Here are the results of the recent annual election at the Winners Circle Beach and Tennis Resort Condominium Owners Association (“Association” or “Winners Circle”). As you are likely aware, there was some delay in publishing these results due to irregularities and uncertainties associated with the manner in which the election was facilitated. Ultimately, three director seats were up for election. The results of the election are as follows:
· Kevin Mulvey
· Dan McGeorge
· Richard Muller
It is noted that Richard Muller will be occupying the single seat available to representatives of VRI/Capital Vacations (“VRI/Capital”) and its related entities. While VRI/Capital’s related entities (MROP and CRG Development) used their significant share of votes to attempt to seat three directors, all of whom are executives of VRI/Capital (which is also the Association’s current outside management company and which facilitated the election), the Association’s governing documents prohibit the same.
Recall that in 2021, the Winners Circle membership voted to amend its Bylaws to prevent exactly this type of scenario where a corporate entity, and its related entities holding a large share of intervals, could use their votes to place multiple directors on the Board. If this happened, Winners Circle would potentially be perpetually under the control of those related entities. The membership voted to ensure this did not happen and the Bylaws were accordingly amended, consistent with the membership’s will.
It is also worth noting that the two VRI/Capital affiliates, Multi Resort Ownership Platform, Inc., aka “MROP,” which has partnered with VRI/Capital for nearly two decades, per its website (see
https://www.multi-resorts.com/) and CRG, Development, LLC, which shares the exact same address as VRI (the Association’s outside management company which facilitated the election), have filed suit against the Association in San Diego County Superior Court seeking to have its employees seated on the the Board of Winners Circle.
Yes…related entities of the Association’s management vendor are suing the Association to try to force three of its executives to occupy a majority of the Board. A link to the lawsuit is provided here:
https://odyroa.sdcourt.ca.gov/cases/CfDJ8GzIvBIU1nBAqaOiy3iA8khkntGiIZlOqayGjc5U57-fMuUv_gZsF-__yYgcWAMJuprAC9lv8u8gMPcoxnLFv5F19Oad_VK4tTMNFi6KTzGkdg4lnkQSS_4CwyNLrcvc9A
Whether or not the VRI/Capital affiliates will continue to pursue said litigation, now that the results of the election have been released, is unknown. Irrespective of these hostile actions towards Winners Circle, the Association is prioritizing moving forward and focusing on making the resort the best place it can be for those who matter most: its members.
Thank you for your attention to this communication and for your membership in Winners Circle.
Sincerely,
Winners Circle Resort Board of Directors
