Before a condominium can be created, developers need to comply with a myriad of municipal by-laws and laws, including of course, the Condominium Act. These governmental regulations create a level playing field for all developers and provide safeguards to potential purchasers.
One US lawyer found a way to get around government regulations: unfortunately, it resulted in him being disbarred.
New York State requires that the Attorney General approve condominium plans prior to the selling of units. Eduard Fridman, a Brooklyn real estate lawyer, recently pled guilty to forging letters of approval for six condominium projects. His fraud allowed his clients to sell units without being subject to government oversight.
As part of his guilty plea, Fridman surrendered his law license, paid a fine of $100,000, and will be placed on probation for five years.
