A
Dutchess County man has been accused of running a real estate investment scheme, claiming he could teach people how to make large profits by quickly buying and selling properties.

    Hossam Awadallah, 41, of Pleasant Valley, was arrested on November 1 and released after posting a $100,000 bond. He is prohibited from soliciting new business until his case is resolved.

    According to an FBI affidavit, Awadallah claimed he had earned six-figure income from real estate commissions and offered to mentor clients or help them manage their own real estate ventures. However, investigators say he spent most of the investors' funds on personal expenses such as travel, luxury car rentals, and entertainment.

    Awadallah promoted his services through social media, boasting about his wealth and success with posts featuring a Lamborghini and a screenshot of a real estate contract. He promised clients that he could provide good leads on properties that could be quickly purchased and sold for profit.

    However, when the sales leads did not materialize, Awadallah allegedly ignored his clients' requests for help. One client invested $250,000 in a new company that Awadallah would manage, but no payments have been made despite promises of a 40% return on investment.

    Bank records show that Awadallah took in over $442,000 from investors and real estate transactions between 2018 and mid-2022. However, he spent only about $91,000 on business expenses, with the rest going towards personal expenses such as travel and luxury car rentals.

    A judge has ordered Awadallah to stay with his parents in Hyde Park until his case is resolved. His defense attorney did not respond to a request for comment.