In my and some others’ opinion, perhaps by far the main “accomplishment” of the current Board from March 2009 through now is that they managed to convert – through fierce infighting – the Ilikai Board into an OBC-controlled Board (Old Boys (and some ladies) Club).  The OBC Directors, who are also Board Director candidates pitching themselves for re-election, are: Lea Sasak, Dass Ramadass, Bill Moore, Bill Lawrence, Bob Currie, and Lavonne West.

So what about the “elephant in the room” – the Tokioka Family?

Dass Ramadass is one of the OBC group of Directors and was hand-picked to be elected to the Board by the OBC Directors when the Board had a vacancy this past fall.  Please note that the Board has ZERO representation of the Hotel (owned by iStar), even though the Hotel/iStar own 28% of the Ilikai complex.  iStar did want to have one Director on the Board and put forward iStar’s Senior Vice President, Leslie Love, as a candidate.  But the OBC Directors chose members of the OBC network, Lavonne West, Bill Lawrence, and Dass Ramadass, instead, whenever there was a vacancy on the Board.

Anyway, back to the “elephant in the room.”  One of the OBC Directors and candidates for the upcoming Board elections is Dass Ramadass.  Click here to view Ramadass’s resume that he submitted as a Board Director candidate. 

Folks not familiar with the setup may read his resume and say, “Wow.  VP this, VP that.”  Specifically, Dass stated that he is Executive Vice President/Treasurer at National Mortgage & Finance, Ltd., also Executive Vice President at Mutual Finance Co., Ltd., and also President/Director at Hawaiian Properties.

However, what Dass Ramadass failed to point out is this:

(a) Dass Ramadass himself does not own anything at the Ilikai.

(b) It is the Tokioka Family that owns all those companies where he is employed: National Mortgage & Finance, Ltd., Mutual Finance Co., Ltd., and Hawaiian Properties – as well as Marina Vacations.  Marina Vacations is the sales and rental agency at the Ilikai.  The number of Ilikai units in their program has declined compared to what it used to be.  Nevertheless, it is estimated that to the tune of 250 of Ilikai units are in their rental program.

In other words, Dass Ramadass himself does not own anything at the Ilikai.  He is nothing more than an EMPLOYEE of various companies of the Tokioka Family.

So how come he is a Board Director and how come he is running for re-elections to the Board?  Well, that is because the Tokioka Family owns ONE unit at the Ilikai, under Mutual Finance Co., Ltd..  Please note here: We have searched public records.  The various companies of the Tokioka Family used to own several more units at the Ilikai.  It appears that at this point all they own is unit # 1623.  It is conceivable that they own several more units under some other names, but certainly not more than five or ten units at the very most, for sure.  They sold their other units in recent years (e.g., they sold unit # 309 for $385K on 09/05/2003, which they had bought for $240K on 02/02/2002).

So the Tokioka Family (their Mutual Finance company) appears to own one single unit at the Ilikai (several at most, in case there are other units under other names).  Yet, they get to place their EMPLOYEE, Dass Ramadass, on our Board of Directors, and likely to have him and possibly an additional Director on the new Board.  How come?

Because Ramadass is an officer of a company that owns that unit # 1623. 

But there is more to it.  Even though the Tokioka Family owns one unit (several at most, in case there are other units under other names), upon information and belief, they hold proxies for around 200 Ilikai units at least.  Why?  Because they own Marina Vacations, the rental agency at the Ilikai.  When owners put their units in that rental program, the DEFAULT is that Marina Vacations obtains their PROXY for voting!  Owners can choose to opt out.  But the DEFAULT is that they give away their PROXIES.

The Tokioka Family certainly has some sort of commercial interests here at the Ilikai, beyond simply running that rental agency.  What specifically? – Who knows. 

For ex., one of their companies, Hawaiian Properties, is a management company.  Would the Tokioka Family want to place their Hawaiian Properties here to replace Hawaii First?

But the bottom line is this: Here is this Tokioka Family.  They own one single unit at the Ilikai (several at most, in case there are other units under other names), – yet they hold PROXIES for an estimated 200+ units and will end up placing at least one or possibly two people of their liking on the Board.  What is wrong with this picture?  Not only that, but they place their EMPLOYEE, Dass Ramadass, on the Ilikai Board, who does not own anything here.

Dass Ramadass may be a wonderful person.  BUT: He is NOT an Ilikai owner.  He is an EMPLOYEE of companies owned by a family, who happen to own one single unit at the Ilikai (or several at most).  How can Dass Ramadass act on the basis of undivided loyalty and FIDUCIARY DUTY to the Ilikai AOAO when he does not own anything and instead is an employee of a company with who knows what commercial interest here?  Wouldn’t he simply do what his EMPLOYER tells him to do?

I am NOT questioning Ramadass’s integrity in any way whatsoever.  There is nothing illegal with this setup, nothing in violation of the Bylaws and condominium law.  But come on, it is a no-brainer setup for potential conflicts of interests.  Do we need/want this here?  Haven’t we had enough of these conflicts of interests, hidden agendas, behind the scenes commercial interests?

But wait.  There is more to it.  What about the other Directors who are also running for re-election?  Upon information and belief, several of them rent through Marina Vacations (i.e., one of the Tokioka’s companies).  This includes, upon information and belief, Board Director Bob Romo who rents through them, Board Director Bob Currie, and Board Director Bill Lawrence.  Their rental income depends on Marina Vacations making sure their units are rented out.  I am NOT questioning their integrity in any way.  I am simply pointing out the facts.

Suppose, hypothetically speaking the Board decides to replace Hawaii First with Hawaiian Properties (a Tokioka’s company).  Dass Ramadass will excuse himself since he has a clear conflict of interest.  But what about the other Directors who happen to depend on Marina Vacations for handling their rentals?  That is just one example!

Am I the only one who has problems with this?

But wait.  There is more.  John Popovich has spent many years working for various companies of the Tokioka Family.  The current Board hired John Popovich as the AOAO manager.

By the way, remember the saga with renters from a neighbor building, Ilikai Marina, coming over to use our POOL?  Remember that?  Remember the explanation that John Popovich gave claiming that those renters are “guests of the unit # 1623″?  (P.S.: There have been so many complaints from Ilikai owners about this.  The AOAO may have addressed the problem by now.  I do not know either way re the current status.)

What is my point and what is my proposed solution?  My point and proposed solution are:

(a) There is way too much potential for conflicts of interest in our Ilikai.  We have already had so many problems because of that.  It is enough.  Not only that, but also this “invisible hand” of the Tokioka Family here is something what can play out in who knows which ways that could affect all of us, Ilikai owners, in who knows which way.  They own one unit, and because of that and by virtue of running a commercial enterprise here, they end up with proxies for at least 200 units?!

(b) I will pitch for myself as a Board candidate here: I have NO conflicts of interest here.  I have no affiliation with any of the commercial entities here.  Click here to read more on my vision as a Board Director candidate.  Vote for me!

(c) As for those estimated 200+ proxies that Marina Vacations holds: I think they should show good will and give up those proxies.  The Tokioka Family owns only ONE unit (or several at most)!  The 200+ proxies come NOT through ownership but through their business operation!  Dass Ramadass is not an Ilikai owner.  He is simply an employee of the Tokioka Family.  Would he act in a fiduciary manner to the AOAO or would he pitch the commercial interests of his employer, the Tokioka Family?

P.S.: By the way, here is what Dass Ramadass wrote in a March 12, 2008 publication in Midweek (click on the link).  Here is in Dass Ramadass’s own words, “I started my career at Hawaiian Properties as an intern. I’d come to Hawaii from my home-town, Kuala Lumpur, in Malaysia. I thought I’d spend the summer studying at Hawaii Pacific University before going to London to study law. Before I knew it, the summer had turned into semesters and the semesters into years.  Today, 21 years later, I’m still at Hawaiian Properties.”

This entry was posted on Tuesday, January 26th, 2010 at 5:30 am and is filed under General. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.