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Minnesota attorney general sues property developer over alleged fraud

LEGAL NEWSLINE

Friday, November 29, 2024

Minnesota attorney general sues property developer over alleged fraud

State AG
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Attorney General Keith Ellison | Facebook Website

Minnesota Attorney General Keith Ellison has initiated legal action against Nolosha Development, LLC, a property development company in Minnesota. The lawsuit, filed in Hennepin County, accuses the company of misleading Somali families by misrepresenting critical sale details to secure $25,000 down payments for homes.

The suit aims to halt these alleged misrepresentations and seeks refunds for the affected families. This move follows the Attorney General's Office's recent efforts to compel Nolosha Development to cooperate with an ongoing investigation.

Ellison stated, "If you are selling a product, you need to be honest with your customers about what that product is." He added that after receiving numerous complaints from the public about fraudulent practices by Nolosha, his office discovered a pattern of deceptive behavior.

Nolosha was first reported to the Attorney General’s Office in 2023. Customers claimed the company refused to provide full or partial refunds after falsely advertising its projects. Despite a court order requiring Nolosha to disclose information, the company resisted compliance and expressed intentions to appeal.

To prevent delays from a prolonged appeal process, Ellison filed this lawsuit seeking expedited refunds for consumers who felt deceived by Nolosha's project representations.

Individuals wishing to report similar fraudulent activities can file complaints with the Attorney General’s Office online or contact them via phone at (651) 296-3353 for Metro areas or (800) 657-3787 for Greater Minnesota.

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