Jemal Brothers Still Fighting Over Real Estate Portfolio

A long-simmering family feud over a sprawling New York real estate portfolio has flared up again.

Steve Jemal filed a new lawsuit this week in Manhattan Supreme Court accusing his brother, Alan Jemal, and their mother Ruth of siphoning money from a network of jointly owned real estate companies, cutting him out of management decisions and using the businesses as “personal piggy banks.”

The suit targets ten limited liability companies that own properties across the city, from Harlem to Brooklyn and the Bronx. Together, the entities hold a portfolio that has been controlled for years by members of the Jemal family and has been the source of a bitter back-and-forth.

Steve alleges that Alan and Ruth have essentially seized control of the businesses and refused to provide access to the books, leaving him “blind as to his cash flow,” per the suit. Alan and Ruth allegedly moved money between entities, paid themselves management fees and used company funds to cover personal expenses ranging from luxury car leases to charitable donations and streaming subscriptions, the suit alleges.

Steve claims his monthly distributions were slashed while the other family members continued to receive larger payments, per the complaint. In addition to monetary damages, Steve is asking the court to appoint a neutral receiver or permanent third-party manager to run the companies.

This isn’t the first time the family has ended up in court. The brothers previously battled over the same portfolio in a series of lawsuits filed in 2020, which were settled in June 2022. The alleged misconduct has continued, prompting the latest action, per the suit.

Lawyers for Steve and Alan did not immediately respond to a request for comment.