NYC landlord used fake repair scheme to overcharge tenants: lawsuit

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The building at 736 Riverside Drive is pictured Wednesday, Aug. 21, 2024 in Manhattan, New York. Barry Willilams/New York Daily News/TNS

A group of uptown Manhattan tenants filed a lawsuit Thursday that alleges their landlord engaged in a “systemic” scheme to raise their rents beyond the legal limit by claiming credit for fictitious building repairs — a case advocates say points to a need for stronger state housing law enforcement.

The suit, filed in Manhattan Supreme Court, seeks class-action status to represent hundreds of current and former rent-stabilized tenants at three buildings in Harlem and Hamilton Heights where the landlord allegedly perpetrated the scheme.

The buildings — the first located on Riverside Drive near W. 151st St, the second on W. 151st St. and the third on W. 135th Street — are owned by limited liability corporations whose managing member is Edward Ostad, says the lawsuit, which was filed with the help of Newman Ferrara, a Manhattan law firm. The suit names the LLCs as defendants, though not Ostad…

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