Brooklyn Attorney Charged With Defrauding Real Estate Investors | USAO-EDNY
A criminal complaint in Brooklyn federal court was overturned today in which Shimon Rosenfeld, an attorney licensed to practice in New York State since 1987, was charged with falsely alleging defrauded multiple investors of at least $ 4 million , he is investing their funds in real estate opportunities. Rosenfeld was arrested this morning and appeared on videoconference this afternoon before U.S. Supreme Judge Cheryl. L. Pollak. The defendant was released on a $ 200,000 bond.
Seth D. DuCharme, acting United States attorney for the Eastern Borough of New York; William F. Sweeney Jr., assistant executive director of the Federal Bureau of Investigation, New York Field Office (FBI); and Patrick J. Freaney, assistant special adviser to the The United States Intelligence Agency, New York Field Office (USSS) announced the charges.
“Through this alleged undertaking, Rosenfeld has abused his position as a lawyer and betrayed the trust of his victims for his own selfish gain,” said acting United States attorney DuCharme. “Those who commit fraud, including attorneys, must be brought to justice, and this office will continue to work hard to ensure the integrity of the legal practice.”
“As claimed, Rosenfeld has asked for investment because of its stated intention to buy various properties and” rotate “them for a substantial profit. In reality, he wasn’t buying real estate, so there wasn’t any for sale. Rather, Rosenfeld used the money he received to carry out his own financial transactions and investments. Today we flipped the script and held him accountable for his fraudulent acts, ”said Sweeney, FBI deputy director.
“US Intelligence remains committed to investigating those who commit financial fraud and would like to recognize the efforts of our law enforcement partners to bring them to justice,” said USSS Assistant Special Envoy Freaney. “This research exemplifies the success law enforcement agencies can achieve when they work together. In this case, the accused allegedly carried out a scheme to fraud and misappropriate funds from numerous victims for his own benefit. ”
According to the complaint, Rosenfeld allegedly committed a fraudulent operation between May 2014 and March 2018 by soliciting and receiving at least 4 million US dollars from various people (collectively the “victims”) due to fraudulent misrepresentation. In particular, Rosenfeld induced the victims to put their money with the defendant, based in part on assurances that he would buy property and sell it at a higher price to a potential buyer, also known as “flipping” the property. Rosenfeld also told the victims that he would share the profits from the real estate transactions with the victims. In reality, Rosenfeld misused investors’ money by transferring the funds to bank accounts he controlled and trading the money in securities from his brokerage account. Rosenfeld falsely informed victims that there were issues with the real estate transactions, such as: B. Ownership or valuation problems to explain why no real estate was purchased.
If convicted of cable fraud, Rosenfeld faces a prison sentence of up to 20 years. The charges in the complaint are allegations, and the accused is deemed innocent unless and until proven guilty.
The government’s case is handled by the Office’s Corporate and Securities Fraud Department. United States Assistant Attorney Hiral D. Mehta is responsible for law enforcement.
Age: 59 years
Brooklyn, New York
EDNY Docket No. 21-MJ-96