Predatory Lending Update:  3/25/10:  Schlanger & Schlanger files federal lawsuit on behalf of NYC homeowners’ alleging predatory lending scam undertaken by mortgage broker, realtor and seller of property.

On Friday, March 25, 2010 Schlanger & Schlanger filed a lawsuit in federal court (Eastern District of New York) on behalf of homebuyer’s Jerry Kong & Danielle D’Alessio alleging that that one of Staten Island’s largest realtors, Neuhaus Realty, and its owner Mimi Neuhaus, as well as mortgage brokers John Rukab and Tristar Mortgage, the property’s seller, Palermo Construction, and Attorneys Danielle Shamah and Rosemarie A. De Rogatis colluded to defraud Plaintiffs out of thousands of dollars through inflation of the property’s sales price, the under the table transfer of seller’s closing costs to the buyers, and numerous other deceptive practices.  The complaint alleges that Neuhaus Realty acted not only as an undisclosed dual agent, but also as an invisible lender, and that the representation provided by the homeowners’ then-attorney Ms. Shamah, who was the daughter of a Neuhaus Realty agent directly involved in the transaction, was improper, fraudulent and negligent.

The lawsuit seeks relief under the Real Estate Settlement Procedures Act, the Credit Reporting Organizations Act, New York’s deceptive consumer practices law (NYGBL § 349), and for fraud, breach of fiduciary duty, legal malpractice, and breach of contract.