Three people were arraigned Monday, accused of embezzling more than $84,000 from a homeowners association for which they worked in Richland Township.
Richland police allege that Dennis P. Michaels, 56, Julia S. Michaels, 60, and Julianna Theresa Zamias, 31, stole the money from Skyview Estates Home Owners Association from Jan. 1, 2007, through Dec. 31, 2013.
They were officers of the association at the time, police said.
A new board of officers discovered missing funds when they took over in November 2013, police said.
“The three individuals were fiduciary officers for Sky View Estates for over five years,” police Detective Thomas Keirn said during a news conference Monday.
“When that changed hands, the new officers for the Skyview Homes Owners Association discovered a large discrepancy in cash,” he said.
Wessel and Co., a local accounting firm, conducted a forensic audit.
The results were outlined in the police criminal complaint.
“The completed forensic audit clearly shows that funds were written to cash, transfers were made from Skyview HOA accounts to the Julz Development Group with no explanation,” the complaint said. “Each defendant did commit similar acts that have included endorsing checks to themselves for cash with no authorization or explanation.”
Julz Development Group is owned and operated by the Michaels family.
They began the homeowners association, which was incorporated in June 2006, police said.
Police allege Zamias is responsible for $71,979 in lost money, Dennis Michaels, $9,682, and Julia Michaels $3,069.
Police also allege that Zamias made off with two Kubota tractors belonging to the association.
The association president reportedly has made numerous attempts to recover the tractors, but Zamias has not responded to letters, the complaint said.
Law-enforcement officials hope to recover lost funds.
“As we prosecute the case and get through the court system, I think there’s a good chance that the homeowners association will eventually get their money back,” Cambria County Assistant District Attorney Joseph Green said.
The trio face theft, conspiracy to commit theft and related charges.
They were arraigned before District Judge John Barron of Stonycreek Township. Julia Michaels was freed on $50,000 unsecured bond. Dennis Michaels and Zamias were freed on $75,000 bond.