Monday, April 28, 2014

Deceptive Practices

Generally speaking, it has been our policy on this blog to focus on issues specific to Cedar Run.  However, as many have pointed out in the past, the business practices of Robert Sher and Jack Shaw under the banner of the Shaw Real Estate Group (aka My Place Apartments) show a shocking resemblance to their management practices in Cedar Run.

What you've heard before

BBB
If you've lived in Cedar Run during the Sher crisis, you have most likely heard about the 'F' rating given to My Place Apartments by the Better Business Bureau.  Robert Sher responds to this by criticizing the Better Business Bureau and pointing out inconsistencies in their rating and accreditation systems.  In fact, My Place Apartments, at one time, devoted nearly the entire the homepage of their website to attacking BBB.

This doesn't answer to the fact that 65 people (and counting) took the time and effort to file complaints against My Place Apartments.  No matter how flawed a rating system may be, a business as small and as young as My Place Apartments should never receive such an abundance of complaints.

Yelp
Just alongside Sher's attack of the Better Business Bureau is his condemnation of another website where people have complained about My Place Apartments- Yelp.com.  Using Yelp, customers of My Place Apartments have posted overwhelmingly negative reviews about their experience.  Even more disturbing would be the 'Filtered' reviews on Yelp.  These are reviews posted by users who have not established a long track record of Yelp reviews, therefore Yelp filters them out.  This is to prevent someone from creating multiple Yelp profiles and skewing a business's score.  Still though, these 59 filtered reviews show a consistent record of predatory practices from the Shaw group.

Sher's response?  He attacks Yelp and accuses them of extorting businesses like his to pay if they want negative reviews removed.  Here is Yelp's response to this type of accusation.

All over the web
Just do a google search for "My Place Apartments Scam", and see what comes up.  Here are just a few:
http://chicagoslumlorddatabase.com/?p=76
http://www.ripoffreport.com/reports/specific_search/shaw%20real%20estate
http://www.ripoffreport.com/r/robert-shaw-real-estate-group-dba-my-place-apartments/chicago-illinois-60614/robert-shaw-real-estate-group-dba-my-place-apartments-scam-artist-chicago-illinois-1059170
http://yochicago.com/my-place-apartments-gussies-up-google-reviews/26588/

Foreign Corporation??
It's also worth noting that Shaw Real Estate is registered in Illinois as a "Foreign" business, based out of Delaware. Jack Shaw incorporated his business in Delaware, despite the fact that he and all his business operations are in Illinois.  Why??  Maybe it's to skirt by Illinois taxes.  Maybe it's to shift money to other shell companies. Maybe it's to hide assets in case the company is sued....We have no way of knowing, but likely it's one of many shady reasons that corporations choose to incorporate in Delaware.  Click HERE for more information.


The underlying word to describe these business practices is Deception.


How it works

It goes something like this:
  1. An apartment seeker sees a craigslist ad showing an attractively priced apartment that meets all their search criteria.
  2. They open the ad and see that it is not a real apartment listing, rather just an ad encouraging them to call My Place Apartments.  This ad promises to find anyone an apartment of their choosing, within their budget and timeframe - Guaranteed! No matter what type of credit, rental history, income (or lack of), or even criminal record, My Place Apartments promises to deliver. "PICK YOUR NEIGHBORHOOD! PICK YOUR PRICE!"
  3. The apartment seeker calls and is pressured to set an in-person appointment with My Place Apartments.  At this appointment, they are given a sales pitch and pressed to sign a contract and pay their first month's rent AND security deposit AND a credit check fee....all before ever seeing a single apartment or listing!!
  4. My Place Apartment calls the apartment seeker with any potential matches to their search criteria.....unless they couldn't find a match, in which case MPA will forgo all other requirements and find anything they can within the seeker's budget.
  5. ***Here is where it get's ugly*** If the apartment seeker is not pleased with the choice(s) given to them by My Place Apartments, the real trouble begins.  If they refuse to even tour an apartment option given to them, they are aggressively pressured to tour it.  They are told that they are being unreasonable and that their non-refundable fees will be forfeited if they don't at least see the apartment.
  6. After the apartment seeker gives in an tours the apartment.....no matter what they think of it, they are stuck with it!!  They will receive a call within a day or two, stating that they have been approved for the apartment that they just toured.  If they refuse to sign a lease for this apartment, My Place Apartments will state that they have fulfilled their end of the bargain by showing the apartment that the apartment seeker 'agreed' to tour and getting them approved.  The apartment seeker can either accept an apartment that they don't want or the money they paid to My Place Apartments is lost!

In review......apartment seekers are promised something that is too good to be true.  The promise made to them is later manipulated and twisted to try to make it appear as if it was fulfilled.  They are left with little or no recourse, short of filing a civil suit against the Shaw Real Estate Group (who would be defended by Anne Shaw).


What this has to do with Cedar Run

We ask you , the Cedar Run homeowners, if you see any parallels to the Sher/Shaw group's involvement in Cedar Run.

"Promises" that are too good to be true
  • To gain your vote, Sher promised to cut your assessments IN HALF and provide the same level of services
  • Sher assured you that he would turn our two ponds into parking lots & soccer fields
  • While making the above claims, Sher swore he had no interest in managing or benefiting financially from Cedar Run
  • Sher promised he would make our construction loans go away
  • Sher promised transparency and checks & balances

Manipulation to make the promise appear fulfilled
  • Sher boasts about the $10 reduction in your Master Board Assessment, when he has reduced services to an all-time low.
  • Sher boasts about how much money the board has in the bank...most of which should have been earmarked for maintenance/repair/replacement.
  • Sher shifted the increasing insurance costs to your phase payment and claimed it to be a cost reduction.
  • Sher claims to have saved us from "losing our shares in the Corporation", which is no more than a figment of his imagination.

What we actually got from Sher
  • The Sher/Shaw family running the show, on the payroll! (exposed by our group)
  • No admission about being on the payroll until check images were given to all homeowners
  • Elimination of democracy - virtually the entire board resigning and no elections to replace them; No Annual election in two years!  Sher hand-picks anyone he wants and has them appointed (not elected) to the board.
  • Sher wields more power than the board itself, vetoing and/or overruling anything he doesn't like.  How's that for checks & balances?
  • Sher created a bogus set of Bylaws, that make it impossible for him to be fired.
  • Multiple, ongoing lawsuits - all paid for by Cedar Run homeowner funds and caused by Sher's diverting of assessment funds and his futile attempt to make the loans go away.
  • No budget to show us how Sher intends to spend our assessment money; closed-door, private board meetings, refusal of homeowner document requests.  Transparency, eh??

Little or No Recourse

  • Just like the apartment seekers who went to My Place Apartments with high hopes, Cedar Run homeowners are victims of a well-planned swindle.
  • And just like these apartment seekers, Sher wants to leave us with no recourse.  He has abolished  elections, and homeowners have no check on Sher's power without filing a civil suit.  How many Cedar Run homeowners have the money and resources to sue Sher or the board?? (which would be vigorously defended by Anne Shaw - also on the payroll!)

Is There an End in Sight?? 

Unlike the apartment seeking victims, Cedar Run homeowners have one serious advantage - unity!  As more and more Cedar Run homeowners unite for the common cause of restoring Cedar Run, Robert Sher will soon have no choice but to hear our voice and give us our Election!


Our petition drive is still going strong, and we thank all the concerned homeowners who have signed!!  Legal efforts by others (outside of the authors of this blog) are also underway to help force an election.  Between these efforts and our petitions, we will force a game-changing election soon!

As always, please feel free to email us at restoreCR@gmail.com.  You can also leave a message or TEXT us at 224-544-9058.  We'd love to hear from you with any questions, comments, or feedback.  Don't forget to visit our 'How to Take Action' page, which will be updated periodically as we make progress.

Tuesday, April 8, 2014

Unexplained Bill from the Sher Group

We have received complaints from homeowners that Sher's HOC board has sent them a bill for $105 with no explanation as to what is due.

Strangely, the bill states that the homeowner has an unpaid balance of -$105.  In the real world, the negative balance would mean that the homeowner had overpaid and now has a credit toward future assessments.  But in the Robert Sher fantasy world, where accounting practices are made up on-the-fly, we are guessing that the Sher group is claiming that this money is owed to them.

We will look into this issue and report back our findings on this blog.  In the meantime, please rest assured that you cannot be expected to pay this amount until you are given a full explanation of what is owed and why. We suggest that you mail or email the Sher group and request a complete ledger that shows a breakdown of what you were required to pay them (and when) and what payments they actually received.

Stay tuned for more info, and feel free to contact us about your specific situation or any collection letter you may have received.

***update 4/29/2014***

We have received an anonymous tip from a homeowner who emailed and questioned the Sher group about this unexplained -$105 charge.  Ultimately, the homeowner pressed for documentation to justify the charge, the charge was removed. 

We doubt that this charge would have been removed if this homeowner did not question it.  We encourage any homeowner who received one of these mysterious -$105 letters to follow suit.  If you get a different result than this particular homeowner, we'd love to hear about it.

email: restoreCR@gmail.com
call or text: (224) 544-9058