News and Tribune

January 27, 2010

Borden man charged with home improvement fraud

Alleged victims claim Michael Osborne tried to extort money

By MATT THACKER



A Borden man was arrested Wednesday and charged with home improvement fraud and attempted home improvement fraud, both class D felonies.

Michael Osborne, 44, faces one to six years in prison if convicted on both charges. He was arrested by the Clark County Sheriff’s Department on a warrant after he agreed to meet with a detective to try to resolve the issues.

For the alleged victims in the case, the arrest came as welcome news.

“Hallelujah!” Sonja Mundy shouted when she was informed of the arrest. “It’s a shame he’s out there taking advantage of old folks.”

Mundy said she never imaged she could be victimized by a scam artist, but that was before her roof was damaged by winds from the remnants of Hurricane Ike in October 2008. She worried about a rain coming into her house.

“I thought I better hurry and get my roof fixed,” she said. “I picked up my phone book believing in the Yellow Pages.”

Mundy found a full-page ad for Alpine Chimney and Roofing.

“Anyone who would have a spread like that would be a good, honest businessman,” she said the thought at the time.

Osborne charged her $9,800 to repair the roof, but the next time it rained, water began leaking into her entrance hall and kitchen. She said Osborne promised to fix the problem, but never did. Mundy said she tried to contact Osborne for nearly a year before finally calling another company that charged $840 to fix the problems.

Mundy received a call in October 2009 from her sister informing her that her mother, 87-year-old Frances Kopp, was having a chimney repaired. The company’s name was Affordable Chimney and Roofing.

Five people reportedly worked for about 5 1/2 hours and removed 30 bricks and used 15 bags of concrete. They placed stucco around the chimney.

After originally charging $3,800 and working for about five hours, the company owner called and said it would actually cost $8,200, according to a probable-cause affidavit. After hearing the story, Mundy correctly had suspicions the company was owned by Osborne.

The family confronted Osborne on camera, accusing him of trying to extort money. Osborne denied he was trying to extort money, but according to the probable-cause affidavit, the fair market value of the job was $1,400.

Maj. Chuck Adams of the Clark County Sheriff’s Department said Kopp felt intimidated and agreed to pay Osborne the extra money just so that he would leave her alone.

At least four other alleged victims have come forward, according to the affidavit.

They accused Osborne of agreeing to a contract but then doing poor work. When they tried to contact him, he allegedly did not return phone calls.

William Halter, 65, said he agreed to a contract with Osborne and Affordable Roofing. He said he needed a leaky roof repaired at his son’s residence on the 800 block of Morris Avenue in Jeffersonville. Halter told police that Osborne did not complete the work as contracted even though he paid the initial contracted amount of $2,300 and an additional $2,800 requested by Osborne.

Halter said he contacted another repair company, which said Osborne had done poor work, and agreed to replace all of Osborne’s work for less than $1,800.

Osborne has reportedly operated under business names of Affordable Roofing, Affordable Chimney and Roofing, Alpine Chimney and Roofing and Astro Chimney and Roofing.

Adams said anyone who has done business with Osborne and believes he charged too much or did not complete all the work agreed upon in the contract should contact the sheriff’s department at 812-285-6338 or 812-283-4471.

Mundy said she hopes a judge orders Osborne to repay the money he took from her family.

“I’d like to skin him and get some of my money back,” she said.

Osborne is being held in the Michael L. Becher Adult Corrections Complex awaiting an initial hearing.