Emergency Meeting

Unless your state statutes or governing docs say otherwise, it doesn't sound as if a true "emergency" exists.

It sounds as if you're on the board. Or are you saying there's five members in the whole HOA?

Marcia:

I would move carefully in bringing these sort of charges against the President.

When did you learn of this abuse? And the nature of the abuse would be?

My first question would be where do the other members of your Board stand? Would they support YOU, the President or sit on the fence and do nothing?

For some reason this person was voted in by the other Board members and where they stand would be of concern IF you plan to act against him.

Under most documents you could simply vote him out as President. That's IF you have the support to do so. Then the next problem WHO will step in and take that job on?

Then you have to consider how to handle the President's actions do you let it go and move on or consider pressing cahrges and seeking repayment of the funds he misused?

Myself I would appraoch each Board member and provide them with the evidence you have and get a feel for how they will handle this matter. NOT hold a special meeing throw the evidence on the table and then learn the rest of the Board will not act and leave YOU hanging.

I would make sure you have your ducks in a row and have proof positive before you open this can of worms.

I asked to see the checking account and he wrote a check to his company for $350.00. He also used CASH to pay for his buddy to be a property manager. I have proof. I have asked for other documents 2 weeks ago to corroborate my findings and he has yet to produce those to me.

There is one other board member who if told he is liable as well for misused funds and could be held accountable, he would buckle. I am the only person who stands up to the president. Is it worth pressing charges? Possibly so. We are such a small community. It's a long story - but, the president has a lien on his property and misuses HOA funds for his living, purpose, etc. I know it and have evidence.

Marcia:

The short answer is you cannot recall the president. He is appointed by your board of directors that is presently controlled by your developer.

Last week I went online and found the county records for your condos. I had trouble finding in the CC&R's where it mentioned how long the declarant would be in control and I think it was as long as he owns just one unit. (I slept since then.) Records indicate that he has sold only five of the eight units, leaving him in control.

You had also mentioned previously that an investor had purchased the entire project. What I found was a little different. It appears that the individual developer and one other person were on the original deed along with an LLC. That is, there were three owners. The LLC was the declarant. At some point the two individuals quitclaimed their interests to the LLC, so that the LLC is both declarant and owner of the unsold units in the condo development. The two individuals are also members of the LLC.

Back to the president: If he used HOA funds to pay the personal expenses of one of his buddies, as you previously posted, and other wrongful expenditures, your best recourse at this point may be to file a civil suit against both the president and the developer. They have a fiduciary duty to use your association's funds for association expenses. I cannot imagine how they could justify paying the rent for someone from association funds.

In theory, you also have a criminal complaint for the misuse of your funds but my experience with the police is that they are quite good at investigating street crime and not so good at pursuing white collar crime. Try calling the cops but be ready to be disappointed.