A judge has ordered a group of people involved in East Harlem's Mirada condominium project to cease all development in the state and set aside $3.2 million, pending the outcome of a suit launched by New York State Attorney General Eric Schneiderman.
Earlier this week, Schneiderman's offices moved to sue developers Joseph Scarpinito and Shiraz Sanjana and lawyer Harold Gruber, referring to a laundry list of infractions related to The Mirada, which opened in 2007 and was called an East Harlem success story by Curbed. In addition to dozens of resident complaints about problems within the building, the suit alleges that the developers submitted at least nine false filings, including one that claimed that Scarpinito's elderly mother was the only person who controlled the sponsor, without her knowledge. According to the AG, Scarpinito was also convicted of felony bank fraud in 1998, a fact that he withheld in the Mirada's initial planning stages.
In a statement, Schneiderman cited the "egregious conduct" of the defendants and said that his office "sought a court order under the Martin Act that stops these actors from operating in the securities market and safeguards the purchasing public and the victims at The Mirada."
A hearing is scheduled for December 11.
· "Harlem developers blocked from condo sales, ordered to deposit $3.2M" [TRD]
· Previous Mirada coverage [Curbed]
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