Just over two years ago, I began noticing that certain things in our association didn’t quite add up. After careful review, it now appears that nearly $500,000—about $8,000 per unit—has been spent on projects and contracts that raise serious questions. Half a million dollars, with little transparency, no competitive bidding, and limited documentation available to owners.
Where did the money go? And why won’t the board provide answers?
In early 2020, Peter Keseric was elected to the board and quickly nominated as board president. Within hours of his appointment, he made several unilateral decisions—including terminating our existing property manager and signing a contract with a new management company, FCM, without a board vote or open discussion.
That contract remains unratified to this day. No board vote was held in an open session, as required by our governing documents. These early actions set the tone for what followed: a period marked by closed-door decisions, no-bid contracts, and limited owner oversight.
By mid-2021, the Kate Goodman, Mike Rutkowski the elevator contract were meeting to find a scope of work for elevator improvements so a special assessment could be imposed on residents. They settled on having the elevator contractor do $125,000 worth of work under a $400,000 special assessment. It leaves the question to cover the cost of modifying two service elevators.
However, based on industry standards and expert input, similar work has been estimated at closer to $125,000. the board overpaid by at least $275,000. That same budget could have funded two brand-new state-of-the-art elevators. Instead, we received cosmetic improvements and modest mechanical upgrades—far from the scope promised.
I formally requested all related records—bids, invoices, communications. The board refused.
As a professional whistleblower, certified fraud examiner, and experienced real estate developer, I know the law. Illinois statute and our own bylaws require associations to produce records when requested by an owner. Refusing to do so isn’t just noncompliance—it raises deeper concerns.
When I brought these issues up at a board meeting in 2023, the discussion was shut down. One board member ended it with: “Talk to our lawyer.” That told me everything I needed to know.
Over time, a broader pattern emerged. Since 2020, every board member, our management company, the association’s attorneys, and even the elevator contractor appear to be part of the same tightly connected circle—socially or professionally.
Contracts were issued without bids. Management decisions were made without votes. Records were withheld. And when owners asked questions, they were met with silence—or worse, retaliation.
Eventually, the board filed a lawsuit against me and issued $5,800 in fines. They claimed it was over a water leak. But the leak came from a common-area pipe, making it the board’s responsibility under Illinois law.
When that didn’t hold up, they changed their story and claimed I had blocked access for repairs—despite the fact that access was granted at least eight times. Still, their attorney, Liz Thompson, repeated this claim in court over 50 times, with no supporting evidence.
To date, this lawsuit has cost the association more than $40,000 in legal fees—paid by all of us.
This isn’t just about one questionable project. It’s about a larger breakdown of oversight, accountability, and trust. And it’s costing us money.
The silver lining? If funds were misused, our association’s insurance policy may reimburse us—but only if we take action. That means calling for an independent forensic audit, replacing FCM, and electing at least one board member with no ties to this group.
This isn’t about blame. It’s about fixing what’s broken and recovering what was lost.
Please take a moment to sign the petition in the top menu bar. It’s a first step toward restoring transparency and protecting our building’s future.
More to come.
If you have any information regarding wrongdoing in our Association, share it confidentially:
📧 info@scottinsider.com
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