contents chapter previous
Owner of Aurora HOA management company allegedly
diverted funds, state officials say
Denver Business Journal
18 December 2015
The owner of an Aurora-based community association management company
voluntarily surrendered his license after there were complaints he was
diverting homeowner association funds for his personal benefit, the
Colorado Division of Real Estate announced Friday.
David W. Martin is the owner and designated manager of PMG Enterprises
Inc., a community association management company. The company’s license
was also surrendered to Marcia Waters, director of the Division of Real
Estate, which is part of the Department of Regulatory Agencies.
The division said in an announcement that it had received numerous
complaints from consumers serving as board members of their homeowners
association alleging Martin used HOA funds for his personal benefit.
The complainants alleged Martin attempted to cover up the theft by
providing board members with bank and financial statements that had
been altered to conceal the missing money, the division said.
PMG Enterprises Inc. and Martin managed up to 13 HOAs. The division
said an investigation found that after Martin executed a management
agreement with an HOA, he would allegedly add his name as a signor on
the signature card of the HOA’s operating account without the knowledge
of the HOA.
Then, he allegedly wrote unauthorized checks payable to PMG Enterprises
or other payees, the division said.
In the case of one HOA, Martin allegedly wrote 62 unauthorized checks,
of which 33 checks were payable to PMG Enterprises in the amount of
$55,500 dollars, the division said.
“We take all complaints that we receive seriously, but the ones
alleging the mismanagement or theft of someone else’s money are among
the most serious complaints,” Waters said. “Our goal is to ensure that
community association managers are properly licensed and competent to
safeguard the moneys of Colorado consumers choosing to live in a
neighborhood governed by a homeowners association.”
Division of Real Estate removes non-licensed HOA manager
Denver Business Journal
By: Monica Mendoza
23 December 2015
For the second time this month, a community association manager has
been ordered by the state to stop doing business.
The Director of the Division of Real Estate ordered Ronald A. Valiga,
owner of Homeowners Management, to immediately cease and desist from
engaging in the business of community association management.
Homeowners Management Inc. also does business as Hallmark Management.
The Division of Real Estate, which is part of the Department of
Regulatory Agencies, had received complaints alleging Valiga and his
company were not licensed with the state but still had signed a
contract in November to manage a homeowners association (HOA).
Valiga told the division he managed six HOAs, but had not taken the
necessary steps to become licensed, which includes pre-licensing
education, sitting for the state mandated test, and submitting a
fingerprint-based criminal history background check to the Colorado
Bureau of Investigations.
Lawmakers approved the Community Association Manager Practice Act in
2013. It went into affect in July 2015. Anyone who engages in certain
defined activities of a “community association manager” relating to the
management of a common interest community like an HOA is required to
get a license issued by the Division of Real Estate.
The division began receiving complaints about management associations
in July and began several investigations. Earlier this month, the owner
of an Aurora-based community association management company voluntarily
surrendered his license after there were complaints he was diverting
homeowner association funds for his personal benefit, according to the
Division of Real Estate.
“Today’s action shows the Community Association Manager Practice Act,
which was the result of legislation passed by the Colorado General
Assembly and signed into law by Governor Hickenlooper in 2013, is
working for the benefit of the Colorado consumer,” said Marcia Waters,
director of the Division of Real Estate. “If an HOA has a management
agreement in place to pay a fee for services of an unlicensed community
association manager, that management agreement is void and
unenforceable for any period in which the manager does not have a valid
top contents chapter previous