The Real Deal New York

Feds bust Queens man for $50M real estate scam

March 29, 2013 11:00AM

A Queens man is accused of operating a $50 million real estate scam, the New York Post reported. Gershon Barkany, 29, pocketed investors’ money given to him to flip properties in so-called “risk-free” deals, according to court documents; the FBI arrested him Thursday.

In one stance, one victim invested nearly $47 million when Barkany mentioned a plan to acquire a Manhattan office property and a hotel in Atlantic City, according to the papers.

“The defendant admitted that there were no deals and that all the documents that he had provided to the investor were false,” U.S. attorney Christopher Caffarone stated in the documents.

The article does not include comment from Barkany or his counsel. [NYP] —Zachary Kussin