realestate

Real estate influencer indicted $17M scheme tied to Paterson lawsuit

Taylor Five Apartments LLC says officials rejected his housing project after bribing a city official for conversion approval.

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eal‑estate influencer Cesar Humberto Pina, who controls Taylor Five Apartments, sued Paterson in May, claiming the city’s zoning board unlawfully rejected its housing‑project application. The company argues the board failed to act within the 120‑day window required by New Jersey’s Municipal Land Use Law, which would have granted automatic approval. Taylor Five sought to convert a vacant Totowa Avenue school into a 30‑unit apartment building (originally 61 units in 2019). A June 2024 hearing was repeatedly postponed, with the board rescheduling for April 3, 2025—outside the statutory deadline—and dismissing the application after being told the firm’s attorneys and experts could not attend.

    Pina, 47, was indicted earlier this year on wire‑fraud, money‑laundering and bribery charges tied to a $17 million house‑flipping scheme. Prosecutors allege he paid $50,000 to a Paterson official to secure zoning approval and, between 2019 and 2022, used an office assistant to deliver cash, checks, campaign contributions and other benefits to the official, whose identity remains undisclosed. Known online as “Flipping NJ,” Pina attracted investors nationwide, promising 20‑45 % returns in five months but paying many only partially or not at all. He is also accused of laundering proceeds from drug sales.

    U.S. Attorney Alina Habba described the scheme as a “multi‑year torrent of criminal activity” that harmed investors and eroded public trust. Pina and co‑defendants filed a motion to challenge Habba’s appointment as acting U.S. attorney, arguing it violated federal law. The Third Circuit Court of Appeals heard oral arguments on Monday. Neither Pina nor Taylor Five’s counsel responded to requests for comment, and Paterson Mayor Andre Sayegh declined to comment pending litigation.

Real estate influencer indicted for $17M scheme in Paterson lawsuit.