A Palm Beach County homeowner paid over $12 million for a newly constructed waterfront villa in Boca Raton — and discovered alleged fraud, structural failures, and life-safety hazards hidden behind finished surfaces.
The Kerner family was forced to evacuate after the first significant rain caused water to flood in through windows, light bulbs, and air vents. Three independent engineering firms subsequently documented the full scope of the defects — finding live wires, crumbling concrete, broken trusses, and leaking gas lines. The family has been displaced from their home for more than one year while code violations and life-safety defects are remediated — at an estimated additional cost of several million dollars beyond the original $12M+ purchase price.
Scott Kerner paid more than $12 million for a newly constructed waterfront villa at 561 Golden Harbor Drive, Boca Raton, Florida, built by Empire Development Holdings, LLC (developer, Marc Elkman, CEO) and Bealecon Construction, LLC (general contractor, Chris Beale, principal). The home was marketed as "rarified luxury."
Upon moving in, the Kerner family discovered the property was neither safe nor habitable. Three independent engineering firms documented dangerous conditions hidden behind walls, including live wires, crumbling concrete, broken trusses, and leaking gas lines.
The complaint, filed February 6, 2026 in the 15th Judicial Circuit, Palm Beach County, documents 18 categories of specific violations spanning water intrusion, structural defects, Florida Building Code violations, life-safety hazards, unlicensed engineering practice, invoice fraud, and fraudulent misrepresentation.
The alleged fraud was compounded by the discovery that Marc Elkman had, prior to the sale, made multiple materially false statements about Empire's track record, Bealecon's experience, and Chris Beale's engineering credentials — statements Elkman knew to be false at the time of the sale.
Source: Filed Complaint, Case No. 241213630, 15th Judicial Circuit Court, Palm Beach County (Feb. 6, 2026). Engineering reports: Summit Design & Forensics, Inc.; ECS Florida, LLC; Pistorino & Alam Consulting Engineers, Inc.; J.R. Inspection Services, Inc.
| Count | Claim (Alleged) | Defendants |
|---|---|---|
| I | Breach of Contract | Empire |
| II | Florida Building Code Violations | Empire, Bealecon, Beale |
| III | Professional Negligence | Beale |
| IV | Negligent Retention | Empire |
| V | Negligence | Bealecon |
| VI | Fraudulent Inducement | Empire, Elkman |
| VII | Fraud — Doctored Invoices | Elkman |
| VIII | Civil Theft (Fla. Stat. §§ 812.014, 812.017) | Empire, Elkman |
All counts are alleged as documented in the filed complaint. Allegations are unproven in a court of law.
Three independent engineering firms documented the following defect categories — each supported by photographic evidence filed as court exhibits in Case No. 241213630.
The following photographs were documented by three independent engineering firms and filed as exhibits in Case No. 241213630. All images are public record.
All photographs are exhibits to the filed complaint, Case No. 241213630, documented by Summit Design & Forensics, Inc.; ECS Florida, LLC; Pistorino & Alam Consulting Engineers, Inc.; and J.R. Inspection Services, Inc.
The following individuals and entities are named as defendants in Case No. 241213630. All allegations are unproven in a court of law.
Alleged to have submitted 11 doctored invoices extracting $140,000+ and made materially false statements inducing the $12M+ sale.
Alleged primary contractor/developer entity. Alleged to have retained Beale despite knowledge he lacked required licenses.
Structural engineer alleged to have signed and sealed architectural, mechanical, electrical, and plumbing drawings without the required licenses — in alleged violation of Fla. Stat. § 471.025(3).
Alleged general contractor entity responsible for construction execution. Named in Florida Building Code violation claims (Count II) and general negligence (Count V).
The 561 Golden Harbor Drive Dossier contains the complete violation documentation — all 18 violation categories, photographic evidence, engineering findings, and invoice fraud analysis — prepared for regulators, attorneys, and journalists.
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If you have relevant information or have had dealings with the defendant entities, the following agencies accept public complaints. Reference Case No. 241213630 and attach the dossier PDF.
If you or someone you know had a contract with Empire Development Holdings, BealeConst Construction, Marc Elkman, or Chris Beale for residential construction work in Palm Beach County — you may have legal rights. Contact us confidentially.
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