A win for immigrant families: New York Attorney General Letitia James secured over $4.2 million in a lawsuit against a Brooklyn property owner for defrauding Chinese immigrant families. A summary judgment by the New York County Supreme Court found Xi Hui “Steven” Wu, along with his companies, guilty of selling nonexistent condo units in Bay Ridge, Brooklyn. In a statement obtained by the Office of the Attorney General, James highlighted the significance of the victory, stating, "These families believed they were buying homes, when in reality, they were being sold nothing but lies."
Wu, who also involving his ex-wife Xiao Rong Yang in the scheme, managed to unlawfully collect millions from at least 20 families eager to own a piece of the American Dream. He was adept at exploiting trust within his community, relying on informal agreements rather than formal contracts. The deception was carried out through TCJ Construction Inc. and 345 Ovington LLC, where Wu failed to complete legal requirements to create a condominium, effectively leaving his buyers with nothing. According to an investigation by the Attorney General's office, this allowed him to illegally siphon over $5 million from his victims, using their hard-earned savings to cover his own expenses.
Thomas Yu, Executive Director of Asian Americans for Equality, expressed his gratitude towards Attorney General James for her efforts. "We are grateful to Attorney General James and happy for the 20 families at 345 Ovington Street who have finally seen justice prevail after nearly losing everything as a result of this fraudulent scheme," Yu told the Office of the Attorney General. The efforts extended beyond prosecution, with James working to prevent evictions and maintain the homeownership dream for the victimized families.
The court's restitution order goes back nearly a decade, calculating nine percent interest from 2016. This decision not only secures financial compensation for the defrauded families but also includes a permanent ban on Wu conducting any real estate business in New York. The matter was diligently handled by the Real Estate Finance Bureau, with Assistant Attorneys General Nicholas Minella and Nicole Lubell, and Chief of Enforcement Louis Solomon at the helm. Judge Anar Patel deemed Wu in violation of the Martin Act and Executive Law 63(12), adding further weight to his barred status from the New York business landscape.
