Las Vegas, NV - August 17, 2012
The Nevada Commission for
Common-Interest Communities and Condominium Hotels (CICCH) has taken administrative
action against multiple parties in disciplinary hearings held this week.
The Commission found that Las
Vegas-based Community Manager Jean Krym committed multiple violations under
state law, including failure to ensure her management agreement was in writing,
using homeowner association funds for personal use and failing to deposit cash
payments into the association’s operating account. The Commission revoked Ms.
Krym’s community manager license and imposed a $12,000 fine plus $1,306.50 in
investigative costs. Krym, who failed to
appear at her disciplinary hearing, was also ordered to pay $1,547 in
restitution to the homeowners association.
In addition, the Commission also
imposed disciplinary measures against two current or former members of the
executive board of the Parkridge Condominium Homeowners Association (HOA) and issued
orders to the association for action.
Bernard Spears, current executive
board member of the Parkridge Condominium HOA, was found to have committed
multiple violations under NRS 116 and NAC 116, including failing to obtain two
signatures on checks issued from the association’s operating account, hiring an unlicensed
contractor and failing to prepare financial statements as required. In an extraordinary step, the Commission
ordered Mr. Spears removed from the HOA board and precluded him from
serving as a board member of any homeowners association in the state of Nevada for at least three years. The Commission also fined Spears $4,000, plus
investigative costs of $5,487.35.
Julie Salazar, former executive board member
and treasurer of the Parkridge Condominium HOA, was found to have committed
multiple violations, including forging an association check and attempting to
deposit the funds in her own personal account, failing to prepare and audit
financial statements as required, and taking money from the homeowners association
in 40 separate incidents amounting to $28,045.
Ms. Salazar has been precluded from serving on an HOA board of directors
indefinitely and ordered to pay a fine of $9,000 plus the cost of the
investigation totaling $5,487.35. The Commission also ordered her to pay restitution
in the amount $28,045 to the association within 90 days.
The Commission ordered the Parkridge
Condominium Homeowner’s Association to hold a new board election, hire a
certified community manager and require all board members to complete
Johnson, State Director of Business & Industry, praised both the Commission
and the Real Estate Division, an agency of his department, for their
enforcement actions. “Homeowners living
in HOA communities can be assured that the State will hold persons accountable
who seek to defraud them,” said Johnson. “The Commission and the Division have sent a strong message with their
“Persons who violate the State’s HOA laws
need to understand that there will be consequences,” said Real Estate Division Administrator Gail
Anderson. “Action will be taken to make restitution, if possible, and protect homeowners
from further harm. It is also critical
for homeowners, HOA board members and community managers retained by them to be
educated about their rights and responsibilities under the law. It is our hope
that we can help educate all parties on the front end in order to avoid the
need for this kind of disciplinary action to be taken.”
to time constraints, the Commission was required to call a recess and will reconvene
at a later date to hear the remaining disciplinary matters originally scheduled
for this week’s meeting.
the Nevada Real Estate Division:
The mission of the Nevada Real Estate
Division is to safeguard and promote interest in real estate transactions by
developing an informed public and a professional real estate industry. For more information about the Nevada Real
Estate Division or the Commission for Common-Interest Communities and
Condominium Hotels, please visit http://www.red.state.nv.us/ .