While Florida’s condo legislation, passed under Governor Ron DeSantis, has caused significant upheaval in the state’s condominium communities, an unexpected upside has emerged: the laws are exposing and helping to apprehend corrupt condo board members and property managers.
The recent arrest of Gregori Arzumanov, president of Turnberry on the Green condominiums in Aventura, is a prime example. Arzumanov, accused of stealing over $1.5 million from his condo association, faces multiple charges, including racketeering, organized fraud, and money laundering. His elaborate scheme, in which he allegedly funneled money to fake contractors, paid for personal items, and even made payments to his deceased mother, came to light after years of unchecked control. Arzumanov’s manipulation went unnoticed for so long due to a combination of resident apathy and his deceptive tactics to keep owners in the dark.
Miami-Dade State Attorney Katherine Fernandez Rundle emphasized the importance of vigilance among condo owners, stating that Arzumanov “stole assets from the association and found ways to generate money for himself.” The investigation revealed that Arzumanov overcharged through an insurance company and security firm, profiting from fraudulent deals. His use of association credit cards for personal expenses, including artwork and food, underscored his total domination over the building’s finances.
Arzumanov’s case is not an isolated incident. South Florida has seen a growing number of similar corruption cases, with condo and homeowner associations becoming hotbeds for fraud and mismanagement. In one of the most significant cases in 2022, five individuals were arrested for embezzling $2 million from the Hammocks Community Association in Miami-Dade, a scam that included hiring fake contractors.
Recent laws passed in Florida aim to tackle these issues head-on. House Bill 1203, introduced as a direct response to the Hammocks scandal, criminalizes kickbacks and hiding records, strengthening accountability among condo board members and property managers. Governor DeSantis’s administration has positioned these laws as a necessary corrective to long-standing issues within Florida’s condo industry, even as they have introduced chaos for condo owners and associations across the state.
Aventura Mayor Howard Weinberg praised law enforcement efforts, emphasizing the importance of cracking down on crimes involving Homeowner Association (HOA) mismanagement. “We will always protect the victims of all crimes, particularly those of HOA crimes,” he said.
While the transition to stricter laws has created challenges—forcing many residents to grapple with costly inspections and compliance requirements—it has also provided a powerful mechanism for rooting out fraudsters like Arzumanov. By mandating more oversight and criminalizing corruption, the legislation is catching those who exploit condo associations for personal gain.
Aventura Police Chief Michael Bentolila acknowledged that while the investigation into Arzumanov took years, it was necessary to ensure a robust case against him. “This was a fraud case where he took over the entire building,” he said, expressing empathy for the residents who endured years of his fraudulent activities.
As the chaos surrounding Florida’s new condo laws continues, there is a growing sense of optimism among those who have been victims of mismanagement. With the exposure of crooks like Arzumanov, the laws are proving their worth, one arrest at a time.
