Preview
1 LAURENCE J. JENNINGS
2828 Filbert St. Unit B
2 Oakland, CA 94608
3
(707) 459-2287
bcoaunitb@yahoo.com
4 Attorney In Pro Per
5
6
7
8
9 THE SUPERIOR COURT OF THE STATE OF CALIFORNIA
COUNTY OF ALAMEDA
10
11
12 ) Case No.
THE STATE OF CALIFORNIA
)
13 )
ex rel. )
14 ) VERIFIED COMPLAINT FOR
LAURENCE J. JENNINGS, )
15 ) VIOLATIONS OF THE INSURANCE
) FRAUD PREVENTION ACT [INS 1871.7]
16 Plaintiffs, )
)
17 v. )
) Filed with:
18 )
) Request for Judicial Notice,
19 MATTHEW BRONAUGH, ) Declaration of Nancy Carter,
S. ELIZABETH MILLER (SBN#260180), ) Declaration of LS Jennings,
20 BAYSIDE COURT OWNERS ) Declaration of LJ Jennings,
ASSOCIATION, INC.; ) Declaration of Raj Patel.
21
a California Corporation, )
)
22 )
)
23 and DOES 1 – 50, (inclusive) )
)
24 Defendants. )
)
25 )
________________________________ )
26 )
)
27 )
28
VERIFIED COMPLAINT FOR VIOLATIONS OF THE INSURANCE FRAUD PREVENTION ACT [INS 1871.7]
1
1 - TABLE OF ACRONYMS -
2 AOI = Articles of Incorporation
3 BCOA = Bayside Court Owners Association
4 BOD = BCOA Board Of Directors
5 CCC = California Corporations Code
6
CCP = California Code of Civil Procedure
CC&Rs = BCOA Codes, Covenants & Restrictions
7
CID = Common Interest Development
8
CIV = California Civil Code
9
FCA = California False Claims Act (GOV 12650 et seq)
10
FBOD = Fake Board Of Directors (10/2019-10/2020)
11 GOVDOCS = BCOA CID Governance Documents Per CIV 4150 (see Exhibit GD1)
12 HOA = Home Owners Association
13 IFPA = Insurance Fraud Prevention Act (INS 1871, et seq)
14 ORDER1 = 09/2019 TRO Against BCOA Election Activity (lifted 01/2020)
ORDER2 = 10/2020 Order Seating 2020 Elected Board To Succeed 2019 Incumbent Board
15
PC = Penal Code
16 SIP = Separate Interest Property
17 SOS = Secretary of State
18 - TABLE OF CONTENTS -
19 CAPTION PAGE ...................................................................................................................................1
20 TABLE OF ACRONYMS .................................................................................................................... 2
21 TABLE OF CONTENTS .................................................................................................................. 2-3
22 TABLE OF EXHIBITS ........................................................................................................................ 3
23
PARTIES TO THIS MATTER ......................................................................................................... 4-7
1.0 INTRODUCTION ....................................................................................................................... 7-9
24
2.0 OVERVIEW OF THE SCHEME .............................................................................................. 9-23
25
A.: Background .................................................................................................................... 9-14
26
B.: Insurance Fraud Scheme .............................................................................................. 14-23
27
3.0 LEGAL ARGUMENTS........................................................................................................... 23-25
28 PLAINTIFF'S FIRST CAUSE OF ACTION............................................................................. 25-28
VERIFIED COMPLAINT FOR VIOLATIONS OF THE INSURANCE FRAUD PREVENTION ACT [INS 1871.7]
2
1 Violation of the Insurance Fraud Prevention Act (INS 1871.7)
As To: All Defendants & Does 1-50
2
3 4.0 CONCLUSION ........................................................................................................................ 29-30
PRAYER FOR RELIEF ...................................................................................................................... 30
4
VERIFICATION ................................................................................................................................. 30
5
DECLARATION-Nancy Carter..................................................................................................... 31-38
6
DECLARATION-LJ Jennings ....................................................................................................... 39-42
7
DECLARATION-LS Jennings ...................................................................................................... 43-56
8 DECLARATION-Raj Patel ........................................................................................................... 57-62
9 REQUEST FOR JUDICIAL NOTICE .......................................................................................... 63-64
10 EXHIBITS ................................................................................................................................... 65-405
11 - TABLE OF EXHIBITS -
EXHIBIT AS1: BCOA Assessment (Revenue) Schedule 2013-2020 .......................................... 65-67
12
EXHIBIT FM1: Fake Board Minutes Referencing Fraudulent Insurance Claim #1 ..................... 68-69
13
EXHIBIT GD1: BCOA GOVDOCS (Governance Documents pursuant to CIV 4150) ............. 70-149
14
EXHIBIT IC1: Insurance Scam #1 (I-SCAM-2020) Dossier .................................................... 150-178
15
EXHIBIT IC2: Insurance Scam #2 (I-SCAM-2021) Dossier .................................................... 179-185
16 EXHIBIT IF1: Insurance Fraud Admin. & Tortious Interference By Corporate Raiders 2020..186-206
17 EXHIBIT IF2: Carrier Response To False Insurance Claim #1 DOL 2015 .............................. 207-213
18 EXHIBIT II1: Insurance Broker Refuses Relator Request For Information ............................. 214-219
19 EXHIBIT IN1: Bronaugh Insurance Broker Change & Info Restriction 12/2020 .................... 220-224
20
EXHIBIT M1: Hiser v Miller Correspondence October 2019 Evidencing Miller Fraud .......... 225-228
EXHIBIT PM1: 09/15/2023 Email Response from BCOA Management Agent ...................... 229-233
21
EXHIBIT VL1: Defendants' 2024 Vexatious Litigant SLAPP Action ..................................... 234-239
22
EXHIBIT 01: 2019 Incumbent Board Information Filings To The SOS .................................. 240-253
23
EXHIBIT 17: BCOA 2021 Damage Report Package ................................................................ 254-390
24
EXHIBIT 33: TRO-Case #SCUK-CVPT-19-7317 Prohibiting Election Activity 9/19-1/21.... 391-394
25 EXHIBIT 35: Corporate Raiders' Fraudulent SI-100 & CID Filings 11/19-3/20 To SOS ........ 395-399
26 EXHIBIT 35A: Defendants' Fraudulent SI-100 & CID 2023 Filings To The SOS .................. 400-402
27 EXHIBIT 52: Court Settlement Order Issued 10/02/2020 In Case #HG19046206 .................. 403-405
28
VERIFIED COMPLAINT FOR VIOLATIONS OF THE INSURANCE FRAUD PREVENTION ACT [INS 1871.7]
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1 - PARTIES TO THIS MATTER -
2 1) Plaintiff in this Qui Tam Action is the State of California, by and through Relator
3
LAURENCE J. JENNINGS, (aka: "LJ Jennings").
4
a) LAURENCE J. JENNINGS, (aka “Relator” or "Qui Tam Plaintiff"), is a Member of the
5
6
BAYSIDE COURT PROPERTY OWNERS ASSOCIATION (aka “BCOA”), by reason of his
7 ownership of Separate Interest Property (aka "SIP"), "Unit B" in the Condominium Project located at
8 958 28th Street, Oakland, California, consisting of the property shown on Parcel 6640 recorded on
9
November 19, 1997, in Book 232 of Parcel Maps at Page 81 and on parcel Map 7477 recorded on
10
May 30, 2000, in Book 252 of Parcel Maps, at Page 6, in the Official Records of Alameda County,
11
CA, (aka “The Project”), and is by reason thereof the owner of a 1/33rd interest in the Common Area
12
13 of The Project.
14 b) BCOA Membership is determined pursuant to: CC&Rs; 2.18, 2.21, 7.2; CIV 4160 & CCC
15
5056.
16
c) Relator was an employee of the BCOA from 2016 until his wrongful termination circa
17
01/2023. He was terminated in retaliation for Whistle Blowing activity related to the frauds alleged in
18
19 this Complaint and, other Complaints of which this Court may take Judicial Notice, (see ¶10 herein).
20 2) MATTHEW BRONAUGH (aka "Bronaugh") is an individual who, Relator is informed &
21
believes, and therefore alleges on such information & belief, is a resident of the County of Alameda.
22
a) Bronaugh is a BCOA Corporate Raider (aka "Raider"), who falsely claimed to have been
23
self elected to the BCOA Board (aka "BOD"), and falsely claimed to have served as BCOA President
24
25 from circa 09/29/2019-10/12/2020. Defendant Bronaugh did not become a legally elected BCOA
26 Director until 10/02/2020, (see Exhibit 52).
27
b) He is alleged to have held the office of Corporate BCOA President from circa 10/13/2020-
28
VERIFIED COMPLAINT FOR VIOLATIONS OF THE INSURANCE FRAUD PREVENTION ACT [INS 1871.7]
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1 02/22/2022, except when Rachel Mei-Lan Tan is alleged to be the President in the Board Minutes of
2 11/17/2020. However there is no evidence of Defendant Bronaugh ever being appointed or elected
3
President, present in the BCOA's Corporate Records obtained by Relator circa 08/15/2023 via
4
discovery he undertook in Case #22CV020739, (RFJN #12). [See Declaration of LS Jennings, ¶15 et
5
6
seq)].
7 3) S. ELIZABETH MILLER, (SBN#260180, aka "Miller"), is an individual who, Relator is
8 informed & believes, and therefore alleges on such information & belief, resides in Alameda County.
9
a) Miller is a practicing attorney who claimed to represent the BCOA as its General Counsel
10
at various times circa 09/2019 through 10/2020, despite no legally elected BOD having retained her
11
services prior to 10/13/2020. (See Declaration of LS Jennings, ¶19 et seq)
12
13 b) There is no evidence of Defendant Miller ever being retained by the BCOA resident in the
14 BCOA's Corporate Records obtained by Relator circa 08/15/2023, via discovery he undertook in
15
Case #22CV020739, (RFJN #12).
16
4) BAYSIDE COURT OWNERS ASSOCIATION Inc., a California Non-Profit Membership
17
Corporation and Real Party in Interest, hereinafter individually referred to as “BCOA" and
18
19 "Defendant BCOA", was formed in 1999 to govern & maintain The Project, including its Common
20 Areas, by implementation of the Declaration of Covenants, Conditions & Restrictions of Bayside
21
Court dated May 22, 2000 & originally recorded in the official records of the County of Alameda,
22
State of California on July 10, 2000, as Document No. 2000203590. This Declaration is hereinafter
23
referred to as "CC&Rs", and is further identified by context or express qualification as being in effect
24
25 at a particular point in time as detailed in the 2015 CC&Rs on pg 6 under the heading "CC&R
26 RECORDING HISTORY PREAMBLE", as further detailed in CC&R 1.1.2 & Article IX, items
27
9.3.15 (pg 35) through 9.3.35 (pg 36), inclusive, (see Exhibit GD1).
28
VERIFIED COMPLAINT FOR VIOLATIONS OF THE INSURANCE FRAUD PREVENTION ACT [INS 1871.7]
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1 a) Defendant BCOA, a Fiduciary, operates under a charter (its "Article Of Incorporation", aka
2 "AOI"), filed with the California Secretary of State (aka "SOS") which sets forth its duty of care to
3
each of its 33 constituent Members, (see Exhibit GD1 pgs 45-48, inclusive).
4
b) All Defendants as set forth in ¶s 2 & 3 above are, or at all relevant times have held
5
6
themselves out to Relator to ostensibly be (in one capacity or another), Fiduciary Agents of
7 Defendant BCOA.
8 c) Defendant BCOA is a California Corporation, and so is treated as a person who acts
9
through an elected BOD, its appointed Corporate Officers, and its Agents such as Defendant Miller.
10
5) The Defendants: BCOA, BRONAUGH, MILLER & Does 1-50, are hereinafter referred to
11
collectively as "Defendants". Each Cause of Action in this Complaint has a header which states "As
12
13 To:". After "As To:" the names of Defendants who are being assigned responsibility in this
14 Complaint (ie: being sued by it), are expressly listed for unambiguous reference.
15
a) IF a Defendant's name is not listed after the Cause of Action's "As To:", THEN said
16
Defendant is NOT subject to that particular Cause of Action in any way.
17
6) The true names & capacities, whether individual, corporate, associate, or otherwise of
18
19 Defendants named herein as DOES 1-50 INCLUSIVE (aka "Does"), are unknown to Relator at this
20 time and so sued as fictitious Defendants. Relator will amend this Action to show the true names,
21
capacities, and relationship of said fictitious Defendants when same are ascertained.
22
7) Relator is further informed, and believes, and based on such information & belief, alleges
23
that at all times mentioned herein, Defendants whether named by name or fictitiously, and each of
24
25 them, were the agents, servants, employees, representatives, associates, fiduciaries and/or joint
26 venture entities of one another, and that at all such times, in doing the acts & making the
27
representations alleged herein, Defendants were each respectively & collectively, acting within the
28
VERIFIED COMPLAINT FOR VIOLATIONS OF THE INSURANCE FRAUD PREVENTION ACT [INS 1871.7]
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1 course & scope of said agency, servitude, employment, fiduciary capacity, and/or joint venture with a
2 mutual & common purpose, for the direct & indirect benefit of each of their co-defendants, and in so
3
acting, through direct assignment (or influence over assignment) of succession in interest, are joint &
4
severally responsible for said acts or representations made by one another.
5
6
8) Jurisdiction in this Court is proper because the Cause of Action(s) set forth herein arise
7 under California Law & because the amount of damages sought is within the jurisdiction of the
8 Superior Court of the State of California;
9
9) Venue is proper in the County of Alameda under California Code of Civil Procedure (aka
10
"CCP"), Sections 393 & 395, because one or more of the acts, breaches, misappropriations, and
11
wrongs giving rise to the Cause of Action(s) asserted herein occurred in the County of Alameda;
12
13 10) JUDICIAL NOTICE: Plaintiff requests this Honorable Court take Judicial Notice of the
14 17 matters listed in the attached 2 pg "REQUEST FOR JUDICIAL NOTICE IN SUPPORT OF
15
VERIFIED COMPLAINT..." document. The reasons for this requested notice; (a) Defendants have a
16
long & storied history of featuring prominently in litigation matters involving the BCOA HOA-
17
committing many of the same civil torts and/or crimes as detailed in this Qui Tam Action, (b) each of
18
19 the 17 matters may be specifically referenced in this Qui Tam Action, and (c) Defendants have been
20 the cause of lawsuits listed, as a direct result of their criminal schemes & civil torts undertaken for the
21
purposes of self enrichment, at the expense of the Public Interest.
22
- 1.0 INTRODUCTION -
23
11) Relator brings this Qui Tam Action (aka "Action" & "Complaint"), in the name of the
24
25 people of the State of California under California's Insurance Fraud Prevention Act (aka "IFPA"), as
26 provided by Insurance Code (aka "INS"), 1871.7.
27
12) Relator brings this Action to Blow The Whistle on Insurance Fraud he discovered circa
28
VERIFIED COMPLAINT FOR VIOLATIONS OF THE INSURANCE FRAUD PREVENTION ACT [INS 1871.7]
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1 08/2023 within & involving the BCOA, a Homeowner's Association (aka "HOA"), of which Relator
2 is a Member & 3% Constituent Shareholder.
3
13) The Insurance Fraud is part of a complex SCAM Scheme conducted by various self-
4
interested current & former Members of the BCOA and their Agents (inclusive of the current BOD of
5
6
the BCOA), beginning in 2015 and continuing to the present day. The SCAM Schemes involve both
7 Real Property & Insurance Fraud uncovered by Relator, which run counter to the laws of the State of
8 California & the Public Interest.
9
14) Relator fears that if the frauds alleged in this Action are not halted & amended, nothing
10
will stop Defendants & their Agents from engaging in further acts of fraud. (See Declaration of LS
11
Jennings, ¶22.)
12
13 15) Insurance fraud of the kind detailed in this Action harms the general public by driving up
14 insurance premiums for HOA Members across the State and Country. According to the California
15
Association Of Homeowners Associations, nearly 37% of California's population lives in HOAs,
16
and almost 65% of all California homeowners are part of an HOA. These figures are rising year
17
18 over year. Fraud Prevention in California HOAs is a vital Public Concern for this reason. (See
19 Declaration of Nancy Carter, ¶20.)
20
a) Insurance premiums are increasing for HOAs across the State. Insurance Frauds
21
detailed herein serve to drive up those premiums for all California HOA Homeowners-including
22
23 Relator & the other 32 BCOA Constituent Members. (See Declaration of LS Jennings, ¶12 et seq.)
24 16) Relator brings this Action to alleviate the harms perpetrated by Defendants' frauds &
25
to hold Defendants accountable for their corresponding criminal acts. Defendants have decided
26
to use Insurance Fraud as a means of capital accumulation for the BCOA. (See Declaration of LS
27
28 Jennings, ¶21.) They are taking the money, using it to hide insolvency, then selling their HOA
VERIFIED COMPLAINT FOR VIOLATIONS OF THE INSURANCE FRAUD PREVENTION ACT [INS 1871.7]
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1 Property for greater gains with insolvency suitably hidden from prospective purchasers:
2
a) Defendant Bronaugh (sale circa 05/2022), Corporate Raider Lawrence Drouin (aka
3
"Drouin"-unit sale circa 01/2021 & unit deed of trust satisfaction 05/2022 ), Corporate Raider
4
5
Tyler Flora (units sale circa 09/2021 & 02/2022), and Flora's employee Mitchel Matthews (aka
6 "Matthews"-unit sale circa 08/2022)---have each so acted & sold their respective properties for
7
vastly increased profit as a result of the SCAM Schemes generally, and the Insurance Frauds
8
evidenced herein specifically. All told, they increased their total profits by over $800,000. in the
9
10 period of 09/2019-07/2022. [See Declaration of LS Jennings, ¶s 5(a) & (b).]
11 - 2.0 OVERVIEW OF THE SCHEME -
12 A. Background
13 17) The BCOA enjoyed a period of prosperity from 2012-2019, when it was carefully
14 managed by experienced and very hard working volunteers who obeyed the law.
15 18) This prosperity was upended in the summer of 2019 when a group of Corporate Raiders
16
(aka "Raiders"), including Defendants Bronaugh & Miller, attempted to mount an illegal Hostile
17
Takeover of Defendant BCOA.
18
19
19) Key to the Hostile Takeover, was the Raiders filing for, and receipt of, a TRO (see
20 ORDER1, Exhibit 33), against the BCOA and its incumbent Board to halt a lawfully opened election
21 whose purpose was to elect an all new BOD to be seated 10/31/2019. Raiders needed to completely
22
control the BOD makeup, so they could completely control the HOA's business operations. Raiders
23
did not want anyone on the Board who would get in the way of their SCAM plans.
24
a) Their complaint (RFJN #7), and its TRO were brought by the Raiders in distant Mendocino
25
26 County, in order to make the matter less accessible to BCOA Members and more difficult for the
27 incumbent 2019 BOD to attend proceedings.
28
20) The incumbent 2019 BOD opposed the TRO & successfully moved to have the matter
VERIFIED COMPLAINT FOR VIOLATIONS OF THE INSURANCE FRAUD PREVENTION ACT [INS 1871.7]
9
1 transferred to the proper venue of Alameda County. The Mendocino County Court which issued the
2 TRO (ORDER1, Exhibit 33), left the TRO in place (whereas courts normally vacate such orders
3
when venue is transferred). This was done to ensure that during the case transfer, no election activity
4
would be undertaken in the BCOA.
5
6
a) The Incumbent 2019 BOD & all Corporate Officers, Employees, and Agents of that 2019
7 incumbent administration obeyed ORDER1 to the letter thereof. Defendants Bronaugh & Miller did
8 not-they and all Corporate Raiders (who paid to have ORDER1 put in place), summarily violated
9
every aspect of ORDER1. [See Declaration of LS Jennings, ¶s: 7-9 inclusive.]
10
21) Circa 10/01/2019, Defendants Bronaugh & Miller attempted to steal the lawful BCOA
11
open election already well underway, (ballots had been issued 2 weeks prior, voting was still open,
12
13 ballot return deadline was 10/26/2019). They purloined the completed & returned BCOA Member
14 Ballots, and staged their own fraudulent "instant" one-day elections in direct violation of; (a)
15
ORDER1 (see Exhibit 33), they paid to have put in place the week before, (b) CIV 5100 et seq, and
16
(c) BCOA Bylaws Article V, (see Exhibit GD1, pgs 57-59 inclusive, and pgs 77-79 inclusive).
17
a) See Exhibit 17 for comprehensive detailing of the Hostile Corporate Takeover Attempt.
18
19 22) Defendant Bronaugh & two of his fellow Raiders [Jojo Manai (aka "Manai"), and Mimi
20 Thomas (aka "Thomas")], appointed themselves as "directors" & began representing to third parties
21
that they were, the "new board" of the BCOA. This group is referred to herein as the "Fake Board",
22
and was guided in the misrepresentation by Defendant Miller.
23
23) The Fake Board went so far as to file fraudulent Statements of Information (aka "SOI") &
24
25 Common Interest Development (aka "CID"), with the California SOS, claiming to be the lawfully
26 elected BCOA board, (see Exhibit 35). This was done to indicate pseudo legitimacy to 3rd parties.
27
[See Declaration of LS Jennings, ¶15 (c) & (d).]
28
VERIFIED COMPLAINT FOR VIOLATIONS OF THE INSURANCE FRAUD PREVENTION ACT [INS 1871.7]
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1 a) The SOI filings for the lawfully serving incumbent 2019 BOD are set forth in Exhibit 01.
2 b) As shown in Exhibit 35A, Defendants have assigned all check signing authority to Director
3
Iain Lowis, as they have assigned all Officer Roles to him. This is in violation of CC&R 6.5.4 &
4
CCC 5213(a). It enables one person to have complete signature control over all BCOA Accounts &
5
6
Business Instruments, a potent recipe for financial fraud. (See Declarations of Nancy Carter ¶s; 6 &
7 7; and LS Jennings, ¶14.)
8 24) Circa 11/2019, the Fake Board & its alleged Officers conspired with ex-BCOA Director
9
Laurence Drouin (aka "Drouin"), to engage in Real Estate Fraud. To perfect this fraud, they illegally
10
changed the locks on the BCOA Business Office, removed the BCOA's Corporate Records stored
11
therein, and caused these Records to disappear circa 03/06/2020.
12
13 a) With Records missing, Defendants could rewrite a business fiction that supported both their
14 2019 Real Property, and 2020 & 2021 acts of Insurance Fraud.
15
b) The first act of Insurance Fraud occurred 03/31/2020, less than 30 days after the BCOA's
16
Corporate Records were taken. It was conducted by Defendant Miller as set forth in Exhibit IC1.
17
c) Relator had been denied BCOA records examination pursuant to his Member Rights
18
19 (BCOA CC&Rs 6.9.3 & 8.6) & CIV 5200 et seq., since circa 10/2020. Relator had to file Case
20 #22CV020739 in Alameda Superior Court 10/2022 (RFJN #12), and open formal discovery circa
21
07/2023, in order to obtain ANY records. Evidence of the first reported Insurance Fraud provided in
22
this Action was uncovered circa 12/2023 as a result of Relator's Request For Documents Production
23
Discovery performed under The Discovery Act in Case #22CV020739. Evidence of the second act of
24
25 Insurance Fraud committed in the period of 11/2020-03/2021 was uncovered at the same time.
26 25) Relator is informed, and so believes, that Defendants Bronaugh & Miller acted to disrupt
27
the 2019 BCOA Election in order to attempt to seize unlawful control of the BCOA. Control was
28
VERIFIED COMPLAINT FOR VIOLATIONS OF THE INSURANCE FRAUD PREVENTION ACT [INS 1871.7]
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1 required to commit a variety of frauds including tax fraud, real property fraud and insurance fraud.
2 These frauds directly benefited Defendants at the expense of both the Insurance Carriers & Public At
3
Large. [See Declaration of LS Jennings, ¶s: 5-9 inclusive, 15(b), Exhibit 17, Exhibit 33, & RFJNs
4
#12 & 15.]
5
6
26) For an in-depth analysis of the property fraud committed by Defendants & their cohorts,
7 Relator requests Judicial Notice to the Complaint filed 10/28/2022 in Alameda County Superior
8 Court Case #22CV020739, (RFJN #12). See also Exhibit 17 ¶s: 1.4-1.32 inclusive, and Exhibit 33 to
9
this Action for summary analysis.
10
27) On 11/26/2019, a Quo Warranto Action was filed against the BCOA & its Incumbent
11
2019 Board, (Alameda Superior Court Case #HG19046206; RJN #8).
12
13 28) In that Quo Warranto Action, circa 02/2020, Judge Julia Spain orally ruled from the bench
14 in open Court that the Fake Board had no authority to represent the BCOA. Legal Elections were
15
required to obtain such control. (See Exhibit 17 ¶s: 1.28; and Declaration of LS Jennings, ¶16.)
16
29) The Quo Warranto Action (RFJN #8), and related Interpleader Action (RFJN #9) illegally
17
filed by Defendant Miller, were settled circa 06/2020 (Exhibit 52), as it was meritless & plaintiffs
18
19 attorney (Christopher J. Neary, aka "Neary"-represnting Corporate Raiders), had no hope of
20 prevailing in it. An election was conducted by the Court to lawfully seat a Successor Board. On
21
10/02/2020 a Successor Board was elected & seated, and the incumbent 2019 BOD was finally
22
lawfully retired. (See ORDER2, Exhibit 52.) The next day, Neary-in a naked act of contempt-served
23
a Summons on the 06/2020 settled complaint upon one of the defendants named in RFJN #7 & 8.
24
25 a) All told, Defendants delayed the lawful 2019 Election for one full year at a cost of over
26 $200,000. (See Declaration of LS Jennings, ¶17.)
27
30) ORDER2 clearly shows the incumbent 2012-2020 Board was not succeeded until
28
VERIFIED COMPLAINT FOR VIOLATIONS OF THE INSURANCE FRAUD PREVENTION ACT [INS 1871.7]
12
1 10/02/2020. Despite this, Defendants and their counsel insist to this day that a legitimate BOD
2 Election occurred in August or October 2019, (their story varies, and there is nothing to support it).
3
Defendants & the Fake Board fraudulently represented, and continue to so represent to third parties
4
(the Insurance Carriers at issue among them), they represented the BCOA after 10/2019. It is a matter
5
6
of the written record that they did not, and could not. [See Declaration of LS Jennings, ¶17(b).]
7 31) Relator has many times requested comprehensive documentation from the BCOA in his
8 capacity as a Member thereof, pursuant to CC&Rs 6.9.3 & 8.6, and CIV 5200 et seq. Exhibit PM1
9
provides evidence of how Relator's reasonable requests for documentation are flagrantly ignored by
10
BCOA & its Management Agents. (See Declarations of Nancy Carter ¶5; and LJ Jennings ¶s; 2, 4, 6)
11
32) Since 10/02/2020, all BCOA Records Requests made by Relator, outside of Litigation
12
13 Discovery, have been ignored by the BCOA Board, Officers & Agents. (Exhibit PM1.)
14 33) Relator has conducted thorough discovery in Case #22CV020739, asking in particular for
15
104 different documents related to BCOA insurance claims, insurance policies, communications
16
related to insurance, taxes, and financials, et etc. None of Relator's Document Discovery has been
17
responsively answered by Defendants in compliance with the Civil Discovery Act, there being
18
19 glaring gaps in the scope of documents produced. Defendants have shown significant interest in
20 hiding Corporate Records from Member Overview since 2020. (See Declaration of LJ Jennings ¶s; 2,
21
4, 6.)
22
34) It was only through the civil discovery partially produced in Case #22CV020739 that
23
Relator discovered the Insurance Frauds alleged herein. Otherwise, Relator's diligence in the
24
25 uncovering the existence of these illegal activities has been actively stonewalled by all Defendants at
26 every turn. As such, the Insurance Frauds described herein could have been discovered by Relator no
27
earlier than 08/14/2023. All involved discovery review was complete by circa 12/2023. (See
28
VERIFIED COMPLAINT FOR VIOLATIONS OF THE INSURANCE FRAUD PREVENTION ACT [INS 1871.7]
13
1 Declaration of LJ Jennings ¶s; 2-5 inclusive.)
2 35) Relator is informed & so believes that the conspicuous absence of documents produced as
3
stated above is a deliberate act of fraudulent concealment, intended by Defendants to hide their
4
ongoing fraudulent activity from discovery by Whistle Blower Relator & like minded others.
5
6
B. Insurance Fraud Scheme
7 36) On 03/31/2020, while the Quo Warranto Action was still pending, and after Judge Spain's
8 advisement to the Fake Board that they were not a legitimate Board of Directors serving the BCOA
9
(¶28), Defendant Miller filed a false insurance claim with Travelers Casualty Insurance Company of
10
America (aka "Travelers"), claiming to be the authorized representative of the BCOA & its General
11
Counsel, (see Exhibit IC1, pgs 8-19 inclusive; and Declaration of Nancy Carter ¶22).
12
13 a) This fraudulent insurance filing was allegedly reviewed by the Fake Board, (see Exhibit
14 FM1-a set of purported minutes prepared by the Fake Board dated 03/10/2020).
15
b) Prior to this false claim filing, as evidenced by Exhibit IC1, pgs 20-28 inclusive, Defendant
16
Miller had her client Mitchel Matthews use false facts to seek a TRO circa January 2020 against the
17
2019 BOD that would inhibit it from communicating with the BCOA's Insurance Carriers. The TRO
18
19 was granted, but a proper hearing was never held to consider an injunction. (This was at the outset of
20 the Pandemic, and the Courts were operating in a very challenged environment.) Defendants (absent
21
BCOA), abused this TRO to convince BCOA Insurance Carrier fraud targets to speak only with
22
them. [See Declarations of; Nancy Carter ¶22; LS Jennings ¶12(a).] This set the stage for Defendants
23
(absent BCOA), first false claim filing.
24
25 c) Defendant Bronaugh & Defendant Miller's client Matthews abused the TRO by using it to
26 hoodwink Insurance Carriers (Exhibit IF1), into believing Raiders could manage the BCOA's
27
Insurance Coverage, and Carriers should only communicate with Raiders. (Exhibit IC1 pg26)
28
VERIFIED COMPLAINT FOR VIOLATIONS OF THE INSURANCE FRAUD PREVENTION ACT [INS 1871.7]
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1 d) Nonetheless, the incumbent 2019 BOD performed its Fiduciary Duty and assisted the
2 Carrier in halting Defendant Miller's I-SCAM-2020. (See Exhibit IC1, pg 1.) Defendants have
3
weaponized this Court's Processes in order to aid & abet their acts of Real Property & Insurance
4
Fraud. TRO's should be sought for true emergency situations that need quick redress. Defendants
5
6
abused the TRO obtainment process solely to facilitate their criminal conduct complained of in this
7 Action. (See Declaration of LS Jennings, ¶18 et seq.)
8 e) The attached Request For Judicial Notice lists 17 items with 16 legal actions. Defendants
9
have filed for 6 TROs in the period of 07/2019-02/2020, (see RFJNs: #4-#7 inclusive). Defendants
10
were never interested in viable litigation, only the filing of meritless & malicious litigation which
11
would afford them the ability to seek obstructive TRO's that would help them perfect their Hostile
12
13 Corporate Takeover. The Scheme worked.
14 f) This was not Defendant Miller's first act of fraud & misrepresentation involving the BCOA.
15
Defendant Miller, an attorney, serves clients who want to manipulate the law to defraud Landlords,
16
HOAs, and Insurers-ie: targets who possess Fiduciary Responsibility & Authority. At the BCOA,
17
Defendant Miller first assisted Corporate Raiders to; (i) elect a Fake Board (10/2019), then (ii)
18
19 embezzle the BCOA's 2019 & 2020 assessment revenue which she received, then (iii) frivolously sue
20 a Federal Judgment Creditor & the BCOA's Secretary/Treasurer in the BCOA's name without any
21
authority to do so (12/2019), then (iv) file fraudulent Insurance Claim #1 (03/2020), then (v) file
22
fraudulent Insurance Claim #2 (11/2020), then (vi) evade a Federal Judgment Creditor (see RFJN
23
#1), by withholding the $149,000. insurance fraud money she obtained in I-SCAM-2021 when a
24
25 Federal Marshall came to collect the $300,000 Federal Judgment owed by Defendant BCOA*. (*As a
26 result of Defendant Miller's reckless negligence which caused her to be cited with Federal Contempt
27
in 2021.) [See RFJN #15, Exhibit 4A.]
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VERIFIED COMPLAINT FOR VIOLATIONS OF THE INSURANCE FRAUD PREVENTION ACT [INS 1871.7]
15
1 g) In the latter event, Defendant Miller was sued for Contempt in Federal Court in the summer
2 of 2021, causing the BCOA to be saddled with a $300,000. judgment. In a severe conflict of interest-
3
Defendant Miller settled that judgment so that the BCOA was stuck paying all of it. Defendant Miller
4
got off scot-free. Defendant Miller's law firm "Miller Farr" failed & closed in 2022. She has hidden
5
6
its historical existence on LINKEDIN-as if it never existed. She reopened a new firm, "Trinity Law
7 PC", in 2022, but it has already materially failed as well, (and has had its website taken offline to non
8 commercial private status). Defendant Miller no longer practices law as a vocation, she now works
9
for the S.F. Assessment Appeals Board as a "Commissioner" because she wants to become a superior
10
court judge. (See Declaration of LS Jennings, ¶s: 17 et seq, and 19-21 inclusive et seq.)
11
37) The filing of this March 2020 Claim was the first act carried out by Defendants
12
13 Bronaugh & Miller in their Insurance Fraud Scheme, (aka "I-SCAM-2020").
14 38) The fraudulently filed 03/31/2020 insurance claim I-SCAM-2020 alleged: burglary,
15
hijacking, robbery, embezzlement and theft of BCOA funds. (See Exhibit IC1, pg 8, 15-16.)
16
39) The BCOA has never experienced any burglary, hijacking, robbery, embezzlement or
17
theft of BCOA funds, until Defendants Bronaugh & Miller engaged in embezzlement in October
18
19 2019-October 2020. There are; (a) no Board Minutes evidencing any such calamity, (b) no police
20 reports, (c) no correspondence, (d) no reported relevant events or history of any kind. (See
21
Declaration of LS Jennings, ¶13 et seq.)
22
40) The Board Directors & Officers (President & Treasurer), who handled the BCOA
23
Business from 2012-2020 would be the purported embezzlers, as they had SOLE signature control of
24
25 the Association's finances exclusively from July 2012-October 2020. They were never contacted by
26 anyone regarding any embezzlement. No investigation was conducted by any Fiduciary involved-
27
including the Insurance Carriers who were being defrauded. (See Declarations of LS Jennings at ¶
28
VERIFIED COMPLAINT FOR VIOLATIONS OF THE INSURANCE FRAUD PREVENTION ACT [INS 1871.7]
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1 13c, and Raj Patel at ¶ 8).
2 41) Every penny of the BCOA's money spent 07/2012-10/2020 by the lawfully elected BODs
3
of that 8+ year period is properly accounted for. (See Declaration of LS Jennings ¶ 13.) The 2012-
4
2020 BCOA Accounting Records have been hidden by Defendants in order to support their
5
6
fraudulent fiction used to defraud Insurance Carriers.
7 a) However, Relator was BCOA Digital Archivist in 2019-2020, and was tasked to create a
8 digital archive of BCOA Records as motioned by the 2012 BCOA Board. Defendants have never
9
sought these records from Relator, despite the fact that they know he produced them. [See
10
Declaration of LS Jennings ¶s 13(c) & 13(d)]
11
42) Defendants have in their possession all invoices, payment check copies, contracts, and
12
13 Board Minutes to support all transactions they allege are "embezzlement". If they needed assistance,
14 they could have contacted former Directors, Officers, Employees, and Agents. Tellingly, no such
15
contact has ever occurred. The alleged embezzlement was never investigated by Defendants or the
16
Insurance Carrier. After up to 4 years now-no Fiduciary associated with these matters has ever
17
contacted the alleged embezzlers in any capacity whatsoever. [See Declarations of Nancy Carter ¶s; 3
18
19 & 5, and LS Jennings, ¶ 13(c).] This despite the effected Carrier (Philadelphia, see ¶ 53 below for
20 ID), stating they would be doing so, (see Exhibit IC2, page 1).
21
a) The claimed Embezzlement (Exhibit IC1 pgs 15 & 16), is a complete fiction created by
22
Defendants for profit. The Carriers involved have performed no due diligence of investigation.
23
Defendants take the ill gotten money, and Carrier's just increase their premiums to cover it-no
24
25 problem. The only loser is the General Public who must pay the elevated premiums thus resulting.
26 b) False Claim #1 was discovered & halted by the Incumbent 2019 Board circa 04/2020. Once
27
halted, Defendants did not attempt the fraud again, until that Incumbent 2019 BOD was succeeded in
28
VERIFIED COMPLAINT FOR VIOLATIONS OF THE INSURANCE FRAUD PREVENTION ACT [INS 1871.7]
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1 the 10/02/2020 election. Then Defendants had free reign & were able to file fraudulent claims
2 (Exhibit IC2), without challenge. (See Declaration of LS Jennings, ¶18 et seq; and Raj Patel ¶s; 4-6
3
inclusive.)
4
43) Defendant Miller's I-SCAM-2020 alleged theft of BCOA funds in the amount of $250,000
5
6
per year for "several years". The claim as filed seeks a payout of $250,000 per year for 2017, 2018
7 & 2019-a combined claim amount of $750,000.
8 a) Defendant Miller's claim states that these losses date back to a "DOL" (Date Of Loss) of
9
"2015", (see Exhibit IC1 pgs 15 & 16; and Exhibit IF2 pg 1). This equates to a claim of $1.25
10
million. In fact there are no such losses whatsoever. [See Declaration of LS Jennings, ¶s: 13(a)-(c)
11
inclusive; and 18 et seq.] Anyone even remotely familiar with how the BCOA operated, as made
12
13 evident by its annually published Reports* required by CIVs 5300 & 5310, would know Defendant
14 Miller's 03/2020 claim was not just highly improbable-but fiscally impossible. [See Declarations of;
15
Nancy Carter ¶s 13-16 inclusive, LS Jennings ¶ 13(g)]
16
b) Defendants failed to produce these *Reports after 10/2020, despite being required by law to
17
do so at least 30 days prior to every year end-and Relator's many requests for them over the years.
18
19 Withholding the Reports allowed Defendants to hide their Real Property & Insurance Fraud Scams
20 from Relator, and other BCOA Members. The Boards serving the BCOA 07/2012-10/2020 always
21
published the legally required Reports. [See Declaration of LS Jennings ¶ 4 & 4(b).]
22
c) This despite duly published BCOA Records showing that the BCOA has had a maximum
23
annual assessment income of only $170,000. nominal since 01/2013, (see Exhibit AS1.) After
24
25 09/2019 this revenue dropped very sharply, because Defendant Miller embezzled BCOA Assessment
26 revenue thereafter. The annual BCOA Assessment revenue received prior to 2013 never exceeded
27
$70,000. Indeed, the coveted 100% assessment collection metric did not occur in the BCOA from
28
VERIFIED COMPLAINT FOR VIOLATIONS OF THE INSURANCE FRAUD PREVENTION ACT [INS 1871.7]
18
1 2000-2016. It having first occurred in 2017, by way of the Patel Presided Boards operating in that
2 period, which had worked hard to achieve that goal since being duly elected to do so in July 2012.
3
d) Accordingly, it is unclear how "$250,000./yr" could be embezzled from a business that
4
struggles to obtain $170,403./yr in revenue (and until 2017, never had)-where essentially fixed
5
6
expenses for just utilities and insurance alone equate to 41% ($70,000. nominal) of the annual
7 budget as shown in Exhibit AS1 page 2. (See Declarations of Nancy Carter ¶14; and LS Jennings,
8 ¶13(f)-(h) inclusive.]
9
44) The incumbent 2019 BOD & its Management Assistant discovered I-SCAM-2020 &
10
alerted Travelers of the fraud before any insurance funds were paid out to Defendant Miller. (See
11
Exhibit IC1, pg1-7.) Travelers closed the I-SCAM-2020 Claim, (see Exhibit IC1, pg2).
12
13 45) Circa 12/2020, Defendant Bronaugh changed BCOA Insurance Brokers & restricted
14 information sharing of Carriers, without BCOA Authorization. This was done so that Defendant
15
Miller could attempt the 2nd fraudulent false insurance claim filing, assisted by a Broker who had not
16
been made wise to Defendants' 1st fraud attempt. (See Exhibit IN1.)
17
46) The BCOA Board did not authorize this action. Nor did it authorize Defendant
18
19 Bronaugh's circa 04/2020 manipulation of BCOA Insurance Coverage (Exhibit IF1), which is not
20 authorized in Board Meeting Minutes. The act was hidden from the BCOA Membership by
21
Defendant Bronaugh, so that the Incumbent 2019 Board & no BCOA Members (especially Whistle
22
Blower & Relator Member LJ Jennings), would be aware. [See Declarations of Nancy Carter ¶s; 8, 9,
23
17-19 inclusive; and LJ Jennings ¶4; LS Jennings ¶ 15(a)-(e); and Raj Patel ¶4.]
24
25 a) Careful Examination of the various addresses Defendants provided to Insurance Carriers &
26 the Public in the Complaint Exhibits IC2 & 35, shows at least 5 different addresses, none of which
27
are the address of the BCOA pursuant to CC&R 9.3.12 E-9.0. (Exhibit GD1 contains the CC&Rs at
28
VERIFIED COMPLAINT FOR VIOLATIONS OF THE INSURANCE FRAUD PREVENTION ACT [INS 1871.7]
19
1 its pages 1-44.);
2 b) "2828 Filbert Street #9" (see Exhibit IC2 pgs 2, 4), was Defendant Bronaugh's personal
3
residence at that time,
4
c) "2828 Filbert Street #14" (Exhibit 35, pg 3), was Corporate Raider Matthews' next door
5
6
neighbor at that time,
7 d) "2828 Filbert Street #15" (Exhibit 35, pg 1), was Corporate Raider Matthews' personal
8 residence at that time,
9
e) "2828 Filbert Street Unit A" (see Exhibits 35 pg 2, and pg 4's ¶3.), is Relator's Easement
10
Property address, to which there is no mail box for US Postal Service, etc.,
11
f) "2828 Filbert Street" (see Exhibit IC2 pg 1, and Exhibit IF2), is no one's address-there is no
12
13 mail box for US Postal Service, etc.,
14 g) The use of 5 different unauthorized addresses, in direct violation of CC&R 9.3.12 E-9.0,
15
allowed Defendants to improperly control & hide communications from all oversight, to facilitate
16
their acts of fraud complained of herein. [See Declarations of Nancy Carter ¶s; 8, and 10-12
17
inclusive; and LS Jennings ¶15(c) & (d)]
18
19 47) Insurance Broker "Elliot Katzovitz Insurance Agency" (aka "EKIA", Mr. Katzovitz wrote
20 the book on California HOA Insurance practice), was used from circa 01/2013-04/2020 by the BCOA
21
without singular negative event. EKIA was inexplicably replaced by Defendant Bronaugh after
22
10/02/2020, with "Dealey Renton & Associates", (who quickly changed their name to
23
"AssuredPartners"). AssuredPartners had no way of knowing about the 1st Fraudulent Claim Filing
24
25 attempt by Defendant Miller made through EKIA to Carrier Travelers, circa March 2020, as the fraud
26 was not disclosed to AssuredPartners by Defendant Bronaugh.
27
48) Defendant Bronaugh routed all deliverable insurance information to the residence of
28
VERIFIED COMPLAINT FOR VIOLATIONS OF THE INSURANCE FRAUD PREVENTION ACT [INS 1871.7]
20
1 fellow Raider & Fake 2019-2020 Officer Mitchel Matthews, whom Relator believes is involved as
2 the Chief Strategist of both fraudulent insurance claim filings Defendants have made, as detailed in
3
this Action. This is a violation of BCOA CC&R 9.3.12 E-9.0. [See Declarations of Nancy Carter ¶s;
4
8 and 10-12 inclusive; and LS Jennings, ¶15(c) & ¶15(d).]
5
6
49) Defendant Miller, who filed the 1st Fraudulent Claim, is Matthews' personal attorney.
7 Defendants Bronaugh, Matthews, and Miller are the subject of separate lawsuits filed by Relator for
8 various civil torts inclusive of breach of contract, fiduciary duty & fraud, (see RFJN #12, #14, #15).
9
50) Insurance information is required by law [CIV 5300's (a) & (b)(9)], to be disclosed
10
annually to the BCOA Membership, of which Relator is a Member. Defendants were responsible for
11
providing this information in their Annual Budget Report (CIV 4076 & 5300), and Annual Policy
12
13 Statements, (CIV 4078 & 5310). These documents are to be delivered on or before 12/01 each
14 calendar year, [CIV 5300(a) & 5310(a) respectively]. Defendants failed to produce these documents
15
in 2020, 2021, and 2022-despite statute & Relator demand for same made pursuant to CIV 5200. (See
16
Declaration of LJ Jennings ¶4.)
17
51) As a result of Relator lawsuits filed 10/2022-09/2023 (see RFJN #12, #14, and #15),
18
19 Defendant BCOA finally issued an incomplet
Preview
1 LAURENCE J. JENNINGS 2828 Filbert St. Unit B 2 Oakland, CA 94608 3 (707) 459-2287 bcoaunitb@yahoo.com 4 Attorney In Pro Per 5 6 7 8 9 THE SUPERIOR COURT OF THE STATE OF CALIFORNIA COUNTY OF ALAMEDA 10 11 12 ) Case No. THE STATE OF CALIFORNIA ) 13 ) ex rel. ) 14 ) VERIFIED COMPLAINT FOR LAURENCE J. JENNINGS, ) 15 ) VIOLATIONS OF THE INSURANCE ) FRAUD PREVENTION ACT [INS 1871.7] 16 Plaintiffs, ) ) 17 v. ) ) Filed with: 18 ) ) Request for Judicial Notice, 19 MATTHEW BRONAUGH, ) Declaration of Nancy Carter, S. ELIZABETH MILLER (SBN#260180), ) Declaration of LS Jennings, 20 BAYSIDE COURT OWNERS ) Declaration of LJ Jennings, ASSOCIATION, INC.; ) Declaration of Raj Patel. 21 a California Corporation, ) ) 22 ) ) 23 and DOES 1 – 50, (inclusive) ) ) 24 Defendants. ) ) 25 ) ________________________________ ) 26 ) ) 27 ) 28 VERIFIED COMPLAINT FOR VIOLATIONS OF THE INSURANCE FRAUD PREVENTION ACT [INS 1871.7] 1 1 - TABLE OF ACRONYMS - 2 AOI = Articles of Incorporation 3 BCOA = Bayside Court Owners Association 4 BOD = BCOA Board Of Directors 5 CCC = California Corporations Code 6 CCP = California Code of Civil Procedure CC&Rs = BCOA Codes, Covenants & Restrictions 7 CID = Common Interest Development 8 CIV = California Civil Code 9 FCA = California False Claims Act (GOV 12650 et seq) 10 FBOD = Fake Board Of Directors (10/2019-10/2020) 11 GOVDOCS = BCOA CID Governance Documents Per CIV 4150 (see Exhibit GD1) 12 HOA = Home Owners Association 13 IFPA = Insurance Fraud Prevention Act (INS 1871, et seq) 14 ORDER1 = 09/2019 TRO Against BCOA Election Activity (lifted 01/2020) ORDER2 = 10/2020 Order Seating 2020 Elected Board To Succeed 2019 Incumbent Board 15 PC = Penal Code 16 SIP = Separate Interest Property 17 SOS = Secretary of State 18 - TABLE OF CONTENTS - 19 CAPTION PAGE ...................................................................................................................................1 20 TABLE OF ACRONYMS .................................................................................................................... 2 21 TABLE OF CONTENTS .................................................................................................................. 2-3 22 TABLE OF EXHIBITS ........................................................................................................................ 3 23 PARTIES TO THIS MATTER ......................................................................................................... 4-7 1.0 INTRODUCTION ....................................................................................................................... 7-9 24 2.0 OVERVIEW OF THE SCHEME .............................................................................................. 9-23 25 A.: Background .................................................................................................................... 9-14 26 B.: Insurance Fraud Scheme .............................................................................................. 14-23 27 3.0 LEGAL ARGUMENTS........................................................................................................... 23-25 28 PLAINTIFF'S FIRST CAUSE OF ACTION............................................................................. 25-28 VERIFIED COMPLAINT FOR VIOLATIONS OF THE INSURANCE FRAUD PREVENTION ACT [INS 1871.7] 2 1 Violation of the Insurance Fraud Prevention Act (INS 1871.7) As To: All Defendants & Does 1-50 2 3 4.0 CONCLUSION ........................................................................................................................ 29-30 PRAYER FOR RELIEF ...................................................................................................................... 30 4 VERIFICATION ................................................................................................................................. 30 5 DECLARATION-Nancy Carter..................................................................................................... 31-38 6 DECLARATION-LJ Jennings ....................................................................................................... 39-42 7 DECLARATION-LS Jennings ...................................................................................................... 43-56 8 DECLARATION-Raj Patel ........................................................................................................... 57-62 9 REQUEST FOR JUDICIAL NOTICE .......................................................................................... 63-64 10 EXHIBITS ................................................................................................................................... 65-405 11 - TABLE OF EXHIBITS - EXHIBIT AS1: BCOA Assessment (Revenue) Schedule 2013-2020 .......................................... 65-67 12 EXHIBIT FM1: Fake Board Minutes Referencing Fraudulent Insurance Claim #1 ..................... 68-69 13 EXHIBIT GD1: BCOA GOVDOCS (Governance Documents pursuant to CIV 4150) ............. 70-149 14 EXHIBIT IC1: Insurance Scam #1 (I-SCAM-2020) Dossier .................................................... 150-178 15 EXHIBIT IC2: Insurance Scam #2 (I-SCAM-2021) Dossier .................................................... 179-185 16 EXHIBIT IF1: Insurance Fraud Admin. & Tortious Interference By Corporate Raiders 2020..186-206 17 EXHIBIT IF2: Carrier Response To False Insurance Claim #1 DOL 2015 .............................. 207-213 18 EXHIBIT II1: Insurance Broker Refuses Relator Request For Information ............................. 214-219 19 EXHIBIT IN1: Bronaugh Insurance Broker Change & Info Restriction 12/2020 .................... 220-224 20 EXHIBIT M1: Hiser v Miller Correspondence October 2019 Evidencing Miller Fraud .......... 225-228 EXHIBIT PM1: 09/15/2023 Email Response from BCOA Management Agent ...................... 229-233 21 EXHIBIT VL1: Defendants' 2024 Vexatious Litigant SLAPP Action ..................................... 234-239 22 EXHIBIT 01: 2019 Incumbent Board Information Filings To The SOS .................................. 240-253 23 EXHIBIT 17: BCOA 2021 Damage Report Package ................................................................ 254-390 24 EXHIBIT 33: TRO-Case #SCUK-CVPT-19-7317 Prohibiting Election Activity 9/19-1/21.... 391-394 25 EXHIBIT 35: Corporate Raiders' Fraudulent SI-100 & CID Filings 11/19-3/20 To SOS ........ 395-399 26 EXHIBIT 35A: Defendants' Fraudulent SI-100 & CID 2023 Filings To The SOS .................. 400-402 27 EXHIBIT 52: Court Settlement Order Issued 10/02/2020 In Case #HG19046206 .................. 403-405 28 VERIFIED COMPLAINT FOR VIOLATIONS OF THE INSURANCE FRAUD PREVENTION ACT [INS 1871.7] 3 1 - PARTIES TO THIS MATTER - 2 1) Plaintiff in this Qui Tam Action is the State of California, by and through Relator 3 LAURENCE J. JENNINGS, (aka: "LJ Jennings"). 4 a) LAURENCE J. JENNINGS, (aka “Relator” or "Qui Tam Plaintiff"), is a Member of the 5 6 BAYSIDE COURT PROPERTY OWNERS ASSOCIATION (aka “BCOA”), by reason of his 7 ownership of Separate Interest Property (aka "SIP"), "Unit B" in the Condominium Project located at 8 958 28th Street, Oakland, California, consisting of the property shown on Parcel 6640 recorded on 9 November 19, 1997, in Book 232 of Parcel Maps at Page 81 and on parcel Map 7477 recorded on 10 May 30, 2000, in Book 252 of Parcel Maps, at Page 6, in the Official Records of Alameda County, 11 CA, (aka “The Project”), and is by reason thereof the owner of a 1/33rd interest in the Common Area 12 13 of The Project. 14 b) BCOA Membership is determined pursuant to: CC&Rs; 2.18, 2.21, 7.2; CIV 4160 & CCC 15 5056. 16 c) Relator was an employee of the BCOA from 2016 until his wrongful termination circa 17 01/2023. He was terminated in retaliation for Whistle Blowing activity related to the frauds alleged in 18 19 this Complaint and, other Complaints of which this Court may take Judicial Notice, (see ¶10 herein). 20 2) MATTHEW BRONAUGH (aka "Bronaugh") is an individual who, Relator is informed & 21 believes, and therefore alleges on such information & belief, is a resident of the County of Alameda. 22 a) Bronaugh is a BCOA Corporate Raider (aka "Raider"), who falsely claimed to have been 23 self elected to the BCOA Board (aka "BOD"), and falsely claimed to have served as BCOA President 24 25 from circa 09/29/2019-10/12/2020. Defendant Bronaugh did not become a legally elected BCOA 26 Director until 10/02/2020, (see Exhibit 52). 27 b) He is alleged to have held the office of Corporate BCOA President from circa 10/13/2020- 28 VERIFIED COMPLAINT FOR VIOLATIONS OF THE INSURANCE FRAUD PREVENTION ACT [INS 1871.7] 4 1 02/22/2022, except when Rachel Mei-Lan Tan is alleged to be the President in the Board Minutes of 2 11/17/2020. However there is no evidence of Defendant Bronaugh ever being appointed or elected 3 President, present in the BCOA's Corporate Records obtained by Relator circa 08/15/2023 via 4 discovery he undertook in Case #22CV020739, (RFJN #12). [See Declaration of LS Jennings, ¶15 et 5 6 seq)]. 7 3) S. ELIZABETH MILLER, (SBN#260180, aka "Miller"), is an individual who, Relator is 8 informed & believes, and therefore alleges on such information & belief, resides in Alameda County. 9 a) Miller is a practicing attorney who claimed to represent the BCOA as its General Counsel 10 at various times circa 09/2019 through 10/2020, despite no legally elected BOD having retained her 11 services prior to 10/13/2020. (See Declaration of LS Jennings, ¶19 et seq) 12 13 b) There is no evidence of Defendant Miller ever being retained by the BCOA resident in the 14 BCOA's Corporate Records obtained by Relator circa 08/15/2023, via discovery he undertook in 15 Case #22CV020739, (RFJN #12). 16 4) BAYSIDE COURT OWNERS ASSOCIATION Inc., a California Non-Profit Membership 17 Corporation and Real Party in Interest, hereinafter individually referred to as “BCOA" and 18 19 "Defendant BCOA", was formed in 1999 to govern & maintain The Project, including its Common 20 Areas, by implementation of the Declaration of Covenants, Conditions & Restrictions of Bayside 21 Court dated May 22, 2000 & originally recorded in the official records of the County of Alameda, 22 State of California on July 10, 2000, as Document No. 2000203590. This Declaration is hereinafter 23 referred to as "CC&Rs", and is further identified by context or express qualification as being in effect 24 25 at a particular point in time as detailed in the 2015 CC&Rs on pg 6 under the heading "CC&R 26 RECORDING HISTORY PREAMBLE", as further detailed in CC&R 1.1.2 & Article IX, items 27 9.3.15 (pg 35) through 9.3.35 (pg 36), inclusive, (see Exhibit GD1). 28 VERIFIED COMPLAINT FOR VIOLATIONS OF THE INSURANCE FRAUD PREVENTION ACT [INS 1871.7] 5 1 a) Defendant BCOA, a Fiduciary, operates under a charter (its "Article Of Incorporation", aka 2 "AOI"), filed with the California Secretary of State (aka "SOS") which sets forth its duty of care to 3 each of its 33 constituent Members, (see Exhibit GD1 pgs 45-48, inclusive). 4 b) All Defendants as set forth in ¶s 2 & 3 above are, or at all relevant times have held 5 6 themselves out to Relator to ostensibly be (in one capacity or another), Fiduciary Agents of 7 Defendant BCOA. 8 c) Defendant BCOA is a California Corporation, and so is treated as a person who acts 9 through an elected BOD, its appointed Corporate Officers, and its Agents such as Defendant Miller. 10 5) The Defendants: BCOA, BRONAUGH, MILLER & Does 1-50, are hereinafter referred to 11 collectively as "Defendants". Each Cause of Action in this Complaint has a header which states "As 12 13 To:". After "As To:" the names of Defendants who are being assigned responsibility in this 14 Complaint (ie: being sued by it), are expressly listed for unambiguous reference. 15 a) IF a Defendant's name is not listed after the Cause of Action's "As To:", THEN said 16 Defendant is NOT subject to that particular Cause of Action in any way. 17 6) The true names & capacities, whether individual, corporate, associate, or otherwise of 18 19 Defendants named herein as DOES 1-50 INCLUSIVE (aka "Does"), are unknown to Relator at this 20 time and so sued as fictitious Defendants. Relator will amend this Action to show the true names, 21 capacities, and relationship of said fictitious Defendants when same are ascertained. 22 7) Relator is further informed, and believes, and based on such information & belief, alleges 23 that at all times mentioned herein, Defendants whether named by name or fictitiously, and each of 24 25 them, were the agents, servants, employees, representatives, associates, fiduciaries and/or joint 26 venture entities of one another, and that at all such times, in doing the acts & making the 27 representations alleged herein, Defendants were each respectively & collectively, acting within the 28 VERIFIED COMPLAINT FOR VIOLATIONS OF THE INSURANCE FRAUD PREVENTION ACT [INS 1871.7] 6 1 course & scope of said agency, servitude, employment, fiduciary capacity, and/or joint venture with a 2 mutual & common purpose, for the direct & indirect benefit of each of their co-defendants, and in so 3 acting, through direct assignment (or influence over assignment) of succession in interest, are joint & 4 severally responsible for said acts or representations made by one another. 5 6 8) Jurisdiction in this Court is proper because the Cause of Action(s) set forth herein arise 7 under California Law & because the amount of damages sought is within the jurisdiction of the 8 Superior Court of the State of California; 9 9) Venue is proper in the County of Alameda under California Code of Civil Procedure (aka 10 "CCP"), Sections 393 & 395, because one or more of the acts, breaches, misappropriations, and 11 wrongs giving rise to the Cause of Action(s) asserted herein occurred in the County of Alameda; 12 13 10) JUDICIAL NOTICE: Plaintiff requests this Honorable Court take Judicial Notice of the 14 17 matters listed in the attached 2 pg "REQUEST FOR JUDICIAL NOTICE IN SUPPORT OF 15 VERIFIED COMPLAINT..." document. The reasons for this requested notice; (a) Defendants have a 16 long & storied history of featuring prominently in litigation matters involving the BCOA HOA- 17 committing many of the same civil torts and/or crimes as detailed in this Qui Tam Action, (b) each of 18 19 the 17 matters may be specifically referenced in this Qui Tam Action, and (c) Defendants have been 20 the cause of lawsuits listed, as a direct result of their criminal schemes & civil torts undertaken for the 21 purposes of self enrichment, at the expense of the Public Interest. 22 - 1.0 INTRODUCTION - 23 11) Relator brings this Qui Tam Action (aka "Action" & "Complaint"), in the name of the 24 25 people of the State of California under California's Insurance Fraud Prevention Act (aka "IFPA"), as 26 provided by Insurance Code (aka "INS"), 1871.7. 27 12) Relator brings this Action to Blow The Whistle on Insurance Fraud he discovered circa 28 VERIFIED COMPLAINT FOR VIOLATIONS OF THE INSURANCE FRAUD PREVENTION ACT [INS 1871.7] 7 1 08/2023 within & involving the BCOA, a Homeowner's Association (aka "HOA"), of which Relator 2 is a Member & 3% Constituent Shareholder. 3 13) The Insurance Fraud is part of a complex SCAM Scheme conducted by various self- 4 interested current & former Members of the BCOA and their Agents (inclusive of the current BOD of 5 6 the BCOA), beginning in 2015 and continuing to the present day. The SCAM Schemes involve both 7 Real Property & Insurance Fraud uncovered by Relator, which run counter to the laws of the State of 8 California & the Public Interest. 9 14) Relator fears that if the frauds alleged in this Action are not halted & amended, nothing 10 will stop Defendants & their Agents from engaging in further acts of fraud. (See Declaration of LS 11 Jennings, ¶22.) 12 13 15) Insurance fraud of the kind detailed in this Action harms the general public by driving up 14 insurance premiums for HOA Members across the State and Country. According to the California 15 Association Of Homeowners Associations, nearly 37% of California's population lives in HOAs, 16 and almost 65% of all California homeowners are part of an HOA. These figures are rising year 17 18 over year. Fraud Prevention in California HOAs is a vital Public Concern for this reason. (See 19 Declaration of Nancy Carter, ¶20.) 20 a) Insurance premiums are increasing for HOAs across the State. Insurance Frauds 21 detailed herein serve to drive up those premiums for all California HOA Homeowners-including 22 23 Relator & the other 32 BCOA Constituent Members. (See Declaration of LS Jennings, ¶12 et seq.) 24 16) Relator brings this Action to alleviate the harms perpetrated by Defendants' frauds & 25 to hold Defendants accountable for their corresponding criminal acts. Defendants have decided 26 to use Insurance Fraud as a means of capital accumulation for the BCOA. (See Declaration of LS 27 28 Jennings, ¶21.) They are taking the money, using it to hide insolvency, then selling their HOA VERIFIED COMPLAINT FOR VIOLATIONS OF THE INSURANCE FRAUD PREVENTION ACT [INS 1871.7] 8 1 Property for greater gains with insolvency suitably hidden from prospective purchasers: 2 a) Defendant Bronaugh (sale circa 05/2022), Corporate Raider Lawrence Drouin (aka 3 "Drouin"-unit sale circa 01/2021 & unit deed of trust satisfaction 05/2022 ), Corporate Raider 4 5 Tyler Flora (units sale circa 09/2021 & 02/2022), and Flora's employee Mitchel Matthews (aka 6 "Matthews"-unit sale circa 08/2022)---have each so acted & sold their respective properties for 7 vastly increased profit as a result of the SCAM Schemes generally, and the Insurance Frauds 8 evidenced herein specifically. All told, they increased their total profits by over $800,000. in the 9 10 period of 09/2019-07/2022. [See Declaration of LS Jennings, ¶s 5(a) & (b).] 11 - 2.0 OVERVIEW OF THE SCHEME - 12 A. Background 13 17) The BCOA enjoyed a period of prosperity from 2012-2019, when it was carefully 14 managed by experienced and very hard working volunteers who obeyed the law. 15 18) This prosperity was upended in the summer of 2019 when a group of Corporate Raiders 16 (aka "Raiders"), including Defendants Bronaugh & Miller, attempted to mount an illegal Hostile 17 Takeover of Defendant BCOA. 18 19 19) Key to the Hostile Takeover, was the Raiders filing for, and receipt of, a TRO (see 20 ORDER1, Exhibit 33), against the BCOA and its incumbent Board to halt a lawfully opened election 21 whose purpose was to elect an all new BOD to be seated 10/31/2019. Raiders needed to completely 22 control the BOD makeup, so they could completely control the HOA's business operations. Raiders 23 did not want anyone on the Board who would get in the way of their SCAM plans. 24 a) Their complaint (RFJN #7), and its TRO were brought by the Raiders in distant Mendocino 25 26 County, in order to make the matter less accessible to BCOA Members and more difficult for the 27 incumbent 2019 BOD to attend proceedings. 28 20) The incumbent 2019 BOD opposed the TRO & successfully moved to have the matter VERIFIED COMPLAINT FOR VIOLATIONS OF THE INSURANCE FRAUD PREVENTION ACT [INS 1871.7] 9 1 transferred to the proper venue of Alameda County. The Mendocino County Court which issued the 2 TRO (ORDER1, Exhibit 33), left the TRO in place (whereas courts normally vacate such orders 3 when venue is transferred). This was done to ensure that during the case transfer, no election activity 4 would be undertaken in the BCOA. 5 6 a) The Incumbent 2019 BOD & all Corporate Officers, Employees, and Agents of that 2019 7 incumbent administration obeyed ORDER1 to the letter thereof. Defendants Bronaugh & Miller did 8 not-they and all Corporate Raiders (who paid to have ORDER1 put in place), summarily violated 9 every aspect of ORDER1. [See Declaration of LS Jennings, ¶s: 7-9 inclusive.] 10 21) Circa 10/01/2019, Defendants Bronaugh & Miller attempted to steal the lawful BCOA 11 open election already well underway, (ballots had been issued 2 weeks prior, voting was still open, 12 13 ballot return deadline was 10/26/2019). They purloined the completed & returned BCOA Member 14 Ballots, and staged their own fraudulent "instant" one-day elections in direct violation of; (a) 15 ORDER1 (see Exhibit 33), they paid to have put in place the week before, (b) CIV 5100 et seq, and 16 (c) BCOA Bylaws Article V, (see Exhibit GD1, pgs 57-59 inclusive, and pgs 77-79 inclusive). 17 a) See Exhibit 17 for comprehensive detailing of the Hostile Corporate Takeover Attempt. 18 19 22) Defendant Bronaugh & two of his fellow Raiders [Jojo Manai (aka "Manai"), and Mimi 20 Thomas (aka "Thomas")], appointed themselves as "directors" & began representing to third parties 21 that they were, the "new board" of the BCOA. This group is referred to herein as the "Fake Board", 22 and was guided in the misrepresentation by Defendant Miller. 23 23) The Fake Board went so far as to file fraudulent Statements of Information (aka "SOI") & 24 25 Common Interest Development (aka "CID"), with the California SOS, claiming to be the lawfully 26 elected BCOA board, (see Exhibit 35). This was done to indicate pseudo legitimacy to 3rd parties. 27 [See Declaration of LS Jennings, ¶15 (c) & (d).] 28 VERIFIED COMPLAINT FOR VIOLATIONS OF THE INSURANCE FRAUD PREVENTION ACT [INS 1871.7] 10 1 a) The SOI filings for the lawfully serving incumbent 2019 BOD are set forth in Exhibit 01. 2 b) As shown in Exhibit 35A, Defendants have assigned all check signing authority to Director 3 Iain Lowis, as they have assigned all Officer Roles to him. This is in violation of CC&R 6.5.4 & 4 CCC 5213(a). It enables one person to have complete signature control over all BCOA Accounts & 5 6 Business Instruments, a potent recipe for financial fraud. (See Declarations of Nancy Carter ¶s; 6 & 7 7; and LS Jennings, ¶14.) 8 24) Circa 11/2019, the Fake Board & its alleged Officers conspired with ex-BCOA Director 9 Laurence Drouin (aka "Drouin"), to engage in Real Estate Fraud. To perfect this fraud, they illegally 10 changed the locks on the BCOA Business Office, removed the BCOA's Corporate Records stored 11 therein, and caused these Records to disappear circa 03/06/2020. 12 13 a) With Records missing, Defendants could rewrite a business fiction that supported both their 14 2019 Real Property, and 2020 & 2021 acts of Insurance Fraud. 15 b) The first act of Insurance Fraud occurred 03/31/2020, less than 30 days after the BCOA's 16 Corporate Records were taken. It was conducted by Defendant Miller as set forth in Exhibit IC1. 17 c) Relator had been denied BCOA records examination pursuant to his Member Rights 18 19 (BCOA CC&Rs 6.9.3 & 8.6) & CIV 5200 et seq., since circa 10/2020. Relator had to file Case 20 #22CV020739 in Alameda Superior Court 10/2022 (RFJN #12), and open formal discovery circa 21 07/2023, in order to obtain ANY records. Evidence of the first reported Insurance Fraud provided in 22 this Action was uncovered circa 12/2023 as a result of Relator's Request For Documents Production 23 Discovery performed under The Discovery Act in Case #22CV020739. Evidence of the second act of 24 25 Insurance Fraud committed in the period of 11/2020-03/2021 was uncovered at the same time. 26 25) Relator is informed, and so believes, that Defendants Bronaugh & Miller acted to disrupt 27 the 2019 BCOA Election in order to attempt to seize unlawful control of the BCOA. Control was 28 VERIFIED COMPLAINT FOR VIOLATIONS OF THE INSURANCE FRAUD PREVENTION ACT [INS 1871.7] 11 1 required to commit a variety of frauds including tax fraud, real property fraud and insurance fraud. 2 These frauds directly benefited Defendants at the expense of both the Insurance Carriers & Public At 3 Large. [See Declaration of LS Jennings, ¶s: 5-9 inclusive, 15(b), Exhibit 17, Exhibit 33, & RFJNs 4 #12 & 15.] 5 6 26) For an in-depth analysis of the property fraud committed by Defendants & their cohorts, 7 Relator requests Judicial Notice to the Complaint filed 10/28/2022 in Alameda County Superior 8 Court Case #22CV020739, (RFJN #12). See also Exhibit 17 ¶s: 1.4-1.32 inclusive, and Exhibit 33 to 9 this Action for summary analysis. 10 27) On 11/26/2019, a Quo Warranto Action was filed against the BCOA & its Incumbent 11 2019 Board, (Alameda Superior Court Case #HG19046206; RJN #8). 12 13 28) In that Quo Warranto Action, circa 02/2020, Judge Julia Spain orally ruled from the bench 14 in open Court that the Fake Board had no authority to represent the BCOA. Legal Elections were 15 required to obtain such control. (See Exhibit 17 ¶s: 1.28; and Declaration of LS Jennings, ¶16.) 16 29) The Quo Warranto Action (RFJN #8), and related Interpleader Action (RFJN #9) illegally 17 filed by Defendant Miller, were settled circa 06/2020 (Exhibit 52), as it was meritless & plaintiffs 18 19 attorney (Christopher J. Neary, aka "Neary"-represnting Corporate Raiders), had no hope of 20 prevailing in it. An election was conducted by the Court to lawfully seat a Successor Board. On 21 10/02/2020 a Successor Board was elected & seated, and the incumbent 2019 BOD was finally 22 lawfully retired. (See ORDER2, Exhibit 52.) The next day, Neary-in a naked act of contempt-served 23 a Summons on the 06/2020 settled complaint upon one of the defendants named in RFJN #7 & 8. 24 25 a) All told, Defendants delayed the lawful 2019 Election for one full year at a cost of over 26 $200,000. (See Declaration of LS Jennings, ¶17.) 27 30) ORDER2 clearly shows the incumbent 2012-2020 Board was not succeeded until 28 VERIFIED COMPLAINT FOR VIOLATIONS OF THE INSURANCE FRAUD PREVENTION ACT [INS 1871.7] 12 1 10/02/2020. Despite this, Defendants and their counsel insist to this day that a legitimate BOD 2 Election occurred in August or October 2019, (their story varies, and there is nothing to support it). 3 Defendants & the Fake Board fraudulently represented, and continue to so represent to third parties 4 (the Insurance Carriers at issue among them), they represented the BCOA after 10/2019. It is a matter 5 6 of the written record that they did not, and could not. [See Declaration of LS Jennings, ¶17(b).] 7 31) Relator has many times requested comprehensive documentation from the BCOA in his 8 capacity as a Member thereof, pursuant to CC&Rs 6.9.3 & 8.6, and CIV 5200 et seq. Exhibit PM1 9 provides evidence of how Relator's reasonable requests for documentation are flagrantly ignored by 10 BCOA & its Management Agents. (See Declarations of Nancy Carter ¶5; and LJ Jennings ¶s; 2, 4, 6) 11 32) Since 10/02/2020, all BCOA Records Requests made by Relator, outside of Litigation 12 13 Discovery, have been ignored by the BCOA Board, Officers & Agents. (Exhibit PM1.) 14 33) Relator has conducted thorough discovery in Case #22CV020739, asking in particular for 15 104 different documents related to BCOA insurance claims, insurance policies, communications 16 related to insurance, taxes, and financials, et etc. None of Relator's Document Discovery has been 17 responsively answered by Defendants in compliance with the Civil Discovery Act, there being 18 19 glaring gaps in the scope of documents produced. Defendants have shown significant interest in 20 hiding Corporate Records from Member Overview since 2020. (See Declaration of LJ Jennings ¶s; 2, 21 4, 6.) 22 34) It was only through the civil discovery partially produced in Case #22CV020739 that 23 Relator discovered the Insurance Frauds alleged herein. Otherwise, Relator's diligence in the 24 25 uncovering the existence of these illegal activities has been actively stonewalled by all Defendants at 26 every turn. As such, the Insurance Frauds described herein could have been discovered by Relator no 27 earlier than 08/14/2023. All involved discovery review was complete by circa 12/2023. (See 28 VERIFIED COMPLAINT FOR VIOLATIONS OF THE INSURANCE FRAUD PREVENTION ACT [INS 1871.7] 13 1 Declaration of LJ Jennings ¶s; 2-5 inclusive.) 2 35) Relator is informed & so believes that the conspicuous absence of documents produced as 3 stated above is a deliberate act of fraudulent concealment, intended by Defendants to hide their 4 ongoing fraudulent activity from discovery by Whistle Blower Relator & like minded others. 5 6 B. Insurance Fraud Scheme 7 36) On 03/31/2020, while the Quo Warranto Action was still pending, and after Judge Spain's 8 advisement to the Fake Board that they were not a legitimate Board of Directors serving the BCOA 9 (¶28), Defendant Miller filed a false insurance claim with Travelers Casualty Insurance Company of 10 America (aka "Travelers"), claiming to be the authorized representative of the BCOA & its General 11 Counsel, (see Exhibit IC1, pgs 8-19 inclusive; and Declaration of Nancy Carter ¶22). 12 13 a) This fraudulent insurance filing was allegedly reviewed by the Fake Board, (see Exhibit 14 FM1-a set of purported minutes prepared by the Fake Board dated 03/10/2020). 15 b) Prior to this false claim filing, as evidenced by Exhibit IC1, pgs 20-28 inclusive, Defendant 16 Miller had her client Mitchel Matthews use false facts to seek a TRO circa January 2020 against the 17 2019 BOD that would inhibit it from communicating with the BCOA's Insurance Carriers. The TRO 18 19 was granted, but a proper hearing was never held to consider an injunction. (This was at the outset of 20 the Pandemic, and the Courts were operating in a very challenged environment.) Defendants (absent 21 BCOA), abused this TRO to convince BCOA Insurance Carrier fraud targets to speak only with 22 them. [See Declarations of; Nancy Carter ¶22; LS Jennings ¶12(a).] This set the stage for Defendants 23 (absent BCOA), first false claim filing. 24 25 c) Defendant Bronaugh & Defendant Miller's client Matthews abused the TRO by using it to 26 hoodwink Insurance Carriers (Exhibit IF1), into believing Raiders could manage the BCOA's 27 Insurance Coverage, and Carriers should only communicate with Raiders. (Exhibit IC1 pg26) 28 VERIFIED COMPLAINT FOR VIOLATIONS OF THE INSURANCE FRAUD PREVENTION ACT [INS 1871.7] 14 1 d) Nonetheless, the incumbent 2019 BOD performed its Fiduciary Duty and assisted the 2 Carrier in halting Defendant Miller's I-SCAM-2020. (See Exhibit IC1, pg 1.) Defendants have 3 weaponized this Court's Processes in order to aid & abet their acts of Real Property & Insurance 4 Fraud. TRO's should be sought for true emergency situations that need quick redress. Defendants 5 6 abused the TRO obtainment process solely to facilitate their criminal conduct complained of in this 7 Action. (See Declaration of LS Jennings, ¶18 et seq.) 8 e) The attached Request For Judicial Notice lists 17 items with 16 legal actions. Defendants 9 have filed for 6 TROs in the period of 07/2019-02/2020, (see RFJNs: #4-#7 inclusive). Defendants 10 were never interested in viable litigation, only the filing of meritless & malicious litigation which 11 would afford them the ability to seek obstructive TRO's that would help them perfect their Hostile 12 13 Corporate Takeover. The Scheme worked. 14 f) This was not Defendant Miller's first act of fraud & misrepresentation involving the BCOA. 15 Defendant Miller, an attorney, serves clients who want to manipulate the law to defraud Landlords, 16 HOAs, and Insurers-ie: targets who possess Fiduciary Responsibility & Authority. At the BCOA, 17 Defendant Miller first assisted Corporate Raiders to; (i) elect a Fake Board (10/2019), then (ii) 18 19 embezzle the BCOA's 2019 & 2020 assessment revenue which she received, then (iii) frivolously sue 20 a Federal Judgment Creditor & the BCOA's Secretary/Treasurer in the BCOA's name without any 21 authority to do so (12/2019), then (iv) file fraudulent Insurance Claim #1 (03/2020), then (v) file 22 fraudulent Insurance Claim #2 (11/2020), then (vi) evade a Federal Judgment Creditor (see RFJN 23 #1), by withholding the $149,000. insurance fraud money she obtained in I-SCAM-2021 when a 24 25 Federal Marshall came to collect the $300,000 Federal Judgment owed by Defendant BCOA*. (*As a 26 result of Defendant Miller's reckless negligence which caused her to be cited with Federal Contempt 27 in 2021.) [See RFJN #15, Exhibit 4A.] 28 VERIFIED COMPLAINT FOR VIOLATIONS OF THE INSURANCE FRAUD PREVENTION ACT [INS 1871.7] 15 1 g) In the latter event, Defendant Miller was sued for Contempt in Federal Court in the summer 2 of 2021, causing the BCOA to be saddled with a $300,000. judgment. In a severe conflict of interest- 3 Defendant Miller settled that judgment so that the BCOA was stuck paying all of it. Defendant Miller 4 got off scot-free. Defendant Miller's law firm "Miller Farr" failed & closed in 2022. She has hidden 5 6 its historical existence on LINKEDIN-as if it never existed. She reopened a new firm, "Trinity Law 7 PC", in 2022, but it has already materially failed as well, (and has had its website taken offline to non 8 commercial private status). Defendant Miller no longer practices law as a vocation, she now works 9 for the S.F. Assessment Appeals Board as a "Commissioner" because she wants to become a superior 10 court judge. (See Declaration of LS Jennings, ¶s: 17 et seq, and 19-21 inclusive et seq.) 11 37) The filing of this March 2020 Claim was the first act carried out by Defendants 12 13 Bronaugh & Miller in their Insurance Fraud Scheme, (aka "I-SCAM-2020"). 14 38) The fraudulently filed 03/31/2020 insurance claim I-SCAM-2020 alleged: burglary, 15 hijacking, robbery, embezzlement and theft of BCOA funds. (See Exhibit IC1, pg 8, 15-16.) 16 39) The BCOA has never experienced any burglary, hijacking, robbery, embezzlement or 17 theft of BCOA funds, until Defendants Bronaugh & Miller engaged in embezzlement in October 18 19 2019-October 2020. There are; (a) no Board Minutes evidencing any such calamity, (b) no police 20 reports, (c) no correspondence, (d) no reported relevant events or history of any kind. (See 21 Declaration of LS Jennings, ¶13 et seq.) 22 40) The Board Directors & Officers (President & Treasurer), who handled the BCOA 23 Business from 2012-2020 would be the purported embezzlers, as they had SOLE signature control of 24 25 the Association's finances exclusively from July 2012-October 2020. They were never contacted by 26 anyone regarding any embezzlement. No investigation was conducted by any Fiduciary involved- 27 including the Insurance Carriers who were being defrauded. (See Declarations of LS Jennings at ¶ 28 VERIFIED COMPLAINT FOR VIOLATIONS OF THE INSURANCE FRAUD PREVENTION ACT [INS 1871.7] 16 1 13c, and Raj Patel at ¶ 8). 2 41) Every penny of the BCOA's money spent 07/2012-10/2020 by the lawfully elected BODs 3 of that 8+ year period is properly accounted for. (See Declaration of LS Jennings ¶ 13.) The 2012- 4 2020 BCOA Accounting Records have been hidden by Defendants in order to support their 5 6 fraudulent fiction used to defraud Insurance Carriers. 7 a) However, Relator was BCOA Digital Archivist in 2019-2020, and was tasked to create a 8 digital archive of BCOA Records as motioned by the 2012 BCOA Board. Defendants have never 9 sought these records from Relator, despite the fact that they know he produced them. [See 10 Declaration of LS Jennings ¶s 13(c) & 13(d)] 11 42) Defendants have in their possession all invoices, payment check copies, contracts, and 12 13 Board Minutes to support all transactions they allege are "embezzlement". If they needed assistance, 14 they could have contacted former Directors, Officers, Employees, and Agents. Tellingly, no such 15 contact has ever occurred. The alleged embezzlement was never investigated by Defendants or the 16 Insurance Carrier. After up to 4 years now-no Fiduciary associated with these matters has ever 17 contacted the alleged embezzlers in any capacity whatsoever. [See Declarations of Nancy Carter ¶s; 3 18 19 & 5, and LS Jennings, ¶ 13(c).] This despite the effected Carrier (Philadelphia, see ¶ 53 below for 20 ID), stating they would be doing so, (see Exhibit IC2, page 1). 21 a) The claimed Embezzlement (Exhibit IC1 pgs 15 & 16), is a complete fiction created by 22 Defendants for profit. The Carriers involved have performed no due diligence of investigation. 23 Defendants take the ill gotten money, and Carrier's just increase their premiums to cover it-no 24 25 problem. The only loser is the General Public who must pay the elevated premiums thus resulting. 26 b) False Claim #1 was discovered & halted by the Incumbent 2019 Board circa 04/2020. Once 27 halted, Defendants did not attempt the fraud again, until that Incumbent 2019 BOD was succeeded in 28 VERIFIED COMPLAINT FOR VIOLATIONS OF THE INSURANCE FRAUD PREVENTION ACT [INS 1871.7] 17 1 the 10/02/2020 election. Then Defendants had free reign & were able to file fraudulent claims 2 (Exhibit IC2), without challenge. (See Declaration of LS Jennings, ¶18 et seq; and Raj Patel ¶s; 4-6 3 inclusive.) 4 43) Defendant Miller's I-SCAM-2020 alleged theft of BCOA funds in the amount of $250,000 5 6 per year for "several years". The claim as filed seeks a payout of $250,000 per year for 2017, 2018 7 & 2019-a combined claim amount of $750,000. 8 a) Defendant Miller's claim states that these losses date back to a "DOL" (Date Of Loss) of 9 "2015", (see Exhibit IC1 pgs 15 & 16; and Exhibit IF2 pg 1). This equates to a claim of $1.25 10 million. In fact there are no such losses whatsoever. [See Declaration of LS Jennings, ¶s: 13(a)-(c) 11 inclusive; and 18 et seq.] Anyone even remotely familiar with how the BCOA operated, as made 12 13 evident by its annually published Reports* required by CIVs 5300 & 5310, would know Defendant 14 Miller's 03/2020 claim was not just highly improbable-but fiscally impossible. [See Declarations of; 15 Nancy Carter ¶s 13-16 inclusive, LS Jennings ¶ 13(g)] 16 b) Defendants failed to produce these *Reports after 10/2020, despite being required by law to 17 do so at least 30 days prior to every year end-and Relator's many requests for them over the years. 18 19 Withholding the Reports allowed Defendants to hide their Real Property & Insurance Fraud Scams 20 from Relator, and other BCOA Members. The Boards serving the BCOA 07/2012-10/2020 always 21 published the legally required Reports. [See Declaration of LS Jennings ¶ 4 & 4(b).] 22 c) This despite duly published BCOA Records showing that the BCOA has had a maximum 23 annual assessment income of only $170,000. nominal since 01/2013, (see Exhibit AS1.) After 24 25 09/2019 this revenue dropped very sharply, because Defendant Miller embezzled BCOA Assessment 26 revenue thereafter. The annual BCOA Assessment revenue received prior to 2013 never exceeded 27 $70,000. Indeed, the coveted 100% assessment collection metric did not occur in the BCOA from 28 VERIFIED COMPLAINT FOR VIOLATIONS OF THE INSURANCE FRAUD PREVENTION ACT [INS 1871.7] 18 1 2000-2016. It having first occurred in 2017, by way of the Patel Presided Boards operating in that 2 period, which had worked hard to achieve that goal since being duly elected to do so in July 2012. 3 d) Accordingly, it is unclear how "$250,000./yr" could be embezzled from a business that 4 struggles to obtain $170,403./yr in revenue (and until 2017, never had)-where essentially fixed 5 6 expenses for just utilities and insurance alone equate to 41% ($70,000. nominal) of the annual 7 budget as shown in Exhibit AS1 page 2. (See Declarations of Nancy Carter ¶14; and LS Jennings, 8 ¶13(f)-(h) inclusive.] 9 44) The incumbent 2019 BOD & its Management Assistant discovered I-SCAM-2020 & 10 alerted Travelers of the fraud before any insurance funds were paid out to Defendant Miller. (See 11 Exhibit IC1, pg1-7.) Travelers closed the I-SCAM-2020 Claim, (see Exhibit IC1, pg2). 12 13 45) Circa 12/2020, Defendant Bronaugh changed BCOA Insurance Brokers & restricted 14 information sharing of Carriers, without BCOA Authorization. This was done so that Defendant 15 Miller could attempt the 2nd fraudulent false insurance claim filing, assisted by a Broker who had not 16 been made wise to Defendants' 1st fraud attempt. (See Exhibit IN1.) 17 46) The BCOA Board did not authorize this action. Nor did it authorize Defendant 18 19 Bronaugh's circa 04/2020 manipulation of BCOA Insurance Coverage (Exhibit IF1), which is not 20 authorized in Board Meeting Minutes. The act was hidden from the BCOA Membership by 21 Defendant Bronaugh, so that the Incumbent 2019 Board & no BCOA Members (especially Whistle 22 Blower & Relator Member LJ Jennings), would be aware. [See Declarations of Nancy Carter ¶s; 8, 9, 23 17-19 inclusive; and LJ Jennings ¶4; LS Jennings ¶ 15(a)-(e); and Raj Patel ¶4.] 24 25 a) Careful Examination of the various addresses Defendants provided to Insurance Carriers & 26 the Public in the Complaint Exhibits IC2 & 35, shows at least 5 different addresses, none of which 27 are the address of the BCOA pursuant to CC&R 9.3.12 E-9.0. (Exhibit GD1 contains the CC&Rs at 28 VERIFIED COMPLAINT FOR VIOLATIONS OF THE INSURANCE FRAUD PREVENTION ACT [INS 1871.7] 19 1 its pages 1-44.); 2 b) "2828 Filbert Street #9" (see Exhibit IC2 pgs 2, 4), was Defendant Bronaugh's personal 3 residence at that time, 4 c) "2828 Filbert Street #14" (Exhibit 35, pg 3), was Corporate Raider Matthews' next door 5 6 neighbor at that time, 7 d) "2828 Filbert Street #15" (Exhibit 35, pg 1), was Corporate Raider Matthews' personal 8 residence at that time, 9 e) "2828 Filbert Street Unit A" (see Exhibits 35 pg 2, and pg 4's ¶3.), is Relator's Easement 10 Property address, to which there is no mail box for US Postal Service, etc., 11 f) "2828 Filbert Street" (see Exhibit IC2 pg 1, and Exhibit IF2), is no one's address-there is no 12 13 mail box for US Postal Service, etc., 14 g) The use of 5 different unauthorized addresses, in direct violation of CC&R 9.3.12 E-9.0, 15 allowed Defendants to improperly control & hide communications from all oversight, to facilitate 16 their acts of fraud complained of herein. [See Declarations of Nancy Carter ¶s; 8, and 10-12 17 inclusive; and LS Jennings ¶15(c) & (d)] 18 19 47) Insurance Broker "Elliot Katzovitz Insurance Agency" (aka "EKIA", Mr. Katzovitz wrote 20 the book on California HOA Insurance practice), was used from circa 01/2013-04/2020 by the BCOA 21 without singular negative event. EKIA was inexplicably replaced by Defendant Bronaugh after 22 10/02/2020, with "Dealey Renton & Associates", (who quickly changed their name to 23 "AssuredPartners"). AssuredPartners had no way of knowing about the 1st Fraudulent Claim Filing 24 25 attempt by Defendant Miller made through EKIA to Carrier Travelers, circa March 2020, as the fraud 26 was not disclosed to AssuredPartners by Defendant Bronaugh. 27 48) Defendant Bronaugh routed all deliverable insurance information to the residence of 28 VERIFIED COMPLAINT FOR VIOLATIONS OF THE INSURANCE FRAUD PREVENTION ACT [INS 1871.7] 20 1 fellow Raider & Fake 2019-2020 Officer Mitchel Matthews, whom Relator believes is involved as 2 the Chief Strategist of both fraudulent insurance claim filings Defendants have made, as detailed in 3 this Action. This is a violation of BCOA CC&R 9.3.12 E-9.0. [See Declarations of Nancy Carter ¶s; 4 8 and 10-12 inclusive; and LS Jennings, ¶15(c) & ¶15(d).] 5 6 49) Defendant Miller, who filed the 1st Fraudulent Claim, is Matthews' personal attorney. 7 Defendants Bronaugh, Matthews, and Miller are the subject of separate lawsuits filed by Relator for 8 various civil torts inclusive of breach of contract, fiduciary duty & fraud, (see RFJN #12, #14, #15). 9 50) Insurance information is required by law [CIV 5300's (a) & (b)(9)], to be disclosed 10 annually to the BCOA Membership, of which Relator is a Member. Defendants were responsible for 11 providing this information in their Annual Budget Report (CIV 4076 & 5300), and Annual Policy 12 13 Statements, (CIV 4078 & 5310). These documents are to be delivered on or before 12/01 each 14 calendar year, [CIV 5300(a) & 5310(a) respectively]. Defendants failed to produce these documents 15 in 2020, 2021, and 2022-despite statute & Relator demand for same made pursuant to CIV 5200. (See 16 Declaration of LJ Jennings ¶4.) 17 51) As a result of Relator lawsuits filed 10/2022-09/2023 (see RFJN #12, #14, and #15), 18 19 Defendant BCOA finally issued an incomplet