Big NYC landlord gets jail in mortgage fraud case

October 3, 2017

NEW YORK (AP) — A major New York City landlord is headed to jail for mortgage fraud while fighting a tenant-harassment lawsuit filed by the state attorney general.

Landlord Steven Croman was sentenced Tuesday to a year in jail. The owner of over 140 Manhattan apartment buildings, Croman pleaded guilty in June to grand larceny after being charged with overstating rent revenue to snag millions of dollars in loans.

His criminal-defense lawyer, Benjamin Brafman, says the jail term was expected under a plea agreement. He notes Croman can be released in eight months with good behavior.

Democratic State Attorney General Eric Schneiderman (SHNEYE’-dur-man) says Croman conducted “an elaborate scheme that was intended to push out rent-stabilized tenants” so he could raise rents.

Croman has denied the tenant-harassment allegations in Schneiderman’s civil lawsuit.