Florida Advocates Call For Laws Against Corrupt HOAs

Believe it or not, there are currently no laws against corrupt HOAs in Florida. That’s why advocates have sprung to action.

Corruption Rampant in HOAs

Homeowners associations deal with a lot of money — sometimes even in the millions. Because of this, there is a temptation to commit fraud and steal funds from the HOA. In fact, news reports of board members committing theft aren’t that uncommon.

Despite recurring reports of fraud, though, there are no laws against corrupt HOAs in the Sunshine State. Now, prosecutors, state lawmakers, and elected officials are coming together in a joint effort to call for the passing of such laws.

Miami-Dade State Attorney Katherine Fernandez Rundle is one of them. She firmly believes that lawmakers need to do more to protect the millions of homeowners in Florida. And new proposed legislation seeks to criminalize the corruption that runs rampant among communities.

“Shockingly, fraudulent activity in association elections, even blatant fraud, are not crimes in Florida,” Fernandez Rundle told local news. “They’re not crimes.”

A Trigger Case

While many HOA communities experience corruption, it was the case involving The Hammocks that really solidified efforts to call for new laws. The Hammocks is a planned community located in Miami-Dade County consisting of more than 60,000 residents. These residents banded together to fight against their HOA and present evidence of corruption.

Several past board members of The Hammocks HOA received charges of money laundering, theft, and racketeering. According to investigators, they believe that the board members stole millions of HOA funds. One of the ways they did this was by writing checks to vendors for false jobs and receiving kickbacks.

Miami-Dade Commissioner Roberto Gonzalez knows exactly how these homeowners feel.

“It’s an incredible injustice,” Gonzalez said. “I can tell you from experience to have put everything forward to purchase your own home and then be taken advantage of.”