TJ Waconia: Sued by Three Minneapolis Neighborhoods

by Alex Stenback on April 2, 2008

As we await a likely Federal Indictment for the principals of TJ Waconia, they are also being sued by three Minneapolis Neighborhoods:

…the lawsuit alleges that T J Waconia dealt fraudulently, causing widespread foreclosures in the three neighborhoods. It alleges that the vacant housing has hurt property values and increased crime.

Council members have said that the firm bought and resold properties in a concentrated area of the North Side, allowing its sales prices to be used as comparable sales for appraisals on additional transactions.

The city has already taken an unprecedented action to strip the rental licenses of 45 properties associated with transactions by the firm. It plans to revoke as many as 100 more.

There are also more than a few private parties who have filed and won lawsuits against TJ Waconia, so essentially everyone is racing to lay legal claim to damages owed by these operators before the Federal Indictments come down.  We expect their will be more claims than assets when it is all said and done.
Firm Linked to Northside Foreclosures Faces Lawsuit [Star-Tribune]

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