NEW YORK — A major New York City landlord who was accused of bullying tenants out of rent-regulated apartments has agreed to pay them $8 million to settle a lawsuit — while he’s in jail after pleading guilty to mortgage fraud.
State Attorney General Eric Schneiderman announced the agreement Wednesday with landlord Steven Croman. As part of it, an independent property management company will run more than 100 Croman buildings for five years.
A Croman spokeswoman hasn’t immediately commented.
The Democratic AG’s suit accused Croman of such tactics as sending an intimidating investigator to accuse tenants of living in their homes illegally, aiming to get them to leave and then raise rent.
Schneiderman also prosecuted Croman in the mortgage-fraud case. Croman was sentenced in October to a year in jail.