Welcome to the blog of NSW strata investigative journalism
Artificial Intelligence (AI) was NOT involved in investigations of strata issues in Australia (primarily NSW). We never used or relied on AI, and instead deployed classical methods: thorough due diligence, mitigating bias, abiding by ethical principles, clear and transparent documentation, mitigating risk, continuous monitoring, and legal compliance.
Since Annual General Meeting 2017 Waratah Strata Management not only prevented proper financial reporting for SP52948, but was also heavily involved in financial mismanagent:
Record negative balance (deficit) in Admin Fund in amount of -$375,415.62 was achieved by Waratah Strata Management on 30 April 2025 without disclosure to owners, NSW Fair Trading, and NCAT:
Graph of serious negative balance in Admin Fund since 1 February 2017 when Waratah Strata Management took office speaks for itself:
Capital Woprks Fund also reported shortage in amount of 1.5 million dollars on 23 September 2021:
NSW Fair Trading letter on 17 October 2023, confirming that Waratah Strata Management failed to comply with regulations for Auditor's reports:
Nine committee members were asked to inform all owners about NSW Fair Trading update on 18 October 2023 and they did not respond.
Waratah Strata Management, Uniqueco Property Services, and committee members refused to publish details of NCAT case 2024/00454780. Most of the documents were not available on notice boards, not available on Waratah Strata website, and not sent to any owner after the case was opened:
SP52948-NCAT-case-2024-00454780
Primary audience on the website are owners (current and previous), tenants, investors, and potential buyers in large strata complex SP52948. Attempts to get Waratah Strata Management to keep all parties informed has been ignored since 1 February 2017. Strata files are kept undisclosed and even events like mediation at Fair Trading NSW, NCAT case SC 20/33352, Police Events, and OLSC reports about professional misconduct of Solicitor Adrian Mueller are not provided to owners (current and previous), tenants, investors, and potential buyers in large strata complex SP52948. Committee members and Waratah Strata Management refused to offer assistance to these organisations.
Number of SP52948 owners, tenants, and investors expressed gratitude towards this website as that was the only way to gain access to lot of critical information, which is not available in minutes and notices of meetings, or on Waratah Strata website.
The rest of the audience is anyone who might be interested in problems with strata schemes in NSW...
This website does not have any desire or intent to add own comments and therefore it is up to anybody to make up their own conclusions based on evidence and statements by others who did it in public forums, in courts, or elsewhere. All files on this website were provided to Fair Trading NSW, Office of legal Services Commissioner, NCAT, Supreme Court, and Police. The same files were repeatedly sent to Solicitor Adrian Mueller, Bannermans Lawyers, committee members and strata managers - silence was their response.
Public is voicing strong concerns about problems with Tribunals. Issues with strata complexes and dubious quality of services provided by those who should enforce laws are common and frequent
Democracy should be the leading avenue for managing strata complexes. But, democracy requires high level of sense and ethics, and right for all owners to have full access to strata files in order to make informed decisions. And when that does not happen, how to proceed? One way is to educate public and rise awareness that license to be a strata manager is one of the easiest in any industry: Strata Community Australia (SCA) are offering a three-day course on qualifying to be a strata manager with no prior educational requirements (apparently educational requirements are fulfilled by completing the course):
Analysis of Federal Court data in 2022 found 10 per cent of all forced bankruptcies across Australia are from strata levy debts. A state breakdown of the problem shows it is much higher in the Australian Capital Territory and New South Wales, and it is a growing problem in some other states:
Bankruptcy filings 2022 | Strata bankruptcy filings as a percentage of total bankruptcy filings |
---|---|
NSW | 18% |
ACT | 29% |
Victoria | 4% |
Queensland | 5% |
Western Australia | 3% |
Northern Territory, South Australia, Tasmania | 0% |
SP52948-effects-of-Waratah-Strata-Management-on-Balance-Sheet-since-31Jan2017
Lot 158 was ridiculed and completely ignored.
Lot 158 was ridiculed and completely ignored.
Lot 158 was ridiculed and completely ignored.
Seven more warnings were sent to Waratah Strata Management and committee members in 2023 - no reply was ever received:
In agenda for Annual General Meeting 2023, Waratah Strata Management continued to mislead owners, confirming problems with strata funds without disclosing any balance sheets from funds, ongoing problems with fire safety, and providing completely false and fabricated figure of 18% inflation rate over three last years:
Even layman can easily confirm that figure for official inflation rates of 18% for three years prior to 2023 were grossly inflated, false, and deliberately designed to coerce owners:
Australian historical inflation rates at WorldData
Australian historical inflation rates at MacroTrends
... whilst sending this agenda to owners (full of errors and misleading statements)
On 29 April 2021, for the first and only time, Waratah Strata Management shyly admitted negative balance in Admin Fund, without providing any details, and claiming that it was a temporary problem:
Owners were not informed about three quarters in FY 2021 with negative balance in Admin Fund:
SP52948 Balance Status on 31 January 2021, Admin Fund negative balance of $18,794.90
SP52948 Balance Status on 30 April 2021, Admin Fund negative balance of $25,254.77
SP52948 Balance Status on 31 July 2021, Admin Fund negative balance of $22,323.34
For first time in history of strata complex SP52948, Admin Fund had continuous negative balance two whole FY 2023 quarters (1 November 2022 to 31 January 2023, and then from 1 February 2023 to 30 April 2023):
For first time in history of strata complex SP52948, Admin Fund had almost continuous negative balance in third FY 2023 quarter (1 May 2023 to 31 July 2023):
SP52948 Admin Fund had almost continuous negative balance in whole FY 2023 (1 September 2022 to 31 August 2023):
SP52948-effects-of-Waratah-Strata-Management-on-Balance-Sheet-from-1Sep2022-to-31Aug2023
SP52948 Admin Fund had almost continuous negative balance in whole FY 2024 (1 September 2023 to 31 August 2024):
SP52948-effects-of-Waratah-Strata-Management-on-Balance-Sheet-from-1Sep2023-to-31Aug2024
SP52948 Admin Fund balances stayed negative at each beginning and end of financial quarters since 31 August 2023, until 1 February 2025, but this small positive balancer disappeared quite early in February 2025 and would again stay in significant deficit until next collection of levies on 1 May 2025:
Waratah Strata Management since 2017 failed to comply with SSMA 2015 and SSMR 2016 five times for Annual General Meetings, whilst in other two years the Auditor's Report at AGMs in SP52948 was highly questionable:
Waratah-Strata-Management-non-compliance-of-SP52948-Auditor-reports
Waratah Strata Management changed their own data in Income & Expenditure Report for 31 August 2023 (end of financial year) and three different versions were found in late evening on 31 August 2023, 6 September 2023, and 16 September 2023, generating a result which is almost 57 percent lower on 16 September 2023 than on 31 August 2023:
Five different versions of this figure exist: -$76,650.88 in report on 31 August 2024, -$82,495.29 in report on 5 September 2023, -$89.919.55 in report on 13 September 2024, -$71,490.05 in report on 17 September 2024, and -$45,584.29 on 18 October 2024.
No significant income occurred in that period.
The figure of -$325,061.80 did not include $122,690.28 insurance premium (GST excl) for the second half of FY 2025. Taking that into account, more realistic negative balance (deficit) in Admin Fund on 31 August 2024 would be $447,752.08.
Economos Auditor, who along with Waratah Strata Management, failed to comply with SSMA 2015 and SSMR 2016 four times for SP52948 Annual General Meetings since 2018 (and provid ed questionable figures for other two years), reported in their FY 2024 audit on 21 October 2024 that Section 79 Part (3) requires when estimating amounts needed to be credited to the administrative fund or the capital works fund, the owners corporation must have before it, and take into account, a statement of the existing financial situation of the strata scheme and an estimate of receipts and payments. They also categorically stated that the 'Act' allows for loans between funds, but not for a period greater than 3 months. Strata Schemes Management Act 2015, Section 76 Part (2) states that "The Owner's Corporation must, not later than 3 months after the transfer or use, determine by resolution at a general meeting whether the money, or part of the money, should be reimbursed to the fund from which it was transferred or paid."
That was not done in SP52948 (illegal movement of money):
13/09/2023, -$37,050.64, 13 days after collection of new levies
31/10/2023, -$312,113.03 End of FY quarter
1/11/2023, -$106,308.01 After collection of new levies
31/01/2024, -$309,762.23 End of FY quarter; November 2023 monthly salary for building manager Uniqueco Property Services in amount of $29,866.24 (GST excl) hidden until late F ebruary 2024
01/02/2024, -$60,370.94 After collection of new levies
30/04/2024, -$251,697.41 End of FY quarter
01/05/2024, -$3,632.01 After collection of new levies
31/07/2024, -$261,781.53 End of FY quarter
01/08/2024, -$16,766.81 After collection of new levies
31/08/2024, -$45,584.29 End of FY 2024
31/10/2024, -$325,061.80 End of FY quarter
01/11/2024, -$80,061.80 After collection of new levies
Predictable manipulation of financial status on 29 January 2025, which Lot 158 announced to five managers at Waratah Strata Management and majority of committee members on 17 January 2025, as part of preparation for NCAT Hearing in case 2024/00454780 - difference between Admin Fund balance in the morning and afternoon was more than $81,000.00. As usual, owners were not informed about it:
SP52948-massive-differences-in-Admin-Fund-between-morning-and-afteroon-29Jan2025
Insurance premiums are very costly:
SP52948-insurance-premium-changes-since-1997
Graph of insurance premium changes since 1997, where in 2025 Waratah Strata Management made complex renewals (two times, in September 2024 and March 2025):