The precise charges against Steven Croman weren’t yet clear, but the state attorney general’s office is expected to file a Manhattan civil suit today accusing him of unlawfully deploying a former NYPD cop to harass and coerce rent-stabilized tenants into vacating their apartments, said a source close to the investigation.
State Attorney General Eric Schneiderman is expected to announce the charges against Croman this afternoon.
Updated 10:45 a.m.
The Daily News reports that Croman has been arrested.
And the Daily News was first with the report.
Here is The New York Times with the details:
Mr. Croman’s business came to embody in many ways how rent regulations have eroded in the city, putting housing out of reach for more and more New Yorkers. He was able to deregulate most of his rent-stabilized apartments within just a few years of buying the buildings, enabling him to reap much higher rents.
On Monday morning, though, his fortunes took a different turn. Mr. Croman, 49, turned himself in around 7 a.m. at the First Precinct in Lower Manhattan. He was charged with 20 felonies, including grand larceny, criminal tax fraud, falsifying business records and a scheme to defraud, relating to accusations he inflated his rental income to secure more than $45 million in bank loans. He faces up to 25 years in prison. His mortgage broker, Barry Swartz, 53, was charged with 15 felonies.
The New York State attorney general’s office, which investigated Mr. Croman for almost two years, also sued Mr. Croman on Monday, seeking to force him to give up his real-estate business and pay millions of dollars in restitution to tenants and penalties.
The folks at Bruno Pizza on East 13th Street between Second Avenue and Third Avenue have a Croman-related special tonight...
Previously on EV Grieve:
Report: Steve Croman facing another lawsuit from East 8th Street residents
Report: East 8th Street residents sue landlord Steve Croman, allege intimidation, harassment
Watch a lot of people speak out against Steve Croman and 9300 Realty
Report: State Attorney General launches Steve Croman investigation
Tenant advocacy group names Icon Realty and Steven Croman among NYC's worst landlords