$1.1M Taken From NoVA HOAs Results In Prison Time For Warrenton Woman

ALEXANDRIA, VA — A 60-year-old Warrenton woman convicted of wire fraud for embezzling more than $1.1 million from Northern Virginia homeowner associations was sentenced in federal court on Tuesday to two years in prison.

Rose Kasande Bailey, founder of Rosewood Management and Consulting Services, LLC in Fairfax, specialized in managing HOAs. As of March 2023, her company provided management services to more than 70 HOAs in Virginia, including ones in Lorton, Reston, Falls Church, and Leesburg.

Among the services Rosewood Management provided was handling an HOA’s books, collecting dues from residents and overseeing repairs. As part of this process, Bailey was required to receive HOA board approval for any disbursement she made over $1,000, according to court documents.

About $1.1 million in illicit transfers were used to cover Rosewood payroll and business rent expenses, as well as credit card payments and Bailey’s personal expenses, court documents say. She also used the money to make payments on a business loan associated with the acquisition of a new HOA management company.

Whenever an HOA requested updates on their operating accounts, Bailey provided altered bank statements to hide the illicit transfers, according to court records.

In one instance, an HOA sought to change property management. To hide the illicit transfers, Bailey provided the HOA with forged bank statements and transferred $600,000 from other HOA bank accounts to ensure that the books appeared whole for the new management company, according to court records.