The firm’s latest Miami Herald “Real Estate Counselor” column authored by Gary M. Mars featured in today’s Neighbors section is titled “Possible $8M Fraud Against Florida Community Associations is a Wake-Up Call.” The article, which is the second of two parts, is on a developing case from Southwest Florida that appears to be one of the largest incidents of fraud and embezzlement ever inflicted on community associations in the state. It reads:
. . . An excellent Naples Daily News/The News-Press investigation has found that the associations are reporting more than $8 million has been taken from their accounts. Association directors have told the journalists that APMS took sole control of their Wells Fargo Bank accounts by telling them to sign new signature cards but then never submitting them to the bank.
The ordeal that these communities are now undergoing is horrific, and many of us who provide essential services for associations in Florida have been impacted by this case. We shake our heads in disgust at the brazen actions that appear to have taken place, while also hoping that we have successfully helped every association we work with to avoid the potential for any such malfeasance.
The association board members and bankers that appear to have been hoodwinked in this case had in all likelihood grown to trust APMS and its owners wholeheartedly. That would likely explain how the state-licensed property management company allegedly succeeded in securing, submitting and executing all of the necessary documentation in order to remove the community associations and their directors from their own bank accounts. Apparently, the necessary red flags did not go up, resulting in the success of the scheme.