New York City Secures Record $31 Million Judgment Against Bronx Apartment Owners Over Housing Conditions

New York City, New York, United states of america — Mayor Zohran Kwame Mamdani and the city’s Department of Housing Preservation and Development (HPD) announced a record $31 million court judgment against the owners of Robert Fulton Terrace and Fordham Towers in the Bronx, citing years of severe housing neglect affecting hundreds of tenants.

City officials said the ruling is the largest financial penalty ever obtained by HPD against residential property owners. The judgment targets landlords Karan Singh and Rajmattie Persaud, who oversee nearly 500 apartments across the two buildings. Residents have long complained about recurring heat and hot water outages, broken elevators, pest infestations and unresolved maintenance violations.

As part of the court action, the city secured the appointment of an independent Chief Restructuring Officer to supervise repairs and stabilize building operations. Officials also froze more than $900,000 from the owners’ bank accounts and arranged for the funds to be redirected toward urgently needed repairs for tenants.

According to HPD, the lawsuit was initially filed in 2024 through the agency’s Anti-Harassment Unit within its Housing Litigation Division. City leaders said the legal action is intended not only to penalize the landlords but also to restore safe living conditions for residents who have reported years of deteriorating conditions.

The administration is also urging the Federal National Mortgage Association, known as Fannie Mae, to work alongside city officials and tenant groups during ongoing foreclosure proceedings to identify a preservation-focused buyer for the properties. Officials said the buildings were originally developed as stable middle-income housing but later fell into significant disrepair.

Tenant advocates and legal representatives welcomed the court judgment, describing it as a major accountability measure after years of organizing efforts by residents. Housing advocates noted that the case highlights broader concerns surrounding landlord neglect and the preservation of affordable housing across New York City.

City officials said oversight of repairs and restructuring efforts will continue as foreclosure proceedings move forward and tenants await long-term management changes for the troubled Bronx properties.