Home News Brooklyn Developer Vanished With $4M in Deposits: Lawsuit

Brooklyn Developer Vanished With $4M in Deposits: Lawsuit

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345 Obington Avenue (Google Maps, Getty)

Brooklyn developers have been accused of missing more than $ 4 million in client money, putting about 20 migrant families at risk of eviction.

Developer Xi Hui “Steven” Wu robbed each victim of tens of thousands to hundreds of thousands, claiming it was a deposit to buy a condo at 345 Ovington Avenue in Bay Ridge. New York post.. Wu was supposed to transfer ownership to the inhabitants who deposited the deposit, but the inhabitants claim he had disappeared with money.

According to the proceedings, Wu did not actually have permission to sell the unit and charged some condominium fees.

Residents say the developers started collecting money from them in 2012, withdrawing up to $ 500,000 from some. Residents began moving to the building, unaware that he couldn’t actually sell the condominium.

A lawyer representing the affected families described Wu’s actions as “he deceived more than 20 immigrant families not only about saving their lives, but also about their hopes and dreams of owning a home.” It’s a large-scale fraud. “

The plan was submitted In 2013, a 25-unit condominium project was approved to bring the units to market two years later. TRData has determined that at least 80% of the sponsored units in the building have been sold. Wu is said to have not had permission to sell them.

At some point, Wu stopped paying the $ 6 million loan he borrowed to build the property. Lawyers claim that he represents the family. The developers disappeared with payment, and in May residents filed a lawsuit and won a ruling against Wu.

The family is still on the verge of eviction. Maxim Credit Group has seized a building that will be auctioned next week due to an unpaid loan. Residents want to work with politicians to prevent peasant eviction efforts, but new owners can initiate peasant eviction procedures for families living on the premises.

On the other hand, the feelings of the developer’s disappearance are still vivid as the inhabitants are left to deal with the consequences.

“I feel he actually betrayed us,” Ka Cheng “Kris” Chan told Post, adding that his mother gave Wu a $ 200,000 savings.

— — Holden Worther-Warner

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