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HOA NEWS filed a motion to enforce the judgment on June 6, 2019. The hearing on that motion was delayed several times due to factors outside of our control, but was finally heard and decided on January 31, 2020. The court granted the motion and appointed a receiver to take charge of and operate the golf course with the specific instruction to make the necessary repairs and perform the necessary maintenance to comply with the judgment. The receiver took over the golf course on March 12, 2020, right as all golf courses in California were closed by order of the governor due to the COVID-19 pandemic. As soon as the restrictions were modified in May to allow the golf course to open, the receiver opened the course and started working towards improving the condition of the golf course and facilities. I think you will all agree that the golf course is in better shape now than it has ever been under the ownership of the current owners. This was accomplished in the last six or seven months during the pandemic and the receiver should be complimented for his efforts. We receive copies of the monthly reports that the receiver files with the court outlining the performance of the golf course. Since reopening, the golf course, under the receiver, has increased the number of rounds played each month as compared to the previous year by over 100%. Two-thirds of the golf course patrons are from outside play. The number of rounds played by Colony members has increased by well over 100% also. Revenues are also up over 100%. The latest report for September shows an increase in total rounds played of 110. 5% and an increase in total revenue of 116%. The receiver indicates that these figures should increase when he is able to open the bar and grill, presently targeted for early November, and when he can schedule more tournaments that he is unable to host now due to the COVID-19 restrictions. In spite of these outstanding results, the owners of the golf course filed a motion to dissolve the judgment and remove the receiver, arguing that the golf course can never be profitable and it is impossible for them to ever comply with the judgment. The court denied that motion recently, without prejudice, meaning that they can refile the motion if circumstances change. The court did set a status conference for Jan. 21, 2021 to review the progress being made by the receiver in his efforts to comply with the judgment. The court wants to see more items being accomplished, especially with regards to the repairs and maintenance of the fingers and slopes. We are working with the receiver to help in any way that we can to assist him with accomplishing compliance with the judgment. We cannot, however, interfere with or direct the efforts of the receiver. He is appointed by the court and reports directly to the judge. Because we prevailed on our motion to enforce the judgment, we were awarded attorney's fees and costs of $33,680. This is in addition to the over $750,000 that the owners of the golf course have already paid to us and our insurance carrier in attorney's fees for losing the lawsuit. On Aug. 30, 2019, the owners of the golf course encumbered the golf course property with a Deed of Trust in the amount of $3.4 million in favor of Tao Jen Chu. We believe that this is a fraudulent Trust Deed between insiders to make it impossible for the Court to order the foreclosure of the golf course property in the event that the owners of the golf course do not comply with the terms of the judgment. On Jan. 14, 2020, we filed a lawsuit against Majestic Asset Management, Jen Huang, Hai Huang and Chicago Title to void the fraudulent conveyance. All parties have been served with the lawsuit and have filed answers. There is no trial date set for that case yet. Because of the restrictions imposed by the court due to COVID-19, there has been little activity in that case. However, the court has set a trial setting conference for Dec. 9, 2020 and could set a trial date within six months of that hearing. That should be sufficient time to complete discovery and prepare for a trial. Accessory Dwelling Units (ADUs): See report on page 9 of this issue of The Colony News. Non-Judicial Foreclosures and Collection Efforts: The Association's law firm has notified the Board that they will no longer provide non-judicial foreclosure and/or assessment delinquency collection services. Epsten will maintain the current Colony accounts at their firm but will not accept any new accounts. Management will obtain proposals for a new Association collection agency. Colony Election: Due to the new election rules, the Board is considering outsourcing future Annual Elections. The last election ran very efficiently with the Inspectors of Election Company. Reinstatement of Clubhouse Closure Time: The Board recently reinstated the Clubhouse closure time to 10 pm. BBQ Area Gatherings: Due to state and county ordinances, the BBQ area cannot be used for social gatherings, with the exception of exercise use. Approval of Homeowner Transponder Variance Request: Approved a homeowner transponder variance request in Executive Session. Board Meetings will be dark in December 2020: The Board approved going dark in December 2020. There will be no Executive or General Board meetings. Employee Christmas Gifts: Approved. New Resident Orientations: Discussed various ways to disseminate orientation information to new residents in the midst of the pandemic. 10 | THE COLONY NEWS | DECEMBER 2020 | Meeting highlights continued on following page Meeting highlights continued from previous page

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