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President Jekic & VP Welliver have almost single handedly bankrupted the HBR Association
For almost 4 years it appears that President Jekic has been on a power trip funded by diverting Association fees and hiding his massive diversions and business losses with bogus Due To-Due From Accounting. In the eyes of many Owners President Jekic wanted to become Schecher (Past President & Business Owner) so bad that he made a deal with the NY Owners of Ocean Walk Mall that not only benefited nobody but the NY Mall Owners but cost the present and future owners of the HBR Resort millions.
President Jekic and his partner, VP Welliver, decided it was best for the HBR Owners to go into the bar and hotel business. The problem with their decision to divert millions of fees and guarantee millions more is that their plan is totally illegal under the Florida Condominium Laws. Worse, they did all this without once asking the 400 Condo Owners and the 1,700 Timeshare Owners if they were willing to spend millions to take their not-for-profit Association into the for-profit business of a beach bar and hotel.
It appears that only one owner (Schecher) bothered to question what was happening and take the offenders to court. There are currently three lawsuits in the courts including one RICO Federal Lawsuit. Schecher vowed to hold those who elected to destroy his business and the rental revenue of those HBR Owners on his Hotel Program legally responsible for their illegal actions. It also appears that the Insurance Company for the Association (Jekic & Welliver) may believe Schecher is right because they sent Jekic a “Reservation of Rights Letter” which means that they may not be paying the bill if Jekic loses in court. Most every insurance policy in the world has an exclusion for “Intentional Acts” and it appears very clear that Jekic had a “Hard On” to get Schecher at any cost. The cost to get Schecher is $7.5 Million and the tab is being covered by all the HBR Owners thanks to President Jekic and VP Welliver.
Jekic testified under oath that it is impossible for him to lose money in the bar business and his hotel business would reduce fees. He testified under oath that Schecher made $500,000 per year in profits from O’Malley’s and that is why he granted the Mall a new 41% rebate as a lease incentive to take over the space Schecher’s Company rented for 30 years. His move cost present and future owners millions in rebates that must be covered with increased fees or special assessments.
It took less than a couple of years for Jekic to be proven wrong. His bar is approaching $1,000,000 in losses and his hotel operation operates at a 6% occupancy and is not making money for anyone associated with Jekic. Today, both Jekic & Welliver are scamming HBR Owners into paying the rent to the NY Mall Owners because they don’t make enough from their bar and hotel business to cover the rent. They now realize that Schecher never made $500,000 a year as testified under oath by Jekic.
In 2015 the future of the HBR Resort depends upon (1) Getting rid of Jekic, Welliver and their Board (2) Electing a new Board that is willing to protect the investment of all owners.
2014 COUNTDOWN BEGINS -
WHAT WILL 2015 BRING ?
Condo and Timeshare Owners are facing the end of days for 2014 with many if not most HBR Owners wondering what to do in 2015.
HBR Owners never bothered to question the Due To and Due From Accounting or the Accountant’s footnote on the Association Financials warning of possible illegal activity.
HBR Owners never bothered to question the tens of thousands of dollars due from one Association Account from another Association Account that is itself tens of thousands of dollars short.
HBR Owners never bothered to question the diversion of tens of thousands of condo fees by President Jekic and VP Welliver to start their Beach Bar. A bar that is all but bankrupt and a business that lost over $1,000,000 since it started.
HBR Owners never bothered to question the new Budget Line item which represents the latest Jekic-Welliver SCAM to have owners pay for their losses (rents) that they are unable to make to cover the expenses of their LLC. Yes, for the first time in over 30 years, Jekic & Welliver started charging HBR Owners rent for the front desk space. Space that Schecher provided for over 30 years for FREE.
HBR Owners never bothered to question why Jekic & Welliver rented a laundry room without any laundry equipment. Space Schecher offered to share and continue providing HBR Owners with pool towels for FREE.
HBR Owners never bothered to question why Jekic & Welliver never bothered to take the required vote before deciding to divert fees to go into the bar and hotel business, which is illegal under Florida Condo Law.
HBR Owners never bothered to question why Jekic & Welliver signed a Mall Lease for $7.5 Million Dollars and guaranteed its performance with Association fees- illegal without an owners vote or approval.
HBR Owners never bothered to question why Jekic & Welliver granted the Mall Owner a new 41% rebate on all future “Special Assessments” so they could get the space rented by Schecher’s Company for over 30 years. This move will cost all present and future HBR Owners millions of dollars
HBR Owners never bothered to question how Jekic & Welliver could keep the maintenance the same while the Association bad debt rose to $6,000,000.
HBR Owners never bothered to question where the Special Assessment Funds to wipe out the bad debt vanished. The Special Assessment was collected to eliminate the bad debt and the debt was never paid down. The funds were diverted by Jekic & Welliver.
The list of “Never Bothered” is long. In 2015, the HBR Owners should take the time and they should bother to understand what is happening and how serious the financial crisis is at the HBR Resort. In 2015 changes need to be made starting with the absolute replacement of the Jekic Board followed by holding those individuals individually responsible for their SCAMS and Diversion of fees that appears to be hidden in their bogus Due To | Due From accounting.
Score 27 to 3 SG RESORTS WINS
Mid Week Daily Arrivals
There should not be any winners or losers at the HBR Resort because all entities should be working together to create the best possible guest experience for those who book a room at the HBR Resort. SG Resorts is forced to walk overbooked guests to neighboring properties because Jekic does not allow his front desk to cooperate with SG Resorts. This is a prime example of a Loser and a reason why HBR Owners on the Jekic-Welliver Rental Program are not making any money. What businessman would refuse to accept quality business (room revenue)?
Most HBR Owners are not happy with the Jekic-Welliver Rental Program and many have exited the Program for obvious reasons. Two Key Reasons are: (1) Nobody (no guests) want to book a room with the Jekic Program because the rooms are way below par and there is a total lack of guest services. (2) No Condo Owner wants to be responsible to pay all the expenses of a bankrupt rental program and only share in nonexistent profits.
SG Resorts is out of rooms and needs more qualified rooms for the upcoming Winter Season. SG Resorts has all the travel & tour contracts and has been operating at the property for over 30 years when you consider it purchased all the assets from the TSB Ramada Program and continues today with the majority of HBR Condo Owners who rent their units. SG Resorts pays owners first and HBR Owners never pay a single penny in operational costs or rent. There are some very logical reasons SG RESORTS should be your choice of Rental Programs at the HBR Resort. For more information on how you can start earning real money this Winter Season, call SG Resorts (954) 272-2095
2015 SEASON IS APPROACHING
The 2015 Winter Season will soon be upon us and SG Resorts continues to do everything possible to protect the rental revenue of its 100+ Owners on the SG Hotel Program by maintaining its “Franchise Standards” at least inside the rooms.
Unfortunately, It has become almost impossible to satisfy arriving guests once they experience the overall poor condition of the property and the experience of broken out of service elevators, questionable air-conditioning that was down for almost the entire month of July, filthy stair wells and laundry rooms with overflowing garbage cans, broken ice machines, and hallways that reportedly do not get cleaned on any regular basis.
It makes things worse when the building security appears to harass the guests registered with SG Resorts and guests are issued access cards to the elevator that are not programmed correctly causing more complaints and hassles for the guests.
It appears that Jekic & Welliver would rather cause problems that in the end destroy the reputation of the entire building and benefits nobody, rather than cooperate and make the guest experience enjoyable, Jekic & Welliver seem to make it next to impossible for the arriving guests to enjoy their time at our property.
For more than one year, Jekic & Welliver have been harassing the SG Concierge (Joey) and Joey provides FREE concierge services to all arriving guest in an effort to make their experience at our property more enjoyable. Why do they try to force Joey from helping guests? Where is the logic?
As more and more owners join the SG Hotel Program it will soon be necessary to limit the number of owners that can successfully be on the SG Program until building conditions improve. As the last QTR of 2014 approaches, SG Resorts is forced to place a property disclaimer on all its advertising and registration forms advising arriving guests that the conditions of the property and common areas remain outside the control of SG Resorts and all property maintenance, service & repairs are 100% the responsibility of the Condo Board and its Management Company.
SG Resorts takes responsibility and ownership of the interior rooms but remains helpless when it comes to the bad guest experience provided by the security staff, condo hotel staff, and the very poor condition of the property which includes constantly out of service elevators and air-conditioners that are in much need of repair and replacements.
The GOOD NEWS about the upcoming Season- SG Resorts predicts another SOLD OUT Season for the owners on its Hotel Rental Program provided the elevators work and the air-conditioning remains cold.
SG Resorts is also trying to help the venters at our property by providing breakfast coupons to certain guests that are good at their choice of food vendors on the property.
2014 SUMMER SLOW SEASON - Andrew Fisher (Mall Owner & Largest Voting Owner in Association) is buying up units at the HBR Resort. You may wish to contact him if your unit is for sale.
As the slow summer season is here, it was bad news for the HBR Condo Owners when the elevators broke down for the ump-teenth time over the 4th of July Weekend. The elevators remain down a week later with hotel guests leaving and complaining about the conditions at the HBR Resort.
Most owners believe our property has hit a 30 year low as the Jekic-Welliver Hotel Program continues to rack up horrific reviews on Trip-Advisor and other Internet sites. Most owners believe a little cooperation would go a very long way to improve the conditions at our property.
The latest chain of events has the new mall owner, Andrew Fisher, creating a new company and using his position as a Board Member to enrich himself by having the Board use the Condo’s right of refusal to buy condo units under contract for sale with outside realtors. THE PROBLEM with this becomes (1) What he is doing is in direct violation of our Condo Documents after the first execution of the “right of first refusal” and (2) What he is doing enriches himself and may be against Florida Law because he is now using his position as a Board Member to enrich himself using his position as a HBR Board Member.
Andrew Fisher is a strong supporter of Michel Jekic and many people are now having second thoughts regarding his motivations and future intentions. As Association Treasurer, Fisher, has the fiduciary duty to protect the individual members of the Association and allowing Jekic to slide the expenses of this bankrupt company into the Associations Budget does not appear to be consistent with upholding his fiduciary responsibility, especially when you consider the magnitude of the scam to defraud owners.
Take the HBR Owners Survey [Click Here]
2014 WINTER SEASON is coming to a close with many condo owners upset at the HBR Association’s Board of Directors who have been diverting condo funds to pay the expenses of the company created by the Board President (Michel Jekic) and Vice President (Laura Welliver). TWO PEOPLE who decided it was best for the HBR Owners to go into the hotel and bar business without even asking owners.
As the busy winter season comes to an end, the new company created by Jekic & Welliver is all but bankrupt and the reputation of the HBR Resort is all but destroyed as the diversion of funds has left the Association with no money to fix the constantly broken elevators, clean the halls, install the remainder of the new windows, or do just about anything for the good of the property.
SG RESORTS has tried everything to cooperate with Jekic & Welliver to no avail as the property continues to decline to the point that it is next to impossible to run a professional hotel operation.
With no money to operate and little money left in the Association bank accounts to divert, both Jekic & Welliver are at the end of their rope with no place to turn. As the slow summer season approaches Jekic & Welliver find themselves with a hotel company consisting of foreclosed condo units and vacant outdated timeshare units and owners report that they have been issuing “credits” rather than checks to the owners dumb enough to join their rental program. Their new bar is all but bankrupt after going thru five managers and the reputation for service and food quality is just as bad as their hotel operation.
The question is- When will this all end?
Read the latest Guest Welcome Newsletter [ CLICK HERE ]
YOUR FEES - Millions missing or diverted
Where are we today, just a few years after this video?
No Cash in the Association - just questionable DUE TO| DUE FROM Accounting created by Jekic & Welliver
LISTEN TO JEKIC explain what he is going to do and what never happened. Listen to how Jekic explains his new rental program that is now costing all individual condo owners over $10,000,000 as Oceanwalk Mall laughs all the way to the bank after playing Jekic and Welliver like the "stooges" they have become after giving OWM a $7.5 Million Financial Guarantee backed by Condo Owners fees and allowing Oceanwalk Mall to divest its ownership and become "suit proof" allowing Oceanwalk to walk away from a condo debt that is now approaching $1,000,000.
IN AUGUST 2012 an Emergency Board Meeting was called by Michel Jekic & Laura Welliver where they voted to go into the beach bar & hotel business but they failed to provide owners with any details such as the $7.5 Million Dollar Rent and the "Financial Guarantee" they signed that binds every owner in the Association to pay the rent regardless if they are on the rental program or not and regardless if they like it or not. The Jekic Board voted in an Emergency Meeting without even consulting owners to see if there was any interest in financing a beach bar and hotel operation.
JUNE 2013 UPDATE ON EMERGENCY MEETING - Nothing said by Jekic as recorded in the Emergency Meeting ever took place as presented and later it was discovered the cost of the "Lease Opportunity" as stated by Jekic in this video cost the owners almost $10,000,000. It was an opportunity for Jekic and the owners of Oceanwalk Mall - sadly nobody else, as Owners are left paying the bills as Oceanwalk continues to ignore its financial responsibilities to the Association with the help of Jekic & Welliver.
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The Hospitality Division of the Schecher Group Family of Companies will be producing and posting Visual Tours Online for prospective vacation renters to see and enjoy. SG Resorts believes this is now necessary due to the declining property conditions at the HBR Resort and all the negative reviews and feedback from guests and owners about the Condo’s Hotel Program.
Guest who have experienced the new Condo’s Hotel Company have not been so kind in their TripAdvisor Comments. The traveling public is now very critical of the HBR Resort as they are caught in a very confusing political battle created by the HBR Board President (Michel Jekic) and VP (Laura Welliver) in their failed attempt to create a new Hotel Company. It appears that Jekic & Welliver would rather create competition and confusion than work together to unite the property and create two programs that can feed each other compared to two programs trying to compete with each other.
SG Hospitality believes new innovative steps are needed to protect the reputation of SG Resorts as a Boutique Franchise Company as well as all the condo owner partners who are part of the SG Hotel Program at the HBR Resort.
SG Hospitality believes a virtual tour of the units on the SG Resorts Hotel Program will eliminate some of the confusion and illustrate the superior condo units available for rent from the SG Resorts Hotel Operator.
Condo Issues are real - Paying guests do not want to see the various property Issues like filthy hall ways, elevators that go down and remain out of service for days and sometime weeks. The HBR Property is quickly becoming a property everyone wants to avoid no matter how low the rates go, which is another very serious problem created by Jekic & Welliver.
Guests and Owners report having their car towed by the Garage Owner while they are checking in. The same Garage Owner that collects almost $200,000 per year to park owners’ cars that don’t exist and the same Garage Owner that forces owners’ tenants to pay for tenant parking in direct violation of Florida Law. The same Garage Owner Jekic just paid $180,000 over a dispute that should have been battled in court.
SG Resorts believes the new 2014 Visual Tour of its rental inventory will help regain the trust and confidence of guest who prefer the HBR Resort as a winter destination Our property has been destroyed by the Jekic-Welliver Folly and their attempt to go into the Hotel Business rather than create a simple guaranteed profitable condominium rental program.
The Visual Tours will avoid any unwanted surprises and hopefully educate the public regarding the confusion created by Jekic & Welliver in their attempt to steal the phone number and reservation GDS from Schecher’s Companies, which have been operating and paying owners monthly rental revenue at the HBR Resort for over 30 years.
Starting in Jan 2014, an entire production of unit tours are planned for owners who have signed up for the new VIP-RENTAL Program offered by Florida Destinations International and Boardwalk Rentals.
Discover how easy it is for you to start receiving two rental checks each month and see how your vacancy will decrease while your occupancy rate increases. Contact Kristie or Richard Jr today and ask about the new VIP Boardwalk Rental Program available to owners on the SG Resorts Hotel Program at the Historic Hollywood Beach Resort Phone: (954) 272-2095
WHEN WILL THE NIGHTMARES END? Owners are upset with the condition of the building as the 2013 year comes to an end Owners report filthy halls as they have not been cleaned for weeks while other owners report months. Someone needs to buy the Jekic Condo Board a vacuum cleaner so somebody can vacuum the halls at least once per day.
When we were a Ramada the halls were cleaned more than once per day. Today, our building has fallen into slum like conditions as the new Jekic-Welliver Condo Hotel Program takes the property ratings to an all time low on the Trip Advisor comments. Condo Guests check-in only to turn around and check-out faster than it took them to register for what is reported to be substandard foreclosed rooms, outdated vacant timeshare units, and units Jekic made special deals not to send to collection or foreclosure because he needs rooms on his bankrupt Hotel Program. One word can describe the Jekic-Welliver Condo Hotel -DEPLORABLE.
Just when you think you have seen it all, one condo employee was told by Jekic & Welliver to trim the plants, so like any good employee that fears the Jekic Wrath, he cut down and trimmed back the plants and trees in front of the SG Resorts Offices. Problem - the trees and plants were plastic and not real. The guy cut down artificial plants.
The plants were placed in an area to help people avoid a dangerous step down area on the second floor of the mall. They can’t vacuum the halls but they can trim artificial trees. Just how stupid is this? I guess the Condo’s people can’t tell the difference between real life trees and plastic ones, just like they can’t tell the difference between clean and dirty halls.
In less than two years, our property has gone from the standards of a Ramada to a 1.5 star nightmare property getting $59 per night for rooms on the Condo’s Hotel Program. Deplorable rooms that nobody wants to stay once registered and after they carry their own luggage to their room while their car is getting towed by a garage owner that keeps a blow up Holiday Christmas Sled next to the Valet stand with the Tow Company’s phone number so owners and paying guests know where to find their car after it has been towed while they are in the process of checking into the hotel.
HO HO HO- Merry Christmas and Happy New Year or is it?
New Rental Program arrives in 2014
Florida Destinations International (VIP-RENTALS) has been behind the curtain for years quietly providing hotel guests to condo owners on the former HBR Ramada Hotel Program and the SG Resorts Hotel Rental Program at the Historic Hollywood Beach Resort for well over 10 years. Florida Destinations International has also been providing select very high-end vacation rentals on an exclusive basis to Caribbean Vacation Properties and EliteCVP on the North Coast of the Dominican Republic for well over 10 years.
In 2014, Florida Destinations International has partnered with HomeAway and 17 other Vacation Rental Experts as part of the HomeAway Network Partners to market and rent select properties for the owners on the SG Resorts Hotel Programs at the Sixty Sixty Resort on Miami Beach, the Casablanca Hotel on Miami Beach, and on a limited basis to the Hollywood Beach Resort on Hollywood Beach.
At the Hollywood Beach Resort there will be a total of 50 slots available during the first quarter of 2014 for select owners to become part of this new rental program that is a supplement to the existing SG Resorts Hotel Program currently operating at the Historic Hollywood Beach Resort.
BENEFITS INCLUDE: Free Wireless, Full Hotel Services, Less Owner Costs in High Season (25%/75% - Owners keep 75% of gross rental right off the top and even less in Low Season (20%/80% - Owners keep 80% of gross rental right off the top in the summer slow season).
Its a New Program that benefits condo owners at the Historic Hollywood Beach Resort and makes owning a condo more profitable. The new program is a revaluation offering: Less Expenses, Renter Paid Expenses, Higher Occupancy, Higher Rental Revenue - Nothing but improvements over the past and one million percent better than what is provided by the Jekic-Welliver Folly (Condo Rental Program). If your unit is clean, recently renovated, or just above average, call Richard Jr at (305) 877-0106 to review your new options as a member of the SG Resorts Network of Resorts.
Condo Owners now have the opportunity to receive two monthly rental revenue checks. Condo Owners will receive their regular monthly hotel check for the daily hotel rentals, plus now- qualified owners will receive an additional rental check from FDI (VIP-RENTALS) for rentals booked thru the HomeAway Network as well as bookings from the other vacation home rental network partners.
Increased Revenue - Lower Expenses - No Hotel Expenses - Increased Occupancy - Renters pay certain charges and the bottom line is a bigger bottom line for the condo owner on this new rental program. For more information call the Kristie, HBR Owner Coordinator for SG Resorts at (954) 272-2095 Ext 7104.
COMING SOON 2014
HBR WIRELESS UPDATE
OPEN LETTER FROM SG RESORTS
It is with great concern that I am writing you this letter to inform you of the ongoing problems at our resort and the inability or unwillingness of our Condo President (Michel Jekic) to do anything to ease the problems and cooperate with us on a joint basis to improve conditions that are now directly affecting the bottom line rental income for just about every owner in our Association who is renting their unit either on our hotel program, privately, or thru an agent.
It has been brought to my attention that Jekic & Welliver are reported to be paying their owners on the Condo Rental Program with credits and owners report receiving only 30% of the rents when actually paid. This is a far cry from the 60% owners receive right off the top from the SG Resorts Hotel Program. Owners also report that they have been paid for April & May in December and this is also something of concern because not only do the owners on the Jekic-Welliver Program receive about half the income compared to the SG Resorts Program, they are paid on average over six months late when finally paid in dollars and not credits.
As you are aware SG Resorts has been providing wireless internet services to the entire building as a courtesy to not only SG Resorts guests and owners but to all guests and owners whether they were part of the SG Hotel Program or not. However, recently It has also been brought to my attention that the new Jekic-Welliver hotel program has been charging their guests a daily $10 resort fee which includes access to the wireless network of SG Resorts while refusing to contribute any portion of this fee to assist SG Resorts in offsetting the ongoing costs associated with owning and maintaining a wireless network at our property.
Effective immediately, SG Resorts is no longer in a position to continue to offer FREE wireless access and will be offering all condo owners and guests the opportunity to receive unlimited wireless internet for their unit and guest for a low monthly cost of $19. This cost is nominal and is way below the monthly cost AT&T, Verizon, and other Network Providers can offer. Furthermore, if you are on the SG Resorts Hotel Program, you will receive a discounted monthly wireless bill of $15 per month and it will be deducted from you monthly statement.
Moving forward, if any owner would like to receive unlimited wireless internet service for your unit, which will enhance your ability to rent your unit, please complete the enclosed form and return it to me as quickly as possible. The annual fee, if paid in full is $225. However, if you elect to pay monthly, the cost is $19 plus a 15% service fee and payment requires a credit card on file which will be billed monthly once authorized by you.
It is critical that every owner both on and off the SG Resorts Hotel Program understand that the new condo hotel rental program created by the Jekic Board continues to undersell rooms at very low rates in an effort to increase their occupancy to pay expenses. This practice of lowering rates to attract renters has driven down the rates for everyone both on and off the SG Hotel Program and makes it almost impossible for others to publish rates that can generate profits. As long as the Jekic-Welliver Program undercuts rates and offers less than an acceptable level of service the public perception of our building will decline and it won’t be long before there will be no repeat or returning guests and all new guests will be looking for the $59 rate that nets the owner about $15. This is a rate that a real hotel company can’t accept as it is impossible to meet the basic hotel expenses and overhead,no less have any chance of making a profit.
Sadly, our building is quickly getting a very bad reputation and it won’t be long before our property falls back into the unacceptable category for most all vacation travelers. The facts are clear for anyone to see and the reality of life, as it exists today, at the HBR Resort with the new Jekic-Welliver Bar & Hotel Operation is not good. Many owners believe the diversion of condo funds to finance the Jekic Folly is not only illegal but now impacting everyone in our Association.
I regret to inform you that unless positive changes are made, SG Resorts will be forced to re-evaluate its position at the HBR Property and make the necessary changes as may be required to maintain quality franchise standards under the almost impossible property conditions beyond our control. If the downward rate trend and price undercutting continues, it will be come next to impossible for SG Resorts to offer the same level of monthly rent guarantees to its flat rate owners. Changes are needed and it starts with Board cooperation and it is my opinion, as long as the Jekic Board remains in power, this will never happen.
If you have any questions please fee free to call me or Kristie at (954) 272-2095
Richard J. Schecher, Jr.
Open Board Meeting November 2013 Answers no real questions and raises more concerns from Owners sitting in audience Michel Jekic, HBR Condo President, refused to address any owner questions regarding the financial status of his new beach bar (101 Ocean Pub) and his new hotel program (Historic Hollywood Beach Resort) when asked for specific details from owners sitting in the audience. Jekic claimed those questions must be asked at the meeting, when called, by the other HBR Association. The Jekic Double Talk continues- the Master Board is responsible for the operation of the HBR Association and Jekic is the President of Both the Condo and the Master (Controlling Board) for the property and our Association. Now it appears that Jekic can only answer questions when during the Board Meeting of the other Association HELLO, is he serious !
It has been almost 4 years since Jekic and Welliver have been in control of our Associations (Condo & Master) and Jekic still refuses to accept responsibility or answer any direct intelligent questions presented by owners. New Board Member (Uri Fried) raised serious questions about the selective collection methods used by Jekic. Why are some owners targeted for collection and foreclosure while others go Scott-Free for months racking up what appears to be tens of thousands of dollars in delinquent fees? Mr. Fried raises a very good point and Jekic seems to have no acceptable or logical answer to the questions asked by our newest Board Member, Uri Fried.
Jekic claims that Schecher syphoned off $1.2 Million Dollars from our Association and that is the reason the accounting is short and the accountants put a warning foot-note on a all Association Financial Statements informing owners that what the Jekic Board is doing may be in direct violation of Florida Law and needs immediate attention.
Jekic explains the accountant’s warning by saying the money due to one account from another account needs to be written off and the Association needs to start over fresh. The explanation from Jekic that the accountant’s note can be corrected by writing off millions in debt is totally unacceptable and absolutely crazy. The debt was created during the Jekic-Welliver Administration of our Association by diverting money to unbudgeted expenses and covering the start up costs and operational cost of two new business ventures (bar & hotel) created by the Jekic Board without even asking owners or taking an owners vote. Risking everything for almost nothing is what Jekic & Welliver are doing and what they are doing is in direct violation of Florida Condominium Law.
It is time for Jekic & Welliver to stop dancing around the issues and face the very serious questions presented by owners with responsible logical answers. Questions like: (1) Why did you let Ocean Walk Mall divest its ownership to avoid paying maintenance and assessment fees? (2) Why did you give Ocean Walk Mall a 41% rebate on all future “Special Assessments” to get the space Schecher’s Company has occupied for more than 30 years? (3) Why did you refuse to lien Ocean Walk Mall until after they were able to separate their ownership interest? (4) Do you know that by allowing Ocean Walk Mall to divest ownership, our pool now sits on property that is not related to our Association and the Easement Agreement granting owners exclusive use of the pool is in serious jeopardy? (5) Why did you agree to pay $7.5 Million to Ocean Walk Mall and guarantee it with owners’ maintenance fees without first asking owners or taking an owners vote? (6) Why did you use association maintenance and reserve funds to finance a bar and hotel business without even asking owners? (7) Do you realize that diverting maintenance fees for a bar and hotel operation is in direct violation of Florida Condominium Law? (8) Where are the financial statements for the new bar and hotel operation?- you claim they are owned by owners but you refuse to disclose any information or financials about the two operations to owners. (9) Why did you accept $800,000 from Ocean Walk Mall when they owed over $1,000,000 and they sold the Mall for $1.4 Million? (10) What is your motivation and why are you working against the best interest of owners by making questionable closed door deals that owners must finance?
There are many serious questions that Jekic & Welliver refuse to address. Rather than face the issues, Jekic continues to slander former Board President Schecher.
MORE TO COME. .
HBR Jekic Board of Directors Closed Door Deal Nets Condo Association $800,000 in back maintenance and assessment from the Ocean Walk Mall.
GOOD or NOT SO GOOD . . .
NOT SO GOOD when you consider that Oceanwalk Mall owed the Association well over ONE MILLION DOLLARS. Collecting something is better than nothing but at the end of the day, it is not really such a good deal for the condo owners at the HBR Resort. Why? Because if Jekic & Welliver would have placed a lien on Oceanwalk Mall when they were $500,000 in arrears and before they allowed the Mall Owners to divest their ownership interest the Condo Association would have had a collectible lien on not only the second floor but the first floor and the property that contains the condo’s pool. Yes, that is right. The Condo Association could have collected on all the money due and not just a discounted amount.
If Jekic & Welliver acted in the best interest of the Condo Association, the Association could have placed a lien on the property (valuable property) which contains our pool. The people at the shallow end of the pool have been telling people that the mall's second floor is rumored to have sold for $1,200,000 in cash with $800,000 going to the Condo Association, $300,000 to pay off the back real estate taxes, and $100,000 to the NYC Mall Owners.
Some owners are now asking why can't the Condo Association go after the Mall Owners for the difference because Oceanwalk Mall LLC owed at least $500,000 of the over $1,000,000 in delinquent fees due our Association?
GOOD When you consider the new owner of the second floor is reported to have plans to purchase the first floor of the Mall also and make fantastic improvements to the commercial space at the HBR Resort, it is a very good thing. Most owners believe that any improvement will benefit all condo owners at the HBR Resort and make for a better future for everyone who can still afford to own. Even better, the new owner is paying the maintenance fees and will become a valued asset to the Association compared to the former owner from NYC who many believe was one huge dead-beat owner and a detriment to the property rather than an asset.
HBR REALITY CHECK October 2013 finds our Association with no cash in the bank and money due from an account that appears to be approaching almost a million short itself. With involuntary bankruptcy becoming a real possibility, Condo & Timeshare Owners are wondering where all the money has gone. It appears the new bar & hotel business created by Jekic & Welliver has been using condo money to pay not only its rent but its operating costs as there appears to be no real money left in the Association's bank accounts only deceptive DUE TO - DUE FROM accounting entries. Worse news - Jekic & Welliver's new LLC may owe the Association over $600,000+ with no means to pay back what it owes as the Hotel's minimum wage employes walk off the job demanding their pay. What has Jekic & Welliver done to us? Who if anyone can help ?
NEW CONDO OWNERS WELCOME TO OUR PROPERTY
WELCOME NEW HBR CONDO OWNERS
We would like to invite you to consider joining our Hotel Rental Program and we would welcome the opportunity to sit down with you to review the many benefits available to you as a member of the SG Resorts Hotel Rental Program. Our HBR Rental Program has been operating at our property for over 30 years and we believe we have true value and value added services to offer you as a member of our exclusive condo owners rental program.
Unlike others, we do not bash our competition. We prefer you choose to join our “Rental Program” based upon key very important facts as well as our past history and performance which includes paying owners even during the slow summer months and the most difficult of times over the past 30+ years we have been operating at the HBR Resort which is a most challenging property at best.
There are several key advantages in becoming part of the SG Resorts Hotel Program which include but are not limited to the following:
- We have been operating at the HBR Resort for over 30 years
- We have never failed to pay owners their monthly rental revenue
- During difficult times in 2010, the Program Owner paid all condo owners with his own personal funds when the Ramada Franchise was destroyed by the HBR Condo Commandos fighting to gain control of the condo purse strings
- We have joined forces to assure owner payments by pooling revenues from two other South Florida Condo Resorts operated by our company
- Our owners’ rental contract pays owners first, right off the top, and owners are not responsible to pay the hotel operating costs compared to the contract offered by the HBR Condo Association.
- Our owners’ rental contract has upfront fixed costs compared to the Condo Association’s contract where owners must pay all expenses
- Our Company has long term travel partners and we are listed in the top 10 hotels on Expedia in Ft. Lauderdale area - huge advantage
- As a member of our rental program you are eligible to join the SGOC where you are eligible for discounted group insurance for your HBR Condo Unit
- As a member of our rental program you will receive a $3,000 Gift Certificate good towards a SG Resorts Platinum Plus Travel & Vacation Club Membership
- As a member of our rental program your unit will be managed by professionals with franchise standards compared to the Condo Association who has a history of management and employee turnover and no franchise standards
- As a member of our rental program, you are guaranteed no tenant eviction issues because we are a legally licensed hotel operation compared to renting on your own where a court eviction is required with troubled tenants
- As a member of our rental program all IRS Issues are covered as we collect and pay all the required State resort and sales taxes. You will receive a 1099 at the end of each year to document your rental revenue at the HBR Resort
WELCOME to the website created for the majority of condo owners who live outside the State of Florida and in Foreign Countries. On this website, HBR Condo Owners can view short video presentations regarding the current and ongoing state of affairs unfolding at the Hollywood Beach Hotel Owners Association under what many call the "Dictatorship" of the Board President, Michel Jekic.
It would appear that shortly after taking control of the HBR Condo Association in September 2010, President Jekic and his Board of Directors has made "Special Assessments" into regular annual events. In spite of the fact that the Condo Association appears to be over $40,000 short of paying its monthly bills President Jekic and his Board of Directors has refused to adjust monthly maintenance fees to a proper lever to cover the operational expenses of the Associations.
How responsible is this? Most intelligent people consider this an act of gross negligence and can see thru the political reasons of attempting to win votes by not raising maintenance fees. Not very logical when million-dollar special assessments are routinely passed by President Jekic & Vp Welliver as a means to pay what can't be delayed or avoided any longer.
After two consecutive years of million dollar assessments and mounting financial losses the Board President (Michel Jekic) and Vice President (Laura Welliver) refuse to address or respond to Condo Owners specific requests for Association financial records and other very important issues, like where did the millions in assessments collected already go?
Today in June 2013, it appears that the 2008 Condo Bank Loan ASSESSMENT for building renovations remains unpaid and delinquent even after the Special Assessment was collected to pay off the bank loan several years ago. Now, with a bank loan delinquent, payments over $70,000 per month, no money to properly address building issues, we see the Jekic Board scramble for cash flow as they continue to avoid answering responsible owners questions. Questions like where did all our maintenance fees go?
The fear of many owners is that Jekic & Welliver diverted and emptied the Association bank accounts to further their own personal agenda of driving the former Board President's Company out of business and off the property.
UPDATE JUNE 2013
OCEANWALK MALL Vs Owners
As their debt to the Association approaches ONE MILLION DOLLARS, Michel Jekic & Laura Welliver made a closed door deal with the Mall Owners that allowed them to divide ownership to avoid having to pay maintenance & assessment fees. President Jekic and VP Welliver allowed Oceanwalk Mall to become "suit proof" and walk away leaving all owners to cover the financial shortage. TODAY the Mall only swaps check and does not even pay maintenance or assessments.
Oceanwalk Mall is responsible for 20% of the Associations Budget and also enjoys 20% of the voting power for the Association. Historically 20% of the vote controls the outcome of the election and for the fist 15 years of our Association's history the Mall dominated the HBR Board of Directors with six out of the seven seats on the HBR Timeshare and Condo Boards. Sometime in the mid 1990s an owner (Richard J. Schecher) took an interest in the Association and was responsible for eliminating the Mall Dominance when he united the majority of all owners for a unified vote. This movement by Schecher changed the structure of the HBR Board forever and the Mall no longer controlled six out of the seven seats. In fact, until recent years, the Mall held two of the seven seats on both the Timeshare & Condo Boards at the Hollywood Beach Resort.
The Jekic-Welliver Folly will hit harder at home for the majority of HBR Owners when the next special assessment is levied to cover the already mounting losses reported to be over $300,000 which has accumulated in less than three short months of operation (Sept-Nov 2012). The Association's Financial Statement shows in excess of $250,000 in maintenance & assessment fees being diverted from the Association to pay the expenses of the new LLC (Company) created by Jekic & Welliver. Jekic testified under oath that his Legal Department and CPA Accountants approve the diversion of funds to pay the new company's expenses directly from the Association rather than keeping expenses separate and making a loan from the Association to the Jekic-Welliver new bar & hotel company (HHBR,LLC).
Not very many people voted in the most recent annual election other than the the Mall and the group of owners who support the recommendations of Judy Tower and Uri Fried. In reviewing the candidates it appears that none of the sitting Board Members chose to address the issues when invited to attend the Owners Pow Wow held the week before the election in the Club Atlantic Restaurant. At the end of the day, it really did not matter what the issues were because the Mall vote carried the election and the same Board that voted to award the Mall a $7.5 Million Dollar Lease and guarantee it with the Association maintenance and assessment fees were re-elected by a landslide. After all the Mall just received $7.5 Million in rent, plus a 41% Assessment Rebate - why would they vote for anyone other than those who just made their day and they could not risk a new Board reversing the diversion of maintenance fees to cover the Mall rent.
Many of the newer Condo Owners are now calling and banning together to take action agains those responsible for the "closed door dealings" that have siphoned off millions from the Association in one form or another. Line Up the responsible parties and they look like: Michel Jekic (Board President) Laura Welliver (Board VP) HBR Board of Directors, Ben Heller (Billionaire Mall Owner), David Schonberger (Mall Financial Director and Richard King's boss), the attorney giving the Board bad legal advise and guidance, as well as anyone else responsible.