History:

Here are some facts that SOK TS owners have talked about and seemed very dissatisfied with under the management of our Vacation Club.

To see in depth specifics go down through these headline paragraphs.

 

April 2010

The Annual meeting was a travesty. At the very beginning Lane Amlin, Board Member and timeshare owner, made a Point of Order that there were three (3) members present on the Board of Directors who were not legally there and should be removed as they were not members of the Vacation Club because the developer had filed Chapter 7 Bankruptcy.  He was ignored and they did not follow Roberts Rules.

He made a second Point of Order that he was going to take over the chairmanship of the meeting and asked the three (3) ex CRI employees to please leave. Again he was ignored.

Marc Nelson Appealed to the Decision of the Chair. A discussion should have been held and a vote taken. Neither was done, and Marc was ignored.

They continued with the meeting as usual and ran it their way. They pretty much let Wayne Cober and Consolidated Management take over and run the meeting with what they were going to do.

A request was made by Jerry Haycock to send out the minutes of the meeting either by email or postal service. They were going to consider that. We can make no motions from the floor, only a request to have the Board made the motion.

There were several people who when they arrived were told their proxy was not received and they could vote their votes at the meeting. How many did that happen to we don't know because when Carol Nelson requested to see the votes, she was told by Richard Rodriquez that it was a secret ballot and she could not see them.  It seems it is a secret ballot to everyone but the 3 ex CRI employees. This is sickening.

When it came down for the final vote Lane Amlin, Board Member, said he wanted to give his share of the Board's votes to Carol Nelson.  The Chair, Marcus Baricuatro said he could not do that. When Lane asked him why. He replied, because we have always done it this way, given the votes to the incumbants.

The vote was Marcus Baricuatro 1844.5, David Lint 1784.25, Carol Nelson 1524, Lee Zuker 88, Tony Petrauskas 41, Tony Pellegrino 31.25, Judy Reynolds 16, David Shomer 15.5, Mary Asplin 14.5, Ed Stagner 11.5, Frank Li Voshi 10.5, Dana Ancheta 5.3, Billy Sammeth 2.5, Cecilia Reinke 1.  Had Lane Amlin been able to give his Board votes to Carol Nelson, she would have been the top vote getter.

We will be moving forward from here. We know without a doubt that trying to win a Board election is not going to happen. We will work with our committee, the whole owners and the attorney to see how best to attach this hold CRI thinks they still have over us to overcome and finally have a Board of Directors that is representative of all the timeshare owners.

December 2009

Monday December 7, 2009 was a great day for all of us.  SOK, whole unit owner, Bill Vinson's lawsuit to get the roster of SOK owners so it would be available to all owners, timeshare and whole unit alike, went to a hearing. The judge not only agreed with our attorney he even awarded attorneys fees.  This is huge for us. We are no longer going to be in a stranglehold by CRI/CRM and their tightly controlled Board of Directors. 

We do not know yet exactly how we will proceed at this very moment. We will be conferring with the whole owners and our attorney. He did say that it could take a few weeks to bring everything about. As soon as we have the list, we will be sending out a letter to everyone outlining what our opportunities are.

In August and September a new real estate LLC and a new management LLC was applied for and granted in Hawaii: Somerset LLC, real estate managers are listed as Marcus Baricuattro (the president of CRI) and Carl Hardin (VP of CRI and former owner of Heritage Properties, the management company that failed to properly manage our timeshare, caused us an assessment to redecorate all the timeshare units and was fired by the Board—he, however, went to work for CRI). The new management company is Somerset Management LLC and the managers listed are Richard Rodriguez (current manager of CRM) and Hideko Sato (Carl Hardin's wife).

We finally have discovered the information to stand up and say “enough is enough”. We hope the state will stand behind us now that this judgment has come down through the courts.

We will continue to keep you informed.

November 2009

In June, Consolidated Resorts, Inc. (CRI) along with 13 other of their companies filed for bankruptcy.
The company name is followed by the case number:

These companies are all subsidiaries of the mother company ASNY, Arthur Spector of New York. Consolidated Resorts Management (CRM) is also a subsidiary that didn’t file bankruptcy.

Do we really want CRM managing us? Will CRI try to start up again through the management company? New name and new company, they have done that before.
We need to have a fair election, with no Board of Directors casting votes, no extra proxies sent out, and our Directors elected from legitimate timeshare owners in a fair and equitable election process.

We want to set the rules for room availability, room conditions, updates, room assignments that are fair for everyone.

We want financial disclosure on everything!!!!!! Any owner should be able to see where the money goes and know why.

If there are extra weeks available, we want timeshare owners to have the opportunity to purchase them, instead of wholesaling out weeks to unrelated interests. Notice that one of the companies listed in bankruptcy is a travel company, Destinations Unlimited.

The time for change is now---before they come up with another scheme. We need your support and help to get a fair election.

FLASH ------- UPDATE-------- JUST FOUND OUT!!!!!!

Consolidated Resorts Management is going away. A new company is being formed,  Somerset Management Hawaii  (See documents) and guess who the managers are, Richard Rodriguez and Hideko Sato, who just happens to be Carl Hardin’s wife.Carl Hardin, if you remember ran Heritage Properties Management Company that was our first management company. The “Board”fired them because they didn’t put money into the furniture fund like they were supposed to, and we all had to pay  a “special assessment”to have the rooms redone---not  to anyone’s liking we might add.

They then formed Consolidated Resorts Management Company (CRM). They brought Richard Rodriguez from Consolidated Resorts Inc. (CRI) to manage CRM. Then------CRI hired Carl Hardin to work for them and he has been there ever since—now gone because they filed bankruptcy.

We are not sure why they are disbanding CRM, but we have some ideas.  (1) They don’t want to be associated with the Consolidated name (can’t blame them) or (2) maybe it’s because they have incurred a heavy debt.

When CRI went to borrow money to buy the Kauai Sands property (a hotel) they (CRM) along with Soleil Management Company had to sign for the loan. Now since, CRI is bankrupt, guess who is holding the bag for about a $29 million debt. See court documents links.

You can also go to the State of Hawaii Website, click on DCCA, click on BREG, and type in Somerset Management Hawaii in search box —http:hbe.ehawaii.gov/documents/business.html?fileNumber=71728C5.

For CRI bankruptcy documents you can go to www.cribankruptcy.com. After signing in, go to search box for documents and type in Doc. 35—see specifically pages 4, 33 and 35. In the cases of Textron vs.CRI, CM, Soleil LV, ASNY Corp, ASNY Holdings, CRM, Soleil Management, judgment was for plaintiff (TEXTRON) in three cases for $5,304,068.63, $4,010,278.28, and $19,839,691.04.

This is truly a mess we are in. We want nothing to do with CRI, CRM, etc. We want them gone from our lives and gone from our “Board of Directors”. We need your proxies so that we can call a special meeting to oust them and have a Board of our own timeshare owners.

May 2009

You have all received our April letter. Some of you had questions that we would like to address for you. We will set out what we feel  are methods of running our organization that we do not agree with and why. We will then set out what our goals are and how we hope to accomplish them.

• CR/CRM has refused to give us the roster of owners so that we may solicit for votes for the Board of Directors. It states in our by-laws that we are entitled to that list as owners. It also states  in the State of Hawaii Statutes that we are entitled to the list.

• Consolidated Resorts is using our timeshare units to sell their timeshares no matter where they are located, Hawaii or Las Vegas. They are also using our tennis lobby to run their timeshare business.  It states very clearly in our by-laws that they can only occupy timeshare units for 5 years starting from the inception of the project which was 1993 as far as we can figure out from owners.

• There are three (3) Consolidated Resorts employees on our five(5) member Board of Directors. The timeshare owners should be in charge of their own Board, especially since there is nothing but resales left.

• Their methods of handling the voting for the Board of Directors is not as we feel it should be.

There is not a proper, clear to understand, place  on the ballot to name a person to represent you  as a proxy holder.

They send out extra proxies after the original ballots go out that confuse people. Some who do not understand sign them, and send them in . If they have already voted, this negates their vote and the Board of Directors gets to vote their votes. These extra proxies do not allow for any other person to represent them, only the Board of Directors.
Their method of counting ballots is strictly unto themselves. They do not hire a 3rd independent party to count the votes. Nothing is verified. We have to accept what they do and say.

• They decide what they want to do and when. We are never asked for any input about what we would like for the SOK project.

We all have our pet peeves about different things. The room décor` has not  been to anyone’s liking, that we know of,  since they started redoing from the first décor`. They have been asked to heat the swimming pool  in the winter months innumerable times, but they have decided to put a water feature and hot tub in the childrens` pool area.  These things are personal preferences. We want to stick to the important issues of how this Vacation Club is run and who is running it.

Our committee feels that we have gone to the Board and addressed our concerns and we are no further ahead then when we started this 6 years ago.  They have turned a deaf ear to us. Carol Nelson sent Richard Rodriguez an email early this month asking him again for the Roster of Timeshare Owners. She has not heard one word from him.

So, how do we fix these problems?  Charlie Johnson sent one of you this response that we all felt needed to be shared with everyone.

• We need to have actual timeshare owners in control of OUR vacation club board.

• We need to have actual timeshare, fractional, and whole owners in control of the AOAO board.

• We should conduct an audit of the current operations management.  This audit must be more than a financial audit.  It must include all aspects of the operations also.  

• The boards must establish their vision and mission for our resort.  This includes realistic goals and objectives to achieve the mission and vision

• The boards must instruct Consolidated Resorts as the management company to manage the resort according to those objectives and goals.

• The boards should look to other management companies and request full and complete proposals to manage our resort.

• The boards should make a decision as to which management company will best meet the owners’needs.

While this is going on Consolidated would continue to manage the property under the direction of our new boards.  If another company is chosen to manage our resort, there must be a plan for a seamless and transparent transition to the new company.

This is in the future, but it is possible.

February 2008

The ballots have been sent to all the timeshare owners. We are urging all of you to vote all of your votes for Carol Nelson.

We would like to see the power we have with our "concerned" group of owners. If we give her all of our available votes, we will know where we stand in bringing about change. We will find out how many more people we need to add to our group to effectively carry the future votes. If we could get one person on the Board this year and eventually two more, we would have control of the SOKVC Board. If you own one week, you should have two votes and can give them both to Carol; two weeks, you have four votes etc.

If you have already voted, you can change your vote by mail or fax. Just be sure to include all the necessary information they ask for on the original ballot.,

They are sending an additional proxy like they have done in past years. Throw this second proxy away and use the original proxy. If you can not locate your proxy, click here for a blank proxy.

We are not forgetting our complaint. We will take it to the state when we have enough money to have an attorney to represent us. We have depleted our cash fund with the attorney for the charge the SOK Board/CRM/CR made against us last year and the use of the name of our website. We will get an estimate of how much it will cost to present our case and then if the judgment is favorable to us, it will be presented to a judge in the court system for his approval, which only an attorney can do. A guess would be around $5,000, but that's just a guess. We would appreciate anything you could do to help us out. $50 to $100 would be great. We hate to even ask because of what CRM does to us each year with their increases, but we have to get control and stop them somehow.

Please sen your contributions to Charlie Johnson - address is listed below. You can make your checks out to "SOKCO" or "SOK Concerned Owners".

Thank you, very much.

Jim Cahill, 12149 W. Forest View Drive, Orland Park, IL 60467 / 708-301-1329/ jmcahill@aol.com
Charlie Johnson, 11433 Buttemer Road, Phelan, CA 92371 / 760-868-2080/ charlie@cnjohnson.com
Marc Nelson, 990 Cupids Knoll, Monmouth, OR 97361 / 503-838-1695/ 76cupidsknoll@minetfiber.com  
John Oliver, 1389 Archibald Road, White Rock, BC V4B 3MB / 604-538-8900/ john.oliver@aol.com
Jay Solomon, 201 Sea Pines Lane, Bellingham WA 98229/ 360-733-2400/ jsolomon@crxshoppe.com

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January 2008 Special Meeting

A week or so ago the Vacation Club Board of Directors mailed a letter to the Vacation Club owners calling a Special Meeting to be held on January 3rd of 2008 on Maui regarding the Fee (land) purchase   The letter asks the members to vote to Approve or Disapprove two matters: 1). an amendment change to allow the Board to Purchase the Fee (land) and the Sands of Kahana for the Vacation Club and 2). agree to financing this purchase and passing the expense on to each Vacation Club member’s maintenance fee expense. The Vacation Club Board has recommended an Approval vote on both proposals.

We had a conference call last week and talked about this for an hour +.  We came to the conclusion that it was by far to our best interests to vote yes, on both issues.  We are not keen on the change to the 5.2 amendment, but we feel we have no choice at this time.  When sending in your proxy, a note to the Board requesting them to get financing that allowed those people who wish to pay outright for their share of the fee.  Thereby, the financial burden would not be as large, nor would they have to borrow as much money, therefore reducing the cost to those people paying on a note.

 Approval by the Vacation Club members would be a positive and important step towards acquisition of the Fee (land) by all Owners (Vacation Club, Fractional, and Whole Unit). We will advise you as soon as we hear the results of the vote.

Please feel free to email us on this matter.

Thanks,
Jim Cahill, 12149 W. Forest View Drive, Orland Park, IL 60467 / 708-301-1329/ jmcahill@aol.com
Charlie Johnson, 11433 Buttemer Road, Phelan, CA 92371 / 760-868-2080/ charlie@cnjohnson.com
Carol Nelson, 990 Cupids Knoll, Monmouth, OR 97361 / 503-838-1695/ sokco@minetfiber.com  
John Oliver, 1389 Archibald Road, White Rock, BC V4B 3MB / 604-538-8900/ john.oliver@aol.com
Tom Podl, 23031 SE 41st Place, Sammamish, WA 98075 / 800-785-7492/ tpdziadzus@aol.com
Jay Solomon, 201 Sea Pines Lane, Bellingham WA 98229/ 360-733-2400/ jsolomon@crxshoppe.com

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February 2007

BOARD MEETING : March 13, 2007

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TAXES: CRM hired an appraiser to evaluate the value of the SOK land. They also used this same appraiser to go to the Tax Assessor to represent us and the extremely high valuations that the county placed on our units. We are checking into what exactly was done.

We visited with the Maui County Tax Assessor and he assured us that the firm Maduski and Associates, an appraisal firm hired by the Vacation Club Board of Directors, have appealed all 144 timeshare units and they are in the process of re-evaluating them now.

FLYERS: We have been passing out flyers for the past four years. Carol Nelson received this e-mail from Wayne Cober, VP of CRM Hawaii

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Our committee replied with this e-mail

TO: Mr. Wayne Cober
Mr. Richard Rodriguez
Mr. Michael Kaplan

In response to the e-mail sent to Carol Nelson from Wayne Cober, we respond as follows:

We have every right to make contact with Vacation Club Owners. We believe that passing out flyers to Vacation Club rooms is not a violation of any kind. We believe the context of “open solicitation” in the “House Rules” does not refer to owners contacting other owners. We continue to believe that our actions are to the benefit of the Vacation Club owners and the concern for the value of their investment.

In our attempts to communicate common concerns with other members of the Vacation Club, we have been denied access to contact information in spite of definitive rights to the list.

WITNESS : in the document “DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTIONS FOR VACATION PLAN OWNERSHIP IN THE SANDS OF KAHANA VACATION CLUB” Section 5.2, 3 rd sentence—The club shall monthly compile and maintain a roster of the names and addresses of each of the Vacation Plan Owners (the “Roster”). Upon the written request of a Vacation Plan Owner the Club shall furnish such Vacation Plan Owner with a copy of the Roster; the Club may charge such Vacation Plan Owner a reasonable fee for such Roster.

We have made numerous such requests to Mr. Richard Rodriguez, President of CRM and Mr. Michael Kaplan, President of Consolidated Resorts and President of the Vacation Club Board of Directors. Our requests have been ignored. Mr. Rodriguez, also, verbally refused our request, but said he would send a letter out for us to the membership. When called upon to do so, he refused to send the letter. Mr. Kaplan never responded.

In light of the fact that you have violated the Rights of the Vacation Club Owners by not providing “The Roster”, when you have been requested to do so, this is the only way we have of communicating with one another. This right is explicit in our “Rights” and cannot be rescinded by executive fiat..

By this communication, we again are asking for a copy of The Roster of Vacation Club Owners.

Sands of Kahana Owners Committee

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SHOULD CONSOLIDATED RESORTS STILL
BE SELLING TIMESHARES AT SOK?

SHOULD CONSOLIDATED RESORTS BE SELLING TIMESHARES FOR LAS VEGAS ?

In the document that governs our timeshare “DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTIONS FOR VACATION PLAN OWNERSHIP IN THE SANDS OF KAHANA VACATION CLUB”

Section 3.9, page 11 states: “ Temporary Use by Declarant. Declarant and its agents, employees, and independent contractors shall, during all times not included in any Use Period, have the right, for a five (5) year period following the Starting Date, to use each Vacation Plan Unit for the following purposes, in addition to those purposes elsewhere in this Declaration authorized:

•  Maintaining model units; and

•  The showing of units.”

We are waaaaaaaay past 5 years and we need to tell Consolidated Resorts it's time to move out.

There is no authority in this document to give them use of our Tennis Lobby for their solicitations.

March 2006 – At the March 9 Annual Board meeting, Michael Kaplan announced that the land that our buildings sit on is going to be for sale soon and he is looking into purchasing it through the Association so that we will have fee simple property. More info will be coming in the next 90 days.

Again Consolidated Resorts controlled the voting for directors. We are quite sure this has very much to do with the six units that are in the Vacation Club, but not used by the members of the Vacation Club.

Consolidated Resorts is sold out of units here, unless there are foreclosures. In order for TS owners to get discounts on activities they are required to go to an owners update. In that update they have been offered to buy a week in Las Vegas for their week here + $4000 and told they could come to Hawaii whenever they wanted to trade. How daft do they think we are. Why are they staying here? They are selling their Las Vegas Timeshares here. Do we want that? No, we don't. We want them to leave and turn over those six units for us to use and vote.

February 2006 - We are currently working on an addition to our complaint to the state. We will be sending you a copy

March 2005 – Jim and Carol did not make the board. Consolidated Resorts seems to still hold control of too many units. Why, we do not understand. They are practically sold out.

We have found out, according to the CPA firm that does our auditing, that there are 144 units in our Vacation Club. However, when we get the map that shows the units in our club, there are only 138. We asked what happened to the other 6 units. We were not given an answer. We know that some of the units must be used by Consolidated Resorts for selling. However, what are they selling? CR must be voting these 6 units. This should not be happening if they are in our Vacation Club. If those weeks to the six units have been sold, and that would be so if they are in the Vacation Club, then we as owners should be using them. They should not be used by CR and voted by CR.

January 2005 – We as a group put up two of our members to run for the Board of Directors, Jim Cahill and Carol Nelson. We did a mailing to 2500 members that we had been given a list of soliciting their votes. Consolidated Resorts then sent out 4 different mailings to get members to sign a proxy saying that CR would represent them and nullify any other proxy they had signed.

As things come up, we will post to this site and ask for your input. Please feel free to e-mail us at any time with your concerns and ideas.

We, as timeshare owners, want to keep this spot as beautiful and appealing as was proposed to us. We feel having control of our own Vacation Club Board of Directors is important. There are about 8000 members and right now we are only 400 strong.

Our Complaint to the State about the 2005 election
(see link Complaint)

2005 Vacation Club Annual Board meeting --

The Assessment for 2002 to redo all the units, when we thought that we had already put money aside thru our maintenance fees in years past

Minority Representation on the Vacation Club Board of Directors

The increase of maintenance in 2000 , when they re-roofed the buildings and fixed the swimming pool. (When we purchased Time Share Units, they said all those things were built into maintenance fees and that the only increases in Maintenance Fees should be cost of living increases.)

The increase of maintenance fees in 1999 , when they painted the buildings on the outside. (same reason.)

The new decor was not to anyone's liking

Their ability to increase maintenance fees

Activities that are no longer discounted unless you go through their spiel

They will not give out the mailing list to us, as owners, to solicit votes for directors or anything else

Room selection has not been fair in many cases and not given out until check in.

Minority representation on the Vacation Club Board. There are two timeshare owners on the board. The majority members of the Vacation Board are affiliated with, or employees of Consolidated Resorts.

Lahaina Ticket Company, Consolidated Resorts Timeshare Company and the Consolidated Resorts Management Company (that runs our resort) are all affiliated.

We are at the mercy of Consolidated Resorts!

In the winter of 2002 several timeshare owners got together and discussed what all this meant and how were we going to do anything about it. No one wanted a lawsuit and to take these people to court. We felt the easiest and least expensive way was to establish our own Vacation Club and select our own Directors. We can call a meeting with 5% of the membership responding in a positive way.

We need a quorum of the membership responding to the ballot in order to elect directors. Also we spoke to state agencies, visited with former employees, and spoke to other real estate people. Here are some things for you to consider that we discussed in our meetings.

ASSESSMENT for 2002 - During the meetings we had, there seemed to be a discrepancy on what people had paid for their assessment. One person reported paying $238 per week for a two-bedroom unit while another said, "wait a minute, I paid $500 a week for a two bedroom unit." Then two other people said they paid $700 a week for a three-bedroom unit. This is a major, flagrant act, if Consolidated has done this. We need documentation from everyone, as to what they paid for this assessment.

HERITAGE RESORTS MANAGEMENT COMPANY versus CONSOLIDATED RESORTS MANAGEMENT COMPANY - Michael Kaplan was asked at the Vacation Club Annual meeting in 2002, why we were paying this assessment when monies had already been set aside in the furniture fund of our annual maintenance fees, he replied, "Heritage Corp. did not do a good job of managing the properties and that's why we have taken it over ourselves. We will do our own managing, and money will be set aside every year for updating out of the maintenance fees.

He was then asked how he could say Heritage Properties Management Corp was not the same company as Consolidated Resorts LLC when all the employees stayed the same with exception of the President. Richard Rodriquez became the President of Consolidated Resorts Management LLC. And Phil Hardin, who was President of Heritage Properties, went to work for Consolidated Resorts in Las Vegas . Michael Kaplan said that was an out and out lie and that Heritage was a separate company from Consolidated. Mr. Kaplan has continually blamed Heritage for not doing a good job of management and not keeping track of the furniture fund and that's why there was an assessment. Mr. Hardin now works in the home office of Consolidated Resorts in Las Vegas . You judge for yourself!

CO-MINGLING OF FUNDS ? - Michael Kaplan was also asked at that meeting, "why at the June 7, 2001 Board of Directors Meeting of the SOK Vacation Club a motion was made to pay four months of maintenance fee to the AOAO (Assoc. of Apartment Owners, the whole SOK complex association or the mother association) using funds equal to two months maintenance fees from the furniture fund and two months from the operating fund ". He explained it this way: " we don't get all our monies at one time, each owner has a month that he is assessed and sometimes we have bills that have to be paid and we borrow back and forth between the funds."

Now, does that sound like co-mingling of funds to you? Why wasn't that furniture fund set aside and earning money?

MAILING LIST OF SOK OWNERS - We were given two affdavits from two different timeshare owners that had been presented to Consolidated Resorts stating they wished to have the mailing list to solicit votes and other business of the Vacation Club. They were never given the mailing list.. Mike Sullivan, realtor and Carol Nelson, SOK timeshare owner, went to Richard Rodriquez's offce in March 2002 and asked for the mailing list. Mr. Rodriquez said because of privacy matters we could not have the list. However, they would put out a mailing for us at our expense. Carol then asked if it would be all right to prepare that mailing and deliver the sealed envelopes to them for labeling and mailing. He said, yes, but that they might have to put a rebuttal in. Why should they put a rebuttal in a letter that was paid for by the owners?

GOVERNMENTAL AGENCIES - In our meetings with homeowners in March 2002, we talked about getting the mailing list on our own and how to do it. Carol Nelson spent time with Mike Sullivan at Sullivan Realty. Mike taught her how to read a tax lot number and then how to access the deeded documents through the Bureau of Conveyances.

Carol then went to the State Dept. of Commerce ( DCCA ) to speak with the Director in Charge of Timesharing: Lori Beth Van Cantfort. She said that her agency does not handle the complaints, but she gave her some websites to look up the laws governing timeshares and said she would do her best to give us advice on where to go etc.

Those websites are:
www.state.hi.us/dcca/pvl - then select Timeshare - then select hrs.chapter 514E, also har.chapter 106 administrative rules

She read part of one of them to her and it stated that if the TS administrators would not give out the mailing list, they must make it available so that there can be vote solicitation.

VACATION CLUB ANNUAL MEETING - AOAO SOK ANNUAL MEETING-2002

AOAO Board of Directors
Michael Kaplan
Sandy Boothe
Vanda Maduli
Marcus Baricuatro
Kazuko Shimaoka

VACATION CLUB Board of Directors
Michael Kaplan
Marcus Baricuatro
Vanda Maduli
Jerry Winter
Johnnie Santiago

AOAO meeting came first. There were not a lot of whole unit owners that attended. Carol Nelson talked to most of them who were at the meeting, and they were so disgusted. They even refused to vote for the two directors who were up for election, they also refused to nominate from the floor because they knew CR would put in their people, and they did. Michael Kaplan ran that meeting. The handouts were the minutes of the previous annual meeting, the Audited Financial Statements for the Year Ended Dec 31, 2001 , and the Summary of Insurance.

If any of you would like these documents, we would be happy to e-mail them to you.

The members of the Assoc. did not receive a slate of who was running for directors of the association. They were just handed a ballot at the meeting and asked to vote for the people that CR had put on the ballot or nominate someone from the floor. CR votes the Vacation Club votes; therefore, they put in whomever they wish.

Remember, we, as owners of the TS Vacation Club, are part of that organization also, and we are entitled to be on that board. However, we received no notice of the meeting (nothing was even posted in the buildings,). We found out by asking an employee when it would be. We have every right to be at that meeting and speak. In all other organizations to which we belong, there is a nominating committee who puts up a slate of interested persons and that slate is presented to the membership for vote prior to the meeting. No such thing was done.

The owners did complain loudly about leaking windows and other structural things that maintenance was not getting done. We got the impression that the full time owners are getting a real run around from CR.

Pat Sullivan brought up the fact that the owners of the property on which we are paying a lease payment to, are very likely to be in a position to want to sell it. The attorney who represents the family trust that owns this property, told Pat that since their parents had both died this past year, (they were from Bend, Oregon) the three sons may be interested in selling it. A price of $8 million had been spoken of, but the attorney felt like they would settle for a lot less than that. Perhaps, 4 to $5 million. There is a sticky wicket here, and that is: Mike Resnick (a land lease person with his offce across from SOK) originally negotiated the lease between the property owners and the SOK. Of the monies paid for the lease each year, 80% of it goes to Mike Resnick and the rest to the owners of the property. Even if we bought the properLy, we would still have to pay that 80% to Resnick until the lease expires in 2036.

However, there is talk in the Hawaii legislature about these types of leases, and that once the property has sold is it fair to continue the lease. There are individual cases that have taken this issue to trial. It would seem to be a shame to pass up this opportunity to buy this property. Pat Sullivan roughly figured the least each TS owner would be assessed is $500 and the most $1000. Considering, this year's past assessment of which we had no say whatsoever to do something (redecorate) that we have already paid for, buying the property on which our buildings sit would be a much better expenditure.

At the SOK VACATION CLUB ANNUAL MEETING (timeshare owners) there were not a lot of owners there. Maybe a dozen. It was clear that we all felt the same way. Again, Michael Kaplan ran this meeting. Carol Nelson brought up several things: assessment, Heritage vs. CRM , co-mingling of funds. Others mentioned the new ugly carpet and bedspreads the uncomfortable new chairs, and the two banana plants in the LR that are huge.

People tried to get some kind of understanding of finances, but they were talked circles around. Others were waiting for "new business" to bring up what they wished to discuss. However, when Carol asked the question, "since the TS owners own 70 to 80 percent why are we not represented on the Board and why don't we have some say in these matters", Michael Kaplan went on the attack. "Where did you get that figure?" Who told you that? Are you just pulling numbers out of thin air?" She started to say, "well your sales people keep telling us that", but he cut her off and said, "Is there a motion to close this meeting?" He got one from one of his lackeys and a second from another one and that was the end of the meeting.

New Business was never brought up. So much for Robert's Rules of Order.

Just before leaving to go home, Carol ran into one of the carpet layers just getting out of his pickup. The back end was loaded with rolls of the new carpet. She asked if she could see the carpet. She told the carpet layer that in the model unit she saw, the carpet was waffley looking and looked like a bad lay job. He said," well this carpet was made to be glued down and these people wanted it laid over pad. Because of the latex back it would only stretch in 100-degree weather, and then not very much.

We are tired of giving our money to CR to use how they see fit and where they see fit. We want to be able to vote on what needs to be done and who the directors of the board will be. We are guessing that most all of you are feeling the same way.

WHERE DO WE START? ---- WHAT DO WE DO?

Here is a question we must all ask ourselves. Do we want CRM to run our resort and try and work with them, or
do we want to take over and form a new Vacation Club and hire our own management company. committee. We had a meeting March 4, to form this com

For us to continue on, we need your response . Please direct your e-mails to cupidsknoll@minetfiber.com. Let us know if you feel we should try and work with this current management or whether we should go out on our own. We would also like to know what you paid for your assessment per week for the refurbishing in 2001/2002.