Lawsuit alleging fraud by Palm Beach developers dropped

Two lawsuits filed against developers James and Marta Batmasian were dropped – the same week Boca Raton’s mayor was charged with misconduct and corruption for her alleged ties to the real estate moguls.

A Palm Beach County Circuit Court judge ended a four-year legal battle between James Baker, the Batmasians’ former chief financial officer, and the developers. Baker alleged the company was marked by fraud, and that the Batmasians inflated tenant charges for common area maintenance.

The couple retaliated with a lawsuit against Baker, claiming he stole information from their company, Investments Limited, while he was CFO. Baker was fired in 2013, before the lawsuits were filed. That lawsuit was dropped as well, according to the Palm Beach Post.

A sexual harassment lawsuit brought by former leasing agent Karla Sotomayor in 2014 was also voluntarily dismissed under a joint stipulation between Sotomayor and the Batmasians. Details of the agreement are unknown.

On Tuesday, Boca Raton Mayor Susan Haynie was charged with a slew of misconduct and corruption charges for alleged financial ties to the wealthy developers.

The Batmasians are the largest private owners of commercial property in downtown Boca Raton, according to the Palm Beach Post. In 2008, Batmasian pleaded guilty for failing to pay more than $250,500 in federal withholding income tax for employees of his company. [Palm Beach Post] – Amanda Rabines