A “multi-billion dollar real estate empire” has rented out unsafe and uninhabitable units, exploiting California’s lack of affordable homes and violating tenant protections, according to California Attorney General Rob Bonta.
Bonta also alleges the companies discriminated against Section 8 tenants and engaged in deceptive leasing practices and unlawful rent increases, he said in a complaint filed in Los Angeles County Superior Court Thursday against Swaranjit “Mike” Nijjar and other family members.
The Nijjar clan controls more than 22,000 units via his PAMA Management in Los Angeles and other counties such as San Bernardino and Riverside. The homes are generally rented out to low-income tenants, according to the suit.
The defendants profited off their business but left tenants with inhumane conditions such as ceilings that collapsed after months of leaking, sewage that came through tenants’ drains into their hallways and roach and rodent infestations, the complaint alleges. Bonta’s filing comes after an almost three-year Department of Justice investigation into PAMA Management.
“PAMA and the companies owned by Mike Nijjar and his family are notorious for their rampant, slum-like conditions — some so bad that residents have suffered tragic results,” Bonta said in a statement. “Our investigation into Nijjar’s properties revealed PAMA exploited vulnerable families, refusing to invest the resources needed to eradicate pest infestations, fix outdated roofs, and install functioning plumbing systems, all while deceiving tenants about their rights to sue their landlord and demand repairs. “Bonta seeks full restitution for financial harm to tenants and more penalties.”
The defendants appear to have more than 50 pages worth of properties, according to the complaint, including 4616 Obama Boulevard in Los Angeles.
Nijjar is no stranger to headlines or lawsuits.
“Nijjar and his associates have treated lawsuit after lawsuit and code violation after code violation as the cost of doing business and have been allowed to operate and collect hundreds of millions of dollars each year from families who sleep, shower and feed their children in unhealthy and deplorable conditions,” Bonta said. “Enough is enough.”
Nijjar’s attorney, Stephen Larson, denied the accusations.
“The allegations in the complaint are false and misleading, and its claims are legally erroneous,” Larson said in a statement to The Real Deal. “We look forward to demonstrating in court that Mr. Nijjar and his companies are not only compliant with the law, but they provide an extraordinary service to housing those disadvantaged and underserved by California’s public and private housing markets.”
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