Slumlord Sued For $2M By Brooklyn Tenants Over Rent Overcharges

CROWN HEIGHTS, NY — One of New York City's official "worst landlords" faces a $2 million lawsuit from tenants who accuse him of overcharging them for rent.

A complaint filed Thursday in New York state court says 22 tenants of 1074 Eastern Parkway in Crown Heights fell under a rent freeze levied against landlord Rubin Dukler for failing to fix problems in the building.

“Basically, the rent was frozen in 2002," said Ivan Marchena, a paralegal advocate with Brooklyn Legal Services, which represents the tenants. "However, the landlord has been collecting increases in rent ever since then.”

Dukler and Iris Holdings Group — a company Dukler claims now owns the building — falsely collected $2 million in rent, the lawsuit states.

It's another accusation against Dukler, who currently stands as the city's 86th worst landlord, according to a list published by the city's public advocate's office.

Tenants in several of his buildings, including 1074 Eastern Parkway, have complained about inadequate heat in the winter, mold and leaks, vermin infestations and lead paint all going unaddressed.

Brooklyn Legal Services represented four of those buildings in a 2019 harassment lawsuit. Marchena said that led to a deeper dive into rent histories which uncovered irregularities.

Unfixed problems in 1074 Eastern Parkway prompted officials in 2002 to issue an effective freeze on rents against Dukler's company. But the lawsuit states Dukler continued to increase rents by filing false rent amounts with a state agency.

Comparisons between documents showed one tenant was charged more than $900 what her rent should have been under the freeze, the lawsuit states.

In other cases, Dukler registered fictitious names to tenants' apartments, the suit alleges. That allowed him to claim "vacancy increases" of 20 percent on rent in apartments where the tenants had actually never left.

"This scheme has resulted in each of Plaintiff’s rent registration histories reflecting inaccurate and unreliable legal regulated rents and concealed rampant rent overcharges throughout the building," the lawsuit states.

Dukler couldn't be reached for comment.

The lawsuit also levies similar accusations against Iris Holdings Group.

"While these violations of law may have begun under the steady hand of Mr. Dukler, IHG has knowingly furthered and continued the same unlawful practices as its predecessor," the lawsuit states.

Marchena said it's unfortunate officials at New York State Homes and Community Renewal (HCR) didn't uncover those practices. He said landlords self-report rents under an effective honor system.

"There is no oversight or accountability that the HCR is doing," he said.