Disclaimer: The following summary is based on publicly available legal filings.
Lender BMO has initiated default proceedings on a loan connected to Sunset Village, resulting in a new set of plaintiffs pursuing claims against the Karney Group. Despite the property’s financial instability and reported physical decline, the group is alleged to have continued operating in a manner resembling a Ponzi scheme.
Notably, the allegations in the complaint appear to conflict with sworn deposition testimony previously provided by members of the Karney Group concerning their ownership stake in Sunset Village. The case reflects mounting concern and legal pressure from the co-guarantors associated with Anand and Sudha Karney.
Some examples of depo text contradicting the new petition is below .
- Shiba owns 75% of Sunset Village ( Page 30 – Line 16 to 22)
- Shiba never transferred its interest ( Page 32 Line 25 – Page 33 Line 2)
- Shiba believes it owns 100% of Sunset due to Trirasu Receiving Significant payouts from insurance proceeds ( Page 33 Line 3 to 12)
- Trirasu offered 100% of proceeds to Shiba (Page 35 Line 15 to Page 39 Line 5).
- Shiba thinks there is no deed changes ( Page 33 Line 22 – Page 34 Line 2)
- Recent contact from Trirasu about property management agreement and loan maturity discussions Page 35 Line 5 to 14.