Posts Tagged ‘fraud’

“Undesirable” – Community Owner Sues City for Fraud

August 22nd, 2018 Comments off



I am haunted on a daily basis that I have blood on my hands because of the fact that I was drawn into this unwittingly and duped by the city,” said Brad Hoyt, developer of Lowry Grove, in St. Anthony, MN.


Hoyt’s company, the Village, bought and closed Lowry Grove and is now suing the city of St. Anthony for fraud and civil conspiracy.” The Star Tribune’s Hannah Covington said, the suit “alleges that city officials induced the company “to close the mobile home park in order to rid the City of low-income, multicultural citizens that the City deemed undesirable.””

Hoyt says he was led to believe that he would get tax-increment financing (TIF) support to turn the mobile and manufactured home community into higher density multi-family housing.

The video below provides some context from last year, but explains some of the issues being raised in this new suit.


Lowry Grove drew regional and national attention. A bill was floated by Minnesota Democratic Congressman Keith Ellison that proposed a path to save some communities like Lowry Grove.  The bill called for incentives to owners who sell their communities to residents, instead of to developers or other investors.

Kinzler, Gallagher on Congressman Keith Ellison, the MH Industry, and Manufactured Home Communities


A prior report on this same case has been tracked for years by the Daily Business News, with one of those prior reports linked below.

Federal HUD Fair Housing Discrimination Complaint Case Update 


City Fights Back

City Manager Mark Casey statement said the city plans to fight the “ridiculous lawsuit.”

The city sees this lawsuit as completely without merit,” said Casey. “Mr. Hoyt apparently made a horrible real estate transaction that displaced hundreds of honorable people and now wants to shift his losses onto the city, which is wrong and irresponsible.”

Hoyt’s federal lawsuit was filed Monday. It alleges the city of leading the Village to purchase Lowry Grove for $6 million in 2016 without intending approval of the high-density multifamily housing project which Hoyt planned to replace the community.

Enough is enough,” Hoyt said Tuesday. “This is about a city … acting together in a conspiracy to commit fraud, the goal being to use us to rid them of the nonwhites and low-income people and make sure they don’t come back.”

A 712 unit proposal for multi-family housing was turned down last October. Hoyt redid the proposal, apparently based upon city feedback, for 430 units instead. When The Village submitted the lower-density plan, that was approved in March, based on “promised TIF” assistance, according to the lawsuit.

During a May working session, a financial consultant’s memo advised city leaders that “the projects could be developed without any TIF assistance from the City,” per city records.

Hoyt said “They double-crossed us again.” He has sued other metro area cities over development projects, said that prompted the lawsuit.


The Lost Fight

Residents tried to keep Lowry Grove open, including a complaint that the plan broke state law. That action was dismissed.

As industry professionals know, when an older community is closed, pre-HUD Code mobile homes and some older HUD Code manufactured homes may be hard to move for a practical or economic reasons.

Some residents lost their homes. Covington said “Some, like Jason Mitchell, ended up homeless.”

I wandered around downtown not knowing what I was going to do,” said Mitchell, 40, who now lives with his mother in a mobile home two hours from the Twin Cities. “I think they are quite literally trying to eradicate poor people and Hispanics from this neighborhood.”

It was mostly lower-income people. I think the city just didn’t want us there anymore,” said Bob Wargin, 67, who was a 26 year record. “It was probably in their eyes a blight on their beautiful little St. Anthony community.”

Frank Adelmann took his own life days before the eviction deadline.

Hoyt and others feel duped and manipulated. “I am haunted on a daily basis that I have blood on my hands because of the fact that I was drawn into this unwittingly and duped by the city,” he said Tuesday.

The case is a reminder of other troubling ones in various parts of the nation. Some of those are reflected in the related reports, linked below. ## (News, analysis and commentary.)

(Third party images, content are provided under fair use guidelines.)

1) To sign up in seconds for our MH Industry leading emailed news updates, click here.EmailedMHProNewsHeadlineNewsDailyBusinessNews
2) To provide a News Tips and/or Commentary, click the link to the left. Please note if comments are on-or-off the record, thank you.

3) Marketing, Web, Video, Consulting, Recruiting and Training Resources

SoheylaKovachDailyBusinessNewsMHProNewsMHLivingNewsSubmitted by Soheyla Kovach to the Daily Business News for Soheyla is a managing member of LifeStyle Factory Homes, LLC, the parent company to MHProNews, and


Related Reports:

Hundreds of New Manufactured Home Communities Opened, But How Many Have Closed? Industry Research Result$

Federal HUD Fair Housing Discrimination Complaint Case Update 


Suicide, Sadness and Questions on How the Manufactured Home Industry Should Address Community Closures

Different Kind of Community Closure, Continues Grabbing Headlines in Mainstream News

‘Tip of Iceberg’ – Rick Rand; Marty Lavin, Communities have ‘No Confidence’ in Manufactured Housing Institute, New National Trade Group Announced

Manufactured Home Communities, Retailers, Developers Face Disruptive, Troubling Trend

Measuring Effectiveness, Facts and Course Corrections for Waste, Fraud, Abuse

August 22nd, 2018 Comments off


Effectiveness is the achievement of the desired objective.” – SoftwareMetrics report comparing private charities to the federal government. 


Across the left-right media divide, there are clear indicators of the scope of some problems that impacts every taxpayer, business, and citizen.

For example. Arguably the largest competitor to manufactured housing are federal, state, and local housing programs. These are designed to essentially make – mostly conventional housing – ‘cost less,’ by paying the difference through tax subsidies.  

But as even junior high school students used to learn decades ago, TANSTAAFL. “There Ain’t No Such Thing As A Free Lunch.”  Someone always pays. It’s a fantasy to say that the ‘rich’ will pay, because capital flees when regulations and/or taxation gets too high. That’s being proved true in reverse in America, when as tax rates and regulations dropped, capital is reportedly returning to the U.S. at the rate of $100 billion dollars a month. 

So the issue of entitlement programs ought to periodically be examined, though several different lens. Among those lenses ought to be the question, how effective are the programs? 


Waste, Fraud, Abuse  

Fraud, waste, and abuse in government spending drain billions of taxpayer dollars…For 2015, the White House estimated a loss of $137 billion through improper payments,” per Deloitte. But a prior Washington Post indicated that the Obama Administration estimate was far too low.  

The federal government lost $261 billion, or 7 percent of total spending, to fraud and waste in 2012,” reported the Washington Post March 10, 2013. 

Medicaid fraud costs the federal government a staggering $140 billion annually,” said the National Review, in Sept. 2016. Note that was Medicaid alone, not other parts of federal spending.  

Since fiscal year 2003—when certain agencies were required by statute to begin reporting improper payments—cumulative improper payment estimates have totaled over $1 trillion,” according to the Government Accountability Office (GAO).


But that doesn’t include the Department of Defense, said the GAO. 


CAGW’s Prime Cuts 

Citizens Against Government Waste’s (CAGW) has “…been publishing Prime Cuts since 1993.  The 2017 version contains 607 recommendations that would save taxpayers $336.2 billion in the first year and $2.3 trillion over five years.  The Congressional Budget Office (CBO) estimates that the fiscal year (FY) 2017 budget deficit will be $693 billion.  If all the Prime Cuts recommendations were adopted, a balanced budget could be achieved within three years.  Since CAGW’s inception in 1984, the implementation of its recommendations has helped save taxpayers $1.8 trillion.” 

Citizens Against Government Waste’s (CAGW) Sept 2017 report is linked here.



To see the 2017 Prime Cuts summary, click here or the graphic above.  


Federal Effectiveness vs Private Charity?

The top line of this could be as follows. Only 30 percent of federal spending goes to the actual recipient, per SoftwareMetrics, which in turn cited Cato and Charity Navigator.  If so, then 70 percent is going to administration, overhead, or the waste, fraud, and abuse cited above.


Their 3 page report and commentary by SoftwareMetrics that includes the above is linked here.



Putting Costs in Perspective  

Using the Heritage Foundation’s 2014 estimate that $22 Trillion has been spent on Great Society programs, and dividing that by 50 years, yields some $440,000,000,000 average annual cost.  

The following isn’t a proposal, rather, it’s a data point designed to make industry professionals and other readers step back and think about just how much money that represents. First, it could have essentially eliminated the federal debt.

Next, presuming

  • a typical homesite cost of $45,000 (that could be high or low, depending on location and market),
  • and an average manufactured home of $75,000
  • or $120,000 per home/site combined.  That $440 billion annually would be equal to 3,666,667 manufactured homes plus homesites combination.  

Rephrased, the federal spending is so great, that in less than three years the affordable housing crisis could be ended.  

Or here is another way to look at this huge cost. The spending is so great, that it could produce and more than pay for the number of total number of pre-HUD Code mobile homes, and post code manufactured homes currently in existence.



Some key manufactured home industry facts at a glance.


Ineffective, Rigged, and Corrupt System  

Washington, D.C. has become entrenched with this kind of inefficient, ineffective, and arguably corrupted system.  It took decades to build the existing system to this level. It won’t be undone overnight.  That means a patient, prudent approach is needed. 

The first step is understanding the issues. Articles like this are a part of that first step. 

The next logical step is to share that understanding with others. That can be as easy as emailing a link of this article to your circle, and ask people to give you their feedback.

Third, would be making prudent decisions on who to vote for and against. 

It should be self-evident that there are no perfect candidates. The choice always comes down to what appears to be the ‘lesser evil,’ or ‘the greater good.’ Excellence can and should be sought, but perfection among people isn’t achieved on earth. Thus, the need for a pragmatic ‘wheat and chaff’ approach.

As pragmatic political independents, we could editorially provide examples of who not to vote for; a great example is anyone promoting socialism. When “free” college, healthcare of any other ‘giveaway programs’ are touted by a politician, that’s a good indication that said politico is attempting to scam gullible voters. 

Those who want to ‘double down’ on failed programs would be another candidate for a no vote against them.

Finally, one must grasp just how amazing our economy could be if the federal bureaucracy were trimmed down to its historic core functions.  The states, localities – and best of all – private charities should be doing such functions. The ‘general welfare’ clause was never intended to do these functions, as is evidenced by the fact that such programs essentially didn’t exist until the 20th century.  

The goal of a dramatically smaller federal government would leave more money for everything else.  As the UC Davis Poverty Chart demonstrates, the free market was reducing poverty rates.   

Combining that with the boost provided by opening up affordable housing, including manufactured homes, in local markets through enhanced preemption and level-playing field financing would per the research in the related report below boost the national gross domestic product (GDP) by $2 trillion dollars annually.  That’s this morning’s “News through the lens of manufactured homes, and factory-built housing” © where “We Provide, You Decide.” © ## ## (News, analysis and commentary.)

(Third party images, content are provided under fair use guidelines.)

1) To sign up in seconds for our MH Industry leading emailed news updates, click here.EmailedMHProNewsHeadlineNewsDailyBusinessNews
2) To provide a News Tips and/or Commentary, click the link to the left. Please note if comments are on-or-off the record, thank you.

3) Marketing, Web, Video, Consulting, Recruiting and Training Resources

SoheylaKovachDailyBusinessNewsMHProNewsMHLivingNewsSubmitted by Soheyla Kovach to the Daily Business News for Soheyla is a managing member of LifeStyle Factory Homes, LLC, the parent company to MHProNews, and



Related Reports:

FEAR, a Solution to the Affordable Housing Crisis, and the Manufactured Home Dilemma


“Thou Shall Not Steal,” $2 Trillion Annually Lost to Lack of Affordable Homes, Making the Manufactured Home Case

Racism – Getting Increasing Prosperity, Stability, Safety, and Certainty

Reinventing HUD’s role in Quality Affordable Housing, Reducing Poverty and Dependency

“Waste, Fraud, and Abuse” – FHFA, GSE Federal Oversight Announcement

August 8th, 2018 Comments off


The House Financial Services Committee announced that there will be an upcoming hearing that will continue their probe into allegations of “waste, fraud, and abuse.”


The Daily Business News on MHProNews has tracked developments over the ongoing drumbeat out of Washington, D.C. over concerns regarding the Federal Housing Finance Administration (FHFA) and their legal charges.

Mel Watt Charged With Sexual Harassment – Manufactured Housing Industry Repercussions?

By law, the FHFA oversees the Government Sponsored Enterprises (GSEs) of Fannie Mae and Freddie Mac. See the linked articles herein for more details.

Update on Fannie Mae Lobbying, and Manufactured Housing Controversy

The allegations include sexual misconduct by Mel Watt, plus concerns over apparent lobbying activity by Fannie Mae, among others.


Why It Matters to MHVille Owners, Investors and Professionals

All this could impact the lending which by law the GSEs are supposed to be doing for manufactured housing.

The Duty to Serve (DTS) provisions of the Housing and Economic Recovery Act of 2008 (HERA) mandated support for manufactured housing.  Yet it has taken a decade to reach the current toe-in-the-water stage.


The Manufactured Housing Association for Regulatory Reform (MHARR) has been pushing for years on this issue.


Collage by MHProNews.

By contrast, the Manufactured Housing Institute (MHI) – which is seen by many as a lobbying tool for Berkshire Hathaway’s lending, production, supplier, and retail interests in the industry – could become part of the backdrop to concerns over improper lobbying by Fannie Mae.

Duty To Serve, “Complete Waste of Time” per Tim Williams, CEO/21st Mortgage; POTUS Trump, Warren Buffett Insight$

Via a media release to the Daily Business News on MHProNews, the Financial Services Committee announcement said as follows.



Official statement from the U.S. House of Representatives, Financial Services Committee.

Committee Announces September FHFA Oversight Hearing

WASHINGTON – House Financial Services Committee Chairman Jeb Hensarling (R-TX) and Oversight and Investigations Subcommittee Chairman Ann Wagner (R-MO) announced today that the Committee plans to hold a hearing no later than Thursday, September 27, 2018 as a part of its ongoing investigations into various allegations of waste, fraud and abuse at the Federal Housing Finance Administration (FHFA) and the Government Sponsored Enterprises (GSEs) Fannie Mae and Freddie Mac.

Fannie Mae Chief Executive Officer Timothy Mayopoulus and FHFA Director Mel Watt will be invited to testify.

The hearing will take place in Room 2128 of the Rayburn House Office Building. ## (News, analysis and commentary.)

(Third-party images and content are provided under fair use guidelines.) See Related Reports, linked further below.

1) To sign up in seconds for our MH Industry leading emailed news updates, click here.EmailedMHProNewsHeadlineNewsDailyBusinessNews
2) To provide a News Tips and/or Commentary, click the link to the left. Please note if comments are on-or-off the record, thank you.

3) Marketing, Web, Video, Consulting, Recruiting and Training Resources

SoheylaKovachDailyBusinessNewsMHProNewsMHLivingNewsSubmitted by Soheyla Kovach to the Daily Business News for Soheyla is a managing member of LifeStyle Factory Homes, LLC, the parent company to MHProNews, and

Related Reports:

Manufactured Housing Association for Regulatory Reform (MHARR) Pressing Fannie Mae, Freddie Mac to Fully Engage on Duty To Serve (DTS)

MHI Lender Shakes Up DTS and MLO Rule Discussions

Smoking Gun 3 – Warren Buffett, Kevin Clayton, Clayton Homes, 21st Mortgage Corp Tim Williams – Manufactured Home Lending, Sales Grab?

“Thou Shall Not Steal,” $2 Trillion Annually Lost to Lack of Affordable Homes, Making the Manufactured Home Case

Fraud, Class Action, CFPB-Warren Buffett, Berkshire Hathaway, Clayton Homes, Vanderbilt Mortgage & Finance, 21st Mortgage, Manufactured Housing Institute, and the Manufactured Homes Industry

November 7th, 2017 Comments off

Sometimes it’s best to hide in plain sight.” – David Estes


A composite image From the Mahany Law website, with text and collage graphics by MHProNews.  

In this special report, there will be a series of screen captures of headlines from articles and posts by third parties, plus quotes by others.  That will keep the reading focused and easy to follow.

What we learn from history is that people don’t learn from history.”

— Warren Buffett, Chairman of Berkshire Hathaway, parent to several manufactured home industry production, finance, retail, and supplier operations (Quote per GoodReads, other sources).


Each of these screen captures of Google search summaries has the date/time saved as part of the file name. This example happens to be a more recent, and more prominent law firm.


Chains of habit are too light to be felt until they are too heavy to be broken.”

– Warren Buffett (Quote per GoodReads, other sources)


Our favorite holding period is forever.”

– Warren Buffett (Quote per GoodReads, other sources)



Our favorite holding period is forever.” – Warren Buffett.


The Daily Business News on MHProNews begins this summary report with the clear statement that editorially, and from years of personal experience, we believe that most of those who are members of the Manufactured Housing Institute (MHI) are nice, honorable, working people.  It’s axiomatic that one doesn’t throw a baby out with the bath water.

This summary report, commentary and analysis uses quotes by MHI and other industry members, past and present.


Some of those quotes specifically address matters relevant to MHI and the issues involving Berkshire Hathaway (BH), that impact large portions of the manufactured housing industry. Some are from companies or members that are or have been doing business with one or more of Warren Buffett’s BH brands.  So it’s worth keeping in mind that people will often only say and do so much “on the record.”


It’s up to the discerning reader and/or a court of law to decide if and how these quotes apply, because the Buffett and other quotes are general statements of that person’s principles. Do they apply to manufactured housing, or to the Manufactured Housing Institute (MHI)?  “We Provide, You Decide.” ©


Several, but not all, third party media reports make the tie-in between Berkshire Hathaway and the Manufactured Housing Institute (MHI). Is this a secret hiding in plain sight?

Congressional, media, and industry sources all suggest that MHI is dominated by Berkshire Hathaway.

For example, an email from an MHI member was delivered by mistake to MHProNews recently.  It was from an active, well-known, and widely liked member.  It read in part as follows, “He (“L.A. Tony Kovach”) is right that MHI is controlled by Berkshire Hathaway, however absent of MHI the industry is controlled by Berkshire Hathaway.”

To rephrase, that MHI member’s message means, with or without MHI, Berkshire Hathaway is dominating manufactured housing, but they are presently also doing so by controlling MHI.


The quote in brown was from a long time MHI member. It is cited in the article at the link shown, or click the image above.

A top executive – president – of another MHI member company emailed recently about an MHI related coverage to say, “Can’t agree more thank you.”

There seems to be some perverse human characteristic that likes to make easy things difficult.”

— Warren Buffett, Chairman of Berkshire Hathaway, parent to several manufactured home industry production, finance, retail, and supplier operations (per BrainyQuote, and other sources).


Hillary Clinton, left, Warren Buffett, right. Credit – Boston Globe. Why did Buffett back Clinton, when Clinton strongly supported Dodd-Frank and the CFPB?  Why would MHI for years (unsuccessfully) promote Preserving Access, when Buffett was on record as supporting Pres. Barack Obama, and Sec. Hillary Clinton and their policies?

As a consultant, circa 2002, this writer told a client that manufactured housing was such a comparatively small industry at that point, that someone like Warren Buffett could step in and literally buy the entire industry. Within months, the Berkshire Hathaway acquisition was announced, and later finalized.  That wasn’t insider information, that was simple observation of the financial facts.

When we interviewed award-winning retailer, Alan Amy, one of his keen statements was that manufactured housing is the future.

How do we know?

Per Amy, because the billionaires are buying what they can in this industry. You can hear that in Alan Amy’s own choice of wording in the video below. Keep in mind, our video interviews and discussions are unscripted.

When MHProNews launched 9 years ago, the first phase in our vision was to get the masses of the industry’s professionals to believe in their own industry and its future again.  Pointing to the investments of Warren Buffett or Sam Zell was part of that; if those billionaires believed, then the rest of us should too, correct?

Today, the industry’s needs are different.

Per federal data, MH Industry is rising, but more slowly than conventional housing is recovering. Given the affordable housing crisis, how is that fact possible? We know, do you?

Is Buffett going to be proven correct?  “What we learn from history is that people don’t learn from history,” said Warren Buffett.

Listening to what Buffett says has value. But paying attention to what he does has perhaps equal or greater value. Does this quote from MHI award winner Marty Lavin below apply?  “We Provide, You Decide.” ©



Lavin is an MHI award winner, and a success story in communities, retail and finance. That’s his 70′ custom Italian yacht, reportedly priced new at a cool $6 million dollars.


I don’t look to jump over seven-foot bars; I look around for one-foot bars that I can step over.”
— Warren Buffett, (quote per Medium)


Diversification is a protection against ignorance. It makes very little sense for those who know what they’re doing.”
— Warren Buffett, (quote per Medium)



Buffett bought into MH in 2003, acquiring Clayton Homes, in spite of allegations of fraud. Later, he bought Oakwood Homes, rolled it into Clayton, and created the industry’s largest manufactured home producer. Buy low. Buy cheap?


The graphic from the Atlantic reminds us that years ago, vertical integration – consolidation – would push the industry’s independents out of business.


What the Atlantic is telling the industry is the independent retailers would over time be crushed, or consolidated. Few would survive. Have they been proven correct?


Charlie Munger of Berkshire Hathaway, speaking about his partner Warren Buffett, per Medium, other sources.

Warren Buffett has become one hell of a lot better investor since the day I met him, and so have I. If we had been frozen at any given stage, with the knowledge we had, the record would have been much worse than it is. So the game is to keep learning, and I don’t think people are going to keep learning who don’t like the learning process.”

For years, MHProNews has touted that readers are leaders. That 15 minutes a day here plus another 15 minutes daily on our sister site,, were minimums to begin to understand the true nature of our industry, and the facts about what are the forces that drive it.  Once you have the facts, “We Provide, You Decide.” ©.


Democratic Congressional Representatives, calling on the Consumer Financial Protection Bureau (CFPB) to investigate Clayton Homes, Vanderbilt Mortgage and Finance, 21st Mortgage Corp. regarding their business practices.  Does that happen to look a lot like what the Mahany Law firm noted at the top is focused upon?


This summary is laying out third party media, legal, and other sources statements.  You do the math on the allegations, accusations, and concerns that are raised by them – because whatever you place in the industry, your business is directly or indirectly influenced by Berkshire Hathaway – which several say dominates MHI.


MHProNews gets periodic messages asking or commenting about MHARR, and why we’ve treated them differently than MHI.

Have we?  If so, why? Aren’t the two associations radically different?

  • MHI is an umbrella group, claiming to represent all facets of the industry.
  • MHARR very specifically has as its members only independent producers of HUD Code manufactured homes.

By each organization’s own self-definitions, any effort not directly linked to production of HUD Code manufactured homes is solely the purvey of MHI, not MHARR.

Thus, the multi-year history of MHARR’s past and previous president routinely calling out ‘the post production’ sector – MHI – of the industry.  They’ve also pointed to Berkshire Hathaway, by name or implication.


U.S. Representatives Maxine Waters (D-CA), Keith Ellison (D-MN), Emanuel Cleaver (D-MO), Mike Capuano (D-MA). Image credit, Twitter, Wikipedia. Click here or above to see the report, including their letter to the CFPB.

Chains of habit are too light to be felt until they are too heavy to be broken.”

– Warren Buffett


Fair, and Balanced

MHProNews has also routinely provided each of the best known Berkshire Hathaway manufactured housing brands with an opportunity to speak on the record about their company, organization and efforts.

It should be apparent to long-time, careful readers that MHProNews has produced information from MHI, from Berkshire Hathaway team members, and also from those connected to them.

So even though Clayton, VMF, 21st or MHI may not always respond directly, we often have had indirect information directly from their team members, or provided their statements, documents, etc. That information has routinely been worked into our reporting, and commentary.



To report a news tip, click the image above or send an email to – To help us spot your message in our volume of email, please put the words NEWS TIP in the subject line.

Breaking Up is Hard to Do

Another member source at MHI has told us that they have hope that Joe Stegmayer, the association’s new chairman, will lead MHI in a new direction.  Time will tell.  Readers are reminded that the fact checks we’ve spotlighted in recent weeks have not yet been corrected on MHI’s website, as of this writing.  Why not?

Also, readers should keep in mind that Joe Stegmayer worked for Clayton Homes in upper management. What will he do?  Time will tell. But he could start with something as simple as having the errors on their website corrected by the MHI staff.  We know from experience, it could be done in less than a day.

Financing has been one of the most powerful reasons which has tied virtually every company in manufactured housing to Berkshire Hathaway.  The Sam Zell reminder quoted above is worth noting.


That said, is it clear why MHARR has been pushing for the Duty to Serve manufactured housing; to help break up what CFED turned Prosperity Now’s Doug Ryan has called a monopoly? Or what the Democrats referenced herein as Berkshire Hathaway’s ‘near monopoly?’

From across the political or economic spectrum, people inside and outside of the manufactured housing industry have quietly spoken about what some see as the truth that is hiding in plain sight.

Now that new capital has begun flowing into the industry – including in the ‘easier lending’ space – isn’t this the time to break the chains of habit that have bound the industry for so many years?

Why won’t MHI publicly address:


Is it time to restructure and reform the Manufactured Housing Institute?

Or is it time to create a new post-production association?



Notice. One can agree with 21st Mortgage CEO and prior MHI Chairman Tim Williams’ presentation, from which the slide above was taken with permission, while still questioning how it came to be that Williams was being intellectually at odds with Berkshire Hathaway Chairman, Warren Buffett. To see all of William’s informative slides, click the graphic above.

Nathan Smith in the video above said that he was for pro-active leadership.

How it is pro-active when MHI keeps doing the same things (eg: Preserving Access), the same way, and keeps getting the same results?  Who does slow growth benefit the most, if not the consolidators?


A composite image From the Mahany Law website, with text and collage graphics by MHProNews. Notice, the MHProNews graphic often used on third party images says at the top, “Third Party Image Credits are as Shown,” a reminder that news media by copyright law is permited to use other organization’s images for illustration and commentary purposes. Placing our logo and that graphic is not meant to imply an endorsement or affilation.

The page from the Mahany Law website, as is shown on this date, is linked here.


What we learn from history is that people don’t learn from history.” – Warren Buffett.

Will Buffett be proved correct, or not?

Nothing is changed until it is challenged.” – Soheyla Kovach.


MHProNews’ parent operation demonstrated to MHI over the course of years options for lending, and ways to improve image at a low cost. For years, even though our parent operation as an MHI member showed the way to grow business, MHI leaders ignored those options. Why? Could it be that slow growth allowed more consolidation and at a cheaper price? 

We Provide, You Decide.” (C)  ## (News, headlines, commentary, analysis.)


L. A. ‘Tony’ Kovach addressing industry professionals in an educational session.

By L. A. “Tony” Kovach, managing member of LifeStyle Factory Homes, LLC – the parent company to and


MHProNews welcomes other perspectives.  Our views should not be construed to represent those of any sponsor or client. It should be noted that MHProNews has and continues to dominate the news, and sources tell us that Arlington, Knoxville, Washington and other key places in the industry are among the most faithful readers, along with a broad spectrum of other readers.


MHProNews has for some years offered to publicly debate via video the kinds of points referenced in this report, and others cited over the last several years.


“Fiscal Carnage,” “Calamitous Economic Hole”  Decried by Citizens Advocacy Group

October 3rd, 2017 Comments off

CitizensAgainstGovtWasteFiscalCarnageCalamitousEconomicHole2017PrimeCutsGraphicLogoAs Washington, D.C. adjusts to a new administration, the fiscal carnage caused by past presidents continues to haunt the United States,” begins a new report by Citizens Against Government Waste (CAGW).

The national debt nearly doubled under former President Obama and is poised to exceed $20 trillion before the end of 2017. To help chart a path out of this calamitous economic hole, Citizens Against Government Waste (CAGW) is releasing Prime Cuts 2017, a comprehensive account of options the federal government possesses to cut into the constantly growing debt,” the group said.

In a release to the Daily Business News (DBN) on MHProNews, CAGW released its Prime Cuts 2017 facts report.

Why It Matters to Business, Taxpayers, and Manufactured Housing Professionals

Federal spending, they have argued,” said the Washington Post, “crowds the private sector and piles regulations and bureaucracy onto companies. Trump’s [then] chief strategist, Stephen K. Bannon, has said Trump will lead a “deconstruction of the administrative state.”

That statement by Bannon on behalf of the Trump Administration dovetails with another source, which made a similar argument 4 years ago (see graphic, below).


A recent report on the Daily Business News regarding self-described “street fighter” Bannon, is linked here.


From a prior report on Bannon’s anti-trust plans for the Trump Administration. mage credits are as shown, text and collage credits, To learn more, click the above.

CAGW’s Plans – A Blueprint for Washington’s Fiscal Conservatives?

Per CAGW’s Curtis Kalin, “Prime Cuts has been published annually since 1993 and addresses every area of government spending.”



Screen captures are examples from the attached 2017 Prime Cuts report, which summarizes how eliminating waste, fraud, and abuse could balance the federal budget in just 3 years, per the CAGW.

The group cites National Review’s description as, “CAGW members are an iconoclastic bunch skeptical about politicians’ promises.”

As Democrats and Republicans alike are accused of treating the rising federal debts and deficits with relative calm – and an all-too-common, politics as usual stance – CAGW boldly says that implementing their proposals would balance the federal budget in just 3 years.


MHProNews has previously cited the group’s work on several occasions (example, linked here).  While editorially noting that a proper implementation of the Constitution, including the spending limits of Article 1, Section 8 ought to be the standard for any president, elected or appointed federal official, the CAGW’s work represents attainable standards and goals, given the recent decades political/economic climate.

In their release, CAGW bullets:

  • “607 recommendationsfrom bipartisan and nonpartisan sources including the Government Accountability Office, Congressional Budget Office (CBO), President Trump’s fiscal year (FY) 2018 budget, and former President Obama’s “Cuts, Consolidations, and Savings” budget recommendations.
  • Total savings from Prime Cuts 2017 are $336.2 billion in the first year and $2.3 trillion over five years. “

The group states that since 1984, implementation of past recommendations they’ve provided “saved taxpayers more than $1.8 trillion.” 

The group further stated that the bipartisan Congressional Budget Office (CBO) “estimates that the FY 2017 budget deficit will be $693 billion.  Therefore, if all the Prime Cuts recommendations are adopted, a balanced budget could be achieved within three years.”

CAGW points to President Donald J. Trump’s speech to the Urban League last month and his promise, I will ask that savings be accomplished through common sense reforms that eliminate government waste and budget gimmicks.”


To see the 2017 Prime Cuts summary, click the graphic above. 

This year’s Prime Cuts – with a featured image and a play on words implying federal pork – is found at this link hereMHProNews will plan to cite this document in future reports and editorial commentary. ##  (News, analysis.)

(Image credits are as shown above, and when provided by third parties, are shared under fair use guidelines.)

SoheylaKovachManufacturedHomeLivingNewsManufacturedHousingIndustryDailyBusinessNewsMHProNews-Submitted by Soheyla Kovach to the Daily Business News for

Housing Crisis Tab: Nearly a Year’s GDP

September 11th, 2012 Comments off

HousingWire reports Ann Fulmer, with fraud analytics firm Interthinx, said the nation’s housing meltdown, with all the mortgage-backed securities litigation, bailouts, lost home equity, and lawsuits cost $13 trillion, almost as much as the $15 trillion gross domestic product (GDP) for 2011. Speaking at a Mortgage Bankers Association (MBA) gathering, she noted, “We did not pay attention to data integrity on the way up, and so we have wiped out almost an entire year of gross domestic product in the United States.” She said in the future, loan originators or borrowers may try to fudge on loan applications, supporting documents, or manipulate numbers for the down payment amount. “If that becomes the standard then that becomes the problem area.” As MHProNews has learned, she added, “If you don’t get it right up front then you have a defective loan.”

(Image credit: HousingWire)

Program Documents Wanted from HUD

May 15th, 2012 Comments off

HousingWire says after a year of investigation, the House Oversight and Investigations Subcommittee will decide Wednesday, May 16 whether to subpoena additional program records from the Dept. of Housing and Urban Development (HUD) concerning reportedly wasteful spending in the HOME Investment Partnership Program. The Washington Post reported last year over 700 projects costing more than $400 million had made no progress, sometimes even after a decade of funding. Designed to develop properties in low-income areas, HUD claimed only 2.5 percent of the programs were stalled. has learned the subcommittee wants to weed out what it says is waste, fraud, and abuse.

(Image credit: HUD)

Jackson Jailed for MH/Mod Fraud

February 1st, 2012 Comments off

KTVUTV in Springfield, Missouri tells a woman who collected money for the sale of modular and manufactured homes she never delivered has been sentenced to eight years in prison. Convicted in October on seven counts of fraud, Edna Kay Jackson, owner of Dogwood Homes, allegedly swindled eleven Dogwood customers. She also brokered home sales and did not give the seller or the bank their share of the proceeds. Her lawyer was pleased because she could have received 28 years behind bars. Her sentence was not long enough according to the daughter of an elderly man who lost his life savings to Jackson. She and her son have been ordered to repay $1.28 million restitution to victims of the fraud.

(Photo credit:  KZRZ Radio)

Actress’ Father is a Bad Actor

November 11th, 2011 Comments off

CBSLocal reports from Van Nuys, California, the 89 year-old estranged father of actress Jodie Foster may be looking at cell bars instead of his daughter’s films. Lucius Fisher Foster III allegedly took $5,000 from 20 people in the San Fenando Valley and promised them a low cost modular home, stalling when the completion dates passed and the buyers questioned him. Selling online, he offered a 2,000 square foot three bedroom modular on a single- family lot for $85,000, touting his fatherhood of Ms. Foster to gain their trust. Now looking at 17 counts of grand theft and seven counts of contracting without a license, he faces a year in jail and/or a 1k fine for each grand theft charge, and six months for each count of unlicensed contracting. Criminal charges were filed after courthouse files disclosed several civil suits levied against Foster were not paid. Since the initial filing of charges, others have alleged he scammed them as well, and the prosecutor will ask the judge to include four more counts of grand theft at the pretrial hearing Nov. 17.

(Photo credit: Michael Buckner/Getty Images)


HUD Seizes Control of Housing Authority Rife with Fraud

March 31st, 2011 Comments off

Citing financial shortfalls over the last three years, and lack of leadership since last October, the U.S. Department of Housing and Urban Development (HUD) seized control of the Housing Authority of the City of Lafayette (HACL), Louisiana.  An independent audit between 2007 and 2009 turned up several negative findings that the board of directors did not address.  In 2009, the audit uncovered deficiencies in travel expenses, credit card statements, vendor files, check disbursements, bank reconciliations, general ledger transactions, vendor payments, accounts payable and employees’ salaries.  HACL misused federal and state funds on projects specifically prohibited by the agreement between HUD and HACL to administer HUD’s public housing projects.  Said HUD Assistant Secretary Sandra B. Henriquez, “Good management is the cornerstone of running an effective organization.  We have an obligation to protect both the taxpayer and the residents who rely on the agency’s services.”