Texas HOA manager accused of embezzling $53,000 to pay for DoorDash and Amazon is part of a larger trend

It’s been a nationwide trend. In Denver, a former HOA manager was accused of stealing $55,000. In Florida, a former HOA president pleaded guilty to what authorities called the largest homeowners association fraud case in U.S. history.

Homeowners, take note: there are strategies to spot and prevent fraud, and doing so could stop fraudsters from spending your HOA fees on their own personal expenses.

HOA fraud is trending

Shiesha Laquette Sparrow, 50, was arrested on felony charges in early May. Real Estate News reported that the alleged crimes were uncovered as early as September 2025.

Tammie Smith, the general manager who replaced Sparrow, said she discovered a binder full of unopened HOA statements behind a desk in their office. Smith found dozens of transactions unrelated to HOA responsibilities, including cellphone bill payments. Sparrow allegedly transferred $42,000 to her personal account via CashApp.

The case mirrors two similar investigations. One, a Denver association accused its former manager, Brett Hardt, of using his access to the HOA’s funds via online banking to drain $55,012.88. Hardt transferred the money to an account he controlled.

In another case, former HOA bookkeeper Alexandra Delacaridad Gonzalez was charged with allegedly taking more than $200,000 from two HOAs by writing personal checks to herself. Gonzalez spent some of the money on shopping, plastic surgery, and vacations.

The Hammocks community of Miami-Dade County, Florida, also fell victim. Marglli Gallego and her husband were convicted of stealing more than $11 million by fabricating vendor expenses and inflating contract amounts. Roughly 18,000 residents were affected.

Simple solutions to protect your HOA

Embezzlement is considered fraud, and homeowners should be aware of potential solutions.

The root cause may simply be a lack of oversight. Forensic accounting company Hovland Forensic & Financial, which investigates fraud claims, says internal management for HOAs tends to be weak or nonexistent.