top of page
< Back
Category:

Save this article  > 

Is Fraud Really a Problem in Condominiums?

Author: 
Eric Plant, RCM
Publication date:
Article Summary: 

Fraud is a significant problem in condominiums due to the nature of their setup, which combines elected representatives with the power to make financial decisions and little oversight. Various types of fraudulent schemes are discussed, along with examples and ways to combat them. The article highlights common forms of fraud in condominiums, including kickbacks, rigged bids, insider treatment, theft, and dictator-like behaviors of those in power. The responsibility for fraud can lie with board members, managers, consultants, and vendors. Signs of potential fraudulent activity include lack of transparency, coercion, and difficulty accessing information. The article emphasizes the importance of open communication, efficient record-keeping, and robust procurement procedures as ways to prevent and combat fraud in condominiums. Regulatory efforts to curb fraud, such as licensing for managers and director training, have been implemented, but the fundamental issue remains. Property managers play a vital role in preventing fraudulent behaviors and protecting the interests of homeowners.

Keywords: 

Fraud, condominiums, kickbacks, rigged bids, insider treatment, theft, dictator-like behavior, open communication, transparent communication, efficient record-keeping, procurement procedures, property managers.

Source Citation: 
Eric Plant, RCM
Is Fraud Really a Problem in Condominiums?
Did you find this article useful? 
Your feedback is important not only to us, but to all the other key players in the condo industry.  Help us by letting us know if this article is relevant and useful.  This will help us prioritize articles that provide helpful guidance to other key players like you. 

Please login to use this feature.

bottom of page