Three members of the Diamondhead Country Club and Property Owners Association board of directors, Paul Montjoy, Craig Harvey and Don Crosby along with the former president Elton Kyger have blocked an attempted forensic audit call by the nonprofit corporation’s Treasurer, Mick Schaefer. The board members interrupted forensic auditor, Patches Rhoade from proceeding at the Diamondhead Country Club when she arrived Monday morning.
Schaefer called for the audit after several months of mounting losses at the Diamondhead Country Club fueled by successive months operating losses exceeding $50,000 per month. The losses escalated after a club consultant was hired to oversee the country club. Schaefer is a retired comptroller for Nissan. He served as a officer in the United States Navy and holds an MBA. He was elected to the position of Treasurer in 2014 and has opposed many of the expenditures proposed by members of the Diamondhead CC & POA board of directors.
Two of the directors, Paul Montjoy and Elton Kyger have had questionable dealings with the Diamondhead POA. Montjoy was General Manager from 1995 till 1997. His contract was terminated for irregularities in the accounting of the non profit corporation. Montjoy sued the POA for breach of contract and won in Mississippi Circuit Court. The Diamondhead Country Club and Property Owners Association appealed and Mississippi Court of Appeals subsequently reversed the lower court ruling. In their finding, the court stated that Montjoy had given himself a $1,000 bonus, allowed for personal use of company vehicles, acted without board approval and abused his expense account. See: Montjoy V Diamondhead POA.
Kyger served as president of the Diamondhead Country Club and Property Owners Association from 2012 till 2014 and is now a member of the board as what is termed an “ex-officio”. Kyger was convicted of simple assault of a POA member in January of this year. He has appealed the conviction and awaiting a court date.
Board member Harvey, who embarked on vicious campaign of emails personally insulting sitting POA Vice President, Jerry Weber, testified for Elton Kyger at his assault trial and stated from the witness stand that he would have “punched her (the victim) in the nose”. Harvey is a principle in NVision, a government contractor that will be located in the former Diamondhead Academy.