Timeshare Companies

Diamond Resorts reduces owner benefits again!

Oct 20, 2011

Sorry...we own in the Hawaii trust. We purchased initially when it was KBC was part of Embassy Suites. I talked with our sales person who is great and she was the first one who actually acknowledged that everybody is upset. Of course, there is nothing she can do. I called a resale company to see about options but you take a huge loss on your property. We are actually going back in January. I could stay at the most luxurous hotel in Hawaii for what I am paying this year...I figure it comes out to about $700 per night.


Philip B.
Oct 20, 2011

I agree lets get together and do a class action - I'm all in!!! Selling is probably not an option - its not worth! We love staying at The Point but we don't want to have anything to do with DRI anymore!!!

I'm totally disgusted with DRI - what they are doing is criminal. We are talked into point system (from weeks)several years ago and unfortunately purchased more points.

We paid off mortgage in advance but maint fees were bad before special assessment. Sounds like water intrusion is lawyer speak for the roof leaks!! What was done with prior maint fees - thet weren't used for maint!!

One question can we walk away or will they continue to come after us for maint fees in future years? I hate to walk but yearly maint fees are not worth it!

I am going to contact Hawaii AG and the BBB - also will not pay the $5 ARDA-ROC Voluntary Contribution after reading info about that in emails - looks like its a PAC for DRI greedy CEO!!!


Dallas K.
Oct 20, 2011

Problem is with the voting is there is no organized effort, no one has a list of all the owners, so how do you organize an election effort? Who are the candidates who work for DRI? Hawaii collection meeting and vote on board members is October 25. who do I appoint as proxy for me?


Phil S.
Oct 21, 2011

You are all in America... It is crazy that that man can do what he wants. Huffington Post has the list of Political contributions Donald Trump and Stephen Cloobeck contributed to the LEGAL counsel of A Senator under investigation... have a look at www.canyoutrustthem.com.. search Diamond resorts.. I gave all the papers to the Judge via my lawyer in Phillipsburg St Maarten>> CLOOBECK LOST.. He lost in the Court of Appeals. he is a cheat and the judge agreed and said I had written the truth. Stephen CLOOBECK asked $15000 from me... IT is a JOKE. He LOST so for revenge they locked me out of my units. He rented my units to Thomas Cook holiday makers, CLOOBECK and Elizabeth Brennan lied to RCI that I had not paid my fees first.. That used to be $700 and now are $1200 plus.. I don't have the exact figures.... They then lied again that I could not bank my week as I had rented out the weeks. the DETECTIVES saw the games as they came to the resort. The detective told me to go to the Tax department. I did. The tax department said they would investigate as ONE resort CLOOBECK has collected $32 million in fees.. he has a second resort. The tax department told me he must have a financial transactions office here. He has not nor will he do so... In fact the ex manager is now a politician and who helped to put all the owners at Pelican and the workers.. his own people in a huge scandal.. I have the documents I used against CLOOBECK in the court in ST MAARTEN as well as the Court of Appeals.. They LOST! I am collecting the judgment on Wednesday in Dutch. I will get it translated. I am a single mother but I will continue my fight against such an arrogant person... look at the references they are real.. You are all in America... contact American Greed they wll expose him


Pamela J.
Oct 23, 2011

If anyone is interested in filing a suit or class action against Diamond Resorts please let me know. If you already have a suit in process please let me know as I'd like to join. I have been a victim or material misrepresentation, fraud, and illegal and deceptive sales tactics during my purchase of a timeshare at their Ka'anpoli resort in Maui, Hawaii. If so, please email me at jeffreyhall1@msn.com


Jeffrey H.
Oct 23, 2011

Hello, we had the same thing happen to my wife and I and we are in the process of hiring an attorney. They also had us waive our 7 day right or rfescission. Please let me know if you are interested in joining us.

Jeffrey Hall Jeffreyhall1@msn.com 202-230-8452


Jeffrey H.
Oct 23, 2011

Oh, that makes sense. I was amazed at the way that the Real Estate Office of the AZ Att'y Gen'l wasn't "aware" of certain laws referred to in my initial Statement of Information. (I may have posted this earlier...but just for fun, below is what I found about the transition of Sunterra to DRI - this was the time period in which we purchased). As I recall, the settlements for the lawsuits were done in such a way (at least in some cases) that Sunterra was able to avoid some actual judgments against their business practices so that others could be warned. In some of the cases below, the plantiffs came away with their monetary settlement, but Sunterra wasn't stopped from their rampant deceptive business practices. DRI has continued, but has been more blatant in their unfair practices. Hopefully there will be a lawsuit that can stop them in their tracks before other families are dragged into the Black Hole of DRI.

For those of us who found themselves in the transition between Sunterra and Diamond Resorts - there were successful lawsuits against them at that time for misrepresenting Sunterra's earnings and violating Securities and Exchange Commission rules. Then there were 3 other class action suits (I think all successful) for misrepresenting Sunterra's earnings, (Gonan v. Sunterra Corp, et al, No. 2:06-cv-0084; Kaltman v. Sunterra Corp, et al, No. 2:06-cv-00894 and Sickles v Sunterra Corp, et al, No. 2:06-cv-0877). Since Sunterra overstated their earnings and worth, potential buyers were also mislead as to the value of ownership at their properties.

From "reviewjournal.com"...The Rosen Law Firm of NY alleged that Sunterra and some officers and directors issued false and misleading financial results for the past 3 years, and the 1st quarter ending Dec. 31, 2005.

Sunterra in April announced that it terminated Grant Thornton as its independent auditor. Grant Thornton later reported that it received an email from a former employee, alleging accounting improprieties in Sunterra's European operations which should be reported, contrary to the position Sunterra took in a filing with Securities and Exchange Commission. Sunterra fired its managing director of Sunterra Euorpe and reported that financial reports for the past 3 years were inaccurate. In June, Nickolas Benson, CEO, was put in administrative leave, pending a company investigation of accounting. Chief Financial Officer Steven West resigened.

Federman and Sherwood of Oklahoma City and Brower Piven of Baltimore also announced lawsuits against Sunterra.

At the time we bought, though we asked and they denied it, they were in negotiations with Hilton (until they couldn't agree on the price for repairs in one of the Hawaiian props) as as DRI, which eventually purchased.

What is amazing is that during this same time period, as these class action/lawsuits were ongoing they doubled their sales, and added to the number of families owning!


Cindy K.
Oct 24, 2011

Have they trully exhausted all measures with the insurance company? Just because they denied it does not mean we say ok and start dividing up $65 million. How long have they been working on this issue and has it been communicated to the owners before now? These are some tough economic times and a lot of people are not going to pay this. Where does that put the ones who do decide to cut a check?

We did not convert to the points system last time we where at the resort and am glad we did'nt. I wonder if the ones who did convert where told they lost there voting rights and those votes where now in DRI's hands. If I had to guess, it was in the fine print after the sale was made! This whole situation stinks and is going to cause a financial hardship on a lot of people and ruin credit ratings. I have been defending the "timehare reputation" for the last 12 years and boy do I have egg on my face now!


Robert A.
Oct 24, 2011

We own at the Point at Poipu. We just heard of a Law firm that is considering a class action if they can get enough people. This is no charge to you. MCKEON/IMLAY MEHLING tel 808 242 6544 or email mimhawaii.com The contact here is Bill McKeown. Be sure to tell him that you are being charged for the Points water problems.


Sheila M.
Oct 24, 2011

I own at the Point and the Hawaiian collection. I have heard of a law firm that is gathering information for a Class Action Lawsuit McKeon / Imlay Mehling Tel 808 242 6644 or e mail www.mimhawaii.com The person to contact is Bill McKeon. There is no charge to you. Be sure to mention the Point and if you are being charged their water assesment fee..


Sheila M.
Oct 24, 2011

I own at the Point. I want out of their excessive fees. I have heard of a law firm in Hawaii that is gathering info on a class action lawsuit. McKeon Imlay and Mehling Bill McKeon is the person who is handling this. 808 242 6644 or e mail www.mimhawaii.com If we can get enough people to join in they may be able to do something.


Sheila M.
Oct 24, 2011

Can anyone tell me when the D.R. Ka'anapali Beach Club changed to a group of four resorts that we all have to pay for? Does anyone know how to get out of this how can we afford $3600 in fees???


Tammy B.
Oct 26, 2011

I just called the lawyer's number and it has been disconnected!


Sylvia F.
Oct 26, 2011

http://www.mimhawaii.com/contact.html


Zack M.
Oct 26, 2011

Attorney Bill McKeon's phone number is 808-242-6644. Spoke with him last night and his firm should have an update on things within 2 weeks.þ

Also, if you haven't done so already it would be helpful to file a complaint with the Hawaii Attorney General's Office as well as the RICO Section of the Consumer Protection Office. If there's enough valid compliants filed, the AG's Office could look into this situation for us. Further, you might want to file a complaint with the Federal Trade Commission (unfair and deceptive practices) and Securities Exchange Commission (misrepresentation of financials) so that the Feds can start sniffing around. If you're interested in filing a complaint with the FTC or SEC, below are the web links for the complaint forms, fax number, and some language for your complaint. The more people we have looking into this then there's more pressure on DRI.

Federal Trade Commission Complaint Form: https://www.ftccomplaintassistant.gov/FTC_Wizard.aspx?lang=en FAX 202-326-2012

The FTC investigates "unfair or deceptive acts or practices” to include making false claims and promises that are material and which enticed the person to buy a timeshare. The FTC also invesigates complaints where there is willfull and intentional misrepresentation, omissions and misleading comments or acts, failure to fully disclose material facts (ie water intrusion problem), that a reasonable person would interpret, which causes substantial injury that was not reasonably avoidable and not outweighed by countervailing benefits to the complainant or to the competition. Negative and misleading discussions about other timeshare companies to persuade and influence the person might be considered a deceptive act. The following sites may show a pattern and practice of unfair or deceptive acts or practices from timeshare owners:

1. http://www.timeshareforums.com/forums/diamond-resorts-international-fka-signature-sunterra-epic/122530-5-893-32-special-assessment-diamonds-point-poipu-13.html

2. http://drip.enjin.com

3. http://www.kbcowners.com/l

4. http://www.facebook.com/#!/pages/Point-of-Poipu-Angry-Owners/148027451960608

5. http://poipuowners.org

6. http://www.redweek.com/forums/messages?thread_id=14638;page=21;query=

---------------------------------------------------- Securities Exchange Commission Complaint Form: http://www.sec.gov/about/forms/formtcr.pdf FAX 703-813-9322 The SEC may investigate instances where there is material misrepresentation of a companies financials and/or overstating their earnings, worth, value, and ownership in the properties which enticed someone into buying a timeshare. This may include the failure to fully disclose maintenance and repairs costs or present and future expenses. Btw, DRI took over for Sunterra which previously misrepresented their earnings and possibly violated SEC regulations which included the following cases. Gonan v. Sunterra Corp, et al, No. 2:06-cv-0084; Kaltman v. Sunterra Corp, et al, No. 2:06-cv-00894 and Sickles v Sunterra Corp, et al, No. 2:06-cv-0877 The following sites may show a pattern and practice of misrepresenting the earnings, worth, value and ownership of the timeshare:

1. http://www.timeshareforums.com/forums/diamond-resorts-international-fka-signature-sunterra-epic/122530-5-893-32-special-assessment-diamonds-point-poipu-13.html

2. http://drip.enjin.com

3. http://www.kbcowners.com/l

4. http://www.facebook.com/#!/pages/Point-of-Poipu-Angry-Owners/148027451960608

5. http://poipuowners.org

6. http://www.redweek.com/forums/messages?thread_id=14638;page=21;query=

Hope this information helps.


Jeffrey H.
Oct 26, 2011

I have been reviewing the billing statement for the "water intrusion assessment" and besides it being very ambigious about the costs, there is a paragragh about the 'project timeline' stating that the project will start June 2012 and take 5 years... they state that one building '#4', to be completed by the end of 2012, with 2 buildings to be completed each year and all done by 2017... Then it says "with buildings being out of service for the next 5 years, availability will be reduced" and to make any reservations early if you want to use the facility... What they fail to say is how many building will be out of service, how many units will be available, and if you are unable to get a reservation and you do not want to go to any other resort, what happens to your points that you can only roll over for one year... I have already lost points due to a lack of availability and our restrictive schedule, so has anyone heard how they plan to deal with any of these issues... I detest DRI's management and have hassled with them in the past, and have considered just walking away from our 31,000 points which we paid 56,000 cash for the end of 2007... What are the consequenses of walking away...?


Michael D.

Last edited by michaeld414 on Oct 27, 2011 03:19 PM

Oct 27, 2011

Jeff, Can you assist us in what forms to fill out for the AG's office (RICO Complaint Forms) E-mail me at wgecko@gmail.com

Thanks for your help and information that you are providing.

Bill


William G.
Oct 27, 2011

the number for William McKeon 808 242 6644 has not been disconnected, I just spoke with his office 2:10 PDT


Michael D.
Oct 27, 2011

http://hawaii.gov/dcca/rico/forms/rico_complaint_form.pdf


David L.
Oct 27, 2011

to michaeld414; i wrote an earlier post on page 18 regarding point owners, it was addressed to laurieb. it discusses what i learned from the Collections Dept. Supervisor. he explained what will happen according to the ABC policy (Assessment Billing Collection policy). in short, just do not pay the assessment and they will not pursue you legally. read the post and call the supervisor and go through the policy point by point taking notes or, better yet, record the conversation. the ABC policy is with your annual statement. they view deeds differently. they foreclose on deeds.


Sheri K.

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