Owners of Mon View Heights appear in court after being accused of funneling money to other businesses
The owners of the Mon View Heights Apartments were back in court on Friday as testimony continued in their preliminary hearing.
Both men are accused of funneling money into other business interests as funds that were supposed to go toward maintenance and repairs.
Friday was the second part of a preliminary hearing against the owners, and Fredrick Schulman testified that while he was on a lot of the documents and was the figurehead of many LLCs, he didn't really know what he was signing. Moshe Silber was named as the one taking the money and putting it in many of his other LLCs, despite that money being meant for Mon View Heights.
Already facing federal jail time for bank mortgage fraud and conspiracy, Schulman testified on Friday at the preliminary hearing for his former business partner and owner of Mon View Heights, Silber. Both of the men are accused of funnelling $580,000 in loan money to 25 other limited liability corporations rather than using it to improve living conditions at the complex.
Allegheny County District Attorney Stephen Zappala charged both men with various felonies, including theft and criminal conspiracy, after they toured the apartments and found several safety violations and residents living in deplorable conditions.
Testifying via video, Schulman, who is cooperating with prosecutors, said that he entered into a business relationship with Silber in 2022 to purchase the 328-unit housing complex.
While on the stand, the 72-year-old Schulman said that he often signed loan and bank applications without reading the documents, and oftentimes, Silber would allegedly just send the signature page on agreements.
Silber attended the hearing by video as he currently sits in a federal prison awaiting sentencing on federal charges.
Also testifying was a forensic accounting detective for the Allegheny County District Attorney's Office, who said that Silber drew up false improvement and repair invoices for Mon View Heights payable to an out-of-state construction company that does not do business in Pennsylvania.
All charges were bound over for trial.