Alan Dershowitz convinced Donald Trump to release international pot kingpin Jonathan Braun and commute his sentence just before the Donald left office. Jon was doing ten years in Otisville. When Dershowitz was told that Braun committed acts of violence to collect on debts in his loan sharking business, which he operated out of Otisville, Dershowitz donated Braun’s legal fee to charity.
The Justice Department was ready to give Braun a walk at his sentencing a couple of years ago because he cooperated, but Braun shot himself in the foot when his loan sharking business practices came to light at sentencing. Braun threatened debtors who didn’t pay up, including a Rabbi from Crown Heights. Braun got sued by numerous unhappy borrowers who were charged over 10% a month in interest, plus numerous other fees.
Braun was recently sued by a Satmar real estate developer from Brooklyn named Yoel Goldman, the owner of All Year Management NY. Yoel owns hundreds of real estate development companies, some that trade on the Tel Aviv stock market, that are worth hundreds of millions of dollars. Yoel and his partners are the biggest developers in the neighborhoods of Williamsburg, Bushwick, Greenpoint, Borough Park, and Bedford-Stuyvesant. Yoel buys up cheap property in bad neighborhoods, clears out the tenants and turns them into upscale apartments. Gentrification. The melting pot of New York City is ancient history. The only color that matters now is green.
Yoel Goldman’s 150 limited liability companies borrowed nine million dollars from Braun. Braun charged huge up front fees and ten percent interest a month on the loans. After deducting up front interest, origination fees, lender fees and attorneys fees, Yoel got about half of the face value of the loan when he closed. Yoel and his wife Tsipora personally guaranteed the loans. One of the limited liability companies that Yoel signed on behalf of wasn’t even owned by Yoel. All Year Inc alleged in NY Supreme Court that Yoel signed for loans on behalf of All Year Inc when Yoel was not a principal of All Year, Inc. Yoel was a principal in All Year Management, not All Year, Inc. Yoel’s partner split with him some years ago when he pledged her property, without her consent, in an Israeli bond offering.
After Yoel defaulted on the loans Yoel sued Braun and claimed that he wasn’t responsible for the loans because Braun charged usurious interest rates at 10% a month, along with a default interest rate of 15%. Yoel alleged that Braun lent him the money while Braun was locked up in Otisville. Braun hired top lawyers to defend himself against the Yoel lawsuit. Braun’s lawyers have been trying to get Yoel’s case thrown out. Braun’s lawyers have argued that it is legal to lend money at usurious interest rates as long as the loans are made to companies and not to individuals. Braun also made Yoel sign confessions of judgment, which allowed Braun to attach bank accounts by merely filing an affidavit. The confessions of judgment, and high interest loans have made Braun, and other merchant cash advance companies in New York City rich.
The Federal Trade Commission and the Attorney General of New York have recently filed lawsuits against Braun in both State and Federal courts alleging that Braun’s loans violate consumer protection laws and are illegal. Braun hired top lawyers to draft his loan documents. Braun hired top lawyers to defend him against the State of New York and the Federal government. Braun has good defenses. Braun’s lawyers have argued that “merchant cash advance” loans are not loans at all. They are security agreements in which Braun gets a security interest in future proceeds of a business. The agreements state in bold letters “THIS IS NOT A LOAN.” Braun’s high priced lawyers are waging a high pitched legal battle with the State and the Federal Trade Commission. Braun’s attorneys have argued that Braun engages in thousands of transactions, yet the government has only pointed to 300, less than one percent, as illegal.
Yoel Goldman recently dropped his lawsuit against Braun but kept the lawsuit going against some of Braun’s associates. There is no way to know why he dropped his case against Braun. Goldman is no angel himself. It takes a lot of chutzpah to sue a lender for usury when you are one of the biggest real estate developers in Brooklyn, you had access to top lawyers to review the loan agreements, you knew exactly what you were signing, and you knew exactly what your wife Tzipora was signing when you told her to sign on the dotted line.
Braun is Teflon Jon. A ten year Otisville prison sentence didn’t stick to Teflon Jon Braun. John Gotti would be jealous. Gotti died in prison. The State and Federal government lawsuits may only result in a small settlement with Braun and allow Braun to continue to operate his merchant cash advance company all of the country. NOT The State and Federal governments will not give up until they get a judgment at trial that shuts down merchant cash advance businesses. Jon Braun will never agree to settle and will drag this case on for years, even if he loses he will appeal it to the US Supreme Court. Jon may actually win the case, you never know. If you want to make a lot of easy money before the government shuts down the merchant cash advance business now is the time. Send your resume to Jon Braun ASAP. Moshiach NOW!
RIP OLE ANTHONY: 82 year old skid row Dallas resident Ole Anthony passed away last month. Ole (O-Lee) took down hundreds of televangelists hustlers and hucksters, including the $80 million empire of Reverend Tilton. Ole had a large following in Dallas that investigated Christian religious fanatical fraudsters. Ole took a vow of poverty and lived in the slums of Dallas. Ole had a daily Christian prayer group which he didn’t start until he had a minyan of ten humans. Ole also held Passover services. Ole’s early life was one of crime, but he eventually found God after he was given a choice between going to jail or the military. Ole went into the Air Force and turned his life around. Ole’s famous quote: “There’s more fraud in the name of God than any other kind of fraud in the world.” Its too bad Ole didn’t get a chance to visit Otisville before he died.
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