Clothing, manicures and charges of theft

The former bookkeeper of the Jonathan Association in Chaska has been charged with theft after allegedly using the association's credit card to purchase such things as clothing, car washes and manicures.

All told, Kimberly Sue Ferrari, 37, is charged with using the association's credit card to make numerous personal purchases and cash advances totaling more than $9,000, according to a criminal complaint filed by Carver County Attorney Jim Keeler on Monday.

The actions came to light last year when the association, the largest in the state with more than 2,300 households, was involved in a bitter and public power struggle. Ferrari is free pending a court appearance on Sept. 12 in Carver County District Court.

She resigned her position last year. The alleged thefts occurred from November 2005 to July 2007, the complaint said.

During that time, a majority of the Jonathan board was supporting an effort to break up the group by allowing some neighborhoods to leave.

The board majority paid lawyers to investigate litigation, including the possibility that members could sue the association to disband.

Maria Awes, a board member who sought to keep the association together, said the board's focus on disbanding might have led to a lack of oversight on the spending.

Tom Davis, the former Jonathan Association president of the board, said Tuesday he had no comment regarding Ferrari or the charges that were filed.

The breakup of the association was averted this spring when, in a surprise move, Davis and the board majority were ousted and a new board majority voted in, promising to keep the association together.

Awes said that while she applauds the charges being filed, the whole episode has left the association with a black eye.

"It's unfortunate because it does leave a bad taste in your mouth for the association," Awes said. "The Number 1 priority right now is fixing the reputation [of the association] in the community."

Statements changed

Keeler maintains that Ferrari was able to get away with it because she handled all the payments and also changed invoices and billing statements to hide her purchases.

The Chaska Police Department completed its investigation in January and turned the case over to Keeler for possible criminal charges.

Keeler said this week that the case took a long time to investigate because of the complexity of the transactions.

The association, after an internal audit noted the spending discrepancies, told Chaska police last year that it estimated its losses at $31,000.

The association found more than 100 instances where Ferrari allegedly spent its money on personal expenses. In some instances, she charged for fuel on days she didn't work or claimed to have purchased diesel fuel from stations that did not sell it, the association said.

Keeler said his office looked into dozens of additional purchases by Ferrari but was unable to determine if they were personal. As a result, he said, she was only charged with the $9,000 in purchases.

Awes said she hopes the charges will help the association to refocus on improving its services for its members.

The biggest problem facing the group right now, she and other board members say, is the number of people not paying their dues on time. About a third of the homeowners in the association are in arrears.

But Awes said no one is sure how much of that is due to protests against the old board and how much is caused by the difficult economic times many homeowners are facing.

"That is a problem for a lot of associations," she said Tuesday. "I think we are in a better place. Jonathan is together as a community. We have a better image out there in the public."