Homeowner's association suspects former president of rip offs
The Alpine Village Homeowner's Association suspects its former president of shady dealings and has filed suit against him in hopes of making him talk.An order that Defendant render an accounting to Plaintiff reciting all transactions made during his tenure as President of the Board of Managers of the Alpine Village HOA, including an accounting of each transaction surrounding the repairs and/or improvements to the condominium units as well the common areas necessitated by Hurricane Rita;
The AVHOA filed its suit against John Michael Leger on April 23 in the Jefferson County District Court.
According to the homeowner's board, on Jan. 24, 2005, Leger was elected president of the Board of Managers of the Alpine Village Homeowner's Association. The AVHOA's members incurred substantial damage to their condo units when Hurricane Rita hit. The homeowner's insurance policy provided coverage and, from October 2005 through May 2007, issued many checks totaling around $574,000.
Leger located a contractor to perform the needed repairs, arranging to use Mike Francis Development.
"Such repair work was begun on the property, and to Plaintiffs information and belief, many funds were transferred under the auspices of performing such repair work," the suit said. "Repairs performed by Mike Francis Development remain significantly incomplete, or of poor quality and workmanship."
Leger further transferred half-ownership in one condominium unit to Mike Francis Development,the contractor, with no adequate reason proffered to the Board of Managers, the suit says.
After some time passed, Leger hired his father's own contracting firm to complete repairs to the property. "Such repairs were never completed, but to Plaintiff's information and belief, funds were nonetheless transferred to Defendant's father's contracting firm," the suit states.
"Due to the lack of completed repairs, the poor quality of the repairs completed, the transfer of ownership to a condominium unit, and the later-hiring of Defendant's own father to complete repairs that still remain incomplete, it is unclear for what purpose and how the monies received from the insurance company for the destruction caused by Hurricane Rita were used."
Perhaps even more mysterious, the AVHOA, under the direction of Leger, collected approximately $76,000 from dues and assessments during this time frame. "Such monies are unaccounted-for," the suit says.
On Jan. 8, 2008, the AVHOA voted to remove Leger from his position and elected a new president.
"The exact nature and extent of the money used for repairs, expenses, dues and assessments are unknown to Plaintiff and cannot be determined without an accounting of the transactions, and an investigation of the various bank accounts Defendant opened, closed and/or maintained during his tenure as President of the AVHOA," the suit says.
The board is asking the court for the following:
Judgment against Defendant for a sum to be determined in the accounting, which amount is within the jurisdictional limits of this Court;
Pre- and post-judgment interest as provided by law; and Costs of suit.
The board is represented by attorney Eddie R. Schroeder.
Judge Gary Sanderson, 60th Judicial District, has been assigned to the case.
Case No. B181-643