New York City Mayor Zohran Mamdani and the Department of Housing Preservation and Development have announced a landmark $31 million penalty against the owners of two major Bronx apartment complexes. This legal action targets Karan Singh and Rajmattie Persaud, the operators of Robert Fulton Terrace and Fordham Towers.
The penalty represents the largest financial judgment ever obtained by the city's housing department. It follows years of documented tenant complaints regarding hazardous living conditions, including vermin infestations and frequent utility failures.
Residents at these properties have endured chronic outages of heat and hot water for extended periods. Broken elevators have also plagued the buildings, severely impacting the daily lives of hundreds of families.
As part of the court-ordered resolution, an independent Chief Restructuring Officer will now manage the buildings' finances. This official is tasked with overseeing urgent repairs to ensure the safety and dignity of all residents.
City officials have already frozen over $900,000 from the owners' accounts to fund immediate maintenance work. This capital is being directed toward critical infrastructure improvements across the 500 affected apartment units.
The administration is also coordinating with Fannie Mae to address ongoing foreclosure proceedings. The goal is to identify a responsible preservation buyer who will prioritize long-term building stability and tenant welfare.
Data from the city indicates that Robert Fulton Terrace alone generated over 2,300 complaints in the last two years. These reports resulted in more than 1,100 official housing violations, highlighting the severity of the neglect.
Both properties were originally developed under the Mitchell-Lama middle-income housing program. Tenants report that conditions began to decline significantly after the buildings transitioned to private ownership in the mid-2000s.
The litigation was spearheaded by the Anti-Harassment Unit within the city's Housing Litigation Division. This unit has been instrumental in holding property owners accountable for systemic failures in building management.
Mayor Mamdani emphasized that this action serves as a warning to other landlords who ignore their legal obligations. The city remains committed to ensuring that no property owner is above the law when it comes to basic housing standards.