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tyrant board president

Started by ues133
over 16 years ago
Posts: 4
Member since: Apr 2009
Discussion about
Do we have any recourse? We have a Board President who torments some of the residents! Denies everything for residents who did not support him and gives special privledges to those who voted for him. No transparency as far as financials and is running building into the ground by foolish spending. We are a condo. Is there anything that can be done before we vote him out?
Response by OTNYC
over 16 years ago
Posts: 547
Member since: Feb 2009

Not sure how a board pres can give special privileges - as far as financials, there should be bylaws that spell out what financial information is to be shared with shareholders. Typically it is the year end statement from the accountants. Sounds like you are mostly concerned with increased maintenance payments, which may not be his fault. Probably a result of increased taxes.

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Response by ues133
over 16 years ago
Posts: 4
Member since: Apr 2009

Special privledges meaning repairs to his friends apts by the staff and allowing breaking of the rules vs penalizing others for the same thing and not being helpful in getting things fixed if you are not in his "clique." Laughs at people who question it. As far as financials, he is spending an excess amount on attorney fees,(some people say he is getting a kickback)and bringing about litigation that he wiping us out financially.

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Response by westsider3
over 16 years ago
Posts: 42
Member since: Feb 2008

Sorry you are having this problem UES. Best thing to do is vote him out at your next election. Also if mismanaging the money, he could be personally responsible as well as the rest of the board.

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Response by OTNYC
over 16 years ago
Posts: 547
Member since: Feb 2009

It is unfortunately common for board presidents to get kick-backs. Sounds like a pretty bad problem - I would try to organize a group of residents to make sure he is voted out at the next board meeting.

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Response by jess
over 16 years ago
Posts: 142
Member since: Jan 2006

also, have you reviewed the by-laws in detail and potentially have a lawyer go through them?

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Response by ues133
over 16 years ago
Posts: 4
Member since: Apr 2009

Yes, already consulted a lawyer and what it boils down to is how much does a person want to spend to sue. How is it that in Manhattan we do not have a governing body for condo boards considering how many abuses there seems to be? The group we have been forming started out small but is now growing so could be a coup soon, but in the mean time this piece of garbage has carte blanche with our money. Are there others out there who have similar problems?

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Response by raddoc
over 16 years ago
Posts: 166
Member since: Jun 2008

Financials are supposed to be available when your yearly meeting occurs. Vote the bad ones out, the benevolent ones in and see if your life is any better. The trouble with boards is that everyone serves on a volunteer basis , but there is usually a professional management company which may either help solve or be the root cause of many problems. Make sure that your monthly fees are paid in full and that your neighbors support you - then run for president and make a change for the positive.

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Response by kylewest
over 16 years ago
Posts: 4455
Member since: Aug 2007

Actually "suing" is not the first step in conflict resolution from a legal stand point. If you have indeed exhausted non-legal recourse (organizing a group, pleading your case to the board, attempting to get the board to address your concerns...whatever), then form a group, hire an attorney, and start with the attorney spelling out what you want in a letter to the board while suggesting that litigation will result from failure to resolve the differences. An attorney's letter will often prompt discussions that a board wasn't willing to have with individual owners.

If you cannot form a group, that may suggest the problems you identify are not similarly viewed by many others in the building who may not see the problems as existing at all.

I'm not sure I understand the "kick back" accusation. Is there an actual basis for such a belief or is it just someone's musing? If the President is self-dealing, that is illegal and no doubt a violation of his mandate, NYS law, and, if he is an attorney himself, of his professional responsibilities. You can't just go around guessing at such things--there is evidence of this or there isn't.

What I find is that more often than not in these kind of intra-building sqabbles, someone says something like, "He's so manipulative and greedy I bet he gives that law firm our business because he's getting something from it." Then the listener repeats this as, "I think the president is getting kick-backs from those lawyers." Then the rumor is in motion and gets posted in a place like this.

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Response by ues133
over 16 years ago
Posts: 4
Member since: Apr 2009

Thanks for your input Kyle!! Looks like enough people to form a group! Kickback accusation is based on some facts I won't go into here. Vendors in building might also be involved but as OTNYC said, this is normal in NYC.I come from the west coast. Condo Boards operate differently out there. Hopefully my old employer will transfer me back at some point.

If another board gets in and finds that there has been "accounting issues" can the old board be held responsible?

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Response by columbiacounty
over 16 years ago
Posts: 12708
Member since: Jan 2009

this is not normal in NYC. accounting issue does not explain the situation. a kick back is a kick back if it can be proven...have you brought this matter to the attention of the outside accountants? it is hard for me to believe that a letter (with factual information) signed by multiple resident owners of your building will not create some action from the accountants.

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Response by kylewest
over 16 years ago
Posts: 4455
Member since: Aug 2007

I do not have experience with condos. I know co-ops. That said, it is 100% not common or acceptable for someone on a board to accept a personal benefit as a result of his/her position. That is not how business in done in NYC as opposed to anywhere else. It is as improper here. I'm not sure who told you otherwise or how you formed that opinion. Any benefit the president comes across in his capacity as president is an opportunity generally viewed as belonging to the building.

I think you know the answer to your question about discovered financial improprieties. The law is not an ass.

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Response by manhattanfox
over 16 years ago
Posts: 1275
Member since: Sep 2007

The process to remove an officer is in your by-laws and/or proprietary lease. Kickbacks are not "normal". There is a difference between bad behavior and illegal behavior. If it is illegal behavior -- call the DA. If it is bad behavior -- you may have civil court remedies. If you are organizing a group -- check the by-laws to see how much support you require for mid term removal. you may also be able to call as special meeting and madate more financial transparency. Why the NY BCL requires a certain amount of information, your lease may grant you more rights than a minimum. Good luck.

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Response by Pawn_Harvester
over 16 years ago
Posts: 321
Member since: Jan 2009

If you make a big enough stink, you will probably be asked to join the board next time around. Your group of supporters should be sufficient to get on on the Board. Prior to joining my Board, I was locked in threatened legal action with the building - certainly helped to increase my profile.

You may also consider talking with the management company, since they deal with a lot of the day-to-day stuff. As a board member myself (and a former unhappy non-board member), most people do not "get" the operations of their building. You may just be misunderstanding things.

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Response by manhattanfox
over 16 years ago
Posts: 1275
Member since: Sep 2007

Understand that once you are on your board -- you have personal liability. if improprieties exist, you are then required to fix them or will be breaching your fiduciary duties...

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