In a notable move to protect rent-stabilized residents in Queens, New York Attorney General Letitia James and the New York State Homes and Community Renewal Commissioner RuthAnne Visnauskas have launched a lawsuit against the landlord company Zara Realty Holding Corp. The legal action, filed on yesterday, targets the firm for allegedly overcharging tenants in Jamaica and Elmhurst, Queens, as reported by the New York Attorney General's Office.
According to the lawsuit, Zara Realty has been flouting rent stabilization regulations, particularly exploiting those tenants reliant on housing subsidies from the New York City Department of Social Services. By charging rents above the legal threshold and ignoring HCR's rent reduction orders, Zara Realty has saddled numerous tenants with unlawful rent hikes. These practices have not only induced financial strain but also placed tenants at risk of eviction.
The office of Attorney General James has detailed instances where Zara Realty dismissed the legal rent caps set by the Rent Guidelines Board, instead charging the maximum amount permitted by tenants' subsidy programs. The lawsuit further points to cases where Zara Realty sued tenants for not paying these unjustly inflated rents, invoking legal processes that could ultimately lead to evictions.
Expressing her standpoint on the matter, Attorney General James stated, "New Yorkers should not have to worry that their landlords are willfully deceiving them just to line their own pockets." She warns landlords about the consequences of skirting rent stabilization laws. HCR Commissioner Visnauskas echoes this sentiment, emphasizing the resolve of their offices to act against landlords who show contempt for state rent laws, as per the New York Attorney General's Office.
The AG's office and HCR's Tenant Protection Unit are demanding broad rectifications from Zara Realty, including identifying and reimbursing overcharged current and former tenants, correcting registered rents with HCR, and issuing revised leases. This case builds on Attorney General James' continued efforts to uphold tenants' rights and enforce rent regulation laws across New York. Early this year, James and Commissioner Visnauskas were instrumental in the re-regulation of rental apartments and the recovery of substantial funds for tenants hit with overcharges.
Support for the legal pursuit against Zara Realty comes from multiple advocacy groups. Maansi Shah, a Tenant Organizer at Chhaya Community Development Corporation, called the lawsuit a "major victory for tenants" and a vital step towards accountability. Carlos Ortiz of Catholic Migration Services also praised the AG's legal action.
