Condo Fraud

A recent article in the Toronto Star¹ about a property manager who bilked several condo corporations out of a total of $20 million dollars made the paper's front page headlines. It is alleged that the property manager defrauded one condo corporation by registering a bogus borrowing by-law on title, which enabled the manager to then borrow three million dollars against the property. Another condo corporation was the victim of a fraudulent bid for major repair work on the condominium. It is alleged that a corporation controlled by the manager submitted the lowest bid, but once the work started the contract price escalated, and the work was done by a subcontractor for half of the bid price. Apparently the manager was able to land the management contracts with the condo corporations by submitting bids that were lower than the others.