Article Courtesy of
Medford Central Record
Published December 6, 2007
By Rose Krebs
HOLLY-A Superior Court Judge has ordered that some proceeds of a house sale of
the former president of a Kings Grant neighborhood homeowner's association be
put in an escrow account that will be subject to court control.
A class action lawsuit is pending between
residents of the Oak Hollow section of Kings Grant and the former president of
the Oak Hollow Condominium Association, Inc., which alleges that the board
unlawfully used money collected from homeowners.
The lawsuit contends that former board
president Michael Meglino engaged in intimidating, harassing conduct and the
misappropriation of association funds during his time as president.
Within weeks of the lawsuit being filed in
September 2006, Meglino resigned his position as president.
As that case awaits trail, Judge Ronald E.
Bookbinder Dec. 22 has by written order established that $125,000 of the sale
of Meglino's home on Bridgewater Drive be put into a legal trust account. The
sale was expected to be finalized on Dec. 27, according to court documents.
Meglino is being represented by Nicholas
Harbist of Blank Rome LLP.
money put in the escrow account cannot be released without court order.
Harbist said last week he has filed a
motion to Bookbinder to dismiss the case because it is procedurally
"We've made a motion to dismiss the
entire case," Harbist said. "I'm sure Judge Bookbinder will rule on
that in due time."
On Sept. 27, Bookbinder issued an order
freezing finances of the association. Attorney Mark Rinaldi of Evesham was
appointed to co-sign association checks while the matter is pending.
Also, Bookbinder has ordered that an
election be held in February to appoint new association board members.
There is currently an interim board of
four members serving, according to Paul Leodori of Leodori & Whelihan,
P.C., an attorney representing the plaintiffs. The election will take place
the week of Feb. 5, Leodori said.
Among accusations in the lawsuit are
claims that since June 2004, Meglino authorized the transfer of $30,000 from
Oak Hollow's checking account to his wife's company, SGM Construction and
That $30,000 was transferred "back to
Meglino and family members directly in the form of cash, goods such as
television equipment, services such as limousines, vehicles and school related
expenses," the lawsuit contends.
Leodori said plaintiffs are seeking that
the board appoint an accountant to investigate the misappropriation of funds
The Oak Hollow Condominium Association,
Inc. was established in 2001, after a state Supreme Court ruling ordered that
the Kings Grant Management Association, Inc. (which had been established in
1985) "relinquish the day-to-day management of the unique common elements
of all nine of the Kings Grant condominium associations," according to
sue president of condo community