In a first, city lawyers ask a court to pause an eviction tied to alleged deed theft. A judge said no. What the Council has on deed theft

For the first time, the Mamdani administration has gone to court under a state deed theft law to try to stop an eviction, THE CITY reported Monday. A city lawyer filed papers Friday asking a Brooklyn Housing Court judge to pause the eviction of a family from a Crown Heights brownstone while the Department of Finance investigates whether the deed was stolen. Judge Javier Ortiz declined, writing that two courts had already litigated the deed theft claims. The eviction could happen as soon as this week, and the Law Department is evaluating next steps, a spokesperson told THE CITY.

The family says the deed was forged in a 2015 transfer; the home passed through two LLCs to its current recorded owner, who has denied the allegations in court papers and whose lawyers called the city's filing "an eleventh hour ploy," according to THE CITY. The state attorney general and the Brooklyn district attorney both investigated earlier and brought no criminal charges. The Mayor's Office of Deed Theft Prevention referred the case to Finance investigators in September, and a chief in the city Sheriff's office supported the request, writing that the inquiry would include a records review, interviews and subpoenas for bank records.

Why it matters to residents: state lawmakers in 2023 allowed government agencies to ask for a stay of eviction while they investigate possible deed theft, and the law says a court "shall issue a stay" in that situation, THE CITY reported. This was the city's first test of that power, and the judge did not grant it. Council Member Chi A. Ossé appeared at the home Sunday; he was arrested this spring protesting a deed theft eviction in Bedford-Stuyvesant, according to THE CITY.

What our records add

The deed theft office was budgeted this spring. At the Finance Committee's March 11 budget hearing, a committee member noted that the preliminary budget added money for five positions in a new office to prevent deed theft, with $1 million a year starting in fiscal 2027. A Finance Department official said the administration would announce details soon and that the office would expand outreach, prevention and enforcement (4:49:22). The official said the department's land records office is "a first line of defense" that flags suspicious recordings, and that the Sheriff develops cases for the district attorneys and the attorney general (4:51:36).

Members have raised it in other committees. At a March 19 Consumer and Worker Protection hearing, Carmen N. De La Rosa said deed theft is prevalent in her district, with scammers posing as real estate or financial experts and targeting seniors and homeowners in financial trouble. At the March 18 Public Safety budget hearing, a district attorney's office witness said it spends significant resources on deed theft, which has become a major issue in Queens.

Four bills are waiting. None has had a hearing:

• Int. 358, from Sandy Nurse and Ossé, would have the consumer protection department publish a website identifying people convicted of deed theft in the city. Ten Council sponsors plus the Brooklyn borough president; 278 days.
• Int. 379, from Public Advocate Jumaane Williams, would expand the disclosures that distressed property consultants must give customers and require a foreclosure prevention guide for homeowners. 278 days.
• Int. 711, also from Williams, would require Finance, with housing and consumer agencies, to run education and outreach on deed fraud and foreclosure-rescue fraud. Six sponsors; 252 days.
• Res. 229, from Crystal Hudson, calls on Albany to pass and sign deed theft bills. 264 days.

What's next

The Finance and Housing and Buildings committees will hold a joint oversight hearing on "Advancing Homeownership Opportunity and Protection" on Nov. 17. The agenda includes Int. 1096, from Nantasha M. Williams, which would have the city's Homeowner Advocate, working with the Mayor's Office of Deed Theft Prevention, run outreach to homeowners in the community districts with the highest displacement rates. The deed theft bills above are not on that agenda.