Community Association Manager surrenders license

 
DENVER (Dec. 18, 2015) –  The Director of the Division of Real Estate (“Director”), part of the Department of Regulatory Agencies (“DORA”), allowed  David W. Martin to voluntarily surrender his community association manager (“CAM”) license effective immediately.  Martin is the owner and designated manager of PMG Enterprises, Inc., a community association management company.  The company’s license was also surrendered to the Director.

Staff with the Division of Real Estate received numerous complaints from consumers serving as board members of their homeowners association (“HOA”) alleging Martin diverted HOA funds not belonging to him for his personal benefit.  Furthermore, 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.  

PMG Enterprises, Inc. and Martin managed up to 13 HOAs at any given time. The 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.  Martin would then write unauthorized checks payable to PMG Enterprises or other payees.  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.

“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,” says Marcia Waters, Director of the Division of Real Estate.  “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.”

As of July 1, 2015, anyone who engages in certain defined activities of a “Community Association Manager” relating to the management of a common interest community is required to obtain a license issued by the Division of Real Estate.

Only individuals holding a pre-licensing credential, successfully passing the state mandated test, completing a fingerprint-based criminal history background check and meeting the insurance requirements of having in effect both  errors and omissions and crime fidelity insurance policies will be issued a license.  Additionally, licensed CAMs will be required to obtain continuing professional education before renewing their license.

 
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About DRE
The Division of Real Estate (DRE) is the licensing, regulation and enforcement agency for the real estate broker, appraiser, community association manager and mortgage loan originator industries.
 
About DORA
The Department of Regulatory Agencies (DORA) is dedicated to preserving the integrity of the marketplace and is committed to promoting a fair and competitive business environment in Colorado. Consumer protection is our mission. Visit www.dora.colorado.gov for more information or call 303-894-7855 / toll free 1-800-886-7675
 

Media Contact:
Eric Turner
Division of Real Estate
p: 303-894-2424