4 Charged in $900,000 Apartment Scam
Prosecutors say four apartment brokers defrauded more than 4,000 people out of at least $900,000 by offering New York City apartments that didn't exist or were unavailable.
The four were charged yesterday with scheme to defraud and acting as real estate brokers without licenses. They didn't have lawyers, so Manhattan Justice Lewis Bart Stone entered not guilty pleas for them.
Prosecutors say the defendants ran Innovative Apartments and Screening Services from December 2005 until May 2008.
The defendants are accused of advertising nonexistent apartments online and charging clients $200 for background and credit checks that were never done.
Prosecutors say the four ignored clients' demands for refunds or gave only partial repayments.
The defendants are being held on varying bail amounts until a court appearance Friday.
