The following quote is from BCC accountant Donna Seidenberg’s every monthly Financial Reports' cover letter produced since December 2008. Underlining has been added for emphasis.
“Management has elected to omit substantially all of the disclosures and the statement of cash flows required by generally accepted accounting principles. If the omitted statement of cash flows and the disclosures were included in the financial statements, they might influence the user’s conclusions about the Association’s financial position, results of operation and cash flows. Accordingly, these financial statements are not designed for those who are not informed about such matters. “
In other words, the BCC Board of Directors has acted to keep BCC owners ignorant about what’s happening to their $2 million+ annual maintenance payments. In doing so, they are violating the generally accepted and required accounting standards and the advice of our accountant.
These Financial Reports are available on the BCC Official web site (see link in left column, go to "Resources" then "Documents"). Hard copies also available for pick up in the BCC office.
16 comments:
The following comments have been moved from "It's Only Money" article in the BCC blog and they have been deleted from that article.
Anonymous said...
I just read the BCC Financial Statements of June 30, 2009 put out by the CPA Donna Seidenberg.
Usually when I get stuff like this, I skip the letter and go straight to the figures, but this time I actually read the letter.
It's a shocker!
She writes: "Management has elected to omit substantially all of the disclosures and the statement of cash flows required by generally accepted accounting principles ... if included ... might influence reader's conclusions about the Association's financial position ..."
WHAT A CONDEMNATION OF THIS BOARD'S SHADY DEALINGS WITH OUR FINANCES!
No wonder the Board wants to fire her! She knows EXACTLY what they are trying to hide from the residents and what they are up to!
I wonder if this hides that $28,000 check written by Pete Shelton (as Treasurer) to Saundra Zubko (over and above what the SRD were entitled to) AND this check was written WITHOUT the Board's knowledge OR approval!
Boy - are we being taken to the cleaners! And by our own neighbors!
These people HAVE to go!
August 11, 2009 11:26 PM
Blacktooth said...
MIGOD Anonymous - you are right! I skipped the letter and looked at the figures.
I assume that by "Management" she means the Board of Directors. Our manager Joanne has nothing to do with the finances - that's strictly between the CPA and the Board's Treasurer.
A Financial Report is NOT a legal "lawyer-privileged" document. They CAN'T withhold this information from the residents!
I AM DEMANDING THAT THIS BOARD HAVE THE CPA RE-ISSUE THAT FINANCIAL STATEMENT TO SHOW ALL THE OMITTED INFORMATION!
Otherwise, we should file a report with the DBPR (and any other authority that might be interested) and cite this Board with misfeasance, malfeasance, and mismanagement of Association funds. The next (new) Board should do a forensic audit of the past two years while this Board (of essentially the same people) have controlled our money.
NO WONDER the audit was 4 months late - the Board was probably scrambling in panic to cover up and white-wash their activities with our money!
This CPA NEEDS TO BE KEPT - NOT FIRED!
August 12, 2009 2:36 PM
JordieStuart said...
Our BOD is lazy and illiterate. I LOVE this CPA - she pulled a fast one on them and that was GOOD for us residents (at least those who still think for themselves and aren't led around by their noses by this dumb Board).
Is she giving us a clue that our finances are either:
1. NOT as good as what the Board is letting on? OR
2. The Board wants us to THINK we don't have a lot of funds so our maintenance guys can't get a raise, or that the bathrooms can't be done ... and they want to hide this excess so they can use the funds for their own private agenda (and NOT for the benefit of the residents)?
Jason is SUPPOSED to be a CPA; I hope he does a better job for his employer than he does for BCC. He reminds of "Hogan's Heroes" Colonel Klinck - "I know nut-ting!" He's nothing but a seat-warmer, a place-holder and a "yes" voter for this Board and does a shitty job as the BCC Treasurer. Pete as Treasurer last year was absolutely no better.
Our finances are being handled by a bunch of AMATEURS. Do they think we are as dumb as they are? Can they even balance their OWN bank books?
Our MAINTENANCE GUYS would make a better Board of Directors for BCC!
KEEP THIS CPA! SHE'S HONEST!
August 12, 2009 3:02 PM
awfulitch.ivan said...
KEEP Mrs. CPA.
FIRE the 5 CROOKS on Board.
Mr. Pukit, we need new discussion topic on this. Thank you. Ivan.
August 12, 2009 3:40 PM
Charles Pukit said...
There is an open invitation to any BCC resident who is a CPA or knowledgeable about accounting and financial statements. Please see "Help Wanted" article in this blog. No volunteers so far. If this continues to be of interest to enough people, a general "Accounting" article (like "Puppies...") could be opened in Rants & Raves
August 12, 2009 4:19 PM
chelliebee said...
I can't believe these postings! People are getting all upset about things they know nothing about. They are seeing things that are simply NOT there. Of course the Board of Directors left out all the little things leading up to the figures - otherwise the report would have been several pages long and people would be no wiser. After all, the finances for a condo are much more complex than balancing your personal check book! They wouldn't understand it even if it WAS added in.
I think it was pretty underhanded for the CPA to intimate that the Board was hiding something. Perhaps the Board should fire her. We don't need sneaky employees.
Let me say, that's the trouble with this Blog - everyone wants to find fault and get on the bandwagon. They don't realize that they don't have the whole picture and run off at the mouth about NOTHING. Get a life!
August 12, 2009 7:42 PM
Anonymous said...
I think this deserves a separate topic heading, Mr. Pukit.
With the implied warning in the CPA's letter, it's impossible to make any financial comparisons since we haven't had ANY Newsletter in almost a year or "hand-outs" of this type of material for months and months. Both Pete and Jason know nothing when asked (or they let on they don't, claiming that they haven't received the latest reports, but never bring in any past reports to the meetings either!) This is a 6-month report - what can we compare it to?
I don't believe a thing that this Board tells us any more. If any of them run in the next Election, we should immediately RECALL THEM if they somehow manage to get back in.
No waiting - just DO IT!
August 12, 2009 7:53 PM
MollieCoddle said...
Why in the world would they NOT want us to know the whole picture? We pay our maintenance fees and deserve to know where and HOW it's used.
Residents are entitled to see all financial reports; these things are NOT lawyer-privileged! Some may not understand, but a lot of us do. Give us credit for having brains. (Although I seriously doubt that SOME people in here DO have a brain ... they're probably the ones that elected these useless Board members!)
I want to see the FULL report - and I want it PUBLISHED and handed out just like this report. I DON'T want to have to ask permission and stand in line to see something that I am entitled to!
Keep this CPA - she's worth whatever we pay her. At least SHE is honest ... I have serious doubts about the integrity of this Board of Directors.
August 12, 2009 8:07 PM
SandyBeach said...
The Financial Report? MORE hanky-panky at the crossroads! Why give us a SIX month report when we haven't had anything since last year to compare it to? How come we haven't been getting a report EVERY month?
I smell a rat ... no, I smell FIVE of them!
August 12, 2009 8:10 PM
Charles Pukit said...
The BCC Monthly Financial Statements have been prepared every month by our accountant, Donna Seidenberg, CPA. It is my understanding that they are sent to the BCC office about two weeks (at the latest) after the close of the month. I know that the office staff has been ordered not to release them until they have been reviewed and approved by the BOD. This has historically taken a month or a month and a half!
This report, prominently stamped "Received Aug 07 2009" was probably received by the BCC office no later than July 15!
Since these reports seem to have generated some interest, a new "Financial Reports" article will be opened in "Rants & Raves" and the appropriate comments will be transferred there.
August 13, 2009 7:03 AM
To ChellieBee: It seems that I'm always jumping down your throat. I have some comments for you:
Perhaps we "don't have the whole picture" - but WHOSE fault is that? So we "run off at the mouth" BECAUSE we don't know what's going on - and PLEASE! give us the courtesy of assuming that we have at LEAST as many brains as YOU do! Provide details and we'll shut up.
YOU may regard the CPA as "sneaky" - but most residents don't - we think of her as HONEST, which is something we are all beginning to doubt that our Board is. The Board wants to fire this CPA - wonder why? Don't they LIKE honesty? I guess that's why they want to fire manager Joanne too - this Board can't deal with HONESTY!
I think the residents are itching for a big change in how things get done here in BCC - and the change that we desire will come ONLY with a brand new, more "transparent", honest Board of Directors.
It will be interesting to see if any of the current crop of Directors will have the nerve to run again. Unless the election is rigged and not kosher, I believe that none of them stand a snowball's chance in hell of being re-elected - EXCEPT for Wilbur and Bill - they are the only two honest ones on the Board!
So, ChellieBee, you are entitled to your opinion, as we are too. It just seems that YOU - by supporting the Board's actions - are at odds with the mainstream of residents' thinking.
Perhaps you are a Board member???
Question: Is ChellieBee a member of the Board of Directors? Just curious.
Here we are in September and the July financials have STILL not been released. What's being "managed"?
These board members who seek to keep the members in the dark, remind me of someone planning a divorce who squirrels away all the money so that there aren't any assets once they file. Full disclosure is demanded for fiscal responsibility
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