Inside the Audit Case

There’s a new development in the audit case that most thought would be settled after POA Treasurer Michael Schaefer passed away.  Instead, the eight board members who stopped the audit on grounds of improper procedure have instructed Mr. Schaefer’s widow and family to open his estate or they will force it open themselves to pursue their claims against Schaefer and the vice president for costs of scanning documents, the auditor’s services, attorney fees, and punitive damages for filing what they claim is a “frivolous” suit.

Read the board of directors’ filing here.

You read that right.  The eight board members who shrugged their shoulders and ho-hummed while country club losses soared past the half million mark suddenly care enough about POA money to force open Michael Schaefer’s estate in an attempt to extract tens of thousands from his widow.   This is the Michael Schaefer who, while on this earth, willingly and lovingly served his country as lieutenant in the U.S. Navy, his community as director on Water and POA boards, his alma mater as president of the alumni association, and his V.F.W. post as commander —  to the best of his ability and the dictates of his conscience.

legalDHThe suit was filed originally to enjoin the eight board members from halting the audit, and to get a declaratory judgment from the court as to the extent of the treasurer’s authority.  Issues in interpreting that authority, found in Section 4.6 of the bylaws, have risen before when a  treasurer obtained a legal opinion that was not authorized by the board.  The board in office then agreed to pay for it anyway, but interpretation of Section 4.6 by the court would be useful to lay to rest a twice-raised question.

Countersuing, filing multiple motions, threatening a widow:  none of this is about the best interests of this community, it’s about aggression.  The simple matter of the treasurer’s authority should have been taken before the court and settled months ago.  Get it before the court or drop it.  All that it’s doing now is bolstering Diamondhead’s considerable reputation for elected officials who delight in bullying others.

About the Author

T. R. Alfonso

Editor and Publisher of the the Diamondhead News Online

2 Comments on "Inside the Audit Case"

  1. C J Longanecker | March 13, 2016 at 1:14 pm |

    This action by the eight board directors to attack Mike’s estate has nothing to do with recovering the funds they wasted trying to stop an audit to find out why the financial loses at the Country Club are so Huge. This attack is to warn other POA members not to question their actions or lack of action or they will come for you just like they did with the POA Treasurer Michael Schaefer and now his estate. Death is not an end for them; their hatred and meanness has no end for the people who question their management ability nor their in ineptness.

  2. KenFromDMHD | March 15, 2016 at 6:09 am |

    It appears the scoundrels have been stealing a LOT of money for a LONG time. The massive country club loss issue was raised back in the Recall election of 1993. The scoundrels fought it tooth and nail back then as well. Another little Tid Bit to ponder, is that if one will examine the Title of the Country Club Property Parcel, they will find out that the DPOA dues paying members do not even have title to the thing. Some outfit known as Pur~. Really Need to forge ahead with the AUDIT. When we get done with that, we need to do a Title Search on the Country Club and the Golf Course. Super KUDOS to Michael Schaefer, His Family, and all TRUTH Movement Activists supporting his cause.

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