So it's OK if you do police state like activities, but have not done a few of the more police statish things...at least one unchecked check on that list.
As long as the home owners can get enough money to discourage them from doing this shit in the future, like 5 million or more. No problem. If they are getting much less than that or somehow the actions are "immune from prosecution due to......" then I'd say the counter to police power has been nullified and you are stepping firmly over the line.
Although I think we're more a blend of police state/corporate state anymore. It's evident by how much money is being spent and how votes are being cast in favor of those kinds of things.