The federal government and the city are being urged to look into potential mortgage fraud by NYC public advocate Jumaane Williams, particularly focusing on concerning aspects surrounding his Brooklyn property that recently went into foreclosure.
Councillor Robert Holden (D-Keynes) sent letters to Federal Housing and Finance Director William Plute and Jocelyn Strauber of the New York Bureau of Investigation following an exclusive report in the Post last week.
Holden pointed out in his letters that public records indicate Williams was behind on a federally backed mortgage, while also allegedly misrepresenting his financial situation by collecting rent from tenants living in the property for several years.
“If Williams has misrepresented his financial situation, rental income, or the status of occupancy on mortgage applications or related paperwork, he may have breached federal laws regarding mortgage and bank fraud,” Holden stated.
This situation raises eyebrows, given Williams’s role in openly criticizing landlords through the city’s “worst landlord watchlist.”
Records show he earned $184,000 annually but stopped paying his $1,344 mortgage in 2010 while renting to several tenants.
In his letter to Strauber, Holden raised concerns about whether Williams knowingly made false statements in his annual financial disclosures.
Williams, who represented Brooklyn from 2010 until March 2019, did not report rental income in his filings for about a decade, even prior to his appointment as public advocate.
Yet, in both 2022 and 2023, he reported rents ranging from $5,000 to $55,000, as noted in his latest disclosure statement.
He also financed a vegan sandwich shop in Park Slope, which later faced foreclosure by Bank of America in 2014 over a $389,600 mortgage taken out in 2006.
Williams has consistently attributed his financial troubles to tenants who fell behind on their rent payments.
The house was put up for sale through a foreclosure auction recently, but it seems no bids surpassed the amount owed to Bank of America, which means it returned to the bank’s ownership.
Both the Department of Investigation and the federal housing finance agency have declined to comment on the matter.
Williams’s spokesperson, Kevin Fagan, remarked that Holden was wasting resources on an unfounded investigation from a decade ago, suggesting it would be more prudent if Holden reviewed public records regarding rent collections and accurate disclosures.
