The sweeping FBI political
corruption probe into homeowner's associations sent shockwaves throughout
the Las Vegas valley last year.
associations have been caught up in allegations of crooked lawyers and
construction companies. State lawmakers want to bring the hammer down on
more potential schemes, all while the FBI investigations are still moving
years, homeowners have cried out for help saying scam
artists were weaseling their way onto associations and then
funneling millions of dollars in cushy construction deals to
their well-connected buddies.
late 2008, FBI Agents raided offices looking for proof of
corruption and theft. The I-Team uncovered how it was
possible for shady investors to buy into 1-percent of homes
and then get elected to HOA boards.
these loopholes that State Senator Mike Schneider wants to
years he has railed against monolithic HOA's and their boards. He is
proposing bills to close that 1-percent loophole and make penalties about as
tough as they come.
should be felony charges in there. There should be jail time
and that's how serious this is," he said.
also wants to force HOA boards to open up their books to
homeowners and be more transparent about contracts.
Part of the
investigation centers on just how the tainted board members
used the rules to get what they wanted.
unclear if all these reforms are going to come out as one
bill, but Senator Schneider says he
to have the bills introduced in the next week or so. He says he finally
thinks HOA lobbyists won't have ground to stand on, thanks to the