parties to the contract itself - i.e., the membership (including the Board members simply with their alloted votes). The only 'rule changes' which the Board lawfully could then revise independently of the membership itself, would be any rules with respect to the use of the common areas (the sole property the Association as a corporate entities actually owns).
Normally, if there is a conflict between the language in the CC&Rs and the language in the 'corporate' documents (bylaws and articles), since the CC&Rs are supposedly the actual contract, then what is stated in it's terms would trump what is stated in the articles and bylaws with respect to use rights over an owners individually owned property.
But, since the state and industries only make money the more confusing and conflicting these documents and the laws are, rather than protecting the property owners living within them from such property theft and abuse, and since a great many of the legislators are either developers, lawyers or other industry professionals.....you got tyranny now reigning in these communities and have bought nothing, actually, other than a foreclosure contract with the laws and lack of adequate property protections, and negligence of the state in this tax scheme.
My opinion, but in keeping track of the literally thousands lost now by homeowners, and even lives, and wars within our communities, would seem the 'facts' speak for themselves.
Posted Nov 21 2007 1:16AM CET
|
| |
|
| |
Username withheld
Phoenix, Arizona |
| |
|
|
Return to 'Homeowner Battles to Stop Home Foreclosures for Fines' |
Submit a comment
|
|
|
|
