Charges of Fraud and Over-billing for Power Services to Owners and Residents by Sky Las Vegas announced by State of Nevada:
Las Vegas Nevada,
For Immediate International Wire Release
The Associated Press, Robert Paisola Reports:
Today we received a call from a Class Action Attorney in New York City, that informed us that there is going to be a Federal Class Action Lawsuit filed against The Sky Las Vegas, The Prescott Management Companies, and specific Individuals at Nevada Power for OVERCHARGING THE OWNERS AND RESIDENTS AT THE SKY LAS VEGAS FOR POWER USAGE AND CONSUMPTION.
We have attempted to contact the company that manages the master billing for the Home Owners Association and the Original Developers of the Project. We were unable to receive a reply by deadline.
We are in the process of reviewing all of the relevant data that we have been provided. We will post updates to this site as soon as the information is vetted and verified by our analysts in Los Angeles.
WHAT THIS MEANS:
This is a very serious matter that involves any and all past or current residents at the Sky Las Vegas. This matter will also effect the current or previous owners of any unit it the Sky Las Vegas Complex. It appears from our first glance, that the Sky Las Vegas was built using a master meter method for allocating electricity to each and every unit. It also appears that there is a strong likeliehood that the residents (tenants) in the Sky Las Vegas Community, were charged excessive and ILLEGAL FEES, that were not approved by the State of Nevada. These fees were subsequently kept by the Defendants, for unjust enrichment.
When we heard of this issue, we immediately assigned investigators to look into this matter, and it appears that The State of Nevada, Department of Business and Industry, Real Estate Division received a Formal Complaint on or about April 28, 2010 submitted by a Sky Las Vegas Owner, Amy Asta, on a form entitled: OMBUDSMAN INTERVENTION AFFIDAVIT (Provided to Western Capital Multimedia via a Freedom of Information Request) The alleged fraud states that the Defendants in this matter are: Sky Las Vegas HOA/Master BOD, Maryrose Bianchi, &Charolette Richards
RELEVANT QUICK FACTS:
MISREPRESENTATION OF TRUE HOA COSTS TO OWNERS via FRAUDULENT ELECTRIC METER CHARGES:
SKY is a master metered customer of Nevada Power and owners are billed by the sub-metering contractor AMPS (Accurate Metering Products, CA.) on behalf of the SKY HOA/Master.
On our 2010 Budget (page 1, 6th item from the bottom under SKY Master), there is an item for Electric Metering.
This means I am paying my share of the metering costs to AMPS as part of my HOA dues. I am also paying my share of the Nevada Power Monthly CUSTOMER CHARGE of $291 as part of my HOA dues.
However, on my monthly owner's bill provided by AMPS there is yet another Customer Charge of $17.30 that is payable to the HOA.
This second charge labeled "NPC CUSTOMER CHARGE" is not a cost charged by NPC - it is billed by AMPS using a non-applicable NPC Commercial Rate, and that money gets added to the HOA fund.
I believe the HOA also profits from the sub-metering demand charges and those extra funds also get added to the HOA fund.
In essence, the HOA is misleading owners and potential buyers about the true cost of ownership at SKY.
While our HOA fees appear to be approx. $0.55/sqft; in actuality, it appears the fees may be 4-12 cents/sqft higher when the Electricity metering profits are added, depending on one's electric usage. The exact amount is uncertain because they are not disclosed by the HOA.
ACTION: Prescott Management and SKY BOD E&O insurance to reimburse owners for 3 years of electricity metering overcharges. Also, SKY HOA/Master to eliminate the non-applicable NPC Customer Charge from future Electricity billings to owners.
The following is a full and complete copy of the data that was received:
This affidavit states in full (NOT EDITED):
3. MISREPRESENTATION OF TRUE HOA COSTS TO OWNERS via FRAUDULENT ELECTRIC METER CHARGES.:
THE LAW:
SKY is a master metered customer of Nevada Power and owners are billed by the submetering contractor AMPS (Accurate Metering Products, CA.) on behalf of the SKY HOA/Master. On our 2010 Budget (page 1, 6th item from the bottom under SKY Master), there is an item for Electric Metering. This means I am paying my share of the metering costs to AMPS as part of my HOA dues.
I am also paying my share of the Nevada Power Monthly CUSTOMER CHARGE of $291 as part of my HOA dues. However, on my monthly owner's bill provided by AMPS there is yet another Customer Charge of $17.30 that is payable to the HOA.
This second charge labeled "NPC CUSTOMER CHARGE" is not a cost charged by NPC - it is billed by AMPS using a non-applicable NPC Commercial Rate, and that money gets added to the HOA fund. I believe the HOA also profits from the sub-metering demand charges and those extra funds also get added to the HOA fund. In essence, the HOA is misleading owners and potential buyers about the true cost of ownership at SKY.
While our HOA fees appear to be approx. $0.55/sqft; in actuality, it appears the fees may be 4-12 cents/sqft higher when the Electricity metering profits are added, depending on one's electric usage. The exact amount is uncertain because they are not disclosed by the HOA.
ACTION: Prescott Management and SKY BOD E&O insurance to reimburse owners for 3 years of electricity metering overcharges. Also, SKY HOA/Master to eliminate the non-applicable NPC Customer Charge from future Electricity billings to owners.
We are holding for a full and complete reply from the Management of Prescott Management, The Mayor of the City of Las Vegas, Oscar Goodman, and The CEO of Accurate Metering Products and Services , Mr. Harold Orum.
According to Nevada Administrative Code 704.560 the use of a master meter for a new building is prohibited with very few exceptions. Please see NAC 704.560 below. As many of you may already be aware, I have been complaining about the practice of reselling electricity to individual condo owners at SKY for more than a year now. Unless, the board, and/or the original developers who I believe are still active members of this board can demonstrate it was justifiable to install a master meter, and impossible to install individual meters, I am prepared to file a class action suit on behalf of all owners of SKY immediately. Please provide any and all pertinent documentation with your response. I anticipate to hear from you in 5 business days. If I do not receive a response, I will have no choice but to assume that you have no intention of responding, as such I will be forced to proceed with legal action.
NAC 704.560 Restricted use of master meters.
1. Except as otherwise provided in subsection 2, the use of a master meter for a new building is prohibited if:
(a) The building has more than one unit;
(b) The occupant of each unit controls a portion of the electric energy used in the building; and
(c) The long-run benefits of separate metering outweigh the costs of purchasing and installing separate meters.
2. Master metering is not prohibited if a new building is initially constructed as one unit and is later subdivided into several units and if the utility determines that individual metering of each unit is impractical or impossible.
3. A customer who desires to have a master meter installed in a new building has the burden of proving to the utility that master metering for the building should not be prohibited. If the customer is not satisfied with the utility’s determination on the matter, he may file a complaint against the utility with the Commission pursuant to the Rules of Practice and Procedure before the Commission.
4. The utility shall file with the Commission and provide each customer who requests the installation of a master meter a written statement of the criteria which the utility uses in evaluating such a request.
[Pub. Service Comm’n, Gen. Order 29 § 3.0, eff. 8-21-81]
The other alleged charge in the affidavit is:
ISSUE #1: ELECTION FRAUD
Maryrose Bianchi, former President and current BOD Treasurer, and Charlotte Richards, BOD member, sent a letter to selected homeowners endorsing specific candidates in an attempt to influence the outcome of the October 2009 elections. The letter misled owners into believing the endorsements were that of the entire BOD when in fact, their endorsements were their's alone. When it was discovered that the letter was indeed a personal endorsement and NOT that of the Board, there were owners who requested to withdraw their votes (as they voted for what they believed were the Board recommended candidates). Their request to withdraw their votes (at the SAME meeting the votes were tallied and counted) was denied.. A copy of the letter sent by Bianchi & Richards is attached to the complaint sent to the SKY BOD.
ACTION: Both of these Board members should be required to resign their positions due to a lack of good faith and violation of their fiduciary responsibility.
If you are a victim of this overcharging, it is essential that you email class.action@skylasvegas.info and explain how you were a victim. Please watch the video above, to see how Western Capital deals with issues of Corporate Fraud around the world, including the indictment of the CEO of Goldman Sachs at http://www.WesternCapitalNews.com
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