INDIANAPOLIS – The Indiana attorney general’s office filed a lawsuit involving a pair of Indianapolis apartment complexes, alleging mismanagement resulted in poor living conditions for residents.
Aloft Mgt, LLC and Fox Lake AHF, Inc. are accused of “leaving Fox Club and Lakeside Point apartment complexes in Indianapolis to flagrantly decay, endangering the health and well-being of thousands of residents According to Attorney General Todd Rokita.
Aloft is the property manager for Lakeside Pointe Apartments, North Indianapolis. Fox Lake is a non-profit corporation that owns Lakeside Pointe and Fox Club apartments on the south side.
Rokita demands that a trustee be appointed to take control of the finances of the property management companies. He also calls for the dismissal of the board of directors.
The move comes after a year-long investigation by Rokita’s office uncovered “neglect and mismanagement” that led to fires, lack of heating and air conditioning, water damage, mold and mildew. , broken windows and other issues that resulted in poor living conditions.
“In this case, it is in part due to the unique role of my office in the management of nonprofit organizations that we are able to take this step today,” Rokita said in a statement. “The defendants’ illegal behavior, including failure to meet even basic livability standards, is not only unfair, but runs counter to Fox Lake’s stated goal of providing low-income housing in the Indianapolis community. “
Fox Lake has received more than 600 violation notices from the Marion County Public Health Department since 2017. Fox Lake last month put residents at risk of having their water cut off by failing to shut off, according to the Attorney General’s Office. make payment for a $ 1 Million Invoice to Citizens Energy Group.
The lawsuit said residents of Lakeside Pointe “are reporting days, weeks and sometimes months without necessary repairs to heating systems and air conditioning units.”
From the trial:
Fox Lake and Aloft betrayed the trust of the residents of Lakeside Pointe, the Fox Club and the community by continuing to collect rents and failing to provide livable living conditions. As such, the state brings this action under its authority in the Indiana Deceptive Consumer Sales Act, the Indiana Nonprofit Corporations Act, and the Indiana Home Loan Practices Act.
The lawsuit claims Fox Lake is unable to fulfill its purpose as a non-profit organization providing housing to low-income residents. Fox Lake recently lost its Marion County charitable property tax exemption, the attorney general’s office said.
The state also alleged that Aloft was engaged in real estate transactions without the license required by law and, along with Fox Lake, was grossly negligent in maintaining Lakeside Pointe “to the grievous detriment of its residents.”
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