$395K Stolen In Fraudulent Huntington Home Sale: Suffolk DA

SUFFOLK COUNTY, NY — An attorney and his client were indicted after they were accused of selling a $395,000 Huntington home belonging to the client's relatives and then stealing the money from the sale of the house, Suffolk County District Attorney Timothy D. Sini announced on Thursday.

The attorney, Jerome Binder, 38, of Patchogue, and the client, James Regateiro, 49, of Dix Hills, face multiple felony charges, including second-degree grand larceny.

"These individuals did not have the right to sell the property in the first place, let alone squander all of the proceeds from the sale on their own personal expenses," Sini said in a statement. "What is particularly egregious is that Mr. Binder allegedly used his position as an attorney to facilitate this scheme and steal his cut of the money from the property’s rightful owners. These kinds of crimes can have devastating impacts on victims’ finances, and we are committed to investigating them thoroughly. I thank the prosecutors and investigators for their hard work on this case."

The Suffolk County District Attorney’s Office’s Financial Investigations & Money Laundering Bureau found evidence that Binder and Regateiro told multiple parties they had the permission and authority to sell a home on Goldfinch Lane in Huntington, the DA's office said. However, the property belonged to a trust created by one of Regateiro’s relatives, prosecutors said.

At the closing for the sale of the property on July 12, 2017, Binder and Regateiro filed several falsified documents, including a forged trust document with Regateiro named as the trustee, with the Suffolk County Clerk’s Office and the title company, authorities said.

Binder and Regateiro received a $395,000 cashier’s check for the sale of the property and deposited the funds into Binder’s Interest on Lawyer Account, officials said. The men then used the funds between July 12, 2017, and Sept. 13, 2017, including for payments to credit card companies, mortgage payments, car payments and payments to business accounts owned by Binder or Regateiro, as well as large cash withdrawals, prosecutors said.

Binder and Regateiro were each charged with second-degree grand larceny (a class C felony), six counts of first-degree falsifying business records (a class E felony) and fourth-degree conspiracy (a class E felony).

If convicted of the top count, Binder and Regateiro each face a maximum sentence of five to 15 years in prison.

Binder was arraigned Thursday and released on his own recognizance. He is being represented by William Wexler. Regateiro was arraigned on Aug. 13 and was released on his own recognizance. He is being represented by David Besso. Both are due back in court on Sept. 21.